On December 18, 2010, Best Buy began relaxing its return and exchange policy by removing the 15% restocking fee on electronics after many consumer complaints. Only special order products required a 25% restocking fee. It was a win-win deal for both the consumer and the electronics corporate giant as it encouraged holiday shoppers to make more "try me" purchases without fear of financial penalty if the items did not meet their needs.
However, it seems that Best Buy is tightening its grip once again on its return and exchange policy immediately following the end of the holiday returns (last day was January 31, 2011). Effective as of February 1, 2011, all Best Buy stores nationwide (including New York City) now have a new sign displayed at the customer service counter regarding their new return and exchange policy. Although the return or exchange timeframe remains the same (normally 30 days for many items), there is new requirement: photo ID for all returns and exchanges with or without receipt. Additionally, all returns and exchanges will be tracked on an individual level by scanning or manually inputting and storing the unique photo ID information. Prior to this change in their return and exchange policy, there was no requirement for a photo ID as long as you had your receipt. Even receiptless returns rarely ever required photo ID and Best Buy only asked for your contact information to input into their system.
Best Buy sign states:
Dear Valued Customer,
To help keep prices low for all of our customers, Best Buy tracks returns and exchanges on an individual level. When you return or exchange an item, we require a valid form of photo ID. Valid forms of ID accepted are: U.S., Canadian or Mexican Driver's License, U.S. State ID, Canadian Province ID, U.S. Military ID or Passport.
According to the National Retail Federation, the annual amount of merchandise returned by consumers to retailers in 2009 is $185.5 billion. The annual retail return rate is 10.7% higher than it was in 2007, likely related to the challenging economic times. Best Buy's fourth quarter 2010 sales performance was less than stellar with a 5% drop in sales. Entertainment software sales decreased by 15.4% and its weaknesses were video games, music and movies. The amendment to Best Buy's return and exchange policy may be one of the tactics to counter further revenue loss by minimizing return abuse and return fraud. (Return abuse is when a consumer purchases an item to "use," but has no intention of keeping. Return fraud includes acts such as returning stolen merchandise to the store or stealing receipts to falsify a return for financial gain.)
Will the photo ID requirement hurt Best Buy in the long run? With 11.1 million identity theft victims in 2009 according to the 2010 Identity Fraud Survey Report released by Javelin Strategy & Research and the number continuously growing, less and less people are comfortable with sharing their personal information. Wary consumers question who will have access to their private information and may choose to make their purchases with Best Buy's competitors, such as Target and Walmart, that currently require a photo ID only if there is no receipt. Even more important is how can consumers review what is being reported and who will be responsible if this sensitive information falls into the wrong hands?
Important: All computer software, movies, music and video games must be sealed in order to qualify for a refund; otherwise it has to be defective to qualify for an exchange for the identical item.
Only time will tell if Best Buy's amended return and exchange policy will help or hurt their sales. If enough consumers voice their opposition against the change, Best Buy may remove the photo ID requirement, just as the 15% restocking fee was dropped.
How do you feel about this change? Will it affect your purchases at Best Buy in the future?
Let us know in the Comments section below!
Best Buy Stores and Competitors:
Best Buy: New York City locations or use the store locator for other areas.
BJ's Wholesale Club: New York City locations or use the store locator for other areas.
Blockbuster: New York City locations or use the store locator for other areas.
FYE: New York City locations or use the store locator for other areas.
Kmart: New York City locations or use the store locator for other areas.
Toys 'R' Us: New York City locations or use the store locator for other areas.
Target: New York City locations or use the store locator for other areas.
Walmart: Long Island locations or use the store locator for other areas.
Amazon.com charges sales tax for all New York shipping addresses.
Comments
If they wanted they could remove the return policy all together..there is no law that states they HAVE to have a 30 day return policy..lol... if you don't like it go shop somewhere else
That is very true. Companies have offered competitive return policies as a marketing strategy to entice customers to buy from them.
