The ‘Use-It and Return-It’ Shopper
Safe in the knowledge that they can return easily and cheaply, some shoppers have taken to buying and using items, before returning them for a refund. This is known as ‘wardrobing’, and it’s especially prevalent within fashion ecommerce. Oftentimes items are only worn once, for a special occasion or for a social media post, before being returned.
Naturally, this behaviour is something that brands wish to contain. The logistics process involved with high return volumes is expensive. Additionally, used then returned items will no longer maintain their original value, making them harder to sell onwards with the same profit margin.
In short, wardrobing is costly for your business. Some brands have already made steps to tackle this behaviour by implementing the following:
- Contacting customers who return often to make them aware of the situation.
- Adding more secure tags to clothes which indicate when items have been worn.
- More stringent product checks on returned items.
- Becoming more transparent in the returns policy about the issue of wardrobing.
To avoid wardrobing, it’s important to walk the fine line between a flexible, customer-pleasing returns policy and a process that will minimize serial returning to maintain profits.
The ‘Indecisive’ Shopper
Flexible and customer-focused returns policies, such as free delivery and returns, often emboldens people to order more than they would without these perks.
Studies have shown that, on average, ecommerce has a 20% returns rate. With approximately 1 in 4 items ending up as returns, shoppers who order higher volumes of products will ultimately end up sending more back.
Some customers will order many items with the mindset of try-before-you-buy. Essentially turning their homes into the fitting room. Others will make larger orders to try out multiple sizes of the same item.
To reduce the operational costs associated with reverse logistics, it is useful for your brand to consider ways to reduce the overall number of returns. Reducing this volume will spare unnecessary costs. But to minimize this, steps must be taken to discourage your customers from making bulk orders with the intent of returning several unwanted items.
Here, it’s beneficial to turn your focus to pre-sale activities. Make sure that items are shown clearly and authentically online, with detailed product information and accurate sizing charts. The more information you provide your customer with during the online sales process, the more confident you can make your shoppers about their purchases. Reducing this level of uncertainty will discourage your customers from over-ordering unnecessarily.
The ‘Unexpected Items’ Shopper
Another factor which may encourage repeat returns could be inconsistencies on a product-level. Or, as previously mentioned, a lack of clear production information online.
When online shopping, customers rely on the information on your website when determining whether to buy something. If this information lacks clarity or transparency, the risk of that sale ending up as a return increases. Therefore, it’s imperative as a brand that you offer features such as detailed product descriptions, high quality photos and accurate size guides to ensure that your customers are not left with an unexpected item on their doorstep.