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Turn post-holiday returns into a revenue opportunity

By: Moneris Team
January 28, 2026 clock Calculating time...
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Holiday shopping brings a surge of sales and, naturally, a spike in returns once the rush fades. But that doesn’t mean you have to lose revenue in January. With a clear and simple returns process, you can keep more of those hard-earned sales while giving customers a positive experience.

Post-holiday returns are completely normal, and every retailer deals with them. The key is making the process seamless for both your staff and your shoppers. When customers know exactly what to expect, returns become a chance to build trust, encourage exchanges instead of refunds and keep more sales in your store.

Here are some practical ways to leverage returns and exchanges to earn more profit after this holiday season.

Recognize the post-holiday return rush

The weeks after the holidays always bring more returns, and that’s completely normal. More gifts mean more items coming back in January, so the increase shouldn’t feel like a sign that something is wrong. Most retailers see a similar pattern every year: a busy December followed by steady returns as people opt for different clothing sizes or simply exchange items.

When you expect that rhythm, it’s easier to plan staffing, organize your counter space and prepare a simple flow for handling returned products. Even small adjustments can make the rush feel less disruptive for your team.

Looking at last year’s return trends can also help you anticipate when things might peak. Some stores see the biggest wave right after New Year’s, while others notice it closer to mid-January. Payment tools like Moneris Go, which include built-in reporting and sales insights, make it easier to track these patterns so you know what to expect next year.

When you have that clarity, you can turn return moments into opportunities to offer an exchange, create a positive experience and keep more sales in your business.

Create clear, customer-friendly refund policies

A return policy feels fair when customers can understand it quickly and trust that it’ll be applied the same way every time. Clear language, simple rules and no fine print help shoppers feel confident that returning an item won’t be an issue. When customers know what to expect, they’re more comfortable making a purchase in the first place.

It also helps to keep timelines reasonable, especially after the holidays when gift receivers may need extra time. Let shoppers know what condition items should be in and what options they have, whether that’s a refund, an exchange or store credit. A little clarity upfront reduces confusion at the counter and keeps the process moving.

Customer-friendly policies don’t encourage more returns—they build trust. When people feel respected during a return, they’re more likely to shop with you again, which helps your business keep long-term customers instead of one-time sales.

Turn post-holiday returns into a revenue opportunity in blog 1

Encourage exchanges to keep sales

Exchanges are one of the easiest ways to keep a sale in your business while still giving customers a positive experience. Many shoppers are completely open to replacing an item if the process feels simple and clear.

With the right approach, you can make exchanges an appealing first option instead of jumping straight to a refund. Here are some practical ideas to help your business with this process.

Make exchanges easy to understand

Clear options help customers feel confident choosing an exchange instead of a refund. When shoppers know the process is quick and simple, the decision feels easier. Showing your exchange policy on signage and product pages also helps customers understand their choices before they reach the counter.

Online shoppers appreciate this clarity too. Even a short note like “Quick exchanges available” shapes expectations early. When customers don’t have to guess what’s allowed, they’re far more likely to choose an exchange over a refund.

Guide customers toward the right replacement

Your staff can turn a return into an exchange for a better-fitting item with just a little guidance. Asking about size, style or how the product will be used helps them make confident suggestions. This small conversation often leads shoppers to a product that works better.

Customers also appreciate the personal attention. It makes the experience feel helpful rather than transactional—and when staff feel comfortable guiding shoppers, exchanges become more natural and more common.

Offer store credit as a flexible option

Store credit gives shoppers time to find something they genuinely like. It’s an easy option for customers who aren’t ready to choose a replacement right away. When credit is issued instantly, it keeps the experience quick and positive.

Store credit also encourages future visits. Shoppers often browse a bit longer or return later to use their credit, which can lead to additional sales. It’s a simple way to keep revenue in your business while supporting customer choice.

Add small incentives when appropriate

A modest perk can make exchanges more appealing without adding extra strain to your margins. A small bonus or a slightly longer exchange window can nudge customers toward choosing an exchange. These gestures show you’re willing to meet shoppers halfway.

Incentives work best when paired with broader retention efforts. If you want more ways to keep customers returning, you can explore ideas for how to turn holiday shoppers into loyal year-round customers. These touches help reinforce trust and build longer relationships.

Simplify your return process for speed

A quick and predictable return experience keeps customers confident and helps your staff stay focused. When each step is easy to follow, returns take less time and free up the rest of your store to keep running without interruptions.

Here are a few practical ways to streamline your return process after the holidays.

  1. Issue refunds promptly: Fast refunds show customers you respect their time and help build trust during the busy post-holiday period. When people know they’ll get their money back quickly, they’re far more likely to shop with you again.
  2. Get items back into inventory quickly: Inspect returned products right away so they can be resold while demand is still high. This prevents items from sitting in a back room and helps you recover more of the original sale value.
  3. Guide customers toward in-store returns: Encouraging in-store returns saves you shipping costs and gives shoppers a chance to explore your store again. Many customers prefer resolving returns with a person, which often leads to a more positive experience.
  4. Use consistent steps across your team: Give staff a simple flow to follow so returns feel predictable for everyone involved. When each employee handles returns the same way, customers receive clearer communication and faster service.

Keep online and in-store returns connected: Let customers return online purchases in-store or use a clear mail-in option so the process feels flexible and predictable. Fortunately, keeping everything in sync across channels is much easier when you have a unified POS system in place.

Turn post-holiday returns into a revenue opportunity in blog 2

Convert post-holiday returns into revenue with Moneris

Moneris helps you keep more sales in your business by making it easy for staff to offer store credits and exchanges on the spot. When refunds and credits are processed reliably through the same system, your team can shift the conversation toward replacements, upgrades or add-ons instead of refunds.

Moneris also gives you clear reporting that shows which products come back most often and which transactions turn into exchanges. This insight helps you adjust inventory, restock faster and spot patterns that can inform future merchandising.

With fewer payment errors and organized refund data, it becomes easier to turn return visits into new revenue and strengthen customer relationships at the same time.

Turn post-holiday returns into a revenue opportunity in blog 3

FAQs

Key Takeaways

  1. Keep post-holiday returns manageable by setting expectations early and helping customers understand how your process works.
  2. Create a clear, friendly refund policy that supports both your customers and your staff.
  3. Encourage exchanges or store credit to keep more sales in your business while still giving shoppers a positive experience.
  4. Speed up returns by organizing your workflow so staff can move confidently from refund to restock.
  5. Use reliable payment tools that help your team issue refunds or credits quickly and consistently.

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Moneris Team

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Moneris is a leading provider of payment processing solutions in Canada. Our blog is your go-to resource for insights into the ever-evolving world of payments. We cover everything from the latest industry trends and technologies to practical advice for businesses of all sizes. Our blog's mission is to spotlight small businesses and provide resources that help them succeed in today's economy. Blog articles are written by members of Moneris' in-house marketing team with support from internal product and industry experts.

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