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ethical, or an idiot? (partial refunds for combined orders)

I had a discussion, almost an argument, with husband over my practice of combining orders and issuing combined invoices. Or if they pay for each item singly, calculating the combined rate and refunding for the excess postage. I do aim to charge about $1 over actual postage to help with shipping expenses.

 

Husband says I should be pocketing the overage, especially when customers are not expecting combinations, like the people who go ahead and pay for each item singly. 

 

I just feel that it's more professional to combine and give customers the best deal on shipping. I can't really say why except for the principle of "do unto others as you would have them do unto you". When ordering stuff online from other companies they basically combine shipping by charging the rate on the whole box, not per item.

 

It stresses me out having to defend this practice which I feel is a no-brainer.

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ethical, or an idiot? (partial refunds for combined orders)

Ethical, but not just ethical, also good busines practice, especially if you have lots of items in the same category in which the buyer buys from you. When your buyers see how ethical and customer friendly you are, I belileve they are more likely to become repeat customers.

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ethical, or an idiot? (partial refunds for combined orders)

Anonymous
Not applicable

"It stresses me out having to defend this practice which I feel is a no-brainer."

 

Don't discuss combined shipping with your husband?

 

 

"When your buyers see how ethical and customer friendly you are, I belileve they are more likely to become repeat customers."

 

That's my experience. Higher rate of repeat customers.

Message 3 of 37
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ethical, or an idiot? (partial refunds for combined orders)

Personally I offer combined shipping when possible and charge only the actual shipping cost. 

Some customers get highly upset if you charge separate shipping and then put it in one box to ship. They feel cheated.

 

The problem with refunding is you already payed the FVF on the total and you don't get that back. I ask them to put it in their cart and then request a revised invoice. 

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ethical, or an idiot? (partial refunds for combined orders)

You and I are of a like mind @keziak.   If multiple orders can be combined and shipped safely, I do so and send the buyer a refund for any savings along with a note that thanks them for their purchase and explains the reason for the partial refund.   Not only do I think "it's the right thing to do," I think it makes good business sense as it helps build trust and confidence, and can lead to repeat sales.  I'd just quit debating it with your hubby carry on, and instead come here to share and vent.   😉 

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ethical, or an idiot? (partial refunds for combined orders)


@findersltd wrote:

Personally I offer combined shipping when possible and charge only the actual shipping cost. 

Some customers get highly upset if you charge separate shipping and then put it in one box to ship. They feel cheated.

 

The problem with refunding is you already payed the FVF on the total and you don't get that back. I ask them to put it in their cart and then request a revised invoice. 


I"ve never tried that, thanks. 

 

Maybe someone here knows the answer to this: does ebay frown on PayPal partial refunds and is that a demerit of some sort?

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ethical, or an idiot? (partial refunds for combined orders)


@keziak wrote:

@findersltd wrote:

Personally I offer combined shipping when possible and charge only the actual shipping cost. 

Some customers get highly upset if you charge separate shipping and then put it in one box to ship. They feel cheated.

 

The problem with refunding is you already payed the FVF on the total and you don't get that back. I ask them to put it in their cart and then request a revised invoice. 


I"ve never tried that, thanks. 

 

Maybe someone here knows the answer to this: does ebay frown on PayPal partial refunds and is that a demerit of some sort?


I've read on the boards that it is some sort of "soft hit" Mind you I don't know if it's true or not. I hope it isn't because I, also, refund if they don't see the note to request combined invoice in my listing. 

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ethical, or an idiot? (partial refunds for combined orders)


@candd205 wrote:

Ethical, but not just ethical, also good busines practice


And IMHO not just a good business practice that helps for you, but also a good business practice that helps give the entire marketplace a better reputation as a good place to buy.

 

A rising tide lifts all boats. 

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ethical, or an idiot? (partial refunds for combined orders)

If the items are high dollar or high risk, I will ship seperately if they paid seperately, ebay is making it easier for scammers to win INR cases.

 

But for the most part, I will combine and refund the difference over a couple of bucks.  I have a buyer on another site that asked about and bought two very lightweight items that cost less to ship than one.  She was so thrilled that she bought a couple of other items with the money she saved.

