Returns policies in the Shopify Collective app

Returns policies allow you to automate the returns process for Collective orders with your suppliers. You can also integrate your Collective returns process with compatible third-party returns apps.

Your returns policies and rules are displayed to suppliers on their connection details page after they connect with your store. If a supplier decides that your returns policy doesn't align with their own workflows or processes, then you can negotiate with them outside of Shopify Collective.

Default returns policies

When you join Shopify Collective as a retailer, a default returns policy is automatically created. You can edit the default policy and create custom policies. Returns policies contain different rules that you can adjust to meet your requirements.

The default returns policy behavior is that the Collective supplier is responsible for processing returns, and the policy contains the following default rules and settings:

Return processing: Supplier creates return label, 2-day processing time
Return window and fees: 30 days, no label fee, no restocking fee
Declined and canceled returns: Automatically cancel return
Supplier refunds: Automatically refund customer

Understanding rules in returns policies

You can change the settings for the different rules that are displayed in your Shopify Collective app settings when you edit a default policy or create a custom policy.

Return processing

You can choose what you want to do when a return is created in Shopify for a Collective item. Review the following options for how you process returns with Shopify Collective.

Explanation of the different settings available for retailers to set up their Return processing rule for returns policies in the Shopify Collective app
Options	Description
Collective requests that supplier creates return label	When a customer requests a return on a Collective order, the supplier of the product is automatically notified by email, and a return is created in the supplier's Shopify admin. They can upload a return label in the return, and then the return label is automatically emailed to the customer. You can also set a preferred processing time for the label to be supplied to the customer.
Your store provides return label Customer returns products to: Supplier Customer returns products to: Your address	Provide return labels to customers yourself, and decide whether: The customer returns the product directly to the supplier, who is then notified by email. A return is automatically created in the supplier's Shopify admin, and a return label and tracking number are synced to the supplier's Shopify admin if they're provided with the retailer's return. Consider using this option if you use a third-party returns app. Learn more about returns policies with a third-party returns app. The customer returns the product to you for restocking at one of your inventory locations. If you select this option in the Return processing rule, then returns won't sync to the supplier, and the subsequent rules for Return window and fees and Supplier refunds are removed in your returns policy because they don't apply.
Collective takes no action	Collective doesn't take any action with your returns processing workflow. You can handle returns yourself using legacy manual methods outside of Shopify Collective. If you select this option in the Return processing rule, then all remaining rules are removed from your returns policy and they don't apply to your store.

Return window and fees

Review the following options for how you want to handle return label fees and restocking fees. These fees are what you might agree to pay to your suppliers. They're separate from any return or restocking fees that you might charge your customers through self-serve returns or through a third-party returns app that you use, and these fees continue to apply to your customers.

Explanation of the different settings available for retailers to set up their Return window and fees rule for returns policies in the Shopify Collective app
Options	Description
Return window for Collective products	Set a preferred customer return window for Collective products. For example, you can set a 30-day return window.
Pay return label fee to supplier	If the supplier provides a return label, choose whether to pay a return label fee to the supplier, and then set the fee amount. This is handled through automatic payments.
Pay restocking fee to supplier	If the supplier restocks a product themselves, choose whether to pay a restocking fee to the supplier, and then set the fee as a percentage of the product price. This is handled through automatic payments.

Declined and canceled returns

Review the following options for what you want to do if a supplier declines or cancels a return request.

Explanation of the different settings available for retailers to set up their Declined and canceled returns rule for returns policies in the Shopify Collective app
Options	Description
Automatically cancel return	Your customer is automatically notified of the return decline or cancelation without your intervention. The order's Return status changes to Closed in your Shopify admin.
Manually review order	You get notified to review declined or canceled return requests. Choose this option when you want to decide whether you need to process a return yourself after it's declined or canceled by the supplier.

Supplier refunds

Review the following options for what you want to do after a supplier refunds you.

Explanation of the different settings available for retailers to set up their Supplier refunds rule for returns policies in the Shopify Collective app
Options	Description
Automatically refund customer	When a supplier sends a refund amount to you, a refund is also issued to your customer automatically through the Shopify Collective app.
Collective takes no action	When a supplier refunds an item in their Shopify admin, the customer is then refunded automatically through any refund trigger that you have in a third-party returns app, or you can issue a refund to your customer manually through your Shopify admin.

Returns policies with a third-party returns app

Shopify Collective returns policies are compatible with the following third-party returns apps:

If you use one of these apps for your returns, then you can edit your default returns policy, or create a custom returns policy, with the settings changed for the following rules:

Return processing: Your store provides return label > Customer returns products to Supplier
Supplier refunds: Collective takes no action

If you use a third-party returns app, then you need to make sure that your Return window and fees settings in Shopify Collective are the same as the relevant settings in the third-party app. For example, if you have a 30-day return window set in your third-party returns app, then set your Return window for Collective products to be 30 days as well.

You approve returns and create return labels within the third-party returns app that you use. When you approve a return in the app, a return is created for the supplier in their Shopify admin. When the supplier restocks and refunds the item in their Shopify admin, the return is automatically marked as closed in the third-party returns app, and any refund triggers that you have configured are then run within the app.

Handling partial returns

When a return contains more than one item, and the supplier refunds all the items, the return in your Shopify admin is automatically closed.

If the supplier doesn't refund all the items in a return that contains more than one item, then the return in your Shopify admin isn't automatically closed, and you need to manually refund the customer for the item or items that are accepted for return.

Legacy returns outside of Shopify Collective

If you don't want to handle returns automatically using returns policies in Shopify Collective, then you can use one of the following legacy manual methods:

Create returns yourself, buy and upload return labels, and accept returns at your own location.
Request returns from your supplier, who then buys and uploads return labels, and accepts returns at their own location.

If you decide to request returns from your supplier, then you need to do the following.

Step 1: Request a return from a supplier

From your Shopify admin, go to Orders.
Click the order where you want to request a return from your supplier.
In the Fulfilled section for the item that you want to request a return for, click …, and then click Request return to supplier.
Select the item quantity and a return reason.
Click Request return.

After you submit a return request, your supplier receives an email notification. If a supplier accepts your request, then they create a return for you in their Shopify admin and upload a return label to that return.

After your supplier uploads a return label, you receive an email notification with the return label. You need to download the return label, upload the label to your Shopify admin, and then create a return for your customer.

Step 2: Download and send a return label to your customer

From your mailbox, find the Shipping return label is ready email.
Click View shipping label, and then click Download to download the return label to your device.
From your Shopify admin, go to Orders.
Click the order that you want to submit a return for.
Click Return.
Select Upload return label, and then upload the return label.
Click Create return.

After you create a return, your customer receives an email notification with a return label.

When a supplier receives the returned items and marks the order as returned, then you get an email notification. You can then issue a refund to your customer.