Beyond the Return: Transforming Customer Service into a Loyalty-Building Opportunity 

Despite the use of interactive technology to make online shopping easier, product returns are inevitable. 

But what is often viewed as a setback - a loss of revenue, increased operational costs, and unhappy customers, can also be an opportunity to deepen customer relationships. 

In this post, we’re going to help you see beyond returns and how to turn requests into loyalty-building opportunities. 

How to turn return requests into loyalty-building opportunities 

Research suggests that 96% of customers would shop again with a retailer if the return process is convenient. The reason being that it makes them feel the brand is customer-first, reinforcing trust. 

But to turn a return into a loyal customer, businesses need to take a more proactive approach than just simplifying the process alone. Here are some that experts recommend: 

1. Create a simple returns policy 

The very first step to navigating negative experiences during returns is to make a straightforward policy. This helps customers understand the recourse should a purchase not meet their needs. 

We recommend creating a policy that is easy-to-understand and visible on the website. It should include details on what products can be returned and not, the return request process, time to process returns, costs incurred if any and the post-purchase window to submit the same. 

Also read: How to create a customer centric returns policy 

2. Offer proactive customer support and service 

When a customer feels disappointed, frustrated or inconvenienced with a purchase, their concerns need to be approached with empathy and professionalism. This is where offering proactive customer support becomes important. 

Whether it’s addressing their concerns about the purchase or the return process, or offering personalized recommendations for similar items, customer support teams should be trained to leverage automation as well as human-conversations to demonstrate attentiveness to the issue. 

More often than not, a return request can be easily converted into an exchange instead. 

Return Prime uses its Wonder Smart Exchange feature to automate this process. Here’s how it works: 

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• ‍Encouraging Exchanges: Smart algorithms prompt exchange options at the right time in return.

• Offering Incentives: Tailored discounts motivate customers to exchange instead of return. Eg. tailored discounts in exchange cart.
• Creating Upsell Opportunities: Wonder Smart Exchange showcases complementary products to turn exchanges into upsells.

With Wonder Smart Exchange, easily retain revenue and boost customer satisfaction by turning returns into valuable exchanges

3. Streamline the returns process 

As you focus on making it easier for shoppers to browse through and discover products on your site, we do recommend also paying the same amount of attention to the returns process. 

Offer a self-service portal that allows customers to initiate returns without contacting customer service. This reduces the wait times and adds to the convenience your brand has to offer. 

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Return management platforms can also help your business further connect with logistics partners to streamline the operations to process the request. 

You can also offer flexible return options line in-store drop-offs to green returns. This encourages customers to keep the items under certain conditions, improving customer convenience and reducing waste. 

4. Automate customer communication 

From the moment a return request is made to when it gets processed, customers often have to visit the brand site for updates. 

Instead of inconveniencing them, automate return notifications via key channels like email and SMS. This keeps the customers up-to-date, reducing their purchase anxiety and also gives you more chances to touch base with them and learn more about their preferences, upsell or cross-sell items from your store. 

5. Suggest value-based alternatives 

Customers request returns when they’re looking for a solution to address the issue. While they may not be thinking of alternate routes, you can suggest - exchanges, discounts or instant store credits instead. 

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These strategies help address the immediate concern of the customer, while ensuring that they stay with your brand for future purchases. Discounts and store credits also create a sense of goodwill, getting you extra brownie points. 

6. Rewarding loyal customers 

Integrate returns with your customer loyalty program. You can offer free returns, extended return windows and other exclusive perks to members for creating positive experiences that lead to repeat purchases. 

Similarly, you can offer loyalty points or discounts on items that are non-returnable to smoothen the situation. Or offer redeemable reward points to those who don’t return a purchase, to reduce the number of requests. 

7. Set up post-return communication 

After a return is processed, remember to follow-up with a message. This could be a simple thank you note to show their experience matters, a discount or incentive for their next purchase, personalized product recommendations/ suggestions or even a short survey/ feedback form. 

We recommend automating these messages to ensure timeliness. These can also be used to understand buyer preferences and personalize their journey with the brand going forward. 

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8. Gather customer insights for improvements 

Returns are a great way to gather valuable feedback on products, services, packaging or the overall shopping experience. Customer feedback can help you improve product and service listings with additional information to help them make informed purchases. This could include uploading additional size guides, variant selectors, or even FAQs. 

Optimizing your products proactively based on customer feedback shows consumers that you ‘actually’ care. 

A good returns management platform comes with detailed analytics. This helps you monitor metrics like return rate, refund rate, repeat return rate, most returned products and more to derive clear actionables. 

Conclusion 

Turning returns into a loyalty-building opportunity is easier said than done. 

While most brands have automated most of their returns process using technology, a lot struggle to keep their customers engaged throughout the process. 

Brands need to move away from a reactive approach to returns to being more proactive at addressing customer concerns. 

If your return requests have been increasing over time, don’t just check for the number of resolutions. Go deeper and look into customer satisfaction rates, and repeat purchases - they’re a sign of how effective your returns process truly is. 

Looking for a way to reduce returns? Explore Return Prime today. 

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