The Principle Cost

A few years ago, I worked for a company that sold products online, by phone, and via mail order. A relevant detail about the type of products the company sold is the majority were bulky and quite heavy, e.g., in packaging of over one metre on each side weighing up to 25 kg.

Under consumer rights legislation, we were only required to provide free returns for customers where the item was faulty, not if they changed their minds. However, to make it easier for our customers, we could book our courier to collect the item from the customer to return to our warehouse for the cost price of £8; as a business customer, we had negotiated a massive discount on their services. The convenience of not having to take the item anywhere and just having to be there for the arranged date and rough time meant most customers were happy with this option.

Customer: “I need to return this item.”

Me: “Of course, I will get that return logged for you. What is the reason for return?”

Customer: “I changed my mind and decided I don’t need this anymore.”

Me: “Okay, no problem. You have two options. You can either arrange to return the item to our warehouse yourself and we will provide a full refund, or I can arrange for our courier to pick the item up from your address and the £8 cost of this will be deducted from your refund.”

Customer: “What?! Why do I have to pay for this?”

Me: “Well, sir, under Consumer Contracts Regulations we are not obligated to pay the return cost of items where the customer has changed their mind.”

Customer: “This is absolutely outrageous; you are trying to scam me! Why the h*** would it cost £8?! You are making money out of people charging this!”

Me: “I assure you sure we do not make any money from this charge; it is the cost price we are charged by our courier. We are not required to offer a return service, but we do so for the convenience of our customers.”

Customer: “You are lying to me and are utter scum, making money from people changing their minds!”

Me: “I assure you, sir, the £8 cost is a very good price considering the size and weight of this item. I would be extremely surprised if you could arrange an alternative courier to deliver the item to us for a lower price.”

Customer: “You’re lying. I will sort out sending this back myself!” *Hangs up*

A couple of weeks pass and the warehouse manager rings me.

Warehouse Manager: “I’m logging returns and we’ve had a return from [Customer], but I’m confused why it wasn’t arranged for our courier to pick it up.”

Me: “The customer was outraged by the £8 charge and decided to arrange its return himself. Why?”

Warehouse Manager: “He paid £33 for it to be delivered to us — something he only paid £55 for!”

So, not only was the customer too embarrassed or proud to call back to get us to arrange the return via our courier and save himself £25, but he probably had to transport the item to several different couriers’ offices, as when I did a couple of quotes online, the prices were coming up as even more than what he paid!