Retailers have a new message for consumers who want to return an item: keep it.
Amazon.com Inc., Walmart Inc. and other companies use artificial intelligence to decide whether it makes economic sense to process a declaration. For cheap or large items that entail high shipping costs, it is often cheaper to refund the purchase price and let customers keep the products.
The relatively new approach, popularized by Amazon and a few other chains, has become more widely adopted during the Covid-19 pandemic, as an increase in online shopping is forcing businesses to rethink how they handle returns. “We are getting so many questions about this that you will see it grow in the coming months,” said Amit Sharma, CEO of Narvar Inc., which processes returns for retailers.
Lorie Anderson of Vancouver, Washington, was pleasantly surprised when she tried to bring back online makeup purchases at Target and batteries from Walmart. The necklaces gave her a refund, but told her to keep the items.
“They weren’t expensive, and it wouldn’t make much financial sense to return them by mail,” said Ms. Anderson, 38 years old. “It is a hassle to pack the box and deliver it to the post office or UPS. This was one less thing that I had to worry about. “