14 Nov
What Is Ecommerce Returns?
You need a reliable system for order fulfillment, inventory management, warehousing, shipping, and—most importantly—a reliable and lenient ecommerce returns policy to run a successful online business. Your business depends on managing ecommerce returns, therefore you must put the necessary procedures and plans in place.
Customer returns in ecommerce refer to sending the order back. Numerous factors might contribute to this, and it is important to understand what they are. Every sector deals with returns from online sales. Online shoppers don’t always realise what they’ve purchased until they receive their orders.
People frequently return goods because they had different expectations or because they were harmed in the fulfillment and shipping process. Ecommerce returns management can be time and labor-intensive. Before restocking your inventory, you must examine, fix, and process each returned order.
Meteor Space and other top 3PL companies can help you make sure your clients never receive damaged goods and are always happy with the service. Additionally, we handle all ecommerce returns for you, giving you the time and tools you need to concentrate on expanding your business.
The Latest Statistics For Ecommerce Returns
1. After a negative returns experience, 84% of UK ecommerce customers say they won't buy anything else from a certain merchant again
The majority of UK internet customers are now more wary than before following a negative returns experience. For ecommerce companies operating and delivering in the UK to keep their consumers, it is essential to offer online buyers a smooth returns experience.
2. Online shoppers anticipate being able to return things within 30 days after purchase, with 62.58% of them having this expectation
Online shoppers expect ecommerce companies to provide them with the easiest returns process available. As an online shop, it’s critical that you permit returns from clients within 30 days rather than a limited window like 7 days.
3. The bulk of ecommerce returns happen in January
The holiday season offers happiness and joy to all, but it also causes stress for ecommerce companies. When consumers finally have time to sort through their holiday gifts and select which ones they want to keep and which ones they are most likely to return, which is usually in January, the majority of returns take place. Because of the astronomical rise in return rates for online stores in January, ecommerce companies have a difficult time.
4. If they have the option to return the items to the actual store, about two-thirds of online customers are more inclined to purchase online
The majority of people prefer hassle-free returns experiences, and taking items back to a physical store is much less stressful than using an online retailer’s return policy. Because of this, customers are more likely to purchase goods from online retailers who accept in-person returns or exchanges. Numerous customers will only buy from an online retailer if they have the opportunity of returning their purchases in-person. Knowing that they can return to the store and choose something they will appreciate more if they are not satisfied encourages them to make the initial purchase.
5. 58% of internet buyers prefer a "no questions asked" returns policy because it makes their experience hassle-free
A hassle-free returns policy is desired by over 60% of internet customers. They want to be able to return a package they purchased from your online store without having to complete a survey, respond to any questions, or pay for return shipping or repackaging fees.
6. Around the world, 30% of online consumers purposefully overbuy and then send back the products they don’t need
One of the worst online purchasing behaviours is to purchase a variety of items, decide which one you want to keep, and then send the others back. This is another factor contributing to greater return rates in ecommerce stores. People will order the same thing in several sizes or colours, choose the one they want to retain, and send the rest back. Although having a lax return policy can increase sales for your shop, it also has drawbacks like these.
7. Before making a purchase from an online retailer, 67% of consumers will review their return policy
More than half of your online customers will read your return policy before deciding whether or not to make a purchase from your online business, thus it is crucial that you have the best return policy in place. Your return policy must make their shopping and ecommerce returns experience convenient and straightforward for them to be more likely to purchase from your ecommerce firm. It’s critical to express your return policy in simple, understandable language. Additionally, your return policy should be prominently displayed on your website so that clients can locate it.
8. In the United States, only 8% of online purchases of music, movies, books, and games were returned in 2021
Some categories experience a generally low return rate. For instance, since customers already know what they are getting when they order these things, books, games, music, and movies are not frequently returned. Some returns may be necessary because the products, like books, were damaged in transit.
9. Clothing returns are the most common type of ecommerce returns
It should come as no surprise that when it comes to online shopping, apparel goods are the most frequently returned. When ordering apparel, there are several potential problems. For instance, the buyer might wish to size up or down, dislike how the item fits, want the colour changed, and many other reasons. The majority of returns are dealt with by ecommerce companies who sell goods online.
10. Clothing accounted for 26% of all returned goods in the United States in 2021
There are many different products accessible for online purchase because of the sizable ecommerce market in the US. Apparel had the greatest percentage of returns out of all the products since purchasing clothing online is always risky and customers frequently change their minds before or after receiving their order.