Sounds like a reasonable policy to me. There's no identification on a driver's license that can't be easily found elsewhere.
What a dumb article. Is author really a journalist or just a sore looser that feels she is too good to have to present a photo id. Best Buy obtains more critical information than a DL number such as DOB and soc when filling out an application for credit. They scan thousands of creidt card nubmers each day and there hasn't been and news of security breaches on that. Seems like a resonable policy to limit those who wish to abuse the system and there are many
All credit card applications do require more critical information such as you pointed out: driver's license, dob, social security, etc. Although there are no current reports of security breaches from Best Buy, there was the T.J. Maxx and Marshalls hack incident that exposed sensitive consumer data back in 2007. Some people who may wish for privacy opt to pay in cash, instead of using credit cards. The article is to notify people of the new Best Buy return and exchange policy which will now require the scanning of the consumer's driver's license for all returns and exchanges. If a person does not feel comfortable with that, then that person may want to consider shopping elsewhere. Or if the person has no problem with that, then shop on!
You should just turn off comments if people are going to be dicks.
Some places like Walmarts has gotten stricter with returns because people was taking advantage of it and putting them in the hole.
Glad to find this article. I was outraged by this latest change in their policy. This is an invasion of privacy. I would not shop there again. Most of the big names have much better return policy, I can get the same items on Walmart or Amazon without the hassle of the randomly changing return polycy that Best Buy imposes.
What a hassle. Best Buy had been one of my favorite and friendly stores. But now this is how they treat their loyal customers (like criminals). I will think twice before buying anything at Best Buy again. Some stores tried to require phone numbers and name/address a while back. Now this. I dont trust them to safeguarding my private info. And who knows what they're gonna use them for in the future. Sell info to marketing companies?
It seems everyone wants a database of their customers' private info. If Best Buy has a problem with returns issues/abuses then restrict or modify the return period. Punish the bad people but dont offend your loyal customer base!
Best Buy should take a lesson from Walmart w/ its liberal return policy. Hasnt hurt WalMart yet.
And to the folks (probably Best Buy spies) who say 'if you dont like the return policy, then dont shop there', YOU'RE RIGHT, I am not going to buy anymore stuff there.
Let's see how the Best Buy execs like it when we loyal customers collectively stop shopping there and their sales drop like lead weights that they are!
The way I feel about the new policy is that as long as you have nothing to hide then you should have nothing to worry about. The information they are taking is not something that is not easily found by looking elsewhere. They only people I feel would have a problem with this new policy is people who return items constantly or people who would try to commit return fraud.
I don't see how it would be a so much of a "hassle" to pull an ID out of your wallet?? They aren't asking for the last 2 years of tax returns.
Pulling out the ID and showing it is not the problem for many shoppers. The issue for some concerned shoppers is that they are scanning your driver license information into a database that stores the information and uses it to keeps track of each customer on an individual basis. No information has been clearly stated of whether Best Buy or a third-party stores the information and for how long it will be stored before it is deleted.
You really don't get, do you? WITH a receipt, they want to RECORD your information. Why? What's the point of getting a credit card to begin with? You need the item, your receipt, your credit card, and SHOW them your ID to prove that it's you, BUT they don't need to record it. I know what it's meant for, criminal activity; but that doesn't mean I have to be treated as one if I have all of my required items. This is either illegal, or should be.
Thank you
This sucks. I shop there with CASH only...have for years...went to make a return the other day there and they asked for my license. I was like WTF, here is my reciept, why do you need my license...TO TRACK me they said!.
CompUSA tried this policy a few years ago, look what happened to them. By the way, they forgot to add this to their sign:
We alienate anyone below the age of 16 from returning anything.
Seriously though, the thing we should all be concerned with is why they are really doing this, what they will do with this information, and how they are protecting our information.
In this day and age, people really need to be more cautious about giving up their personal information. Thank you Best Buy, we are now that much closer to another T.J. Maxx incident.
