Yes, your online store needs a returns policy. In Australia it is not optional in any practical sense. Under Australian Consumer Law, customers have automatic rights to a remedy when a product is faulty, not as described, or does not do what it should. A clear returns policy tells customers how you handle those situations, sets honest expectations for change of mind returns, and saves you from awkward disputes later. It also quietly does something else: it builds the trust that turns a hesitant browser into a buyer.
What Australian Consumer Law requires
Consumer guarantees apply to almost everything you sell online to Australian customers, whether your policy mentions them or not. If a product has a major problem, the customer can choose a refund or replacement. If the problem is minor, you can offer a repair or replacement instead. You cannot display signs or wording like “no refunds” because that misrepresents rights the law gives customers automatically.
Your policy should acknowledge these guarantees plainly. A simple line such as “Our returns policy is in addition to your rights under Australian Consumer Law” keeps you on the right side of the rules and reassures careful shoppers.
What about change of mind returns?
The law does not require you to accept change of mind returns. Whether you offer them is a business decision, and it is worth thinking about rather than defaulting to no. Generous change of mind policies remove a big reason people hesitate at checkout, especially for clothing, gifts and anything where fit or colour matters. Many stores find the extra sales outweigh the cost of the occasional return.
If you do offer them, be specific: how many days, what condition the item must be in, who pays return postage, and whether the customer gets a refund, exchange or store credit.
What to include in your policy
A good returns policy answers every question a customer might have before they need to ask. Cover these points:
- How long customers have to start a return, counted from delivery rather than order date
- What condition items must be in, such as unworn with tags attached
- Any items you cannot accept back, like personalised products or perishables
- Who pays for return shipping, for both faulty items and change of mind
- How refunds are paid and how long they take to land
- Exactly how to start a return, whether that is an email, a form or a portal
Write it in plain English. A policy full of legal jargon reads like it was designed to be quoted against customers, which is exactly the impression you want to avoid.
Where to put it on your site
Link your returns policy in the footer so it is one click away from every page. Then repeat the essentials where buying decisions happen: a short line on product pages such as “30 day returns” and a mention at checkout. Shoppers who cannot find your returns information often assume the worst and leave. If you run a WooCommerce store, your policy can also be woven into the checkout flow itself, which is the kind of detail we handle in our WooCommerce development work.
Make the process easy to follow through on
A policy is only as good as the experience behind it. Make sure someone actually answers returns emails promptly, refunds go out when promised, and your stock records are updated when items come back. If you want a quick health check of how your store handles trust signals like returns information, shipping clarity and checkout friction, the automated review at Store Auditor is a useful place to start, and our services cover the fixes end to end.
Need a hand with your store?
A clear returns policy is one of the cheapest conversion improvements available to an online store, and one of the most overlooked. If you would like help getting yours sorted, or your store needs broader work, call us on 02 9834 4119 or get in touch and we will point you in the right direction.
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