Returns: 3 Reasons Why You Should Care and How You Can Leverage Them
Drive Sales and Decrease The Number of Returned Products
Products ordered online are returned 3x more in comparison to products purchased in store. With a return rate of 30%, online returns can be detrimental to a business over the long term. A return generates zero revenue and forces merchants to pour money into things like shipping fees and restocking fees. Some people might think ‘No problem, I can just pass those costs along to the merchant’ this however, is a horrible assumption. With eCommece globalizing trade, there’s always alternative products. 50% of merchants offer free returns, so if you attempt to pass those costs along to the consumer, you’ll find yourself losing a sale. For merchants selling clothing, using sizing charts to compare their sizing to more popular brands can give customers a better understanding of whether or not they’re purchasing the proper size. This drives down your return rate and creates a positive buying experience over all.
The Customer Has the Power
With 67% of consumers checking merchants returns page prior to a purchase, it’s essential that merchants clearly state their policy. By being upfront about returns consumers feel more comfortable going into a purchase. Furthermore, if merchants offer a hassle free returns process, 92% of consumers will be repeat buyers. In fact, studies show that a great returns policy and easy handling leads to greater spending by the consumer over the next two years. Consumers tend to be understanding when something doesn’t fit or they don’t like it. However, they want to know that they can easily return it. Without the ability to walk into a brick and mortar for returns, it’s essential that this process be as streamlined as possible. It's important to make sure that your customers are aware of the return process in your e-commerce advertising, so they know what to expect going forward.
Utilize a Branded Returns Portal
Empower your customer by using a branded returns portal. It’s easy to print a return label and throw it in with the items when you’re shipping it out, however, many of these labels go unused, thus wasting time, paper, and ink. With a branded returns portal customers can easily choose the products they’d like to return, enter the reason, and quickly print a label themselves. With the branded features, merchants can customize the color scheme, upload their logo, and add their social links. This engages customers in a time when they may be frustrated, creating a positive association with your brand, and can ultimately drive additional sales. Using your e-commerce advertising to make sure that people understand how the return process works and how easy it is, will give them piece of mind.