Over half of consumers see ‘easy’ returns as very important while 84% believe the returns experience dictates whether they purchase from a retailer again
As retailers enter the final stages of the pre-Christmas shopping period, it is vital they have adequate returns capacity in place to cope with the volume of returns they are likely to receive. This is the view from nShift, the global leader in parcel delivery management software after reports suggest as many as 1-in-3 shoppers will send back their Black Friday and Cyber Monday bargains[1].
The DeliveryX Returns 2024 report, conducted in partnership with nShift, also found that 54% of consumers see ‘easy’ returns as very important. Returning items is also a trend on the increase. The impact of a retailer's returns offering not meeting consumer expectations is significant. Indeed, 84% of consumers say a poor return experience will lead them to stop purchasing from a brand[2].
Maarten Tops, product director enterprise at nShift said, “Returns are an inevitable part of retail today but they are a huge cost to retailers. However, with the right returns strategies in place retailers can reduce the revenue hit to ensure items go back on shelves and back out to customers as quickly as possible.”
Returns as a business driver
While returns are inevitable, there are ways retailers can benefit if they have the following strategies in place:
- Make returns easy – operating a simple digital returns process gives shoppers confidence in the brand. It also makes it easier for the retailer to track patterns and work out why items are being sent back
- Convert returns to exchanges – a consumer-friendly returns interface makes it easier for the customer to exchange the item they are sending back for something else from the brand or retailer. With the right returns software, ecom companies can automate the process of offering an exchange. nShift Returns customers typically convert 30% of returns to exchanges, helping retailers retain revenue
- Maximize loyal customers - A digital returns process makes it easier to spot the difference between someone who will always return goods and the potentially loyal customers who will only send goods back for very good reasons.
- Offer a tailored approach - where a range of offers are targeted to different customer groups. This might include recommending alternative products for exchange or inviting customers into stores to see different options for themselves
- Drive customers in-store – a digital returns process makes it easier to give customers the opportunity to take their items back into the store. Here they will speak with a member of staff who can encourage them to exchange the item. The customer will also encounter additional products and marketing messages in-store
Tops concluded, “A good returns policy doesn’t have to be complicated. But it’s vital that it’s user-friendly for the shopper. If the customer relationship begins when a non-customer goes to the online checkout and clicks on the buy button, then the first test of that relationship is how the retailer deals with requests to return the goods.”
ENDS
[1] https://channelx.world/2024/11/return-tuesday-for-black-friday-cyber-monday-regrets/
[2] https://internetretailing.net/84-of-shoppers-will-reject-retailers-that-deliver-a-poor-returns-experience-23214/
