Clear and flexible return policies is the best way to increase your customer experience and build loyalty!
Unlike in real stores, customers cannot see, touch or try the products when they are making an online purchase. Therefore, returns are part of online selling.
Setting a clear return policy can be a means to increase sales and maintain customer loyalty in the short and long term. Also keep in mind that the best way to avoid returns and establish good customer relations is to advertise products as accurately and comprehensively as possible.
Why defining a return policy?
- Limit the customer’s risk: By setting a clear return policy, customers will feel more secure about their purchase, knowing that they can return the product if it does not correspond to their expectations. Customers are more likely to make purchases if they are sure that they can return the product
- Stand behind your product: Allowing returns and refunds shows that you are confident about the quality of your products and willing to guarantee this quality to your customers. Customers can become suspicious regarding products when the retailer does not offer this guarantee
- Develop the loyalty of customers by offering an excellent shopping experience: Even if the customer is not satisfied with the acquired product, an easy and generous return policy can turn a deceptive purchase into a marketing opportunity. If returning a product is hassle-free, then the shopping experience is still perceived as good which will increase the chances of future sales
How to create efficients returns and exchanges policies?
1. Set a buyer-friendly time limit:
Buyers are more comfortable shopping with a seller who offers larger return periods (for example, 14 to 30 days). It turns out that items with friendly return policies are generally the most performant of the platform.
2. Specify the refund or exchange methods:
- Exchange Only: offering the possibility to exchange the purchased product with a comparable product will prevent you from refund process and increase your chances of getting revenue from the sale
- Cash Refunds: refunding your customers for the returned products will decrease the risk attached to the purchase for the buyer and improve his shopping experience
3. Determine who will bear the shipment costs:
Clearly state if the buyer will have to bear the shipment costs in case of return before the purchase is made in order to avoid hidden costs. While having the customer pay for the return decreases your operating costs, it also creates an additional obstacle that might negatively impact the customers’ buying decision.
When you can, offer hassle-free return option to your client!
Hassle-free return option is a great way to ensure customer satisfaction. When customers realize that there is no risk in buying from you, they become more likely to return to your store in the future.