Returns are an essential part of e-commerce businesses. They are also the cause of many headaches for both companies and consumers alike. This is because returns often mean extra time and cost spent processing refunds and repackaging items. Customers want to be able to return and possibly exchange with little hassle. As for businesses, they strive to create positive experiences so that consumers don’t immediately run off to other competitors. When a return is handled efficiently and correctly, it can often create a stronger relationship between the business and the customer.
Reducing returns can make your e-commerce business more efficient by reducing costs, holding less inventory, and streamlining logistics. You can learn how to reduce returns in e-commerce so that you will improve customer retention while accelerating your business growth.
How to Reduce Returns in E-Commerce
1. Write Detailed and Accurate Product Descriptions
As many as 40% of customers have indicated that they have returned a product because of inaccurate product descriptions. Simply put, they received an item that didn’t fit the description or their needs. You need to write detailed, accurate, and up-to-date product descriptions to minimize this while increasing transparency and integrity. Give the relevant specifications on what the product is, its features, and the key benefits so that customers will feel compelled to buy.
2. Take High-quality Photos and Videos
You can elevate your product descriptions to the next level by providing high-quality images and videos. Go through your e-commerce listings and ensure every product has high-quality photos. Ideally, you need at least four pictures of each product from different angles (front, back, and sides). In addition to photos, you need to upload videos. A short and straightforward 360-degree video is all you need to reduce returns for most products. If the product requires extensive and complicated know-how, then uploading a short explainer video on how to use the product can enhance the buying process for consumers.
3. Use Advanced Size and Fitting Tools
Another reason why many customers have to return a product is because it does not fit their size or specifications. Be sure to have an up-to-date size guide so customers don’t accidentally order the wrong size. In addition, you can use more sophisticated fitting tools, such as a slider that shows how the product fits most customers and a virtual room planner to show how the furniture can fit into the space. By implementing these fitting tools, you can drastically reduce the return rate while increasing customer satisfaction.
4. Ask Customers for Reviews
Customers will be more likely to buy after seeing social proof of the benefits of the product. For your business, you will need to implement an efficient process to encourage customers to leave product reviews. You could offer rewards, such as a 10% discount on their next purchase. Since 93% of customers have bought a product online after reading online reviews, this is a surefire way of ensuring that you will generate more sales. Customer reviews will also allow you to identify any potential problems or issues people might have with the product. You can quickly remedy the issues and adjust your marketing strategy and product listings.
5. Display Outstanding Customer Service
Sometimes customers might need help putting together a complicated product. When this happens, they will feel understandably frustrated and stressed, which can lead to them returning the item. You can reduce the rate of return by offering stellar customer service. Consider offering live chat or instant messaging on your e-commerce website, in addition to the more traditional methods of contact such as phone and email. This means that customers will have an instant link to your business so that queries and issues can get fixed as quickly as possible.
6. Streamline the Order Fulfillment Process
Another uncomfortable truth about e-commerce is that sometimes customers receive the wrong item. This often happens when there is an issue with the order fulfillment process. Instead of relying on spreadsheets or post-it notes to handle order fulfillment, you need a more streamlined service, such as Victory Lanes Solutions (VLS) which will take care of all the picking, packing, and shipping as efficiently as possible. Victory Lanes Solutions (VLS) will also offer high-quality customer service while preventing returns from incorrect orders and any other mistakes that may happen.
7. Use the Correct Packaging
Depending on what items you sell, they will likely need different types of packaging. Putting a product in the wrong packaging could be a recipe for disaster. Without the extra cushioning or appropriate labels, packages may get broken or otherwise deemed unusable. You can prevent this kind of return by ensuring that every product is given appropriate packaging and labels. For example, for fragile items, you should wrap them up in bubble wrap before putting them in double or even triple-lined boxes. These boxes will likely get thrown around, dropped, and even stacked under heavier objects. It can pay to take the additional steps to ensure that your products will get to their destination safely – plus, customers will likely appreciate the extra effort. Furthermore, always label the boxes so the courier knows to take extra care with them. By taking these steps, your product will likely arrive at its final destination safely.
These seven tips can help you learn how to reduce returns in e-commerce. While you will be able to reduce the number of returns, you likely won’t be able to eliminate them completely. Sometimes customers have to return an item, and it can be for a reason that is out of our control, such as product descriptions not getting read or customers changing their minds. Ultimately, how we conduct the returns process matters to increase customer retention and satisfaction. What follows are three key benefits you can gain when a return is conducted correctly and efficiently.
The Benefits of Reverse Logistics
Improved Customer Service
Companies that offer enhanced reverse logistics services can improve the customer experience. When a return is handled efficiently and quickly, it will drive increased customer satisfaction. According to this Forbes article, 95% of customers would buy from a business that offered an excellent return experience.
Enhanced Brand Image
Businesses with outstanding reverse logistics operations that include fast response times can lead to a more positive brand image. Customers are less likely to give negative feedback and might even recommend your business to others.
Lower Costs and Higher Profits
An efficient reverse logistics process can save you money. With an organized system, you will likely save transportation, marketing, tech assurance, and disposal costs. Additionally, if you can regain value from resold or recycled items, your bottom line will likely improve, resulting in higher profit margins.
Better Environmental Impact
One huge misconception about returns is that they are usually disposed of. While some items will require proper disposal, others might be able to be saved. You will reduce the environmental impact and gain a competitive advantage as an eco-friendly company.
Wrapping Up
Learning how to reduce returns in e-commerce can help skyrocket your business to new heights. Your business will have better customer retention as it generates new leads. Let Victory Lanes Solutions (VLS) become part of the solution for your fulfillment strategy. From picking and packing to kitting and assembly, we can help you every step of the day while ensuring that your customer needs are met with the utmost satisfaction. Contact Victory Lanes Solutions (VLS) to learn more!