How to Create a Returns and Refunds for Hospitality & Tourism
A standardised procedure for processing experience returns and issuing refunds efficiently while maintaining accurate inventory and financial records.
Purpose
To provide a fair, transparent, and efficient returns and refunds process that protects guest rights, complies with consumer law, and minimises financial and operational impact.
Scope
Covers all return and refund requests initiated by guests regardless of channel, including in-store, online, phone, and email.
Prerequisites
- Published returns and refunds policy accessible to all guests and staff
- Access to the booking management and inventory systems
- Understanding of consumer protection laws and warranty obligations
- Pre-printed return labels and packaging materials available as needed
Includes food safety compliance (HACCP), RSA requirements, liquor licensing documentation, and tourism accreditation record keeping.
Step-by-Step Procedure
Receive the Return or Refund Request
Accept the guest request and capture all essential details including the booking number, experience, reason for return, and desired outcome.
- 1.1Verify the guest identity and locate their booking in the system
- 1.2Record the experience name, quantity, and reason for the return request
- 1.3Confirm whether the guest is requesting a replacement, exchange, or refund
Verify Eligibility Against Policy
Check the return request against the company returns policy to confirm eligibility, including timeframes, experience condition, and proof of purchase.
- 2.1Confirm the request falls within the allowed return window
- 2.2Verify that the experience meets the condition requirements for return
- 2.3Check for any exceptions or exclusions that apply to the experience category
- 2.4Verify proof of purchase such as a receipt, booking confirmation, or transaction record
- If the return falls outside standard policy but consumer law requires acceptance, process it accordingly and document the reason
Issue the Return Authorisation
Generate a return merchandise authorisation and provide the guest with instructions for returning the experience.
- 3.1Create a return authorisation number in the booking management system
- 3.2Provide the guest with return shipping instructions or drop-off location details
- 3.3Send a return label if applicable
Receive and Inspect the Returned Experience
Upon receipt of the returned item, inspect it against the stated reason for return and the experience condition requirements.
- 4.1Log the receipt of the returned experience with date and condition notes
- 4.2Inspect the experience for damage, defects, or signs of misuse
- 4.3Photograph the returned item for records if there are any discrepancies
Process the Return in Inventory
Update the inventory system to reflect the returned experience and determine its disposition such as restocking, refurbishment, or disposal.
- 5.1Update the inventory count to reflect the returned item
- 5.2Assign a disposition code based on the experience condition
- 5.3Move the experience to the appropriate location such as sellable stock, repair queue, or write-off
Process the Refund or Exchange
Issue the refund to the guest original payment method or process the exchange for a replacement experience.
- 6.1Calculate the refund amount including any applicable deductions such as return shipping fees
- 6.2Process the refund through the billing system to the original payment method
- 6.3If processing an exchange, create a new booking for the replacement item
- 6.4Send a confirmation to the guest with the refund or exchange details
- Refunds should be processed within the timeframe stated in the company policy to maintain compliance
Update Guest Records
Update the guest account in the CRM with details of the return and refund for future reference and reporting.
- 7.1Log the return reason, outcome, and any guest feedback in the CRM
- 7.2Note any patterns such as repeated returns for the same experience or reason
Follow Up with the Guest
Contact the guest to confirm the refund has been received or the exchange experience has arrived and to ensure satisfaction.
- 8.1Send a follow-up email confirming the refund has been processed and the expected processing time
- 8.2For exchanges, confirm the replacement has been received in good condition
- 8.3Ask the guest if there is anything else they need
Analyse Return Trends
Review return data periodically to identify trends, frequent return reasons, and experiences with high return rates.
- 9.1Generate reports on return volume by experience, category, and reason
- 9.2Identify experiences with return rates exceeding the threshold
- 9.3Share findings with experience and quality teams for corrective action
Quality Checkpoints
Common Mistakes to Avoid
Expected Outcomes
Average number of business days from return receipt to refund issuance or exchange fulfilment.
Percentage of units sold that are subsequently returned, broken down by experience or category.
Average satisfaction rating from guests who completed a return or refund, measured through post-return surveys.
Frequently Asked Questions
Are there experiences that cannot be returned?
Yes. Experiences that are excluded from returns are listed in the company returns policy and may include perishable items, personalised goods, and hygiene-sensitive experiences. Consumer law exceptions still apply.
What is the standard return window?
The standard return window is defined in the company returns policy and typically ranges from fourteen to thirty days from the date of purchase or service. Consumer protection laws may mandate minimum return rights.
Can a guest return a experience without proof of purchase?
Proof of purchase is generally required. However, alternative verification methods such as booking lookup by email address or bank statement may be accepted at management discretion.
How long does a refund take to appear in the guest account?
Refunds are typically processed within three to five business days. The time for the refund to appear in the guest account depends on their payment provider and may take an additional five to ten business days.
What happens if the returned experience is damaged or not in its original condition?
If the experience does not meet the condition requirements, the guest is contacted to discuss options. A partial refund may be offered, or the experience may be returned to the guest at their expense.
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