As you want to refund shipping, Shopify empowers you to refund both an entire order and certain items in that order. Whether it’s due to an order cancellation, a customer return, or a shipping error, knowing how to refund shipping on Shopify ensures a smooth experience for both you and your customers.

In this article, we’ll walk you through the steps to refund shipping on Shopify, helping you maintain customer satisfaction and streamline your store’s operations.

Related Posts

• How to Change Shipping Time on Shopify?
• How to Automate Shopify Dropshipping?
• Shopify Shipping Rates | All You Need To Know

Why do we need a refund?

Refunding shipping ensures smooth transactions, builds confidence in your products, and improves your overall customer service experience:

Customer-related reasons:

• Damage or defective product: If the product arrives damaged or doesn’t function as expected, the customer is entitled to a refund.
• Inaccurate product description: If the product received differs significantly from the description on your website (e.g., wrong size, color, or material), a refund may be necessary. 
• Customer changed their mind: Many stores offer a refurn window where customers can return unsatisfied items, even if there’s nothing wrong with the product.
• Accidental order: Customers may accidentally order the wrong item or quantity.  
• Order not received: If the shipment is lost or significantly delayed, a refund might be the right solution.

Business-related reasons:

• Pricing error: If you accidentally list a product at the wrong price, you need to refund the difference
• Overselling: If you sell more inventory than you have available, you might need to refund some customers
• Customer service gesture: Offering a refund can be a way to reduce an unhappy customer and maintain a positive brand image
• Fraudulent transaction: If you suspect a transaction is fraudulent, you need to issue a refund to protect yourself from chargebacks. 

So, the benefits of offering refunds:

• Increased customer satisfaction: A fair and straightforward refund policy will build trust and loyalty
• Reduced chargebacks: Proactively offering refunds can prevent customers from disputing charges with their credit card company
• Improved brand reputation: A customer-friendly refund policy reflects positively on your business.

How to process a refund on Shopify?

Relying on your returning policy, you might have to cancel or refund an order. By getting orders refunded in a prompt and in a professional way, you are showing your meaningful commitment to your customers on your customer services and encourage them to order again in the upcoming time. Shopify users are able to refund an order or part of it. In many cases, you can cancel orders, then issue refunds.

There is a note for you. If you tend to process a refund, it will only be sent to original payment methods. In case a customer has no access to that payment method, they have to contact the agency or the bank for the original payment method to claim the fund after it is sent.

If you use Shopify Payments and issue a refund, the amount will be deducted from your next payout.

If you use Shopify payments and your payout does not have enough money to refund, then:

• For any store located in Germany, Denmark, Ireland, Hong Kong, Netherlands, Italy, Spain, Sweden, Singapore, the UK, and New Zealand, the rest of the refund will be deducted from your next payout till the refunded amount is covered.
• For any store located in Australia, Canada, or the United States, the balance will be debited from your bank account on the day you perform the payout.

A refund usually takes up to 5 business days to be transferred back to the customers. And if negative balance payouts fail, you had better try the payout in the next 3 business days.

How to refund the shipping amount to the customer

When your customers are going to refund orders they have the options to restock those items; however, in this case, they want to leave those sets to 0. Whenever it says Refund with Shopify Payments, you can type in the amount section how much you want to refund, which is known as the amount of shipping.

You can offer a partial refund for specific products in an order. Then, you are allowed to issue extra partial refunds if you have not reached the total refund that is known as the original amount of an order.

If you are refunding orders tor store credit by applying POS, you can refund the amount to original payment methods later.

Here are simple steps to help you refund part of an order:

Step 1: Head to Orders

Log in to your Shopify Admin and click on Orders in the sidebar.

Step 2: Choose the order

Next, you can choose the order you want to refund.

Step 3: Select Refund

Then, you can click on the Refund under the Order Details section.

Step 4: Type the quantities of items you want to refund

In the refund panel:

• Enter the quantity of items you’re refunding.
• Remember, any item with a quantity of 0 won’t be refunded.

The Refund amount will be updated and minus any shipping charges. You are able to edit this amount manually. And at the same time, you can insert a refund for shipping charges.

Step 5: Enter the shipping amount

This step is optional. You can enter the shipping amount you would like to refund in the Shipping section.

Step 6: Uncheck Restock items

If you ship the items but the customers have not returned them yet, then let’s uncheck Restock items. This checkbox will become visible only if you track the inventory for products included in this order.

Step 7: Type the reason for refunding

This step is also optional when you are requested to type the reason why you want to refund.

Step 8: Opt for Refund

The last thing to do is opting for Refund to generate a refund for the products you have selected.

For more information and further carefully instruction, you can refer to Useful and Handy Steps on How to Refund Part of an Order on Shopify.

Conclusion

We hope that our complete guide on how to refund shipping on Shopify will help you understand more about the process of Shopify refund and ways to refund orders on Shopify. If you find this article helpful, don’t forget to help us share this on your social media. We would love to hear more from you.

How To Refund Shipping On Shopify: FAQs

Can I get a refund on shipping?

Yes, you can refund shipping costs on Shopify. When processing a refund, Shopify allows you to include the shipping fee as part of the refund amount. Simply go to the order details, select the option to refund, and ensure the shipping amount is added before confirming the refund.

How do I remove shipping charges on Shopify?

To remove shipping charges on Shopify, you follow these steps:

• Step 1: Go to your Shipping and Delivery settings
• Step 2:  Choose Edit your shipping rates for specific zones or products
• Step 3: Set the rate to $0 or create free shipping rules for orders meeting specific conditions like price thresholds or location.

Can I refund my Shopify?

Yes, you can issue refunds for any order on Shopify. To do so: 

• Step 1: Go to your Orders page in Shopify Admin 
• Step 2: Open the order you wish to refund >> Click Refund and specify the amount you want to return, including product and shipping costs 
• Step 3: Confirm the refund, and Shopify will process it.

How do I send a return shipping label on Shopify?

To send a return shipping label: Use Shopify’s integrations with shipping label providers like USPS, UPS, or FedEx >> Generate a return shipping label from your shipping app or provider account >> Email the label directly to your customer or include it in their return instructions.

If using Shopify Shipping, labels can be created directly in the order details under “More Actions.”