Saudi buyers take to Twitter over Alshaya refund rules

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Alshaya counts Debenhams among the brands in its retail portfolio

Alshaya counts Debenhams among the brands in its retail portfolio

Twitter users in Saudi Arabia have launched a social media backlash against Gulf retail giant M.H. Alshaya, after the company rolled out new rules to restrict cash refunds to customers.

Staff in five Alshaya stores in Dubai said in September that buyers returning faulty or unwanted goods could no longer receive cash or credit card refunds, but would instead receive store credit under new company-wide rules governing returns.

Buyers have 12 months to spend their store credit - but the ruling ensures money is kept within the conglomerate’s network of shops, which includes Debenhams, H&M and Topshop.

The policy appears to have been implemented in Saudi Arabia, where Twitter users are using the hashtag #noshaya to call for a boycott of the retailer’s stores until the policy is changed.

 “It’s so sad that it’s funny that no one really cares that the Saudi consumer gets ripped off on a daily basis!” said Tweeter @sara_alhaidar. “I told the guy @H&M the policy was silly [and] he said management have their reasons! Really? Is it to make sure no SR [Saudi riyals] leave the register?”

Other Tweeters flagged up how the big brand names owned by Alshaya in the Gulf, such as H&M, offered more favourable returns policies on their own, domestic websites.

A tweet from @Raiyola accused the firm of “hiding behind a silly policy that is equal to theft”.

In an emailed statement to Arabian Business, a spokesperson for Alshaya said:

"Customers returning faulty or damaged goods are entitled to a full cash refund within the specified period and with proof of purchase, and we always comply with local laws.

"All other refunds are credited onto the Alshaya Card to the full value of the purchase and can then be redeemed at any participating Alshaya outlet over the following 12 month period."

A report by Dubai’s consumer protection agency in June showed the majority of disputes between retailers and shoppers arise from refunds and exchanges.

According to the DED, complaints from consumers soared in the first quarter of 2011, with 2,900 shoppers registering complaints against retailers, up from 2,300 last year.

Alshaya manages more than 55 brands across the Middle East and operates 2,000 outlets in 15 countries. Brands include a range of household names such as Debenhams, H&M, The Body Shop, Starbucks, Boots, River Island, Oasis and Mothercare.

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Posted by: faheem pudussery

Al Shaya is a typical GCC example of monopoly. they have lot of business all franchises they dont have anything their own. they dont care about customer service because most of the people in the countries they operate is expats. as long as the competition in GCC is less they will operate like this. Brands like Debnahms and H&M should stop collaborating with these big business monopolies.

Posted by: Mona

Well Done Faheem pudussery :) i like your comment!

Posted by: Ozimandius

This isn't new. IKEA and Home Center follow this policy too. It's a really silly policy though.

Posted by: Mona

also Home Center police -Website
"Return Policy
� At Home Centre, we are committed to your satisfaction. If a product doesn?t meet your expectations, we will offer an exchange or refund its value provided it is returned within 14 days of the date of purchase, unused, in its original condition and accompanied by an original payment receipt.
�Returns will not be accepted on unwrapped bed linen and mattresses which have been removed from their original packaging.
�In the case of damaged or defective items, an exchange or refund will be offered only when a repair is not possible. If you open a package and discover that an item is damaged, please contact customer care immediately. Products damaged while being used do not qualify for repair, exchange or refunds."



Posted by: Mona

IKEA !!! No They not (this is the Refund policy- IKEA website)
"It's ok to change your mind
If you?ve changed your mind and are not entirely satisfied with your purchase, simply return the unopened items with the receipt within 30 days for an exchange or refund. Refunds will be issued in the same method of payment as the original payment (e.g. credit card purchases will be credited to the original credit card account). Please note that we do not accept returns on used bedding (i.e. all bed linens, duvets, pillows and pillow tops), any mattress or stuffed/upholstered products without a law label, cut fabrics, made-to measure items, (i.e. custom countertops), any product that has been modified/altered/washed, AS-IS products and IKEA gift cards"

Posted by: Expat Woman

The point is that in Saudi Arabia fitting rooms are illegal, so it is impossible to try on before you buy. You have to pay for the item, take it home or to the washroom in the mall, and if it doesn't fit get back to the store within 3 days. This alone is a logistical nightmare as women are not allowed to drive and thus reliant on drivers/husbands. The opening hours of the stores make this harder still. Most stores are open for less than two hours in the morning, and then not again until late afternoon when there are too many family responsibilities to get out to return clothing. Shopping for clothing in Saudi is a complete pain. If Al Shaya has no regard for its customers then I hope women will shop elsewhere.

Posted by: Habeeb

In case of difference between the 'returned items' and purchased item, the store gives customer 'Credit Slip', they don't even return partial amount. Example: Item worth SAR 250 is returned and another item worth 225 is purchased, the difference of 25 is not paid back, instead a 'Credit', which is similar to 'Printed receipt'

Also, the 'Credit' has 'expiry date'.

It means customerwon't be able to use the credit after certain date....surprisingly losing the amount without getting anything in return .

Moreover one has to keep this 'Credit Receipt' safe treating it as a QAR/ SAR/ AED / BD Bill that would be en-cashed only at given retail shop, not even at the group outlet.

Posted by: Jmm

Maybe they can consider changing some policies and installing fitting rooms in clothing stores.. if you can try before you buy there would be less need for returns. Many stores also don't allow you to return and refund items less than 3 days after purchase. It's all very annoying..

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