(*Bleep*)
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ethical, or an idiot? (partial refunds for combined orders)

Most of my similar discussions with family members about business and sales topics end similarly, so don't think your experience is unique.

 

Buyers expect that if they buy multiple items that ship together, the shipping costs will reduce.  They do not understand when the second item pushes a big jump in insurance cost that eats up any combines shipping savings, or when the two or more items in one box exceed the weaight/size limits for a shipping company or method.

 

But the seller looks like a hero to the buyer if the seller can issue a partial refund for combined shipping.

 

There is an issue with Ebay hitting sellers with a "transaction defect" (they believe the seller did not have the item that was purchased).  I have had to issue many small refunds for combined shipping but not been hit with a defect.

 

I try to get buyers, especially overseas buyers, to put the items in a cart and click to request a total.  Then I can adjust the numbers to correct the shipping.

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ethical, or an idiot? (partial refunds for combined orders)


@o-kushon wrote:

Most of my similar discussions with family members about business and sales topics end similarly, so don't think your experience is unique.

 

Buyers expect that if they buy multiple items that ship together, the shipping costs will reduce.  They do not understand when the second item pushes a big jump in insurance cost that eats up any combines shipping savings, or when the two or more items in one box exceed the weaight/size limits for a shipping company or method.

 

But the seller looks like a hero to the buyer if the seller can issue a partial refund for combined shipping.

 

There is an issue with Ebay hitting sellers with a "transaction defect" (they believe the seller did not have the item that was purchased).  I have had to issue many small refunds for combined shipping but not been hit with a defect.

 

I try to get buyers, especially overseas buyers, to put the items in a cart and click to request a total.  Then I can adjust the numbers to correct the shipping.


I have language in my TOS about that but it doesn't always work. Even though my TOS is quite short I suppose some people may not read the whole listing. Not a big problem though. 

 

I also have a good friend who sells online but we don't see eye to eye on these issues. For example on Amazon she will give the rate for express international evelope, then ship using regular Priority. She says nobody complains and she pockets good  money.  Ewww, I would be afraid of getting a big fat neg if I did that.

 

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ethical, or an idiot? (partial refunds for combined orders)

I combine and refund the difference on orders all the time. I know there is the small Paypal transaction fee for doing so, but I feel the end result is worth it. Most of my auctions are BIN, and alot of times I think the Buyer is worried if they literally don't buy-it-now (instead of asking for combined invoice) they might somehow lose it, so I don't make a big deal of it. 

 

This past month, almost 50% of my buyers purchased 2 or more items.  I feel the fact that many of those were return customers sort of proves the value of the combined shipping refunds after the fact. So that's how I feel it is worth it in the end. 

 

I too was raised with the 'golden rule', so it would bother me too much to pocket any overage (other than a minor box fee; I get bubble wrap free, so don't have to charge for that). Its bad enough having to charge the real rates of the USPS as it is. And it sounds like we are both in good company with most of the others who have commented here. 

 

 

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ethical, or an idiot? (partial refunds for combined orders)

This would be very good to get clarified, especially with Ebay tightening on defect rates (and raising final values). I answered someone a few days ago that I personally do not think it is a problem. I based it on the fact that I've been doing it for the past year, and haven't seen it affect my metrics at all. I tend to keep a close eye on those, so I really would notice if it did. 

 

Now I am kind of second guessing my saying it doesn't, as I would not want to mislead anyone. Maybe one of the wise ones could clarify this? I would think Ebay wouldn't mind since it is a good customer service move, and it doesn't cost them personally any time/effort/money. But I guess ultimately it would be better to get a clear answer. 

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ethical, or an idiot? (partial refunds for combined orders)


@keziak wrote:

I had a discussion, almost an argument, with husband over my practice of combining orders and issuing combined invoices.

 

Husband says I should be pocketing the overage, especially when customers are not expecting combinations, like the people who go ahead and pay for each item singly. 

 

It stresses me out having to defend this practice which I feel is a no-brainer.


In some states, that's grounds for divorce. Smiley Wink

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ethical, or an idiot? (partial refunds for combined orders)

On another online shopping venue, I had a seller actually include the difference in mailing cost in cash! When she packaged up my order, she put it in a little zipper bag with a note explaining that it was a refund for shipping costs, along with some extra items and a smiley face. I get such a great customer service vibe from that venue . . .

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