11. The return rates in some online clothing markets might reach as high as 50%
Running an online store in the fashion industry is a difficult path to tread. You should be ready for significant return rates when you start selling clothes online. These high return rates are a result of a variety of circumstances. However, offering 3D product visualisation and utilising augmented reality on your ecommerce website will assist online shoppers in making the best choice and decrease the amount of ecommerce returns for your business.
12. In the United States in 2021, return rates for shoes were second-highest
When you buy shoes without trying them on, you run the risk of being disappointed. Your online clients are uncertain about a number of things, including how it will fit them, how comfortable it will be, whether the colour will match the product image, whether the heel size is what they expected, and many other things. Shoes are the second-most often returned item in ecommerce businesses, and this trend is likely to continue.
13. 23% of online buyers receive the wrong goods
Your online clients will return the goods if they receive the incorrect order or items. The average return rate for an online store is 23%, which could affect your business.
14. 20% of orders experience damage or failure during shipping
To prevent delivering damaged goods to clients, it is crucial for an online retailer to transport orders in high-quality packaging materials. If you want the return rates for your ecommerce store to remain low, regular quality inspections are also essential.
15. 22% of online buyers get products that don’t look exactly like they do on the website
As an online retailer, you should constantly try to make your product images as accurate as possible. Your ecommerce store may have higher return rates if a significant portion of your consumers return orders because they believe the item does not look exactly as it does on the internet.
16. Online returns are made for 35% of other reasons, such as delayed delivery
35% of internet shoppers return purchases for a variety of additional reasons. The late delivery of goods is one of the key causes. It is likely that your order will be returned to your store if it does not arrive to the consumer when you promised.
17. On the Amazon marketplace, the typical rate of return ranges from 5% to 15%
Between 15% and 5% of returns are processed through Amazon on average. The return rate, however, might range from greater than 15% to less than 5% for the different categories. People return things more frequently on Amazon because of its lax return rules. However, Amazon has the right to block or restrict an account if a user returns things more frequently than usual.
18. Shopify states that since adopting 3D product visualisation, there has been a 40% decrease in product returns
In the world of ecommerce, 3D visualisation and augmented reality have truly changed the game. Before placing an order, online shoppers can now see and inspect products much more clearly, knowing exactly what they will receive once the purchase is delivered. The user experience of your ecommerce store can be significantly enhanced by using 3D visualisation and augmented reality, which can also lower your online store’s return rates.
19. 10% of Amazon items were returned by customers who did not like them
A customer may return products purchased online for a variety of reasons. Unexpectedly, 10% of the products were returned by online buyers who did not like them after receiving them, according to Amazon data.
20. Chinese ecommerce behemoth Alibaba said in December 2020 that 85% of all items sold on the online marketplace will be eligible for returns
Chinese marketplaces’ return policies have always been convoluted, with the majority of sites not even allowing for returns. However, in a historic move, Alibaba, the behemoth that controls the majority of China’s ecommerce sites, announced that 85% of the items sold there will be subject to returns. Perishable things including food, beverages, and other items are some of the items that cannot be returned.
21. Customers returned 34% of Amazon purchases because they were the wrong colour, size, or fit
Amazon offers a wide range of products for sale online, including clothing, shoes, and accessories. As a result of the possibility that buyers may receive the incorrect size, colour, or fit, return rates for these items are typically higher. Because of this, it’s critical that you offer accurate size charts on your online store and inform buyers of the precise size they should order. As an online retailer, it’s essential to avoid shipping customers the incorrect order by making mistakes when packing their orders.
Strategies For Managing Your Ecommerce Returns
When it comes to returns, it’s a lot easier said than done. That’s why it’s important to implement good return strategies to increase customer satisfaction and loyalty. There are many ways to return an item to the store, including shipping it back to the store for free, sending it back to the company warehouse for free, or having a 3PL fulfillment centre manage your reverse logistics.
It is important to keep in mind that returns are a crucial part of any ecommerce business and with a 3PL, returns can be a much smoother process. Here are just a few of the top strategies for ecommerce returns.
Ecommerce Returns To Your Physical Store
The return process is one of the most important aspects of ecommerce. If you have an ecommerce website, you will be doing thousands of returns a year. To make the process as efficient as possible, it is important to have a return process that is as easy as possible. This can be done by having a return process that requires minimal effort to do, like picking up returns in the store.
