Returns

Setting Up Workflows for Returns & Exchanges

Step-by-step guidance from LABL Help Center.

Prerequisites: LABL Guarantee must be enabled and a store connected before configuring return workflows. See Install LABL Guarantee to get started.

LABL's Returns & Exchanges workflows let you define exactly how returns are processed — from which return reasons customers can select, to whether refunds happen automatically or require manual approval.

Step 1: Access Workflow Configuration

Navigate to Workflows
Go to Settings → Workflows in your LABL dashboard. All return and exchange rules are configured here.

Step 2: Define Return Policies

Return Window

Set the maximum number of days after delivery that customers can initiate a return. This should match your store's published return policy.

Return Reasons

Enable or disable the reasons customers can select when filing a return.

ReasonDescriptionRecommended
Received Wrong ItemCustomer received a different product than orderedAlways on
Received Damaged ItemProduct arrived broken or defectiveAlways on
Item Not as ExpectedProduct doesn't match description or photosAlways on
Found a Better PriceCustomer found the item cheaper elsewhereOptional
Changed MindCustomer no longer wants the itemOptional

Step 3: Configure Resolution Options

Choose which resolution types are available to customers:

  • Exchange — Customer receives a replacement product
  • Store Credit — Customer receives credit toward a future purchase
  • Refund — Customer receives money back to their original payment method
Recommended workflow: Enable Exchange and Store Credit as primary options to retain revenue. You can still offer refunds as a fallback — consider making it a secondary option in the portal so customers see exchange first.

Step 4: Set Exchange & Refund Preferences

  • Exchange Refund Type: When an exchange has a price difference, choose whether to refund to the original payment method or issue store credit.
  • Out-of-Stock Handling: Decide what happens when the requested exchange item is unavailable — automatic refund, store credit, or hold and notify.

Step 5: Automate Processing Triggers

TriggerWhen It FiresBest For
ManualStaff approves each returnHigh-value items, custom products
On Request SubmissionImmediately when customer submitsLow-value items, trust-based policies
On Item ReceiptWhen warehouse confirms item receivedStandard merchandise
On Item ReviewAfter quality inspectionElectronics, fragile items

Step 6: Financial Settings

  • Return Cost Fallback: If a return isn't covered by LABL Guarantee, decide who pays for return shipping — your business or the customer.
  • Price Adjustment Settings: Set rules for exchange orders — apply restocking fees, offer exchange bonuses, or keep prices as-is.
Watch out: Changes to workflow settings only affect new return requests. Existing in-progress returns continue under the rules that were active when they were initiated.
Expand your coverage: Merchants using LABL Guarantee alongside Returns & Exchanges can auto-approve returns on protected orders, significantly reducing manual review time. Set up LABL Guarantee to enable this.
Next Steps

Returns that retain revenue

LABL Returns & Exchanges is free for all merchants. Turn returns into exchanges and drive repeat purchases.

Enable Returns Free Talk to Sales