The Best and Proven Tactics to Reduce Returns or Refunds

Proven Tactics to Reduce Returns or Refunds

Reduce Returns Or Refunds

Proven Tactics to Reduce Returns or Refunds

Do you want to increase customer satisfaction and reduce your ecommerce product returns or refunds?

In today's fast-moving digital world, customers are becoming ever more demanding. Due to product availability at the click of a button and heightened customer expectations, business owners on Amazon must go the extra mile to ensure their products meet customer demands and ultimately maintain loyalty.

Amazon ecommerce product returns and refunds are an inevitable reality for any business. When considering the overall order experience on your Amazon store, returns are the most critical factor for 80% of consumers. You can quickly reduce ecommerce product returns and refunds with proven tactics. Here are some effective methods that will help you do just that!

How to Reduce Returns to Increase eCommerce Revenue On Your Amazon Store?

Amazon store returns can be costly, but reducing their frequency can quickly enhance your eCommerce sales and revenue without attracting more customers to your website. To achieve this goal without breaking the bank, we've compiled a list of straightforward strategies for you to implement.

Encourage Customer Feedback

Many brands only seek positive customer reviews to showcase their products publicly on Amazon. To increase the number of reviews, brands often offer incentives such as discounts or freebies. This strategy is beneficial for new eCommerce entrepreneurs aiming to gain the trust of potential customers quickly. However, as sales volume grows, reducing ecommerce return rates becomes a crucial challenge to tackle.

At this point, it's essential to prioritize collecting online reviews and feedback on what needs improvement. Negative feedback can provide insights into the reasons for returns, allowing for developing a strategy to prevent them in the future. For example, if customers return shoes or apparel due to a size discrepancy, adding a note recommending a bigger size to the product description can mitigate future returns.

Remember that negative reviews need not be publicly shared but used to improve the future performance of your Amazon sales. Standard NPS surveys can be used to collect feedback on returns, with open-ended questions asking customers about the reasons for returns. By using a comprehensive study like this, eCommerce businesses can gain valuable insights into the root causes of ecommerce product returns, enabling them to make informed decisions to reduce them.

Provide Exceptional Customer Service

One of the main reasons for ecommerce product returns is when customers cannot find help when they need it or do not understand how the product works. To avoid this situation, consider offering live support through phone or text.

When using multiple sales platforms, especially Amazon, it's crucial to synchronize and manage orders from one place. However, syncing stock records can be challenging, leading to customers purchasing no longer available products. In these situations, well-trained customer support agents can call customers back and offer similar products, reducing the number of refunds requested.

Customer support agents can also prevent returns by educating customers on the proper use of the products on your Amazon store and offering an exchange option. Even if a customer ultimately returns the product, providing helpful customer support can create a positive impression, increasing customer retention and leading to repeat business.

Optimize Packaging

One common cause of eCommerce product returns on Amazon is when customers receive damaged or faulty products. Packaging plays a significant role in preventing these issues, as you cannot always ensure that a fragile product will be handled with care once it leaves your warehouse.

To minimize the risk of eCommerce product returns due to poor packaging, consider the following guidelines:

  • Use bubble wrap and double or triple-lined boxes for fragile items.
  • Label products with clear descriptions of their contents.
  • Use quality shipping materials to ensure packages are well-protected.
  • Use waterproof packaging for items that may be susceptible to water damage.
  • Include information about proper storage on the box or packaging.
  • Provide polypropylene straps for items weighing over 8 kg.

Enhance Customer Experience with Post-Purchase Email Sequences

One way to improve customer experience and reduce eCommerce returns statistics is by introducing post-purchase email sequences. By creating automated emails triggered by customer purchases, you can provide valuable information and support to increase customer retention rate and engagement with your products.

For instance, if you sell kitchen appliances like food processors, you can send emails with easy-to-follow recipes to inspire customers and encourage them to use your product more often. You can offer help with installation and troubleshooting through your customer support team for technology products.

In the event of a return, it's essential to keep customers informed about the status of their refund. Consider sending automated emails to inform customers about their returns' progress. This proactive communication can help minimize frustration and build trust with your customers.

Enhance Your Product Descriptions

One of the reasons customers return products on Amazon is because they expect something different from what they received. This can happen when brands exaggerate product qualities to increase sales. Poorly written product descriptions that lack detail can also contribute to this problem.

To reduce ecommerce return rates, reviewing and improving your product descriptions is essential. Make sure you accurately and thoroughly describe your product's features and qualities. Use language that your customers can understand and relate to. Consider your customers' words and phrases when discussing products like yours, and answer their questions.

Invest in High-Quality Product Photography

One of the biggest frustrations for customers is when the products they receive look different from what they saw on your Amazon store. This can often happen when brands go overboard with photo editing, removing skin imperfections, and artificially enhancing colors to make their products look better. 

However, there are better approaches to building long-term relationships with customers. To reduce the likelihood of online store returns, invest in high-quality product photography that accurately depicts your products. Consider using lifestyle shots that show your products being used by models instead of just simple white background product images.

Utilize Product Videos

One effective way to decrease Amazon returns is by showcasing your product in action through video content. This is like bringing customers to a showroom! Create high-quality videos that present your product from different perspectives.

Through videos, customers can better understand what your product contains and how it works. They can see details they may have missed in a product photo or description.

A product video can help attract customers who are likely to use and appreciate your product while dissuading those who may otherwise initiate a return process.

Establish Trust and Foster Customer Loyalty

Don't create unnecessary obstacles for customers returning products. Imposing tight return windows and implementing complex return processes can only lead to customer frustration and prompt them to return products hastily.

To build trust, offer a customer-friendly ecommerce returns policy that aligns with their expectations. If customers return a product, it shouldn't end the relationship between you and them. Whether you operate in conventional eCommerce or subscription-based eCommerce, by providing an exceptional return experience on your Amazon store, you can establish long-lasting relationships with customers.

Wrapping Up

Customers who return products from Amazon shouldn't be perceived as lost. Instead, you can encourage them to make future purchases by providing exceptional service and a positive experience throughout the ecommerce product return process. To help customers make informed decisions when they can't try on products in a fitting room, focus on improving your product descriptions, including sizing information, and showcasing your products on Amazon with high-quality photos and videos.

Additionally, consider hiring customer support agents who can establish a personal connection with your customers and provide real-time assistance. By implementing these strategies, you can build trust and loyalty with your customers, resulting in repeat business in the future.

At Vserve Amazon Listing Services, we understand the importance of minimizing returns and refunds for our clients. Our experienced team of professionals can help optimize product listings, reduce customer confusion, and streamline the overall order experience.