Reasons for introducing personalization in the return procedure will lead to "customer satisfaction up", "royalty improvement", and "expansion of repeat purchase"

For consumers who have a high royalty to the brand and should be treated specially, retail companies should provide VIP return rules.VIP customers can set by using purchasing data.For large buyers, repeat customers who have never returned or have never returned, or customers who have shown other preferred actions.

Personalization of the return process leads to differentiation from competition

In recent years, excellent retail companies have personalized consumer brand experience via email, website, mobile apps, and in some cases in actual stores.

Personalization is generally used to have consumers purchase.However, personalization on brand experience after purchase, which leads to improving customer satisfaction, increasing royalties, and expanding promotion by word of mouth, has been delayed.

Introducing personalized return rules is a great opportunity to differentiate from competitors.

The US holiday season is expected to be a new record from November 1 to December 31, which will increase 10 % year -on -year to more than $ 207 billion.Under such circumstances, 96 % of consumers who are satisfied with the return process answered that they would buy them again at the retail store.E -commerce companies that properly handle returns can make a lot of benefits.

On the other hand, if the retailer does not carefully manage returns, they will lose considerable profits.The National Retail Federation (National Retail Federation) estimates that the return of returns in the 2020 holiday season will be $ 101 billion.

Unlimited free returns, which are common in the retail business, and returned goods that do not require the reason for returned goods, are not business sustainable for most retail operators.Reduce profit margins and confuse the supply chains that are already in difficult.

However, if you use personalization, you will be able to switch returns from financial and logistics to business propulsion.

Personalized returns are benefits for VIP customers

What is personalized return?Basically, it is a return method that provides individual services for each customer and facilitates the process.

Considering this, retailers need to create a VIP return rule for customers who should be specially treated for the brand to the brand.

VIP customers can be set using purchasing data, large buyers, repeat customers who have never returned or have never returned, and customers who have shown other preferred actions. am.

Retailers should provide VIP customers a longer return period and other benefits and give them incentives.By introducing a system and grouping customers who adapt to VIP rules, other customers can take good actions and reduce the amount and cost of returns.

私の研究チームが、Walmart、Bed Bath & Beyond、Best Buy、Lululemonなど、約200の大手およびD2Cブランドの返品ルールを分析したところ、VIP向け返品ルールを取り入れている小売事業者はわずか9％でした。

In other words, this idea has just begun.Meanwhile, DSW, Home Depot, and Best Buy have started services one step ahead, and have used VIP rules to raise repeater customers to special members.

Increase return options

The DSW, which sells shoes and fashion accessories, provides individually in response to the royalty stage when returning, provides VIP customers, and provides options to new customers.

A free return window is set up for VIP Gold (90 days) and VIP Gold Elite (365 days) customers.For other customers, as a return shipping fee 8.I claim $ 50.By doing so, it is less likely to be borne by malicious people, which can also be a fraud.

"Home Depot" offers a free return service for VIP members for 365 days and other members on 90 days.This is based on the premise of long -term use of products, and is motivated by eager DIY enthusiasts to use Home Depot.

"BEST BUY" offers a free return service for VIP members for one month and other members for two weeks.This is a great advantage of repeating repeat purchases, for VIP customers who buy gadgets, to know the functions of the product well.

Promote favorable purchasing behavior using return rules

If returned goods increase in the snowball type, it may not be possible to maintain a ROI (cost -effective) perspective, but the brand formulates the rules creatively and strategically to make customers more preferable purchasing behavior.Can be guided.

THREDUP, which sells high -priced apparel, online fashion brand Dollskill, understands this idea, and if the customer selects a store credit (editor -in -store only money) instead of a refund, returns.The shipping fee is free.

If a customer selects a store credit, the brand will achieve sales, customers will buy other things, and both brands and customers will not have to pay.It is exactly a win-win-win scenario.

In order to promote favorable purchasing behavior and reduce return costs, luxury department store chain SAKS accepts returns for two weeks free of charge.After that, 9.It costs $ 95.Apparel's Lulu's provides similar programs, and customers can return free of charge within 10 days.

Such a return deadline and price setting are fair for customers and encourage customers to return products faster.Strict returning the product has the advantage that the product can be returned to inventory quickly and the possibility of resold at a regular price during the season.

In addition, for customers, it is a happy hour, so you can reward customers who have taken action quickly, and you can delight the customers who have demonstrated their determination and have a time limit.

Returned goods have a turning point.Retailers have begun to realize that personalization of the purchase after purchase will improve customer satisfaction, increase royalties, and advertise by word of mouth.

Brands such as DSW, Best Buy, and SAKS are ahead, but for 2022, more retailers will catch up and use this great opportunity to overtake competitors.