Refund API – Amount not visible in e.g. Sales report

[stefanbay]

We are currently trying to utilise the Gift Card API, to generate Store Credit for users returning their products, but stil want to do a re-purchase on the store. This can easily be done, by refunding the original order, with a total amount of 0.

However this is also where the problem is coming into the picture. When refunding 0 on an order, the orders original value e.g. 120€ is still visible in the stores revenue. So would mean that when the customer would use their new Gift card / Store Credits, the revenue from this order would also show up in the analytics (So we would basically just be pumping our revenue, but falsely).

Does anyone have any suggestions on how to come around this? We've tried also using draft orders, with discount codes, however this just comes with other complications, and changes to overall analytics within the Shopify backend

[Dive]

Hello @stefanbay 

First of all, gift card are not shown in your sales dashboard. (Blog post that talk about it)

You should not see any Gross Sales that are coming from gift card.

Regarding your use case, i just create a quick table to explain how shopify compute returns.

• 2021/09/10 -> Customer ordered (Order #01) for 120 in gross sales (dated used, processed_at of the order)
• 2021/09/11 -> You just refund the order for 120 in gross sales (dated used, processed_at of the refund)
• 2021/09/10 -> Customer ordered (Order #02) for 120 in gross sales (dated used, processed_at of the order)

Gross sales does not include Discount & Returns, so you 'll never see the impact of your returns (be careful about returns, they are not refunds. For example if you apply a shipping refund, it will be in Shipping).

But on a date range that cover all the steps (order & refund), you 'll see the impact of returns in your net sales & your total sales.

Hope it helps,

Thomas.

[stefanbay]

Hey @Dive / Thomas,

Thanks for the quick response - I've just tried doing the process you've mentioned above and can confirm that refunds are retracted from the net sales, the day of the refund.

However in our case we have a large amount of orders being gifts, from customers → endusers. So for us to create the best experience for the endusers, wanting to return/exchange their products - we want to grant them with store credits, instead of having to contact the person giving them the gift, in the first place.
Therefore we have to, as of what I know, refund the amount of 0 on the original order – to only make it returnable once.

When doing this, it unfortunately doesn't retract the orders amount, as from the net sales, as only 0€ has been refunded.

Do you have any suggestions, on how to get around this problem?

Best
Stefan

[Dive]

Hello @stefanbay,

Alright got it !

I think i found a solution.

First step -> Cancel the order with refund later (Which means no refund at all. If you refund the order, i think the customer, not the enduser, will be cashback. So do not refund the order)

Second step -> In your sales dashboard, this order will still appear. But you can apply a filter on the field : Cancelled as "No". By doing so, all cancelled order will not appear in your Sales dashboard.

Third step -> Creat a gift card to the enduser.

So, you will not seen any cancelled order in your sales dashboard and the gift card order will not be inside your Sales dashbaord.

What do you think ?

Have a nice day,

Thomas.

[stefanbay]

Hello again,

Thanks for the feedback 🙂

Unfortunately it's not possible for us to use this solution, as we're currently not able to cancel orders, without also unfulfilling them in the first place. Also we're not keen of having to use filters in our sales report, as we currently have an integration from Shopify to over economy system - therefore the net sales, will still be pumped (Counting some orders twice - original + new).

Best,
Stefan