Dive Brief:
- Half of consumers feel companies’ return processes have become easier to navigate in recent years, according to a FedEx and Morning Consult survey of 2,200 U.S. consumers and 1,000 U.S. business shippers released last month.
- Two-thirds of consumers consider a retailer’s return policy in their decision to make a purchase. Flexibility and convenience are particularly important differentiators, according to Jason Brenner, SVP of FedEx’s digital portfolio.
- “Offering multiple return options such as in-store, home pickup, and drop-off locations can make the process more convenient for consumers while optimizing logistics,” Brenner said in an email.
Dive Insight:
Companies and customers can benefit from convenient, well-managed return policies.
Digital return management, where customers initiate returns through an app or online portal, can make the process easier for consumers while streamlining operations for the business, according to Brenner.
Companies may want to incentivize exchanges or store credit over refunds as well. The added flexibility improves the customer experience while reducing the cost of processing returns, according to Brenner.
Though flexibility is important, respondents were most likely to return items directly to the store where they were purchased. Nine in 10 consumers say they feel at least somewhat confident making returns at the store where the item was purchased, the survey found.
“As an ancillary benefit for businesses, returning in-store provides an opportunity to browse, which can lead to additional purchases,” Brenner said. “Retailers can enhance this experience by offering dedicated return areas, self-service kiosks and seamless integration between online and in-store purchases.”
Companies may want to pay attention to how different demographics feel about their return experience, too.
Three in 5 consumers with household incomes above $100,000 and nearly as many millennials feel return processes in general have improved, making them the most optimistic, according to the survey. About 1 in 5 Gen X, Gen Z and lower-income consumers say returns have become harder.
Clear and proactive communication is the key to improving consumers’ perceptions around returns, according to Brenner.
“Transparency around timelines, refund processing and any associated costs builds trust, while proactive messaging, such as automated return status updates, keeps consumers informed and enhances their post-purchase experience,” Brenner said.
Return policies should be easy to find and understand and use straightforward language across checkout pages, email communications and receipts, according to Brenner. Visual aids like infographics or videos can be helpful as well.
