The Significance of Optimizing Your Customer Returns Lifecycle
Statista reports that in Europe, an average of 10% of e-commerce purchases, worth 75 billion euros, are returned by consumers. These customer returns generate substantial logistics and handling expenses as they move from consumers to warehouses and new owners. They also contribute to about 25% of e-commerce supply chain emissions.
Traditional customer return solutions often focus on upselling new items rather than the lifecycle of returning product. Optimizing the lifecycle of returned products with Renow through automation prevents costly transportation and handling at the warehouse. It also benefits profitability and sustainability, aligning with eco-conscious values.
Optimizing customer returns has compelling cost and environmental benefits:
- It directly boosts profitability by reducing return expenses, freeing resources for growth.
- Streamlined returns enhance customer satisfaction, fostering loyalty and recommendations.
- Sustainability is paramount today; it aligns your brand with eco-conscious values by cutting carbon emissions and waste.
Optimizing returns benefits your financial health and aligns your brand with consumers’ values, a win-win strategy for modern businesses.
Assessing Your Customer Return and Resell Strategies
Based on your product vertical and regional split the costs of operations for shipping, grading and relisting of returned products is typically tens of euros per return. Moreover, for branded products like electronics, the discounted resale of returned items further affects product margins, incurring additional costs.
Automation-driven savings potential of over 200k€ with an annual sales volume of 30M€.
Renow’s automation and AI rate products using consumer input like images and videos, eliminating the need for multiple operational steps and resulting in up to 20% operational savings per return.
Now, consider an online store with an annual sales volume of 30M€, a 10% return rate, and an average order value of 125€. This results in 24,000 returns each year, presenting an automation-driven savings potential of over 200k€.
Renow’s Cost-Saving Advantage
Explore Renow’s innovative features tailored to the footwear, sports and electronics industries and see how they translate directly into significant savings.
1. Go from a Subpar Return Experience to a 2-Minute Journey that Keeps Customers Coming Back.
Problem: Dissatisfied customers due to subpar return experiences can result in lost sales and reduced customer loyalty, impacting your bottom line.
Solution: Renow tackles this issue with category-specific return flows, featuring a retailer branded return UI that eliminates the need for physical warehouse inspections. Our tailored UI boasts a 4.5/5-star rating, transforming the process into a seamless 2-minute experience that enhances the customer journey. Learn more about Renow’s effortless 5-phase return automation process here.
Renow has a 4.5/5-star rated return user experience.
2. Embrace Automated Customer Return Approvals & Instant Relisting
Problem: Manual return approvals can take days resulting in costly warehouse inspections with delay in reslisting.
Solution: Renow’s automation eliminates these bottlenecks. Immediate return approvals reduce manual labor costs and saves time. With Renow’s AI up to 90% of returns are instantly relistable depending on the product category ensuring rapid resale, optimizing inventory turnover and cash flow.
Renow provides instant product inspections based on user input, eliminating the need for physical inspections for a significant portion of returns and enabling efficient routing to multiple locations.
Up to 90% of returns are instantly resellable, minimizing warehousing and restocking expenses.
3. Unlock Efficient Automated Reshipping
Problem: Shipping returns across countries or even continents is very expensive and airfreight creates significant emissions.
Solution: Renow’s AI-based engine intelligently routes returns to the nearest new customer or stores returned products locally, slashing shipping costs and CO2 emissions. This smart system results in up to 30% savings on cross-border return costs, marrying cost efficiency with sustainability.
Up to 30% savings on cross-border return costs.
Where Customer Returns Profitability Meets Sustainability
Industry-Specific Benefits:
Renow’s solution is tailored for selected industries, footwear, sports and electronics, addressing unique challenges like high return rates and the need for accurate product grading. By optimizing returns, businesses can boost inventory turnover, reduce operational costs, and enhance customer satisfaction.
Plug and Play Integration:
Simply add Renow’s solution for seamless integration with your eCommerce system. Enjoy the benefits instantly, hassle-free.
Profitability Meets Sustainability:
Not only does Renow’s solution reduce your carbon footprint, but it also directly contributes to increased profitability by turning returns into resales swiftly.
Ready to Transform Your Returns Process?
Experience the power of Renow firsthand. Book a demo today to see exactly how Renow can benefit your business, and take the first step towards a more sustainable and profitable future. Discover the future of eCommerce returns with Renow’s AI-driven solution.
Watch our short explainer video to see how Renow transforms the returns process with cutting-edge automation and efficiency.
