Information and its impact on consumers׳ reactions to restrictive return policies

• Published in: Journal of retailing and consumer services Vol. 21; no. 4; pp. 415 - 423
• Main Authors: Bahn, Kenneth D., Boyd, Eric
• Format: Journal Article
• Language: English
• Published: Elsevier Ltd 01.07.2014
• Subjects: Attitudes; Information processing; Product assortment; Return policy; Attitudes; Return policy; Product assortment; Information processing
• ISSN: 0969-6989; 1873-1384
• DOI: 10.1016/j.jretconser.2014.03.002

Designing an effective return policy is a difficult task for retailers. A very restrictive return policy can keep logistic costs down and prevent fraudulent returns but it can also have a negative effect on consumer behavior. Two experiments explore the role of assortment-related information in moderating consumers׳ negative reactions to more restrictive product return policies. The results demonstrate that consumers will view an assortment characterized by a more restrictive return policy as attractive to the extent that the assortment supports the information processing strategy triggered by the return policy. •We evaluate the impact of return policy restrictiveness on a product assortment׳s attractiveness.•Consumer׳s information strategy when judging assortment attractiveness varies with return policy restrictiveness.•Assortment-related information reduces the negative effect of return policy restrictiveness on assortment attractiveness.