However, this is not always the best option. To make the process more efficient, you might have a website that has a return address and shipping label that can be printed from the website. This way, you can return items to your physical store. This can be a huge help in managing returns.
Ecommerce returns are a huge headache for most ecommerce companies. There are so many reasons why they happen and with so many different methods that people use to return items. However, the top strategies for ecommerce returns that you should start to implement are returning the items to your physical store, creating a dedicated return centre, and creating a return guarantee.
Return The Items Back To The Warehouse
One of the ecommerce returns strategies used by businesses often is sending the items or orders back directly to their warehouse instead of their physical stores or anywhere else. However, it is important to keep in mind that this might not be the best option, especially if you are trying to make your reverse logistics operation more efficient or want to reduce your costs.
When an item is returned to the warehouse, the team has to put in a lot of time and effort to determine the best course of action. The team must first understand what happened with the order, whether the items were damaged, or if the customer changed their mind. If any of these were the case, then the team will want to contact the customer about the best course of action.
If the customer has already been contacted and the items are in good condition and the customer has not changed their mind, then the team has to organise the items for shipment. The team must then process the items for return to the customer. The team must also contact the customer to arrange the return of the item. The team must then prepare the items for shipping and make sure the customer receives the items.
Outsource Your Ecommerce Returns Management
One of the most tedious tasks for ecommerce managers is managing returns and customer service. Asking your customers to fill out a return form and wait for a response can take weeks or months. To get the most out of your customers, you need to take control and automate your returns process.
Ecommerce returns are a pain point for companies large and small. Whether you have an online store or a brick-and-mortar store, the process of returning orders can be time-consuming and costly. The solution to this problem should be to hire a 3PL partner to manage your returns. There are many benefits to outsourcing your returns.
Your 3PL partner will help you get your returns processed quickly and more accurately. In addition, your 3PL partner will help you avoid the financial pitfalls of handling returns on your own, subjecting you to additional fees and chargebacks. There are many 3PL providers out there, but one of the best options is Meteor Space.
The Best Practices For Ecommerce Returns
If your business is selling something on the internet, you know it’s a challenge to get the return process right. This is especially true, when you sell to consumers in the ecommerce world. However, there are best practices that you can use to ensure that your customers are treated fairly and you are safeguarding your business against ecommerce returns fraud. Let’s find out a little more about the best practices for ecommerce returns.
1. Safeguard Your Business Against Ecommerce Returns Fraud
Ecommerce returns are a fact of life for many online retailers and brick & mortar retailers, but it is important to safeguard your business against online returns fraud. There are two ways to safeguard your business.
First, you should always have an easy-to-find phone number on the website where the customer can call and ask any questions that they may have.
Second, ensure that you have a tight inventory and high-quality products. By doing these things, you will keep your business safe from ecommerce returns fraud.
It has been estimated that for every $1 lost to fraud, retailers lose about $12. It is hard to decide what to do when your customers are requesting returns on your items. You can’t put up a sign that says no refunds. You should always offer a refund to your customers.
However, this is not the best way to handle returns. There are many ways to handle returns that will help you to avoid fraud. For example, if you set the bar high with your return policy, you’ll start to see fewer returns that are fraudulent.
Ecommerce returns fraud is a growing issue. In order to protect your business against returns fraud, you need to create an ecommerce returns strategy that is favourable for your business as well as your customers.
2. Your Ecommerce Returns Process Should Be Sustainable
When you sell online, you want to make sure that your return process is as seamless as possible. However, there are a lot of companies that struggle with this, and it can sometimes lead to customer dissatisfaction. In order to make sure that your return process is sustainable and to avoid this, you need to make sure that the process is clear and the customer is informed.
Start by being transparent with your return policy. In order to do this, you should define your policy upfront and make it as easy to find as possible. You should also provide your customers with a good amount of information about your return options. Your return process should also be clear, especially if you are asking your customers to return an item.
It is important that you provide your customers with information on how long they can expect to get their refund or their replacement product. The best way to be sustainable is to make the process a customer-centric one. This means that your process should be customer-focused and not an internal process.
The customer should be able to easily return items, even if they are not purchased online. You should be able to do this by having a return label on the packaging. You should also consider creating a process that is easy for the customer.
