Consumer studies show that a whopping 92 percent of consumers will buy something again if returns are easy. Your customers want to know that they can easily return the item if there is an issue. To help customers, many companies offer free shipping on returns and include the required packaging materials to make the return.
Optimizing brand value is a continued process for all companies, and a consumer-oriented return policy strengthens the value of your brand to your customers. There are many components of the return process. While the logistics of the return process is important, this article focuses on the returns from a packaging perspective.
Almost 70 percent of your customers are checking the return policy on your website before they make a purchase. This can make or break the initial purchase, as well as repeat shoppers. There are specific elements that will encourage the customer to make a purchase:
Making the return process part of your overall brand process can’t be ignored. E-commerce shopping is expected to hit a massive $4 trillion by 2020. Data forecasts that at least 30 percent of those purchases are expected to be returned, and this is on the lower end. If these customers are welcomed to the return process with an easy experience, the likelihood of a repeat customer is strengthened.
Another number that has grown every year is the number of customers who are shopping online – approximately 96 percent of America. With 80 percent of those customers shopping in the last month, it’s clear that customers are repeatedly shopping online, so building long term relationships is important.
To take it a step further, if the return process requires the customer to source their own packaging the customer is still likely to make the return but is not likely to repeat shop. If they decide to keep the product, they are still unlikely to repeat shop or recommend you to other customers.
Pro tip: When setting the return deadline, research shows that a longer deadline actually decreases the rate of returns. The argument is that the longer the customer has an item the more attached to it they will grow (this is called the endowment effect).
Many companies offer free returns, but do you currently provide return packaging materials? The options for return packaging materials are endless, but creating an effective strategy takes special attention. Contact a Hughes packaging professional to learn more about customized return packaging options for your customers. Before deciding what materials you need, consider these questions:
Some of the return packaging products that Hughes offers include:
This is where the cost analysis and logistics component plays a key role. With a cost analysis you may find that your customers with the most returns are also spending the most and justifying the expenses for the return materials and processes. A Hughes packaging professional can assist you in answering questions related to your return policy.
The overall objective with returns is to create a policy that helps your customers trust your brand, get support where needed, and provide efficient packaging materials.
Pro tip: Allow in store returns. This will encourage your customers to visit your store and increased foot traffic increases sales.
If you need assistance with your return packaging procedures, contact a Hughes packaging professional now.