For U.S. retailers, long-term profitability is increasingly defined by customer lifetime value. One-time transactions no longer sustain growth. Repeat purchases do.
The January return surge known as Returnuary tests that loyalty. When customers return items, they are already in a fragile emotional state. Slow refunds amplify dissatisfaction.
The Where Is My Refund findings from TodayPay show that 95% of consumers would repurchase from a merchant offering an instant refund. Speed directly protects retention.
Issuing funds immediately keeps purchasing momentum intact. Customers can re-engage with the brand without waiting for their balance to recover.
Retailers that treat refunds as a loyalty lever — not just an accounting function — will build stronger lifetime value in 2026 and beyond.
Yours truly,
The Instant Refund Expert®
The Refunds Blog 