3. Customers Should Be Updated About The Status Of Their Ecommerce Returns
Ecommerce returns are incredibly common, but there are few things that can go wrong. The best practices for ecommerce returns are very important for your company’s success. If your customers are unaware of the status of their return, they may be hesitant to purchase from you again. That is why it is important to have the best practices for ecommerce returns in place. The customer should be updated on the status of their return as soon as it is received.
It is also important to follow up with the customer after the return has been received to ensure that they are satisfied with their product. A customer’s satisfaction with their return shouldn’t depend on how quickly they receive the product. It should depend on the quality and customer service they received.
In order to help reduce the number of returns and make your customers happy, it is important to keep them informed about the status of their returns. Keep your customers updated about the status of their returns at every step. You can use a text message, email, or a phone call. Make sure that you provide updates in a timely manner.
4. Pack And Ship All Orders Securely
When you ship an order, you want to make sure that it arrives to the customer without any issues. In order to ensure that happens, you need to pack and ship the order securely. The best practices for ecommerce returns include packing the order with packaging materials and using a reliable shipping service.
You should also make sure that you’re using a return label that you have access to without having to send it to the customer. When it comes to ecommerce returns, you should ensure that you’re using the return label that is more convenient for your customers. This will ensure that the customer is not erroneously charged or that they are not asked to pay a service fee.
If you are packing and shipping, then you should also be tracking if the package is moving forward. There are many ways to track your packages. One of the most popular is through an online tracking system and technology that can be provided by a leading 3PL, like Meteor Space. It is important to keep your customers happy and make returns work as smoothly as possible.
5. Provide Accurate And Detailed Product Information
If you’re an online retailer, you want to make sure that your customers are always satisfied. Providing accurate and detailed product information on your website is part of achieving that goal. If you don’t have accurate product information, you’ll end up with more returns.
For example, if you have a dress that is sold as a size small, but the small is actually more like a medium, you’ll get returns. If the size small is listed as a size XXS, you’ll end up with more returns. If the size small is listed as a size XXL, you’ll end up with more returns.
When it comes to your website, make sure that your product description is accurate and that the sizing is accurate. It’s important that your website includes detailed information about your product. When you have returns, it’s important to make sure that your website is clear, accurate, and comprehensive.
6. Utilise 3D Visualisation And AR Technology On Your Ecommerce Website
Online shopping can be a fun and easy experience, but sometimes it can also be a frustrating one. In order to make sure that your customers are fully satisfied with their purchases, you should use 3D visualisation and AR technology on your ecommerce website.
These tools are the best tools to use because they help to increase conversions. This will also make sure that your customers feel like they are getting the perfect purchase, and they will not feel like they are wasting their money.
You can use these two new technologies to build products that the customer can visualise and interact with before buying. Using these technologies will help your customers better understand the product that they are buying before they place an order and will lead to more trust in your company.
7. Extend Your Ecommerce Returns Window
Every merchant wants to provide a best-in-class customer experience on their website. However, there are many challenges that need to be overcome when it comes to returns. For example, if you want to provide a great customer experience for returns, it is important to be able to extend your return window.
If you’re looking for ways to extend your return window, then you should consider using a 3PL. A 3PL is a company that specialises in picking, packing, and shipping large quantities. They are able to handle returns in a way that keeps your customers happy and your inventory from being put at risk. Furthermore, the 3PL can help with the returns process.
For example, they can send you a notification when your return is processed, which will allow you to update your inventory. In addition, they can handle the returns process which can help you with your customer service.
8. Automate Your Ecommerce Returns Process
The best practices for ecommerce returns are to automate your ecommerce returns process. This means that you should be able to set up a return process that will be automated and will not require any human interaction. If returns are not automated, then you will need to train your staff on how to process returns, which will be a large time commitment.
This is one of the best ways to handle returns because it will help to reduce the amount of time you spend on returns, as well as the amount of money you spend on returns. It also helps to improve the customer experience. In order to automate your ecommerce returns process, you need to create an inventory management system.
This system will help to keep track of the products that you have in stock and when these products are about to expire. The inventory management system will also help to identify the best days and times to send out an email to your customers to notify them that their products are about to expire and much more.
9. Allow Customers To Return Gifts
Nowadays, it is becoming more and more common for people to return products. Some companies are trying to avoid the hassle of returns by making their returns process difficult or complicated.
However, if you want to be successful with ecommerce, you need to make your returns process as simple and painless as possible. In order to do that, you need to make sure that customers can return their gifts with ease. It is important to have as many options as possible.
