Naver Supports Free Exchange and Return Shipping Fees... Small Business Sales Increase by 13.6%

Sales of SMEs Grow with Naver Pay's 'Return Assurance Care'
Effectiveness Confirmed by Hanyang University Research Team
Higher Impact in Categories with Frequent Returns and Exchanges

Naver announced on the 13th that its Naver Pay 'Return Assurance Care,' which supports free exchange and return services for Smart Store sellers, has been confirmed to positively contribute to the sales growth of small and medium-sized enterprises (SMEs).

A research team led by Professor Kang Hyung-gu from Hanyang University Business School analyzed the effectiveness and significance of Naver Pay's 'Return Assurance Care' and found that it effectively promotes the actual growth of SMEs, including an increase in payment amounts by Smart Store sellers. Return Assurance Care is an insurance service that compensates for free exchange and return shipping costs. As of December 2024, the cumulative number of sales transactions surpassed 100 million.

Sales increase effect by category of Return Care. Provided by Naver

According to the study, among products sold by the same SME, the sales amount of products covered by Return Assurance Care was on average about 13.6% higher than that of products without the service. Additionally, when comparing order data from SMEs selling similar products, the daily payment amount of SMEs subscribed to Return Assurance Care was found to be 3-8% higher. The researchers analyzed that the sales growth effect from increased purchases outweighs the costs of insurance premiums and fatigue from increased returns, adding that Return Assurance Care significantly reduced costs related to disputes with buyers and financial risks associated with returns.

The sales increase effect from introducing Return Assurance Care was higher than average in product categories with frequent returns and exchanges. When comparing the sales increase effect of products covered by Return Assurance Care sold by the same SME by category, the 'Fashion Accessories' category showed the highest effect at 58.3%, followed by 'Furniture & Interior' at 46.7%, and 'Digital & Electronics' at 26.2%. This was confirmed as a result of SMEs providing free services in product groups with high demand for exchanges and returns due to various reasons such as size and color, reducing consumers' cost burden and making purchase decisions easier.

Jo Yena, leader of the Naver Pay Insurance Team, said, "Many SMEs are not only resolving exchange and return risks through Return Assurance Care but are also effectively using it as a marketing tool to increase sales," adding, "We will continue to strive to support the growth of SMEs through Return Assurance Care in the increasingly advanced e-commerce market."