With the continual rise of online shopping comes the need to refine home delivery to provide the best service for customers. In recent years there has been a great amount of focus on the delivery of the parcel to the customer, so much so that it is now expected to be reliably cheap and fast to receive your items.
However, retailers have been slow to adapt to demands from the other side of home delivery; returns. Customers now use their homes as the changing room, purchasing multiple items in different sizes with the aim of finding the perfect fit in the comfort of their own four walls. Recent studies have suggested that some product categories such as womens’ clothing have up to a 70% return rate. The ease of purchasing that retailers provide drives the “I can just return it” mentality of uncommitted purchases which are unlikely to become a sale, but there is still a cost to the retailer for delivery and processing of the exchange.
For the consumer it is important to know the total amount an item will cost them, including any shipping and return costs. Customers take the time and effort to read the delivery and returns policies of retailers, checking to see if it is too much of an inconvenience, too expensive or even not possible to return an item. With 55% of customers saying they would abandon their baskets if it they find them unacceptable it’s key that retailers provide good customer service for delivery and returns. If retailers’ delivery and returns policies are lacking they may lose customers and their sales.
Metapack has published a report on returns and how important implementing reverse logistics is for retailers and what is currently happening to their logistics (above). Accomplishing efficient reverse logistics is essential for stock and budget management – need to be integrated with their Open to Buy (OTB) processes (a financial budget for retail merchandise) – as well as in order to guarantee customer satisfaction. Below shows just how important returns are to customers’ online shopping experiences.
When designing the Pelipod it was clear that returns are a major factor in customers’ experience and use of ecommerce. Currently only 1% of retailers offer a combination of courier collection, parcel shop drop off and post office returns; with 38% of consumers preferring courier collection from their own home. Pelipod simplifies this process for both parties. Customers don’t have to be at home waiting for the courier and the driver is free to collect the parcel whenever suits their route best, knowing that the parcel will be there waiting for them.
With Pelipod all that is needed from the customer is a code and to contact the retailer about the return. The parcel can then be left in the Pelipod for collection by courier, which will be easier and cheaper for retailer and carrier companies to coordinate. This is the one universal and simple solution to the physical logistics of returns, resolving where/when/how to return a parcel along with keeping costs down.
Returns have to be convenient and effortless for the customer, this can be achieved with Pelipod and courier collection. With 83% of all consumers stating that they would shop more at a retailer with a simple, cheap and convenient returns process, it is key that retailers focus on this aspect of customers’ experience. Pelipod helps the customer to enjoy a hassle-free online shopping experience and this, in turn helps retailers and their sales.