Browse Definitions :
Definition

return merchandise authorization (RMA)

What is a return merchandise authorization (RMA)?

An RMA (return merchandise authorization) is a numbered Authorization provided by a mail-order or e-commerce merchant to permit the return of a product.

Most businesses have a policy concerning returns. Some companies allow only defective products to be returned; others, as in the case of software, allow them to be returned only if they are unopened.

Depending on the merchant's return policies, a refund might be issued or a store credit given to the customer. If a product is outside its return window or warranty period, the return could be denied altogether.

How does a return merchandise authorization (RMA) work?

The RMA number is generally assigned by the customer service department when the return is being processed.

The return authorization form will list the policies regarding the return, as well as any special instructions on how to package and ship the product back to the retailer. The return authorization form might also request that the customer provide feedback on why they are returning the product.

Products that are returned without an RMA can be refused or subject to a restocking fee by the retailer. Thus, it is important to obtain an RMA before returning any merchandise.

Why is obtaining an RMA important?

RMA numbers are important to merchants in terms of analyzing the financial effects of their RMA processes and assessing customer satisfaction.

It also tells the merchant that a return is being made and offers protection against further returns and return fraud. The customer can use it to inquire about the progress of a return or other transaction errors.

For example, if the customer hasn't received any information about the return, the customer can contact the merchant and use the RMA number as a reference when speaking with support.

How do you return goods or defective products?

Return policies and procedures will vary from vendor to vendor. However, a typical return process might look something like the following.

Step 1. Establishing whether the product is truly defective

First, the customer initiates the return by calling the technical support office and speaking with a technician. Some merchants allow the customer to send an email message requesting an RMA instead of having to call.

The next step involves the technician helping to determine whether the product is indeed defective or if another issue is the culprit. For example, in the case of software, perhaps improper installation is the issue. This usually involves the customer answering several questions and following the technician's directions for testing the product.

If the technician feels that the product is defective, the technician issues an RMA.

This process is especially important when the product is software-related. Most merchants do not allow the return of software unless the packaging is unopened. This policy helps to prevent software piracy.

Step 2. Preparing the return shipment

Next, the customer must write the RMA number on the outside of the box that will be used to ship the product. It is important to mail all the original boxes, manuals and any other items along with the product.

If a return is sent without an RMA number, the merchant might return the product to the customer.

Step 3. Sending the product back to the manufacturer

Finally, the customer permanently relinquishes ownership of the product by mailing it back to the manufacturer. Most merchants recommend using a shipping company that can track packages.

Graphic outlining the evolution of customer service
A return merchandise authorization number is generally assigned by the customer service department when a return is being processed.

See also: Customer service vs. customer experience: What's the difference?

This was last updated in July 2022

Continue Reading About return merchandise authorization (RMA)

Networking
  • firewall as a service (FWaaS)

    Firewall as a service (FWaaS), also known as a cloud firewall, is a service that provides cloud-based network traffic analysis ...

  • private 5G

    Private 5G is a wireless network technology that delivers 5G cellular connectivity for private network use cases.

  • NFVi (network functions virtualization infrastructure)

    NFVi (network functions virtualization infrastructure) encompasses all of the networking hardware and software needed to support ...

Security
  • virus (computer virus)

    A computer virus is a type of malware that attaches itself to a program or file. A virus can replicate and spread across an ...

  • Certified Information Security Manager (CISM)

    Certified Information Security Manager (CISM) is an advanced certification that indicates that an individual possesses the ...

  • cryptography

    Cryptography is a method of protecting information and communications using codes, so that only those for whom the information is...

CIO
  • B2B (business to business)

    B2B (business-to-business) is a type of commerce involving the exchange of products, services or information between businesses, ...

  • return on investment (ROI)

    Return on investment (ROI) is a crucial financial metric investors and businesses use to evaluate an investment's efficiency or ...

  • big data as a service (BDaaS)

    Big data as a service (BDaS) is the delivery of data platforms and tools by a cloud provider to help organizations process, ...

HRSoftware
  • talent acquisition

    Talent acquisition is the strategic process an organization uses to identify, recruit and hire the people it needs to achieve its...

  • human capital management (HCM)

    Human capital management (HCM) is a comprehensive set of practices and tools used for recruiting, managing and developing ...

  • Betterworks

    Betterworks is performance management software that helps workforces and organizations to improve manager effectiveness and ...

Customer Experience
  • martech (marketing technology)

    Martech (marketing technology) refers to the integration of software tools, platforms, and applications designed to streamline ...

  • transactional marketing

    Transactional marketing is a business strategy that focuses on single, point-of-sale transactions.

  • customer profiling

    Customer profiling is the detailed and systematic process of constructing a clear portrait of a company's ideal customer by ...

Close