The after-sales process is important when it comes to retaining customers, so this is an area that deserves attention on the part of the online retailer.

Research shows that returns are declining at many stores

According to a recent study that collects data on a weekly basis, it was found that the return rate of products from online stores among German customers is still low compared to data from previous years. The survey result showed that 9 out of 10 online customers prefer to keep the products they ordered. This figure is virtually the same as the previous year’s value and is only one percentage point below the 2020 figure. It is also more than three percentage points above 2018 and 2019 levels.

Returns reasons

Both research into the reasons for returns and the specific behavior of the customer during the return process are important for identifying possible measures to further reduce these processes and also avoid losing potential customers. A more detailed analysis of customer behavior shows that returns of clothing and footwear have higher return rates than other product groups. Even in this group, it was noted that response rates were only slightly higher than at the time of the Covid pandemic. What also strongly influences this product exchange issue is age and gender and some other return parameters. It showed that fashion shoppers in the online marketplace are significantly less likely to return products than multi-channel retailers. But there are also differences depending on the payment method. The return probability was lower when paying in advance and higher when buying on account. With this knowledge, it is possible to predict and manage the likelihood of returns or exchanges, leading to sustainable processes.

Returns and sustainability are discussed

Currently, it is not only returns that are being discussed, but also the sustainability of e-commerce. Tracking these surveys gives companies insight into how they can strengthen their sustainability efforts, but also highlights the current challenges posed by sustainability in online retail. Digitization is making all stages of the retail value chain more sustainable, in online business, in production and purchasing, in mail order, in distribution and returns, and also in purchasing and consumption by customers.

E-commerce is becoming more and more sustainable

It can be said that e-commerce is the digitalization engine for the economy. For many years, the growth that took place in retail was only in e-commerce. It is necessary to analyze and see how much retail has grown and what still needs to be done to make it more and more sustainable.

Returns – disadvantages for the seller

What is convenient for the customer in this case is time-consuming and expensive for the seller. The return costs are usually borne by the reseller. Not to mention that they have to check upon receipt whether the returned goods are still new and complete. The time and money involved is a serious problem for smaller retailers, as return shipping costs tend to be higher for them than for large suppliers.

eBakery agency

If you have any further questions about returns, please contact our agency eBakery, we will be happy to advise you.