View the Latest Edition of Consumer Returns Here
Consumer Returns Management 2014 (past event)
October 05 - 07, 2015
Westin Galleria Dallas, Dallas, TX
1-888-482-6012
Mark Ferguson
Professor and Wilbur S. Smith Distinguished Foundation Fellow
University of South Carolina
Check out the incredible speaker line-up to see who will be joining Mark.
Download The Latest AgendaDay 2
Wednesday, September 9th, 2015
16:40 Estimating The Value Of A Money-Back Guarantee Policy In The Online Retail Context
Dr. Mark Ferguson, Professor and Wilbur S. Smith Distinguished Foundation Fellow, Darla Moore School of Business, University of South Carolina
Money-Back-Guarantee (MBG) product returns policies are common in the consumer goods retail industry. But what is such a policy worth to the consumer? The University of South Carolina’s research suggests that the value of an MBG policy for online consumer electronics is 5.8 percent, although forward shipping charges tend to rapidly erode the value of such policies. Positive and negative seller reputations also impact the value of money back guarantees.
This session will address:
Money-Back-Guarantee (MBG) product returns policies are common in the consumer goods retail industry. But what is such a policy worth to the consumer? The University of South Carolina’s research suggests that the value of an MBG policy for online consumer electronics is 5.8 percent, although forward shipping charges tend to rapidly erode the value of such policies. Positive and negative seller reputations also impact the value of money back guarantees.
This session will address:
- Trade offs: The increased valuation of a product with a money back guarantee versus the cost of processing returns
- How customers value a return policy differently at an online store versus a traditional store
- Maximizing your per-unit profit by varying forward shipping charges