Boosting Sales with a Customer-Friendly Returns Policy
In recent years, parcel returns have become increasingly important for businesses, as customers expect a hassle-free returns experience. According to a survey by UPS, 73% of shoppers have reviewed a company's return policy before making a purchase, and 68% have actually decided not to buy from a company based on their return policy. Therefore, having a solid returns policy in place can be a critical factor in attracting and retaining customers.
Returns also play a significant role in the supply chain, as they are a necessary part of managing inventory and keeping customers satisfied. When a customer returns an item, it needs to be processed efficiently so that it can be restocked or disposed of properly. Failure to do so can result in lost revenue, increased costs, and dissatisfied customers.
Despite the importance of returns, many companies have not fully developed or structured a solid returns policy. At ShipMatrix, Inc. / SJ Consulting Group, Inc., we have seen this first-hand. Some companies do not have clear instructions on how to return a package, while others have limited options for returns. This can result in confusion and frustration for customers, which can ultimately harm a company's reputation.
A good returns policy should be customer-centric, easy to understand, and convenient. This can include offering multiple return options, such as in-store returns, drop-off locations, or mail-in options. Providing prepaid return labels can also make the process more convenient for customers. Additionally, a well-structured policy should clearly outline the return process, including instructions on how to package the item and where to send it.
A solid returns policy not only benefits customers but can also be a competitive advantage for businesses. Companies that offer hassle-free returns can differentiate themselves from their competitors and build customer loyalty. In fact, a study by Narvar found that 95% of customers who had a positive returns experience would buy from the same retailer.
Learn more about customer friendly returns policies in the next article.