How to reduce Cancellations and Returns on Walmart?
How to reduce Cancellations and Returns on Walmart?

How to reduce Cancellations and Returns on Walmart?


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Sometimes, customers cancel orders or initiate returns for the products they bought from you. These occurrences impact your Walmart Seller Scorecard and can cause your Seller Account suspension when they exceed the allowed range. So how do you sell on Walmart marketplace to reduce Cancellations and Returns?

That’s where this blog will become helpful for you.

Read on to learn about Cancellations and Returns or Refunds at Walmart and how to keep them within the acceptable range.

Here, you will learn about the following:

Order Cancellations

Canceling an order after receiving an order from Walmart is considered a defect and impacts your performance.

“Cancellation Rate is the percentage of orders you cancel after receiving orders on Walmart.”

Walmart requires you to keep the cancellation rate below 2%. An increase in cancellations signifies your poor performance and can also affect your Seller Scorecard. So keeping low Cancellations keep your score within limits.

Order Returns

Order Returns are also a defect if you have to return orders because of wrong product delivery or not delivering the products as shown in your Walmart listings.

“Refund rate is the percentage of orders refunded because of errors on Seller’s part.”

Walmart requires you to keep the Refund rate below 6%. A refund increase also signifies your poor performance and harms your Seller Scorecard. So keeping low refunds keeps you in good hands.

Types of Returns

Returns on Walmart are categorized into the following three types:

1. In-Store Returns

The In-Store return means the return process will occur at the Walmart store. The customer brings the product to the Walmart store, where Walmart completes the return process.

2. Online Returns/Return by Mail

Under online returns, customers perform the return process using their account, and after printing the return label, drop the package at the nearest UPS or FedEx point.

3. “Keep It” Option

You can also define “Keep It” rules to let customers keep the product with them when they initiate a product return. Set Keep It rules for products that fall below a threshold price range, and if a return occurs for such products, customers can keep products with them instead of initiating a return or refund.

Why do Cancellations and Returns occur?

Cancellations and Returns can occur because of various reasons. Some common reasons are the ones listed below:

  • Incomplete or Inaccurate product descriptions.
  • You cancel an order because of low inventory.
  • Customer changes their mind later.
  • Auto cancellation by Walmart.

How to keep Cancellations and Returns low on Walmart?

Though it’s impossible to avoid cancellations or returns completely, there are ways that can help you keep them low, as follows:

1. Follow quality standards

Abide by the standard procedures and practices to satisfy your customers. This helps you sell quality products and hence, avoid product returns.

2. Provide detailed product descriptions.

One common scenario for Cancellations or Returns is Inaccurate product descriptions. So customers cannot get complete product details about the products you are selling.

Make your product pages as detailed as possible. Ensure that they convey complete product information so customers can make informed decisions about your products. This will help them not to return the products later.

3. Use high-quality Images

Images display how your product looks. So always incorporate high-quality images for your products. It helps customers virtually understand the product.

Add images from different angles and display products with scale (if possible) so customers can know the actual product size.

Also, remember not to include any accessories you are not selling along with the product.

4. Have a flexible return policy.

Keep your return policy flexible in a way that favors you and is convenient to your customers.

Extend your return window so that customers don’t need to decide to return the purchased product quickly. This way, you are giving them time, and they don’t focus on taking the return action immediately.

5. Offer fast shipping

Customers often order something from you, and because you can’t deliver fast, they cancel the order and shop from where they can get quick delivery. Don’t let this scenario happen.

Fast shipping is the key to your eCommerce success. If you lack resources and can’t ship quickly, opt for Walmart Fulfillment Services (WFS). When you fulfill items through WFS, your products get Two Day delivery tag. So customers can get their orders in two days from Walmart.

6. Don’t oversell

Inventory mismanagement can sometimes lead to overselling. However, you can avoid this.

Get Walmart Integration, and keep yourself away from Overselling.

Walmart Integration has all the features you need to sell seamlessly on Walmart, including inventory management.

Set a threshold limit and get notified when your inventory goes below the set limit. This way, you can easily keep track of inventory and avoid overselling on Walmart. To know all about Walmart Integration, read How to Sell on marketplace with Walmart Integration?

7. Leverage Customer Reviews

Customer reviews or feedback assist potential customers in learning the opinions of customers who bought the same product from you. Plus, they can also get answers to the questions that they may have about your product.

Also, per a report, the chances of product return for a product with higher reviews are less. So leverage reviews and win your potential customers.

How do Walmart marketplace Returns and Cancellations affect you?

The following factors explain why it’s a must to reduce the return and cancellations on the Walmart marketplace:

A costly affair/Financial loss

Getting involved in processing returns is a costly affair. Getting the product from the customer and shipping it again involves monetary expenses.

Wastage of time

Reselling the canceled orders and processing the refunds is a time-consuming process. This leads to a waste of time that could be utilized for other productive tasks.

Affect your Walmart Seller Scorecard

Cancellations under 2% and refunds under 6% are acceptable at Walmart. When they exceed this allowed range, your Seller scorecard gets affected.

Lead to Negative reviews

The chances of shooting a negative review increase when a customer happens to return a product bought from you or you cancel the order because of low inventory. Negative feedbacks spoil your image, and your efforts are put to waste.

Some quick informational links:

Get CedCommerce’s help to sell better on Walmart.

Inventory mismanagement is the root cause of canceling the orders. If inventory management gets simplified, you can overcome the situation of order cancellation.

And proper product details (title, description, etc.) are a must to avoid returns/refunds that occur because of incomplete information.

Don’t let these things occur with little help from CedCommerce.

Try Walmart Integration, which helps you manage inventory smartly, perform listings with expert guidance, and reduce the probability of occurrences of these events.

To Sum Up

Order cancellations and returns are not entirely avoidable, but appropriate product listings and efficient inventory management can help you reduce cancellations and returns on Walmart. Work on the above-mentioned areas to reduce the chances of these mishappenings and sell like a pro on the Walmart marketplace.

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