Taking the pain out of holiday returns

On the heels of the frenetic peak holiday rush, it can be easy to forget what comes immediately on its heels: returns season. The National Retail Federation estimated that of the $1.29 trillion in U.S. online retail sales in 2022, $212 billion (or 16.5%) in merchandise would come back. 

How you prepare for those returns — establishing policies and processes and choosing which returns channels to offer — can make all the difference in preserving your margin and retaining loyal customers. The good news is there are several things you can do now to make this year’s January returns run smoothly. 

What buyers care about

Thanks to generous returns policies implemented during the pandemic, customers have high expectations and strong opinions about the returns experience — views that any holiday seller should consider when developing a post-holiday returns process that serves both the business and its customers. It’s all about offering a fast, convenient and secure returns experience. 

Especially when they buy online, consumers want to be assured that if a purchase doesn’t work out, they can reverse it without too much hassle. They have clear ideas on what that returns experience should look like, often shaped by the expectations of online shopping. 

Here’s what the research tells us shoppers want:

  1. A generous returns policy. Nearly three-quarters (71%) of shoppers say a return policy impacts their purchase decision. Experts advise sellers to first make the return policy easy to find. Liberal return windows help as well. And, of course, free returns are a powerful incentive, though some retailers restrict this to high-value customers to keep a lid on costs. Navigating through your site as a customer can give you a good glimpse into the returns experience from the shopper’s point of view. 
  2. Convenience. Shoppers want quick and painless returns processes; 65% of consumers call convenience the primary factor in selecting a return method, while cost is the primary factor for just 28%. Convenience is in the eye of the beholder, however, and 52% of consumers say they’d be more likely to shop with a retailer that offered multiple return points, so consider expanding the options you offer.  
  3. No repackaging requirement. Boxing up an unwanted item and finding a way to print out a label can be a real hassle; 33% of consumers call repacking an item their top source of returns frustration. These consumers will welcome returns options that allow them to avoid these tasks.
  4. A secure and controlled process. Consumers love the convenience of having their return picked up right from their doorsteps. But the unpredictability of parcel pickup can be an issue. Seventy-six percent of consumers worry about porch piracy on a regular basis, and 27% always worry about it. Putting consumers in control of when an item gets picked up from their home — plus visibility into the status of the driver coming to get it — goes a long way toward lowering the chance of theft and making customers feel in control of the returns experience. 
  5. Sustainability. Eco-friendly returns processes are important to consumers. In fact, 43% are willing to pay a $3 surcharge per return to ensure their return is processed using methods that are better for the environment (e.g., consolidation, recyclable packaging, etc.). When returns are easy and don’t require reboxing and labeling, products are more likely to come back to you — and stay out of the landfill. Consider telling your customers about the sustainability of the returns choices you offer.

Standing out with returns 

Right now, third-party drop-off locations are consumers’ most favored return method, according to returns software firm Narvar. Top reasons they cite are cost, lack of need for repackaging and distance. 

But savvy retailers are reading the trends and adding a new returns option that’s even better than nearby drop-off spots: crowdsourced returns pickup. 

Just like ultrafast delivery to homes, a market that’s growing at a 15.2% compound annual growth rate, crowdsourced pickups are emerging to satisfy consumers’ cravings for speed, convenience and control. Narvar found that 30% of consumers, regardless of their geography (urban, suburban and rural) will “probably” or “definitely” use home pickup if it’s made available for the same price as other return methods. At a time when paying for ultrafast home delivery is becoming second nature even for a low-ticket item like a taco dinner, returns pickup fees will become an increasingly easy sell. 

With the Roadie crowdsourced returns pickup solution, you can offer the ultimate in speed, convenience and control — while also helping your business. 

With Roadie, you can offer customers a returns pickup the next day, the same day or even within two hours of their request. You can also offer narrow pickup windows and real-time alerts so that customers know when the driver is coming and can ensure deliveries don’t sit unattended for too long. Drivers can even pick up big, bulky or oversized items that cost a lot to return via parcel carriers. And Roadie’s solution does not require packaging, not only eliminating what consumers consider a major hassle, but also supporting sustainable business practices. 

Crowdsourced pickup of returns from a customer’s doorstep not only makes your return policy stand out from your competitors by offering the most convenience; it also saves your margins. By making it so easy, you encourage fast returns, and that means you can get that merchandise back on the market faster, when it retains the most value. 

With Roadie, you can also take advantage of our clustered returns pickup algorithm, lowering the cost of each returns pickup since the same driver makes multiple, planned stops. Predictable costs and flat-rate pricing for more than 29,000+ ZIP codes means you can scale returns pickups up or down with demand.

A fast onboarding process and easy-to-use portal means you can have crowdsourced returns up and running well before this year’s returns season begins. Prominently featuring this convenient option in your returns policy can be just the thing to turn an idle cart into a completed transaction.  

Standing out with Roadie

The Roadie network of 200,000 independent drivers puts 97% of U.S. households within reach, enabling you to stand out from the competition with the fastest, easiest returns process. Adopting these consumer-friendly strategies and adding crowdsourced returns pickup makes consumers more interested in doing business with you — today and in the future. Reach out to Roadie today to make this post-holiday returns season smooth and customer-friendly.

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