You can make it an option to have returns shipped to the same address, or you can even have it as an option to have a customer pick up the item at your location. The more options you have, the better.
Make sure you’re giving your customers the opportunity to return gift items by offering special gift receipts that can be used. This will allow them to be more comfortable about the purchase.
Allow for returns for up to 30 days, but make sure that your return policy is easy to use. If a customer wants to return the gift, they should only have to email or call you and the process will be smooth.
Meteor Space: A Leading Solution For Your Ecommerce Returns And Fulfillment
One of the best ecommerce fulfillment and warehousing facilities in the UK is Meteor Space. We offer complete ecommerce fulfillment solutions, which include ecommerce returns. With our assistance, you won’t ever have to worry about employing people or wasting time on returns management because we take care of everything for you!
We have years of expertise working with ecommerce companies, which has aided us in creating tactics and strategies that boost sales for your company and enhance client retention. Our knowledgeable staff knows how to handle ecommerce returns in the best way possible, ensuring that any returned items are swiftly restocked from your inventory.
You can advance your ecommerce company with our assistance. We comprehend that ecommerce returns play a sizable role in your company’s operations and order fulfillment procedure. High return rates might have a negative impact on your business, which is why we offer the best services to guarantee that your customers are consistently happy with their orders.
We give our clients comprehensive solutions as one of the best ecommerce fulfillment companies in the UK and Europe. We offer a wide range of ecommerce fulfillment services for your company in addition to ecommerce returns, ensuring that you have all you need to develop and be successful in your industry.
Ecommerce Returns FAQs
This is dependent on several elements, such as your product category, the quality of your goods, and even delivery periods. However, you should be aware that, especially when compared to traditional brick-and-mortar stores, the likelihood of a buy-and-return for ecommerce is relatively high. Additionally, the return rates are probably to be higher in your store if there are more items available.
Your ecommerce returns process should be sustainable. In order to make it sustainable, you need to be transparent and provide your customers with the information they need. You should provide information about your return policy and the process they need to go through. It is important to make sure that your process is sustainable. This means that you need to make your process accessible and easy for your customers, as it will help them make the right decision.
It is also important for your customers to know the status of their return. This can be done by providing your customers with a return number. This helps to alleviate any confusion. It also gives your customers the peace of mind that their return will be handled by a process that they are familiar with. Your customers should not be surprised when they get an email with a return number. Just be sure to make sure that you have a return number that your customer can recognize and easily associate with their purchase.
One of the best practices for your ecommerce returns is to provide accurate, detailed product information on your website. You should also provide a detailed return policy and a customer service number. This is one way to make your customers happy, and to improve your company's reputation.
Go for it if you really want favourable customer reviews. It is not only pricey when it comes to the free return fulfillment procedure, but it also raises the possibility of return fraud. So, it would be wise to forego free returns if you are a new company. Free returns, on the other hand, are the way to go if you are a larger establishment or a member of an industry that typically does give them (such as fashion).
The nature of your online store will determine this as well, and you are free to define the return period's length at your discretion. Online returns are often permitted for 14 days to three months in ecommerce retailers. However, whatever cap you do decide to impose on returns, be sure it complies with the legal minimum.
Yes! Free returns essentially equate to free postage, so you still have to pay for return freight. Free returns are therefore not advised for small enterprises or companies who are having financial difficulties.
Every ecommerce company deals with returns! Even if you are completely successful, following all the rules, and experiencing no issues with your workflow, you could occasionally receive returns from customers who simply changed their minds about a purchase. Preparation is what is required in this case. Your fulfillment process needs to be optimised so that it's easy for both you and your consumers to use. Exactly at this point, Meteor Space steps in to simplify things for you. Your product logistics are simplified, and the entire return process is streamlined, making it quicker and simpler to complete.
The average number of returns for your products is shown by a rate of return. This can be calculated rather simply by multiplying the number of returned things by the total number of sold items, then dividing the result by 100. Keep in mind that this number should ideally be lower than 30%. If it is greater than 30%, you should concentrate on reducing the amount of returns you are receiving for your products because it not only indicates an issue with your fulfillment process but also predicts a potential future decline in customer satisfaction, which must be prevented at all costs.
Your operations will determine this. Enter the necessary information on our website, and we'll immediately provide you with a quote. This quote will help you determine how to fit Meteor Space ecommerce returns solutions into your budget.