Any store that treats his customers like possible thieves is going to feel the consequences sooner or later. One thing is to look at your ID, another to scan it a retrieve all your profile. Nobody has the right to do that. If returns are hurting them then modify the policy in some other way like "No receipt - No return". My guess is that other stores are going to see an increase in their sales due to this policy,
I always pay with cash. So on the rare occasion that I return something, I don't expect to have to show I.D. If it's a valid cash receipt with an unwrapped, new item, why does Best Buy need to see anything else?
So long Best Buy. First you cut your DVD in-store selection, now you choose to I.D. customers at the return counter. I'm done with you!
I'm done with Best Buy as well. Went to return something. Had my receipt and credit card, showed them my ID and then they wanted to input my driver's license into their computer. I said no, no reason for driver's number and asked for manager who said it's now company policy. I said that's outrageous, that's data mining with no privacy policy. I will not process this return and won't be returning as customer, either.
I further told them I will file formal complaint with appropriate regulatory agencies. I urge all of you to do same and pettition your local and state legislatures to outlaw such practices in the same way full credit card info and name and address are outlawed from being requested as well.
Also, be aware they save credit card iinfo. Once went I returned something they refunded my credit card without asking for the number. Pettition your local and state officials to outlaw this practice as well, and that all stores must prominently display what they do with your info.
In above post meant to say that ffull ciedit card number priinted on customer receipt has been banned as well and so should this practice of requiring Drver's License number.
Excellent article Annie. I just cancelled my Best Buy rewards membership over this. I returned an item last week and gave them my DL when asked, assuming they'd just look at it. Before I could object, and without my consent, the employee had entered my number into their system and said it cannot be removed. Same story from store manager & corporate.
This is bad. A driver's license can be used to get a duplicate birth certificate and then replacement social security card, and eventually credit cards, govt benefits etc., not to mention someone handing a fake license to an out-of-state cop when they're pulled over for DUI (or worse). And you won't find out until cops are at your door because you're a no-show at "your" hearing.
Best Buy uses a company called The Retail Equation (Irvine, CA). They link your govt issued ID with other info (name, address, DOB) and track your returns, not just for fraud but if you return too often. Asked them today to remove my info and they refused (said Best Buy must do it).
I do not trust them to safeguard my data and will not do business with best Buy until this policy is reversed. Can't believe they're throwing their most loyal customers under the bus to TRY to save a few bucks (which they won't).
Target just does it for no-receipt returns and does not link it with any other personal info - don't like that either, but I can live with it.
So if I walk in with an item full of rocks (sealed & looks new) and put it on the shelf, the next person who buys and returns it (because of rocks inside), they'll look up who last bought it and charge them for putting rocks inside the box? But it was me that did it. This system is fail :)
id to return an item with a receipt is OUTRAGEOUS. no id required to purchase. If you dont have a drivers license your receipt is worthless?? Yet illegals can show their mexican drivers license??
id to return an item with a receipt is OUTRAGEOUS. no id required to purchase. If you dont have a drivers license your receipt is worthless?? Yet illegals can show their mexican drivers license??
This policy change "will" affect my desire to purchase from Best Buy ... as stated in your article, there are many other stores I can purchase from without exposing my personal information.
Personally I think it is a stupid idea to enter ID information even if receipts are present. Privacy invasion that is!!!
They should change the policy to if no receipt, then show ID and track into their system to prevent abuse and fraud. If they really are concerned about product abuse or something, then track the serial numbers for high-dollar-amount electronics or check serial numbers like Target does to all their electronics return.
Don't know what Best Buy Exec. were thinking! We are ID theft victims so we will not return back to Best Buy because of this policy. Sorry. :(
Screw Worst Buy. They already have their hands full with lazy and arrogant floor reps who will first analyze you based on your color, clothes etc and then decide how they will treat you. Not to pity their feeling of being "Omniscient". Ever try debating the merits of an electronic item with them and you have the wrath of god coming at you. They are always gathering around females and old folks like vultures, upselling and cross-selling redundant and often useless services and warranties.
