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Creating Return Labels: Complete Guide

Creating Return Labels in atoship

Return labels are essential for e-commerce customer service. atoship makes creating return labels simple while providing significant cost savings through pre-negotiated carrier rates.

Why Use atoship for Return Labels?

  • Discounted Rates — Same commercial pricing on returns as outbound shipping (up to 89% off retail)
  • Pay-on-Use — Only pay for labels customers actually scan
  • QR Code Returns — Printerless returns for better customer experience
  • Multi-Carrier Support — USPS, UPS, FedEx, and regional carriers
  • Instant Generation — Create labels via dashboard or API in seconds

Types of Return Labels

1. Prepaid Return Labels

Traditional labels where you pay upfront. Customer prints and attaches to package.

ProsCons
Best customer experiencePay even if unused
Fastest returnsHigher upfront cost
Works with any printerCustomer needs printer

Best for: High-value items, VIP customers, competitive markets

2. Pay-on-Use Labels (Recommended)

Labels that only charge your account when scanned by the carrier. Eliminates waste from unused labels and reduces billing adjustments.

ProsCons
Only pay when usedLimited carrier support
No unused label wasteSlightly higher per-label cost
Reduces billing adjustments

Supported Carriers & Services:

  • USPS — Ground Advantage Return, Priority Mail Return, Priority Mail Express Return
  • UPS — UPS Ground (via DAP)
  • FedEx — FedEx Ground Returns
  • Canada Post — Multiple service levels

Best for: Apparel, items with high return rates, seasonal products

3. QR Code Returns (Printerless)

Customers present a QR code at carrier drop-off locations — no printer needed. The carrier prints the label on-site.

ProsCons
No printer requiredCustomer must visit drop-off
Eco-friendlyLimited carrier locations
Mobile-friendly
Combined with Pay-on-Use

Drop-off Locations:

  • USPS Post Offices (63,000+ locations)
  • UPS Store locations (5,000+)
  • FedEx Office locations (2,000+)
  • Walgreens, CVS, Staples (carrier dependent)

Best for: Tech-savvy customers, sustainability-focused brands, mobile-first shoppers


Step-by-Step: Creating a Return Label

Via Dashboard

  1. Navigate to Returns Go to Dashboard → Returns → Create Return Label

  2. Enter Customer Address The "From" address where customer ships the return

  3. Confirm Return Address Your warehouse or fulfillment center (the "To" address)

  4. Enter Package Details

    • Weight (or estimated weight)
    • Dimensions (optional but improves rate accuracy)
    • Package type (box, envelope, tube)
  5. Select Label Type Choose from:

    • Standard (prepaid)
    • Pay-on-Use
    • QR Code (printerless)
  6. Choose Carrier & Service Compare rates across carriers:

    ServiceTransitStarting Price
    USPS Ground Advantage Return2-5 days$4.50
    USPS Priority Mail Return1-3 days$8.25
    UPS Ground1-5 days$9.50
    FedEx Ground Returns1-5 days$9.75
  7. Generate & Send

    • Download PDF
    • Email to customer
    • Send QR code via SMS
    • Add to return portal

Via API

POST /v1/labels/return
{
  "from_address": {
    "name": "John Customer",
    "street1": "123 Customer St",
    "city": "Los Angeles",
    "state": "CA",
    "zip": "90001"
  },
  "to_address": {
    "name": "Returns Dept",
    "street1": "456 Warehouse Ave",
    "city": "Dallas",
    "state": "TX",
    "zip": "75001"
  },
  "parcel": {
    "weight": 16,
    "length": 10,
    "width": 8,
    "height": 4
  },
  "carrier": "usps",
  "service": "ground_advantage_return",
  "label_type": "pay_on_use",
  "qr_code": true
}

Sending Labels to Customers

Email Delivery

  • Auto-email label PDF upon creation
  • Customize email template with branding
  • Include return instructions and tracking link

QR Code Delivery

  • Send QR code via email or SMS
  • Customer shows on phone at drop-off
  • No printing required — carrier prints on-site

Return Portal

  • Add to customer's self-service portal
  • Customer downloads when ready
  • Track label status (sent, printed, used)

Include with Original Order

  • Print return label with outbound shipment
  • "No-hassle returns" marketing
  • Higher customer confidence in purchasing

Best Practices

Set Clear Return Windows

  • Define return eligibility period (e.g., 30 days from delivery)
  • Different windows for different product categories
  • Holiday extension policies (extended through January)

Use Pay-on-Use When Possible

  • Eliminate costs for unused labels
  • Perfect for apparel with high return rates
  • Combined with QR codes for best experience

Enable QR Code Returns

  • Better customer experience
  • Sustainability benefits
  • No support calls about printing issues

Track Everything

  • Monitor return rates by product
  • Analyze return reasons
  • Calculate true return cost per SKU

Consider Insurance

  • Add coverage for high-value returns
  • Automatic claims filing through atoship
  • Peace of mind for customer and business

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