Author
Tessa Stoppelenburg
Date
August 6, 2025
Category
Informative
Exchanges are often positioned as the ultimate solution within the returns process to maintain your sales. It sounds attractive: a customer orders the wrong size or color, the system automatically arranges a replacement product and you don't have to refund the money. It works on paper, but in practice this approach often results in more headaches than benefits.
Especially fast-growing webshops that use platforms such as Shopify or WooCommerce and are linked to a WMS or ERP system, find that the return process can become complex with multiple return streams. Manual processing takes too much time and you soon run into the limitations of automated processes.
That's why more and more brands are switching to a smarter approach: returns with coupons. A flexible solution that is both margin-efficient and improves the customer experience.
Coupons are vouchers with credit worth the returned product. Which the consumer can use to order the right size or color, or even a completely different item. This form of refund is a good alternative to the traditional exchange, because it does not require complex administrative operations that make your warehouse management a mess. In addition, with coupons you preserve your sales and make the return process even more attractive to your customers.
What are the benefits of coupons?
Coupons offer many advantages over traditional exchanges and are an attractive alternative for both your customers and your e-commerce business. Moreover, they are easy to implement: platforms such as Shopify can automatically process coupons as a payment method, making the technical setup a breeze. Below you will find a list of the benefits of returns via store credit.
Better inventory management and fewer logistical errors
Exchanging an item for a completely different product can become quite a mess within the returns process - especially when it comes to updating your inventory. However, if you let your customers choose for a coupon, the returned goods will be added back to your inventory just as a regular return. The exchanged item - for example, the same product in a different size or color - is ordered separately. This way, the return and the new order are processed separately, and no products will ever be sent automatically without a return having already been registered or received. Coupons ensure clear administration, fewer manual corrections and prevent inventory problems and return fraud.
Better customer experience through flexible exchanges
Online customers are used to the best service nowadays. The faster and more flexible they can return and exchange products, the more satisfied they are and the more likely they are to buy from you again in the future. With a return via a coupon, you give customers the flexibility to exchange their order for an item they really want. In doing so, they are not tied to just a different size or color, but can use their store credit to order any item any day, any time.
In addition to the flexibility in exchanging, customers with a coupon are also helped faster. They don't have to wait for the return to arrive at your warehouse and be processed, but can use their unique code to order another product immediately - or instead save the code for a later time.
Retain more sales and opportunities for up-sells
Besides the administrative hassle of exchanges, you often pay twice for shipping costs and have no option for up-sells or cross-sells. With a return via coupons, depending on the situation, you can choose whether you want the customer to pay for the return or still offer free shipping to encourage this return option.
You easily earn back the free return because the customer uses the coupon to make a new purchase at your (web) store. Research shows that consumers spend on average 20% more than the purchase value of their return on a new purchase. Use this moment for upsell opportunities, for example by recommending similar products.
How do you encourage customers to choose for coupons?
Deploying coupons is an effective way to still maintain sales in the event of returns. Therefore, it pays off to offer customers additional benefits that make this option even more attractive.
Returnless offers a simple solution for this: add a question in the return form to find out which solution the customer wants. This allows customers to choose directly from the solutions you offer, such as a refund, coupon, repair, etc. You can even add a preferred option and a custom suffix text to highlight the different options and add certain benefits with specific return options - for example: €5 extra credit or free shipping when returning via coupons.
How do you use coupons in your returns process?
Once a customer chooses a coupon during the returns process, Returnless automatically generates the coupon code. You can choose how long a coupon is valid and when it is released, such as when a customer returns the package to a parcel point. On your returns dashboard, you can see which option the customer has chosen and there you can change it if necessary.
Tip: automate the benefits
Want to go one step further? Then you can fully automate the benefits associated with certain solutions. For example, consider €5 extra credit when a customer opts for a coupon upon return. Returnless automatically adds this to the shop credit the customer receives.
All these options can be found in the settings of your return form. Don't have a Returnless account yet? Create a free trial account to discover our powerful features for yourself or book a demo with one of our experts.
Case study: why brands like Superstruct Merchandise work with coupons
The merchandise department of the event organization Superstruct - known for major festivals such as Defqon.1 and Mysteryland - saw that 40% of their customers opted for a credit instead of a refund. Once customers register returns, they easily select a reason and the desired solution: cash back or a voucher.
Previously, Superstruct exchanged items free of charge, including free shipping. This resulted in high costs as well as a cumbersome process. With Returnless' return process, the return label is generated automatically. As soon as the package is received in the warehouse and the contents are checked and approved, the refund is initiated or the coupon with shop credit is sent. The counter now stands at more than 500 issued coupons. This means that more than 40% of all Superstruct customers choose a coupon with shop credit instead of a refund when they return a product.
Want to know more about how Superstruct Merchandise uses coupons? Read the success story of Superstruct Merchandise.
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