Actually this place is a perfect showroom for all internet purchases (Newegg,Amazon, etc). With their new (il)legal policy of gathering personal info from consumers using their ID's, its a matter of time before they go down. Any lawyers out their looking for class-action !!!!!! This is your chance
WORST BUY SUCKS!!!!!!!!!!!!
Won't change my buying habits. I stopped shopping at Best Buy a long time ago! Maybe 3 times in the past 3-4 years, and only for last minute items that couldn't be found else where ("classic" movies or a non-editted version of a CD).
Still waiting for the day they go out of business!
This fascist move by BB is a yet another blow to our right to privacy! I vehemently am against this and will probably not buy there again. I URGE EVERYONE TO BOYCOTT THIS NAZI REGIME & FORCE THEM INTO CHAPTER 11, so eventually those a**hole suits will drop this ridiculous policy. It is a total violation of our rights and must be stopped.
ATTN: CIVIL LIBERTIES ATTORNEYS - NOW IS YOUR CHANCE FOR A CLASS ACTION COMPLAINT AGAINST THE BIGGEST ELECTRONICS RETAILER IN THE WORLD. A TRUE BREACH OF OUR CIVIL RIGHT TO PRIVACY AND BUREAUCRATIC INTERVENTION. BOYCOTT & SUE THEM DEAD IN THEIR TRACKS!
If Best Buy or The Retail Equation (Irvine, CA) go bankrupt, the information that they gather is considered an asset by many bankruptcy courts. The court and the purchaser of the "asset" are not bound by the privacy policies used to collect the information provided the purchaser does not violate any state or federal laws. So collecting the information is a big deal since Best Buy is already in questionable financial position.
i will not shop at best buy anymore!!!!!!!!!!!!
due to there return policy
A TRUE BREACH OF OUR CIVIL RIGHT TO PRIVACY AND BUREAUCRATIC INTERVENTION. BOYCOTT, BOYCOTT,BOYCOTT
The logic for tracking an individual's returns doesn't make sense. Say I did decide to return every purchase I make, as long as its in the buyer's remorse policy how can they legitimately reject my claim for a return?
If they tried I'd just dispute the purchase with my credit card and win anyway.
They also state in their reasoning for the id capture that they will share this information with their "affiliates." So who else are they giving our personal information to?
My identity doesn't dictate my right to return a purchase, there are many other ways to deter abuse of returns. This is just way too invasive.
Now I'll be shopping at the many other competitors who will price match Best Buy, so I lose nothing while Best Buy loses another customer.
I buy my video games at best and always buy a warranty since a small scratch or crack can destroy the whole game and i have always been able to return my games for a new one but yesterday i went to return two video games that has cracks in the middle of them and i was told i had to mail it in which is stupid since i always have been able to return it to the store and now i cant buy another warranty which means if the disk gets cracks again i'll have to spend $70 on a game that includes tax and a new warranty also i have to wait for maybe two weeks for a damn game i've never been so pissed i will never buy anything from best buy again.
Today I had to return a gift with receipt and was unaware of this issue till today. I protested and then the manager handled the return and was told that if I wanted to get a refund I would have to comply! Really? Ok, I gave them my drivers license. Then they asked why I was returning the item. I told them it was half the price on Amazon. They then told me that they could match the price, but I told them my new policy is to never again do business with Best Buy. I am done for good. Very bad policy to insist on a policy regarding consumers privacy -- especially when corporations big and small and failing to keep our data safe.
Best Buy -- I do hope you'll be around for a little while as I do enjoy using your store as a showroom prior to my Amazon purchases (and yes, I have purchased numerous large ticket items from your store, but no more).
The Best Buy requirement is an unchecked trend of asking for ( sometime just asking or in this case requiring and usually getting) more and more data about individuals
I consider it dangerous and totally insecure. Data has a way of being secure for a while and then being seen by someone who does not need to see it; or someone who has mischief in mind; or by someone beyond its original intent.
