Direct Return to Merchant Policy

993 Published on August 3, 2022

1. Introduction

1.1.Direct Return to Merchant policy (the “Policy”) ensures that a seller maintains a high level of service standard when dealing with a buyer’s request to return a product.

2. Policy

2.1. The Policy applies to all return requests made directly to the seller under the Direct Return to Merchant process (“DRTM Return”).

2.2. A seller shall :

a. respond to all DRTM requests within the agreed timeframe;

b. not reject a DRTM Return without providing valid reasons; and

c. take all reasonable steps to resolve any dispute meaningfully.

d. The following Categories are not eligible for Returns and are Refund-Only

i. Groceries

ii. Live animals

e. The following Buyer Return Reasons are Refund-Only

i. Item not Received

2.3. A DRTM Return shall be deemed as a Seller Fault Dispute if a seller fails to comply with the any of the requirements set out in paragraph 2.2. Lazada reserves the right to the final decision on whether a DTRM Return is deemed as a Seller Fault Dispute. For avoidance of doubt, a seller will not be penalized if it is determined that the seller is not at fault for the failed return request or the return request is successfully processed and completed.

3. Enforcement

3.1. The following enforcement actions may be taken against a seller who is found to be in violation of the Policy:

a. issuance of up to [6] non-compliance points; and/or

b. return request will be automatically approved (“Auto Return Approval”) for up to [3] months.

Tier

Distinct number of buyers

Seller Fault Dispute Rate

Criteria

Punishment

Preliminary

1

At least 1

Warning

Written warning

Minor

>=5

>=30%

1st Offence

Auto return approval for up to 1 month

Moderate

>=5

>=30%

2nd Offence in a year from 1st punishment

Auto return approval for up to 2 months

Major

>=5

>=30%

3rd Offence in a year from 1st punishment

Auto return approval for up to 3 months

3.2. The enforcement action taken will be based on the severity of the violation. Lazada may take into consideration the following factors when determining the appropriate enforcement action:

a. volume or rate of Seller Fault Dispute; or

b. whether it is a repeated offense.

3.3. Sellers that are placed under 'Auto Return Approval' will go through the following steps as below:

3.4

Auto Approval UI in Seller Centre

Sellers under the Auto Return Approval will see a Penalty Notice pink banner in their Return Orders page on ASC detailing:

1. Informing seller that they are under the Seller Control Penalty

2. Date of Punishment

3. Punishment Duration

Sellers under Auto Return Approval will NOT be able to see the "Reject" button in the Return Orders page and will only have access to "Process Refund" or "Forward to Agent".

Forward to Agent

Forward to Agent allows Customer Care Dispute Team to assess if it is a fradulent buyer doing return abuse during the punish period. They may reject the buyer return at their discretion.

This is NOT a way to uplift the entire punishment. The punishment appeals process will still need to go through the Policy Compliance page.

Frequently Asked Questions

Question  
Answer
Where do I find in ASC which order is impacting my Seller-Fault Dispute rate?
This feature is in development but is not available yet. We will update our sellers again when this is implemented.
What is the calculation period and punishment frequency?
The calculation period is over 28 days (D-7 to D-35), where D refers to punishment date.
The punishments will be issued on the 1st and 3rd week (Monday) of every month.

If you have been penalized, you may refer to Account Health in Seller Centre to view the full list of compliance records with period and number of Seller-Fault Dispute cases
How is this dispute my fault?
Currently, if the Dispute team judges the dispute as "Return" or "Refund - charged to seller" - it is flagged as a Seller-Fault Dispute.
Can you remove or exempt this order from calculation?
Unfortunately, no. We are looking into improvements down the line to differentiate disputes that are "faultless" in nature
What kind of penalty or punishment will I receive?
You will only receive the Auto Return Approval punishment if you have 5=< Seller Fault Disputes(Distinct Buyers) and Seller Fault Dispute Rate 30%=< 
What happens when I receive a return request under punishment and I believe that it is invalid? 
You may select the "Forward to Agent" option for our Customer Care team to review. 

Note that this is not a guarantee that Lazada will judge in your favour and their decision is final.
How do I appeal this punishment?
You may appeal this punishment through the Account Health - Non Compliance Records page in Seller Centre and click on the blue Appeal button with valid reasoning should you wish for us to reassess the penalty issued.

Lazada will review the validity of the appeal and update the outcome through the Account Health page.

4. Policy Compliance

4.1. To ensure compliance with the Policy, you may wish to track your return requests closely via the Daily Task List in the homepage of Seller Center or via Return Orders found under Orders tab to view your DRTM Return in detail, including your order details and status of your DRTM Return, among others.

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