Failing to plan for returns day is a plan to fail. Many retailers heavily focus on increasing revenue for Black Friday and Cyber Monday sales but don’t prepare for Returns Day. Luckily, it doesn’t require nearly as much effort to prepare for increased return requests as it does to increase sales.
Review Your Returns Policy
Crafting the perfect returns policy to prevent returns is part art and part science. Online stores should have an easy-to-find, easy-to-understand returns policy as most shoppers these days look at the returns policy before making a purchase. Here are the key steps to writing a return policy from out in-depth return policy writing guide:
- Know The Return Policy Laws in Your Region
- Types of Returns Accepted
- Return Window
- Condition of Returned Goods
- Handling Damages and Defects
- Return Fees and Timeline
- Return Logistics
- Special Circumstances
Special Considerations for Holiday Returns
Holiday shopping tends to be done in advance compared to leisure shopping and impulse buying. Accommodate shoppers by extending the return window and consider what types of special handling and incentives are relevant to gift returns. Read more on our guide to creating a holiday returns policy.
Understand the Cost of Returns
In order to mitigate the financial damage of returns, you need a benchmark to measure success. While many store owners only consider the cost of the product, shipping, or lost revenue when it comes to returns cost, there are multiple factors attacking the bottomline. Customer service, forward logistics, reverse logistics, and wastage are among the cost factors we explore in our breakdown of return costs to retailers. You can also enter basic information about your store in the online returns calculator to get a gauge of your current returns performance.
Develop a Returns Strategy
In addition to costs, it’s important to understand the reasons for returns and the common customer profiles of returners. A good returns strategy rewards loyal customers who have high return rates and deters customers whose return habits are detrimental to profitability. Implementing returns prevention and automation software like EcoReturns can simplify your return prevention efforts and equip store managers with returns analytics. Advanced return analytics can help online businesses make data-driven decisions for their returns strategy.