The Supreme Court just ruled that data mining of a drug stores medical records is constitutional. I would suspect that the Best Buy data might get 'data mined' by a credit reporting agency or worse.
If you give data up - expect that you should get something of value in return
It makes zero sense because the point is if you have a receipt, there should be no requirement for a drivers license -- can't they just use our reward zone membership?
Honestly is this even legal?
I'm surprised that they even implemented this -- given that they had a breach in their security system with all of their credit card information.
I have a problem with their new return policy. As was stated in the article, the consumer has no idea what Best Buy is going to do with this captured information or who may ultimately have access to it. With identity theft running rampant, all Best Buy consumers should have a problem with this.
I just purchased a XM satellite radio/cd player. I hope I don't have to return it. From this point forward, I will no longer be included as a Best Buy customer.
I had heard from a dissatified co-worker who had the bad experience of being charged 15% restocking fee when returning an item sometime last year. Now this new policy ref. the I.D. information is another reason why I continue to take my shopping needs elsewhere.
Truly this is a violation of our constitutional right to privacy ! ACLU, where are you when we need you ?
" The only way for evil to triumph is that good men do nothing." Edmund Burke
Best Buy, you've lost another customer !
Will never spend money at Best Buy again because of this ID requirement crap. I don't want EVERYTHING about me tracked. I have the receipt. I'm not a criminal... so stop treating me like one. Best Buy, Eff off.
Tried to get price match after the product I bought went on sale, they wanted my drivers license because this would be treated as a return. I told them this is not a return and they already had my credit card and rewards club info. They insisted to get the price adjustment I would have to give them my license. I told them I would not buy from them again.
FUCK this store!!
Just shop somewhere else.
BEST BUY BLOWS!!
This invasive and risky policy seems to be a growing trend by big retailers, and the only way it will stop is if we fight it. I just returned a defective item, with receipt, to a Michaels store and was asked to produce my license, from which the clerk entered information into their system. I objected, was told it was company policy and is stated on their receipts under" return policy" (it is). I asked to speak with a manager, and told her I may not be able to continue to shop there if they insist on continuing this policy. I strongly regret having given them my license and will refuse to do so if I encounter this policy elsewhere. Thank you to Ms. Chu and all of the helpful posts above for the information you've provided about this extremely invasive and dangerous (to consumers) trend by retailers. I intend to write to my representatives regarding this issue and urge you to do the same.
Consumers should band together and protest loudly and clearly that we won't put up with it .
Just like the comment made above by "vertical", I went to exchange something the other day (for the exact same item due to defect) and the girl asked to see my ID. I assumed it was to verify the name, etc since it was a online purchase with the store pickup option. I held my hand out with my wallet in it so she could see it, and to my disbelief before I could do anything, she grabbed my wallet, pulled my ID out of my wallet and scanned it into the computer. I wanted to knock her out. I have never felt more violated in my life. Especially since she actually grabbed my wallet, took my ID out and scanned it in a split second before I could even do anything or react.
remember when google sold info of it user to homeland sercurty this why i have a problem with this
because in todays world id is a product that can be sold to the highest bidder
There is no reason whatsoever for anyone to require an ID to return merchandise. It has no bearing on keeping their prices low. It's just a way to gather info on you as a consumer so they can sell you stuff better. It IS an invasion of privacy and is not at all justified. Identify theft is the NUMBER ONE crime in the world because of hackers ability to go to companies like Best Buy and steal your information.
The downward spiral begins...
http://abcnews.go.com/blogs/business/2012/03/best-buy-to-close-stores-sl...
Here is a quote from the article:
"These changes will also help lower our overall cost structure. We intend to invest some of these cost savings into offering new and improved customer experiences and competitive prices - which will help drive revenue," Dunn added.
The first thing you (Mr. Dunn) should do is get rid of this stupid policy for customers that have a receipt.
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