Meesho faces seller protest over tightened return policies

January 23, 2023

According to a report by the Economic Times, Indian e-commerce company Meesho has recently implemented changes to its product returns policy, causing protests from sellers. The move was made in response to feedback from Meesho’s third-party logistics partners, as returns are a significant cost for e-commerce companies in India.

Sellers in Surat, a major hub for fashion merchants, have been particularly affected by the changes, with many giving Meesho negative reviews and refusing to process orders through the platform. The changes were made as part of Meesho’s efforts to reduce operating costs and conserve cash, as internet firms are facing a funding squeeze.

  • If you want to know more about how RETURNS work in eCommerce Industry, our personal recommendation is to check this out: RETURNS: THE DARK SIDE OF E-COMMERCE – And How to Find the Light

It is worth noting that Meesho’s plans to raise at least $1 billion last year did not materialise due to multiple issues, including a valuation mismatch. Meesho’s sellers have seen sales decline after a bump-up during the festive season last year, several merchants told ET. Other e-commerce marketplaces like Flipkart and Amazon India have also clocked moderate growth in recent weeks, sellers said.

It is important for e-commerce companies to be transparent and communicate changes clearly with sellers to avoid backlash. Having a plan in place to mitigate potential damage to business relationships is also crucial. It remains to be seen how Meesho’s sales will be impacted by these changes.

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