How to Give Store Credits Instead of Refunds in WooCommerce

How to Give Store Credits Instead of Refunds in WooCommerce

Guaranteeing refunds in your store makes your business more customer-friendly. It helps people to make purchases from your store without the fear of losing their money.

Although allowing refunds is a great thing from a customer perspective, it’s not a pleasant experience for store owners as their revenue will be affected by this. So the key point is that you should be able to provide customers with a positive experience in your store without losing your revenue.

Giving store credits instead of refunds can help you handle this situation effectively. This way you can convert the money you could lose on the refund to revenue by making them spent it in your store itself.

In order to issue store credits to your customers, you should first create them in your store. The core WooCommerce functionality doesn’t provide you with this feature. Thus your best bet is to add a plugin that supports this feature into your WooCommerce store.

Smart Coupons for WooCommerce is one of the best options you can find to add store credit feature to your WooCommerce store. With a little bit of configuration, your website will be ready to offer store credits to your customers.

How to Enable Store Credit in WooCommerce

Smart Coupons for WooCommerce plugin offers you two different ways to configure store credits in your store.

  1. Store credit as a purchase option
  2. Option to email store credit manually

You can choose either way to issue store credit for your customers.

Store credit as a purchase option

This way you will give your customers two options for redeeming store credits. Either by shopping from your store or as a gift card that they can schedule to be sent to anyone they wish via an email.

Step 1: Create a zero priced product in your store (This product will be used to associate with the store credit later)

Step 2: 

Go to WooCommerce > Coupons from your dashboard and click the Store credit tab.

Enable extended store credit – If you enable this your customers will be able to select a template from the available options to send gift cards.

Manage tax – By enabling this checkbox tax will be calculated only on the discounted value instead of its actual value.

Purchase Store Credit

  • Associate a Product – Associate the previously created zero-priced product in this field.
  • Credit purchase options – The plugin allows you three options for store credit denomination. Predefined, custom, and both together. You can choose one and fill in the purchase amounts based on your choice.
  • Email store credit on order status – Two order statuses are available for you to choose from – completed and processing. Based on your choice the store credit email will be sent.
  • Store credit coupon format – You can set the prefix, suffix, and length of the coupon code for the store credit.
  • Click the save button to save the configuration.

Now a customer visiting your store could choose the store credit just as buying any other product from your store. Choose the store credit template form the given options, add the recipient email, message, sender’s name and date (on which the store credit email should be sent).

store credit coupon design and schedule

Once you click the add to cart button, the store credit will be applied.

store credit applied

Option to Email Store Credit Manually

This feature can be used by a store owner to manually give store credits to customers via email. When a customer asks for a refund, you can enquire them if they would be interested in receiving a store credit instead. If they agree to it, you can email them a store credit of preferred value. They can use this credit to make multiple purchases from your store.

Navigate through WooCommerce > Coupons > Store credit > Email credit

In the opening window,

  1. Enter the email address of the person you need to send the store credit to.
  2. The credit amount equivalent to store credit.
  3. A description(optional)
  4. You can check the Individual use only box to let the store credit voucher to be used with other coupons in your store or leave it empty.
  5.  And finally, click the send email button.

The customer will be able to receive the store credit coupon and redeem it by visiting the store.


Allowing store credit instead of refunds can bring a substantial increase in the revenue of your store. It’s a win-win for both customers and store owners. While the store owner secures an almost lost sale, the customer gets to spend their money on the products they want. Store owners can make the store credit offer even more tempting by offering discounts on store credit purchases.

  • Was this article helpful?
  • YesNo

Leave a Reply

Your email address will not be published. Required fields are marked *