4 Tips for Managing Return Orders
If you own an online store or deliver goods to customers, you have certainly encountered return orders. Incorrect order delivery, customer regret, or even a request for product exchange by the customer are just a few reasons for order returns. According to statistics from Jungleworks, about 79% of people worldwide expect to return goods for free when they decide to do so, but only 49% of online stores offer free returns to their customers.
Alongside these statistics, various studies show that offering free returns significantly impacts repeat purchases by customers. Additionally, over 60 percent of individuals review the exchange or return policies before purchasing from any store.
All these factors indicate that although returns or product returns are common among online stores, if not managed properly, they can lead to a loss of customer trust and consequently, business profit. Conversely, a well-planned strategy for return orders can help maintain customer loyalty.
There are many methods for planning and properly managing returned orders that can greatly benefit your business. In this article, we explore 4 key strategies for managing these types of orders.
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Important Points to Know When Managing Returned Orders
Before managing returned orders, we need to review the processes of your store or business. In most cases, addressing process issues can significantly reduce returned orders. The following questions will help you review your processes.
1- Are your customers satisfied with how you deliver orders?
Many returned orders are due to issues related to delivery. Poor delivery that results in product damage or incorrect order delivery to the customer are primary reasons for order returns. By reviewing the shipping process, you can reduce a significant portion of returns.
2- Have you researched returned orders?
By researching the reasons for order returns, you can identify your biggest issues and optimize the number of your returned orders by examining these factors.
4 Strategies for Managing Returned Orders
1- Identify the Type of Returned Orders
Returned orders can be categorized into two types: manageable and unmanageable. Manageable orders are those that you can prevent from occurring. For example, low product quality, incorrect order delivery, delayed delivery, improper packaging, and incorrect information leading to wrong delivery are just some of these orders. In contrast, unmanageable orders are those beyond the business's control and directly related to the customer. For instance, changes in customer preferences or incorrect choices by the customer are examples of such orders.
You can significantly reduce your returned orders by proper management and planning for manageable orders. Conversely, for unmanageable orders, offering attractive proposals or similar measures can help reduce these orders to a good extent.
2- Analyze Returned Orders
Analyzing returned orders helps you discover the real reason for order returns. This practice not only assists you in identifying the type of returned orders but also helps you recognize non-potential customers who return orders without any specific reason. This issue also aids you in designing an appropriate strategy for these types of customers.
3- Clarify Your Return Policy
As mentioned at the beginning of the article, a large percentage of customers thoroughly review the return policy section before purchasing from any business. Therefore, clarifying the rules, conditions, and methods for returning and refunding products not only helps customers but also aids you in better managing this process.
4- Speed Up the Return Order Management Process
It cannot be denied that return orders are an integral part of a business. Speeding up the return order management process shows your customers that you pay special attention to them and will have a positive impact on them.
Conclusion
Planning for return orders and having an optimized and correct process not only helps your brand image but also provides a competitive advantage over your competitors. In this article, we first became familiar with the reasons for order returns and understood that return orders are an integral part of a business. Then, we learned about several questions that help us optimize the number of these orders, and finally, we learned 4 strategies for better managing these orders.
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