On the occasion that an item is returned to CJ's Home Decor and Fireplaces, LLC (d.b.a. Fireplace Doors Online and Fast Replacement Glass) and a refund is approved, only a portion of the purchase price is reimbursed to the customer. The amount that is kept by our company is called a "restocking fee", and it accounts for 25% to 50% of the amount that was paid for the product.
A restocking fee is a legitimate activity that occurs when items are returned to the company by a customer based on their own will, and not due to defects or damage. What many people are not aware of is that there are many expenses associated with processing an order.
Cardboard, packaging "peanuts", bubble wrap, and other supplies are used to ensure the safe transport of your product. The packaging materials we use are brand new, and are designed to be used only twice: the initial use and in the instance of a return shipment. These materials are not cheap, and involve a cost at our company's expense.
In addition to the packaging materials needed to safely ship your item, we have trained employees on hand to inspect, prepare, package, and ship our products. These tasks are by no means insignificant, and require a very thorough survey in order to make sure that:
- the entire order has been fulfilled and is in excellent condition
- the proper supplies are utilized to ensure safe packaging
- the product is being shipped to the correct location
- the product is being transported by the appropriate carrier (UPS, FedEx, freight, etc.).
Although we offer free shipping to our customers, shipping is never really free. We still have a responsibility to finance this expense. If a customer buys something and keeps it, the shipping costs come out of our profit margin.
Now look at it this way: if a customer buys something and returns it, there is no profit margin to deduct the shipping costs from, and we would incur additional costs to handle the return. However, in the event of a return, we invoke a restocking fee which makes the customer responsible to pay the shipping charges in all directions. Is this legitimate? 100%. Is this fair? We absolutely agree that it is, especially when the customer simply just doesn't want to keep the product.
Undamaged/Defect-Free Returned Products
Undamaged, defect-free products that are sent back to us can no longer be considered "new", and will have to be offered as "used items" at a lesser price in order for us to sell them honestly. This cuts our profit margin significantly. In order to make up for this loss, we would have to raise our prices on all other items. However, a restocking fee eliminates the need for us to take this course of action.
A nominal restocking fee of 15-20% helps us keep our costs and overall pricing down, as well as offer you continued superior customer service.