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Hack 70 Damage Control Before and After You Ship

How to handle problems discovered by either you
or the customer.

"A diplomat is a person who can tell you
to go to hell in such a way that you actually look forward to the
trip."

Caskie Stinnett, 1960

So you're packing up an
item to ship to a customer, and you suddenly discover a scratch,
scrape, hole, discoloration, or missing part that you
hadn't noticed and hadn't mentioned
in the auction description. Sure, you can pack it up, ship it, and
hope the bidder never notices. But he will, and you know it.

The best approach involves a quick preemptive email to the bidder,
like one of the following:

"I just noticed a nick on the back of the item while
I was packing it. Let me know if you no longer want it, and
I'll refund your money. Otherwise,
I'll ship right away." Give your
customer a way out. In most cases, if the problem is minor, the
customer will still want the item. Not only will this note make you
appear honest, but your customer will have a more realistic
expectation about the condition of the item, and less of a reason to
return it when it finally arrives.

"While packing up your item, I discovered a flaw I
hadn't noticed when writing up the auction
description. I've attached a photo. If you still
want it, I'd be happy to send it to you along with a
partial refund. Or, if you're no longer interested,
I'll refund your payment in full."
The photo gives the customer additional information with which he can
make an informed decision, and, again, helps set a more reasonable
expectation. And the partial refund is an excellent compromise that
will both sweeten the deal for the customer and save you the trouble
and expense of having to relist the item.

"I was called out of town for a few days, and I had
to leave before I got a chance to ship your package. I shipped your
package this morning and upgraded it to second-day air for no extra
charge. I'm sorry for the delay; please let me know
when the package arrives." Damage control
isn't just for physical damage;
it's for dealing with snags in any part of the
transaction. Not only should you contact customers before they
receive a late package, you should make some concession to help
compensate for the delay. For instance, a free shipping upgrade will
cost you very little, but will go a long way toward making your
customer happy with the product when it finally does arrive.

"I was getting ready to pack your item, but I
couldn't find some of the parts that were listed in
the auction description. I apologize for the inconvenience, and have
refunded your payment." This is
the best approach if you're reasonably certain the
customer will no longer want the item, as it doesn't
even suggest the possibility. Assuming you're
sufficiently apologetic and your tone is sincere, the customer will
be understanding, and will quickly release you of your obligation
without further inquiry or negative feedback.

The goal in each case is not only to set a reasonable expectation
with the customer, as described in [Hack #39], but to save you money, time, and
aggravation. The last thing you want is to go to the trouble and
expense of shipping an item, only to have the customer complain and
ultimately return it to you. Not only would you have to refund the
shipping fees (assuming that you're at fault), but
you'd be stuck with negative feedback and an item
you then have to resell.

If you instead refund the customer's money
before shipping, you'll still
be stuck with the item, but you won't get negative
feedback, you won't lose money in shipping costs,
and you won't have to go through the hassle of
dealing with an unsatisfied customer.

And don't forget the partial refund, either. By
refunding some of your customer's money, either by a
small token amount or perhaps by shipping for free,
you'll still be able to complete the sale and the
buyer will be happy to get his product for a little less.

If you end up refunding some or all of the
customer's payment, make sure to apply for a credit
for the appropriate final-value fees, as described in [Hack #71].

6.7.1 After the Fact

If the customer has already received the package, any hopes of
setting a reasonable expectation will be dashed. But you can still
try to ensure that your customer will be happy with his or her
purchase.

The typical scenario involves a customer who isn't
happy with an item for whatever reason. Some customers will be more
understanding and reasonable than others, but it's
up to you to set the tone for the rest of the transaction and deal
with the problem appropriately.

When you receive a
complaint,
take the following steps:

Check out the customer's feedback rating and look
for signs that he has harassed other sellers. A customer with glowing
feedback can be much more readily trusted than one whom other sellers
have found to be unreasonable or uncooperative.

See if the customer has left feedback for you yet. If not,
you'll still have a chance at coming out of this
unscathed. Otherwise, you might understandably be less willing to
compromise, given that there's seemingly nothing in
it for you. But don't forget that feedback can be
retracted, as described in [Hack #6],
so there's still a chance that you could make things
right for both you and the bidder.

Double-check your auction description for a mention of the problem.
If the customer's complaint is addressed in your
description, then all you need to do iskindlyinform the
bidder that the problem was explained in the auction. A seller should
never be held responsible for a complaint based solely on the buyer
not having read the auction description.

Examine your photos of the item to see if you can corroborate (or
refute) the seller's story. It will be up to your
judgment as to how clearly the problem was illustrated by your
photos, and how you wish to proceed.

Offer a partial refund commensurate with the severity of the problem.
If the customer is happy to accept, you won't have
to take the item back and refund all the customer's
money.

So how do you calculate the amount of a partial refund? One way is to
take the difference between the amount the customer paid and the
estimated amount the customer would've paid had he
or she known about the specific problem. Barring that, a token refund
of the shipping cost, for example, may be all it takes to make the
bidder happy.

If the customer rejects the partial refund, then
it's up to you whether or not to give the customer a
full refund and whether or not you include the cost of shipping.
It's generally accepted that the seller refunds
shipping charges if the seller is at fault; otherwise, the customer
is entitled to nothing more than a refund of the final bid price.

Watch out for fraud when handing out refunds. Some people will buy an item to replace a defective one they already have, only to return the defective unit to the unsuspecting seller and effectively get the item fixed for free. Make sure to inspect both the item and the customer's feedback profile for signs of fraud.

Note that you should never ask the bidder to cover
eBay's fees if they return an item, mostly because
you can apply for a credit for any final-value fees, as described in
[Hack #71].