Target Corp. has unveiled a new extended return policy in which the company is now offering an entire year of coverage for the purchases of private and exclusive-label brands which include Merona shirts, Room Essentials towels and more.
The company’s return policy previously spanned 90 days.
Market Watch reports that the move is intended to show the company’s confidence in the brands — brands which account for roughly one-third of Target’s $72 billion in annual sales — after the retailer reduced quality in order to lower prices during the recession in an attempt to appeal to frugal shoppers.
Julie Guggemos, the company’s senior vice president of product development and design, was quoted in the aforementioned Market Watch report as having said that their “quality did suffer” while they were “focused on offering low prices” to their customers.
We were really focused on offering low prices to our guests […] Our quality did suffer
The announcement, which was made Wednesday, is significantly longer than those of competitors such as Walmart who offers a 90 day return window for most items bought in stores.
In the case of items shipped from Amazon, the return window is 30 days and with Best Buy, customers have a mere 15 days to return most items for a full refund or exchange.
The new policy covers all of Target’s 32 owned and exclusive brands. It also applies to the retailer’s baby, college or wedding gift registry, however, the Associated Press reported via WTSP that those items must be returned unopened.
Fourth-quarter sales for the company rose 3.8%, which marks the fastest rate in over two years.
A spokesman for the retail giant declined to comment on just how much the new return policy will cost, however, he did indicate that the benefits of the new policy will outweigh the costs.
What do you think of Target’s new extended return policy?