Cost cutting, I don’t mind too much if done carefully.
Prices going up? A bit of a pain, but everyone is trying to survive.
Reducing features on an established product – shaky ground here, especially if it isn’t made completely clear.

Prices going up, reducing features AND not making it clear that your “re-order” will be the “new” product. Very poor.

All that PLUS making out that it’s 100% the customer’s fault when they express their disappointment. Not good.

This is the sort of position where, I think, I would take a hit on the bottom line to keep the customer relationship. I’d say – “Look, I’m really sorry you were disappointed with your product, send it back and we’ll refund you”.

That would be preferable to offering a refund (but not for carriage paid – around £20 down the pan), and saying that they can produce the old product but there will be a setup charge (£25), minimum order of 200 units (that’s about a year’s worth) and 2-3 weeks lead time.

They could have just not changed it. Time for a new supplier, I think. Good job one of the biggest trade shows is coming up soon.