Article ID Journal Published Year Pages File Type
1029025 Journal of Retailing and Consumer Services 2014 9 Pages PDF
Abstract

•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.

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.

Related Topics
Social Sciences and Humanities Business, Management and Accounting Marketing
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