How to Set Up Your Return Policy and Protect Your Intellectual Property
A successful Amazon business is built on trust and brand integrity. Two pillars that support this foundation are often overlooked until a problem arises: a clear, fair return policy and robust intellectual property (IP) protection.
A smart return policy can reduce friction and build customer loyalty, while strong IP defense is essential for safeguarding your brand’s reputation and profits from counterfeiters and hijackers.
This guide will walk you through setting up your return policy and implementing key strategies to protect your hard-earned intellectual property.
Table of contents
Part 1: Setting Up Your Amazon Return Policy
Your return policy is a key factor in the buyer’s decision-making process. A clear and fair policy can increase conversion rates and customer satisfaction.
A. Understanding Amazon’s Base Return Policy
For items fulfilled by Amazon (FBA), Amazon handles returns and sets the policy: typically a 30-day return window for most categories. As an FBA seller, you don’t “set” this policy but you must understand it.
For Merchant Fulfilled Network (MFN) sellers, you have more control. However, you must meet Amazon’s minimum requirements: you must offer a return policy that is at least as generous as Amazon’s own policy.
B. How to Configure Your MFN Return Settings
Navigate to Return Settings: In Seller Central, go to Settings > Return Settings.
Set Return Address: Add the address where customers will send returns.
Define Return Rules: This is where you customize your policy within Amazon’s framework.
Return Period: You can choose a window longer than 30 days (e.g., 60, 90 days) to be more competitive, but you cannot offer less.
Return Methods: Decide who pays for return shipping. You can choose:
Seller-paid: Amazon provides a prepaid return label, and the cost is deducted from your account. This is customer-friendly.
Customer-paid: The buyer pays for return shipping. This can deter frivolous returns but may also deter legitimate ones and hurt your conversion rate.
Restocking Fee: You can charge a restocking fee (usually 20%) for opened items in certain categories, but only if the item is not in its original condition. This must be clearly stated.
C. Best Practices for a Winning Return Policy
Be Generous: A customer-friendly return policy reduces hesitation and can win the Buy Box. Consider absorbing return shipping costs as a cost of doing business.
Communicate Clearly: Use your Seller Profile page to explain your policy in simple language. Transparency builds trust.
Process Returns Quickly: Quickly authorizing and refunding returns leads to better customer feedback and fewer A-to-z Guarantee claims.
Part 2: Protecting Your Intellectual Property on Amazon
IP protection is not automatic. You must be proactive to defend your products, listings, and brand from bad actors.
A. The Three Types of Intellectual Property
Trademark: Protects your brand name, logo, and slogan. This is your first line of defense against hijackers selling counterfeits on your listings.
Copyright: Protects original creative works, such as product photography, video, and written text (your listing content).
Patent: Protects inventions and functional designs of products (utility patent) or their ornamental design (design patent).
B. Your #1 Weapon: Amazon Brand Registry
This is the most critical step for any serious brand. Brand Registry provides you with powerful tools to find and report IP violations.
Benefits include:
Proactive Protection: Automated protections that can block bad actors from hijacking your listings or using your trademarked terms in their listings.
Report Violations: Access to Report a Violation (RAV) tool to search for and report trademark and copyright infringements.
Gate Your Brand: Make your brand a “gated” category, meaning other sellers must apply with invoices to sell your products.
To enroll, you need:
An active registered trademark for your brand (text or image).
The ability to verify yourself as the brand owner.
C. How to Report an Intellectual Property Violation
If you find a seller infringing on your IP (e.g., using your images, selling counterfeits, using your brand name in their title):
Gather Evidence: Take screenshots of the violation, your trademark registration certificate, and proof that you are the rights owner.
Use the Report a Violation (RAV) Tool: In Seller Central, use the Brand Registry dashboard’s “Report a Violation” tool. You must accurately identify the type of IP infringement (trademark, copyright) and the specific ASINs or listings in violation.
Be Accurate: False or malicious reports can lead to the suspension of your own reporting privileges or selling account.
D. Additional Protection Strategies
Transparency Program: For a fee, Amazon provides unique codes you place on your products. This allows Amazon to authenticate every unit, preventing counterfeits from ever entering their fulfillment centers.
Project Zero: An invite-only program for established brands in Brand Registry that combines automated protections with a self-service tool to take down counterfeit listings instantly.
Utility Patent Neutral Evaluation Program: A low-cost, fast process to have a neutral lawyer evaluate patent disputes between sellers.
Conclusion: Build Trust and Secure Your Assets
Managing returns and protecting your IP are two non-negotiable responsibilities for Amazon sellers. A well-configured return policy builds customer trust and minimizes conflicts, while a proactive IP protection strategy safeguards your brand’s value and revenue.
By enrolling in Brand Registry, configuring your return settings, and vigilantly monitoring your listings, you create a secure foundation for sustainable, long-term growth on Amazon.
Need help navigating Brand Registry or dealing with persistent hijackers? Infobeam Solution’s experts can guide you through the process and help protect your most valuable business assets. Call us: +91 96545 53640 or email sales@infobeamsolution.com.