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Sellers threaten to quit Flipkart as new return policy backfires
The changes Flipkart is trying to introduce in it's return policy, seem to have backfired for the company. The Economic Times reported that frustrated with the company's frequent policy changes and it's attempts to push shipping costs to sellers, a group of merchants are threatening to either exit or be inactive on the online marketplace.

Among the various changes that Flipkart is trying to introduce, the ones that seems to have left the sellers raged are an increase in the sales commissions it levies on them and attempt to charge the shipping fee, a reverse shipping fee and a collection fee for every product returned, from the sellers.

The sellers are against this policy as they are asking why should they bear the shipping costs of returned goods as Flipkart doesn't seek their approval when accepting a return from a customer.

Speaking to ET, Sanjay Thakur, spokesman for EsellerSuraksha, said that Flipkart used to charge a fee of less than one percent of the order value from the online sellers but with the new policies in practice, sellers will have to bear costs that range anywhere between eight to ten percent in most of the categories.

Even though Flipkart had said that the new structure would enable sellers to have 'predictability' and help them in 'standardising' the process, it failed to elaborate on how exactly this was going to happen.

Talking about a recent survey that EsellerSuraksha had conducted, Sanjay Thakur said that of the sellers who participated in the survey, the results point out that 98 per cent of them accepted that the policy changes would kill sellers, 57 per cent said they would rethink selling on Flipkart and 42 per cent of the respondents said that they would hike the price for customers by 15 – 20 per cent to make up for the cost.

The new policies are set to come in place from June 20.

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