When customers want to return a product, allowing them to keep it while issuing a refund can significantly boost future sales. Research from the University of Notre Dame shows that this approach, termed "returnless returns," can make customers up to twice as likely to buy again. For instance, when a candy brand mistakenly sent the wrong product but let customers keep it, they received 24.6% higher ratings. Other experiments highlighted similar increases in positive perception and reviews for brands that allowed customers to keep defective or unwanted items instead of returning them. The effectiveness of this strategy hinges on how it is framed. Presenting returnless returns as a convenience or an environmental benefit enhances customer feelings of warmth toward the brand. Customers are more likely to respond positively when they’re not asked for proof of the issue. On the downside, requiring proof can lead to a 20% drop in positive word of mouth. While this tactic has shown success with low to medium-priced items like pens and candy, its impact on expensive items remains untested, and brands should consider potential fraud risks as they adopt such policies. A practical example comes from Atlas Stationers. They currently require all items to be returned, which can deter customers, especially for low-cost items like erasers. By implementing a threshold where inexpensive items can be kept, promoting donations to local charities, and absorbing return shipping costs, Atlas could enhance customer satisfaction and loyalty. This shift in policy aligns with the findings that a warmer brand perception directly correlates with increased customer engagement and future purchases.