For years, REI’s generous return policy has earned it the nickname “Rental Equipment Inc.”
An Internet search of REI’s “100% Satisfaction Guarantee” turns up all kinds of stories about overused merchandise returned for a full refund or store credit.
There’s the mom who returned a stroller for no other reason than her children simply had outgrown it. Or the dad who took back an old bike rack because it clashed with his new car.
Starting Tuesday, REI will try to discourage customers from “renting” equipment for as long as they like by ending its policy of no time limits on returns. Customers will be allowed to take back store items for one year after purchase. The deadline for returning outlet merchandise bought on REI.com will be 30 days.
Kent-based REI, which actually stands for Recreational Equipment Inc., made the change after noticing a sharp uptick in returns of merchandise more than a year old, said Senior Vice President of Retail Tim Spangler.
“We’ve always taken back products more than a year old, but to see that growing disproportionately caused us to ask some questions,” Spangler said in an interview last week at REI’s Tacoma store.
“What we found is that small group of folks who are probably extending the policy beyond its intent, is getting bigger. And It’s not a sustainable thing long-term if we want to maintain this fantastic policy,” he said. “It’s something we have to put some clarification around.”
REI’s sales rose less than expected last year to $1.9 billion, a 7 percent increase, while its profit dropped 4 percent to $29 million. The outdoor-gear chain laid off an undisclosed, “limited” number of employees in March, citing changing business needs.
To reduce dubious returns, REI also has stopped accepting returns without question and is more insistent that there be proof of purchase. Some REI stores had been known to give store credit, if not money-back refunds, to customers without a receipt, leading to the retailer’s other nickname, “Return Everything Inc.”
Climber Leif Karlstrom, in an article published online last fall by Outside magazine, recalled taking advantage of REI’s return policy as a broke college student.
“A climbing buddy came back from China with a bunch of knockoff REI gear. We returned it fraudulently to the store in Eugene, Ore., which gave us cash,” Karlstrom said. “REI didn’t even make some of the gear returned, but the store took it because the logo was on it. After that we couldn’t stop.”
An Internet search of REI’s “100% Satisfaction Guarantee” turns up all kinds of stories about overused merchandise returned for a full refund or store credit.There’s the mom who returned a stroller for no other reason than her children simply had outgrown it. Or the dad who took back an old bike rack because it clashed with his new car.
Starting Tuesday, REI will try to discourage customers from “renting” equipment for as long as they like by ending its policy of no time limits on returns. Customers will be allowed to take back store items for one year after purchase. The deadline for returning outlet merchandise bought on REI.com will be 30 days.
Kent-based REI, which actually stands for Recreational Equipment Inc., made the change after noticing a sharp uptick in returns of merchandise more than a year old, said Senior Vice President of Retail Tim Spangler.
“We’ve always taken back products more than a year old, but to see that growing disproportionately caused us to ask some questions,” Spangler said in an interview last week at REI’s Tacoma store.
“What we found is that small group of folks who are probably extending the policy beyond its intent, is getting bigger. And It’s not a sustainable thing long-term if we want to maintain this fantastic policy,” he said. “It’s something we have to put some clarification around.”
REI’s sales rose less than expected last year to $1.9 billion, a 7 percent increase, while its profit dropped 4 percent to $29 million. The outdoor-gear chain laid off an undisclosed, “limited” number of employees in March, citing changing business needs.
To reduce dubious returns, REI also has stopped accepting returns without question and is more insistent that there be proof of purchase. Some REI stores had been known to give store credit, if not money-back refunds, to customers without a receipt, leading to the retailer’s other nickname, “Return Everything Inc.”
Climber Leif Karlstrom, in an article published online last fall by Outside magazine, recalled taking advantage of REI’s return policy as a broke college student.
“A climbing buddy came back from China with a bunch of knockoff REI gear. We returned it fraudulently to the store in Eugene, Ore., which gave us cash,” Karlstrom said. “REI didn’t even make some of the gear returned, but the store took it because the logo was on it. After that we couldn’t stop.”
by Amy Martinez, Seattle Times | Read more:
Image: Steve Ringman
