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Depends on what you like. If you find the store to return it at convenient and plan on shopping there return and use some of the money on yourself. On the other hand, I will rarely return gifts, cause I don't shop much, I figure I would rather stay out of the store and the hassle of getting there is too much for me. I would rather regift it (assuming it is nice enough). I have found that if you are willing to discuss the use of the gift wth the recipient, telling them you returned it for something more you is cool, telling them you gave it away isn't. Especially on size issues, if here is anychance it was the wrong size you are instantly forgiven for having to return it. Just tell them that same model wasn't availible.
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I would probably regift. It's too much a pain in the neck to return, especially after Christmas.
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I really wasn't into regifting until recently. Now that stores are tracking our returns, and quite possibly getting ready to ban the practice in the future, its easier for me to just give the gift to somebody else who might appreciate it. Too much tracking going on, makes you almost suspicious of yourself.
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My SIL who is one of those, "buy both sizes return the other one" types, is banned from returning for cash at walmart.
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