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Optimising E-commerce Returns with Out of Home Solutions

February 8, 2024

E-Commerce Returns is a significant challenge for all types of businesses, with high return rates having financial and logistical implications. A customer-friendly returns policy is essential for building trust and loyalty with customers and helps optimise the returns process for businesses. This blog provides tips to reduce returns and promote an easy returns policy through Out of Home (OOH) solutions.

Get started in providing an easy and hassle-free Responsible Returns solution for your marketplace now!

Understanding the Impact of E-commerce Returns

E-commerce returns have been on the rise in recent years, with customers returning products for various reasons such as incorrect sizing, damaged goods, or simply changing their minds.

E-commerce returns can range from 20% to 30% of all orders.

This is according to a report by Shopify. This trend is expected to continue, making it essential for e-commerce stores to have a robust returns policy in place.

Returns can result in lost revenue, additional shipping costs, and inventory management challenges. Additionally, processing returns can be time-consuming and require additional resources, such as customer service representatives and warehouse staff.

The Advantages of a Customer-Friendly Returns Policy

22% of consumers still see returns as difficult or very difficult

This is according to our recent study, Rise of Delivery Choices.

A customer-friendly returns policy not only builds trust and loyalty but also demonstrates the business’s commitment to customer satisfaction, going the extra mile for a positive shopping experience. A hassle-free returns policy can also enhance their overall shopping experience. It can provide peace of mind and reduce the anxiety associated with making a purchase online. As a result, your policy can increase customer satisfaction and encourage repeat purchases. Customers are more likely to return to a business that offers a hassle-free returns policy.

Leveraging OOH for a Seamless Returns Process

Alternative delivery options such as incorporating OOH locations for customers to drop off their returns at a designated location of their choice, such as a convenience store. OOH is a convenient and flexible option for customers who may not be able to return items during regular business hours and provides greater flexibility in terms of where and where parcels can be returned.

Incorporating and OOH network in the last mile delivery process presents an array of benefits for your customers, such as:

Convenience and flexibility for customers.
OOH locations is the alternative to traditional delivery methods and is designed to place the control back in consumer hands and allow them to dictate how and when they drop off their parcels. Customers can return their parcels at a location that is convenient for them, without having to worry about shipping costs, scheduling a pickup or deviating too much from their daily life to do so.

52% of shoppers surveyed would prefer to drop off returns at OOH (Out of Home) locations, highlighting a significant gap between consumer preferences and market offerings.

Cost-effective and efficient returns handling for businesses.
OOH can be a cost-effective and efficient returns handling option for businesses. It can streamline the returns process, allowing businesses to process returns more quickly and efficiently.

Educating customers about the benefits of opting for OOH locations for returns can increase awareness and usage. Highlighting these benefits in marketing materials can also encourage customers to use this returns option.

Tips to Reduce E-Commerce Returns

While OOH as an E-Commerce Returns option may provide convenience for customers and efficiency for businesses, there are also other ways to help reduce returns for your business.

Accurate Product Descriptions and Images
Providing detailed and comprehensive product information can help reduce returns. High-quality images can also showcase products accurately, reducing the likelihood of returns due to incorrect product expectations.
Size Guides and Measurements
Offering clear size guides for clothing and footwear can help customers make informed purchasing decisions. Including measurement charts for other products can also reduce the likelihood of returns due to incorrect sizing.
Customer Reviews and Ratings
Encouraging genuine customer reviews and feedback can provide valuable insights into product quality and customer satisfaction. Addressing negative reviews can also help improve products and services, reducing the likelihood of returns.
Interactive Customer Support
Implementing live chat and chatbots to assist customers in real-time can help address customer inquiries and concerns promptly. This can reduce the likelihood of returns due to customer dissatisfaction.

Crafting a Customer-Friendly Returns Policy

Everything starts with creating a clear and transparent e-commerce returns policy. Clearly stating return conditions, timeframes, and procedures can help customers understand the returns process. Avoiding hidden fees or complicated return processes can also reduce customer frustration and the likelihood of returns.

Providing multiple returns options is also as important as providing delivery alternatives, such as Click and Collect. Introducing OOH as a convenient return method can provide customers with a flexible and convenient returns option. Allowing returns through mail or drop-off locations can also provide customers with additional options.

Continuous Improvement and Feedback

Continuous improvement and feedback are crucial for reducing ecommerce returns and promoting a customer-friendly returns policy. Analysing return reasons can provide valuable insights into product quality and customer satisfaction. By identifying common reasons for returns, e-commerce stores can implement improvements based on feedback, reducing the likelihood of returns.

For example, if customers are returning products due to incorrect sizing, e-commerce stores can provide clearer size guides and measurement charts to help customers make informed purchasing decisions. If customers are returning products due to damage during shipping, e-commerce stores can work with their shipping partners to improve packaging and handling procedures.

Monitoring return metrics is also essential for evaluating the success of the returns policy. Tracking return rates and associated costs can help businesses identify areas for improvement and make necessary changes. For example, if return rates are high for a particular product, e-commerce stores can evaluate the product’s quality and make necessary improvements.

E-commerce stores can also evaluate the success of their returns policy by monitoring customer feedback and reviews. Addressing negative reviews and feedback can help improve products and services, reducing the likelihood of returns and increasing customer satisfaction.

Collaborating with Reliable OOH Delivery Providers

Collaborating with reliable OOH delivery providers, such as HUBBED, for smooth returns can ensure a positive customer experience. HUBBED is a leading last mile delivery provider, offering a network of over 2500 locations across the country and internationally. By partnering with HUBBED, e-commerce stores can provide customers with a convenient and flexible returns option, increasing customer satisfaction and loyalty.

Ensuring a broad network of OOH locations for customer accessibility is also crucial. Customers should have access to multiple OOH locations that are already part of their existing lifestyles, including fuel stations and grocery stores. This provides customers with flexibility and convenience, reducing the likelihood of returns due to inconvenience or shipping costs.

Partnering with multiple OOH providers can also increase the accessibility of this returns option. By collaborating with multiple providers, e-commerce stores can ensure a broad network of OOH locations, providing customers with more options and increasing the convenience of this returns option.

Get started in providing an easy and hassle-free Responsible Returns solution with HUBBED now!