Returns management doesn’t have to be just an expense your business has to endure. It can become a part of your brand, creating separation from your competitors and becoming another reason why your customers love to shop at your stores.
But how can you design a returns management strategy that makes your customers happy and helps you save money?
Let’s look at five best practices you should consider.
Be Transparent
One of the most common sources of frustration during the returns process is misaligned expectations. If your customer finds the process difficult, or that they were somehow misinformed, that can lead to frustration and a relationship that’s hard to repair.
That’s why an absolutely crucial part of building a successful returns management strategy is to make sure that your policy is as transparent, informative, and clear as possible. You should take the time to clearly define and spell out policy details such as the timeframe, eligibility criteria, fees, authorization requirements, and anything else that may be relevant.
Make it visible and easy to find on your website, including during multiple steps in the buying process.
Make It Easy
As you’re developing a returns process, it’s also essential to look at it from the customer’s perspective, evaluating whether you aren’t creating unnecessary hoops or challenges that might deter people from going through with it.
The best returns processes are tailored to meet customer expectations. They offer multiple return options, such as in-store drop-off or mail-back labels. They also include easy-to-follow instructions. Finally, whether the return requires authorization or not, it offers a way to reach out in case the customer needs any help.
Share Updates
The returns process doesn’t end when the customer makes a request or even when they ship back the product. In fact, the time between initiating the process and receiving a refund for their purchase is when the customer will be the most anxious and impatient.
That’s why businesses should keep the customer informed about the return’s status throughout the process. You should implement a process that allows you to send automated notifications, which can include estimated shipping times, processing times, and any delays or other issues that may arise.
Make Exchanges Appealing
The best returns management processes don’t just focus on providing a seamless experience for their customers. They also create opportunities to engage the customer and offer them the possibility of exchanging their items instead of returning them.
This can be done as the customer initiates and goes through the exchange process. That’s the perfect time to provide recommendations for similar products, offering them as exchange options that the customer may find interesting instead of getting their money back.
You can also offer a discount on the product, a gift card, or other incentives that may entice the customer to consider alternatives to a straightforward return. All of these options can be opportunities for reducing the return costs, allowing you to maintain an appealing and comprehensive returns policy.
Improve Your Reverse Logistics
Most companies understand the importance of efficient logistics when handling and shipping orders. But reverse logistics, when the products are returned, can be just as impactful on how the company operates and what margins it can achieve.
That’s why it’s crucial to be deliberate when optimizing the routes of your return shipments and developing partnerships with logistics providers who can offer fast, reliable, and affordable returns solutions. You should also look for a powerful returns management solution that provides a full view of returns, their status, and opportunities to recover products and recycle them.
In the end, success comes down to treating reverse logistics just as your regular logistics, reevaluating each part of the chain, and looking for opportunities to improve without hurting the customer experience.
Bottom Line
Managing returns is not something most eCommerce companies look forward to. But they will still happen, and the way they are managed will determine the revenue, brand image, and relationship with customers.
The good news is that there are ways to make the return process painless for your customers while still maintaining control over how the items are returned, when they are accepted, and how much it costs for your business.
For a comprehensive solution that includes powerful returns management integrations with Shopify and Loop, consider ApparelMagic, offering complete control over key supply chain, logistics, warehousing, and sales processes. Schedule a free demo to get started!
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