RSS feed Get our RSS feed

News by Topic

BizReport : Ecommerce archives : February 27, 2015

Survey highlights importance of returns process to consumer loyalty

More than 90% of consumers say that the returns process offered by a retailer is very or extremely important and delivery errors can cause consumers to cease engaging with a store both online and offline.

by Helen Leggatt

Consumer experiences with the return process have been highlighted in a recent survey from voice solutions provider Voxware. In their survey of 500 consumers they discovered that more than half (57%) are returning purchases. However, those returns are due to retailer error such as being sent the wrong size, color or the wrong product altogether.

Sixty-three percent of respondents said they returned up to 10% of items they purchased online or by telephone due to retailer error or dissatisfaction. One in five (20%) said that this applied to up to 25% of purchases online or by telephone.

The consequences for retailers are far reaching with 97% of respondents saying a satisfactory returns process is 'extremely' or 'very important' in the decision to shop with a retailer in the future. That's up from 84% who cited the same in Voxware's 2013 survey.

Of the 20% of respondents who had, after returning an incorrect item, received another incorrect item in return, nearly three-quarters (73%) said they would be much less likely to shop with that retailer online or by phone again in the future. Of those who have experienced numerous return process issues, 45% said they would limit shopping with that retailer both online and in-store.

"This research proves that the majority of the time, consumers return products due to retailer error," says Keith Philips, President and CEO, Voxware. "Mistakes in the supply chain are happening all too frequently, which not only increase distribution costs, but also severely impact customer satisfaction, customer loyalty, and ultimately bottom lines. Online shopping and consumer expectations will only continue to increase. No question, the time for retailers to optimize their warehouses with wearable technology like voice software is now. Hands-free voice software has proven to significantly reduce warehouse picking errors, so retailers can readily get the right product to the right person and keep those loyal customers happy."

Image via Shutterstock

Tags: ecommerce, loyalty, returns

Subscribe to BizReport



Copyright © 1999- BizReport. All rights reserved.
Republication or redistribution of BizReport content is expressly prohibited without the prior written consent.
BizReport shall not be liable for any errors in the content, or for any actions taken in reliance thereon.