FedEx Makes Customer Returns Easier

FedEx offers customers an easier return process that features wider access to a network of locations where they drop off unwanted items using a simple QR code.

On the other hand fedex
FDX
has worked with many mass retailers on this solution in the past, and now offers hassle-free returns for small businesses. “The customer buys 5 items and he returns 1, but when packing 1 item he uses the same box that the 5 items were originally shipped in.” , explains Ryan Kelly, vice president of e-commerce and alliance marketing at FedEx. “This results in higher shipping costs and is not as environmentally friendly as returning a single item in a small package or sending it back in bulk.”

Consolidated returns are rising

Retailers have realized that by consolidating returns, they can increase efficiency and reduce costs by using less consumables and labor to pack and ship their products. Ground transportation consolidation processes have a lower carbon footprint and less environmental impact than returning individual items to retailers.

Customers benefit from a simplified return process. Shoppers are increasingly making purchasing decisions based on retailer return policies, expecting returns to be free and easy. “Customers may bring items to one of the 2,000 FedEx return facilities without a box or having to pack the return. Only his QR code will be scanned,” Kelly said. Retailers offering this service have agreements with FedEx to accept unboxed returns.

Retailers want to reduce returns

“Returns must be managed Previous They happen not later. His AI/machine learning at the right points in the shopping journey will improve the consumer experience and help retailers manage return costs,” said Michele Marvin, vice president of marketing at Appriss Retail. argues Mr. There are enabling technologies that help shoppers make the right choices when shopping online. The most common reason for product returns is apparel. Wrong size, poor fit or color issue. Together, these three reasons account for 55% of returns.

“In general, technology helps when consumers use it and retailers provide the right tools to help them make product choices,” Marvin said. Retailers can offer fit his technology, offer better product descriptions via QR codes and videos, or use augmented reality to view products virtually. For example, showing consumers what a vase will look like in their living room before they buy, or what a product will look like on a customer’s avatar, thereby reducing returns and increasing retailer profits and satisfaction. I can.

Marvin warned retailers that they should review returns holistically and consider the lifetime value of their customers when formulating returns policies that changed this year. Suppose a retailer creates a strict and costly policy for its customers, or makes returns a difficult process. In that case, it impacts the shopper experience, creating dissatisfied customers, leading to increased complaints, and ultimately motivating customers to shop elsewhere.

Returns flat compared to 2021

Consumers are expected to return more than $816 billion in retail purchases in 2022, according to a report released by the National Retail Federation (NRF) and Appriss Retail. As retail sales continue to grow, his average return rate has remained broadly flat at 16.5% compared to his 16.6% in 2021. Mark Mathews, NRF’s vice president of research, development and industry analysis, said: