Merchant Two Tier High Refund Rate Policy

A store’s Refund Rate is an important indicator of the quality of goods and services that merchants provide customers. Refund Rate is defined as the percentage of total transactions that were refunded during a period of time. Merchants that have a low Refund rate sell quality products and provide fast shipping.

An acceptable Refund Rate is 5% or lower. Merchants should monitor the store’s Refund Rate and take steps to maintain an acceptable percentage.

To view your store’s refund Rate: click on Performance > Customer Service Performance or click here.

Learn how to improve the store’s Refund Rate. 

Two Tier Policy

Merchants with a high Refund Rate are responsible for the entire cost of the refunds. Merchants are evaluated periodically and if the merchant's Refund Rate is shown to have improved, he will then be responsible for refunds as per the Wish refund policies.

Merchants with an extremely high Refund Rate are at a risk of suspension.

Examples

  1. Merchant A has a Refund Rate of 5%. He is not at risk of suspension and is responsible for the cost of refunds as per regular standards.
  2. Merchant B has an extremely high Refund Rate of 30%. He is at a risk of suspension.
  3. Merchant C has a high Refund Rate of 8%. Merchant C is not at risk of suspension but he will be responsible for the cost of refunds for all orders.
  4. Merchant C’s Refund Rate improves to 5% during the next evaluation. Merchant C is now responsible for the cost of refunds as per regular standards.
  5. Merchant D has a high Refund Rate of 9%. He is not at risk of suspension but is responsible for all cost of refunds. During the next evaluation, Merchant D's Refund Rate increased to 25%. He now has an extremely high Refund Rate and is at a risk of suspension.

 

 

 

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