ShopLoop is a mid-market e-commerce marketplace with 12M monthly active users and a strong position in fashion, beauty, and home goods. The company earns revenue from take rates on completed orders and is under pressure to improve unit economics without hurting conversion.
Refund rate has risen from 8.5% to 9.8% over the last two quarters, driven mainly by fashion orders, delayed deliveries, and "item not as described" complaints. Leadership has set a goal to reduce refund rate by 10% this quarter, which means bringing it down to 8.8% or lower within 12 weeks. Customer support data suggests three major drivers: sizing mismatch, inaccurate product listings, and avoidable post-purchase cancellations.
A blanket policy change could reduce refunds quickly, but it risks damaging customer trust, seller satisfaction, and repeat purchase behavior. You need to identify where the biggest opportunities are and recommend a product approach that balances speed, impact, and user experience.