Improving returns policy without losing trust

𝗛𝗲𝗿𝗲 𝗶𝘀 𝗮 𝗰𝘂𝘀𝘁𝗼𝗺𝗲𝗿 𝗿𝗲𝘃𝗶𝗲𝘄, 𝘄𝗵𝗲𝗻 𝗜 𝗱𝗶𝗱𝗻'𝘁 𝗴𝗲𝘁 𝘁𝗼 𝘂𝘀𝗲 𝘁𝗵𝗲 𝗽𝗿𝗼𝗱𝘂𝗰𝘁! So, this is what happened. For the first time, I ordered shoes online. Now, when it comes to shoes, I prefer a store for the look and fit factor. But this time I broke the trend! Let's be honest - their product video was pretty persuasive. 😜 So I ordered this pair of loafers from Yoho lifestyle, a young D2C brand. I ordered a 9, but that turned out to be too big for me. I placed an email request for an exchange. Got a reply on the same day to share a couple of pictures. After I did that, a return was booked. Within 2-3 days, the shoes were picked, and a pair of size 8 shoes were dropped at my place. Now, this again did not fit well for me. So, once again I sent out an email with a couple of pictures. The reply came within a few hours that a pickup had been booked. Again, within 2 days, the shoes were picked up. They informed me that they didn't have a size between 8 and 9, and hence a refund is being issued. Within a few hours, the complete refund hit my account. End of story? Not really! Because I will definitely check out their other products and if I get the same service, maybe even recommend the brand because I have the trust that if there is a concern, there are a group of people who are prompt, responsive and efficient in managing it. One of their products may not have been right for me, but they have got a crucial customer touchpoint covered and that makes me trust them. That's the thing with 𝗥𝗲𝘁𝘂𝗿𝗻𝘀 𝗮𝗻𝗱 𝗥𝗲𝗳𝘂𝗻𝗱𝘀. It is a very underrated element of the customer journey map, but it can make or break your customer relationship. Here is an easy framework (I call it A.S.R!) to optimize it: - - 𝗔𝗻𝘁𝗶𝗰𝗶𝗽𝗮𝘁𝗲: Be proactive about predicting possible concerns that may prompt customers to seek an exchange or refund. You may not get it 100% right but get started and keep updating it. - 𝗦𝘆𝘀𝘁𝗲𝗺𝗶𝘇𝗲: Put in place clear systems and processes for returns and refunds. Empathy, Transparency, and Simplicity should be the three main areas of focus while designing the system. - 𝗥𝗲𝘀𝗽𝗼𝗻𝗱: Be prompt with a response, esp when it is regarding a return or a refund. Your customers are mostly in a triggered or at least unhappy mood when booking a return/ refund. Every minute delayed leads to stress and possible escalation. A well-crafted Return & Refund strategy can not only salvage your customer relationship but also elevate your brand. If you found this useful, consider re-posting, and help a fellow business owner nail their return strategy! 🧡 #customercentricity #customerexperience #customerservice #customerjourney #vinaypushpakaran

What if most product returns could actually be avoided? The latest DHL 2025 E-Commerce Trends Report reveals a striking opportunity for online retailers: a significant number of returns are driven by preventable issues. By better understanding customer expectations and improving the online shopping experience many of these returns could be eliminated. Returns are not just a logistical headache. They are a major pain point for profitability sustainability and customer satisfaction. Every returned item means added costs more packaging waste and a potentially lost customer. So why do shoppers really return items? The report shows that: ✔️ 55% say the item was poor quality or faulty ✔️ 54% return items due to wrong size ✔️ 44% report damage during transit ✔️ 39% say it did not look like the image ✔️ 33% say the item simply did not suit them ✔️ 16% admit they ordered more than one size or color These reasons tell a clear story. Many returns stem from avoidable issues such as inaccurate product descriptions poor images misleading sizing or inadequate packaging. Improving these areas can directly impact customer satisfaction and significantly reduce return rates. It is also interesting to note that 37% of global shoppers have bought extra items online solely for the purpose of trying them on at home and returning what they do not want. Among Gen Z shoppers that number climbs to 45%. These behaviors reflect a clear need for virtual try-on solutions better sizing tools and more transparent product information. The report also highlights country-specific data. Shoppers in China Nigeria Turkey South Africa and Austria are particularly concerned about product quality. That emphasizes the need for consistent quality control and global alignment in product standards. But how was this data gathered? The DHL 2025 E-Commerce Trends Report surveyed a broad international audience using structured questionnaires with multiple-choice responses. This quantitative approach ensures a high level of reliability across diverse markets and demographics. The methodology is designed to uncover actionable trends based on real consumer behavior rather than anecdotal insights. The path forward is clear: ✅ Provide better product images and 360° views ✅ Offer detailed accurate sizing guides ✅ Use augmented reality and virtual try-on where possible ✅ Invest in robust packaging to avoid transit damage ✅ Embrace customer feedback to continuously refine product listings Returns will never be completely eliminated but they can be significantly reduced. And doing so will improve customer loyalty reduce waste and drive long-term profitability. Let us reframe returns from a cost center to an innovation opportunity. How is your brand working to reduce returns? #ecommerce #retail #customerexperience #dhl #logistics #onlineshopping #supplychain #returnsmanagement #ecommercetrends DHL eCommerce

Happy returns season! Return rates have been rising for the past ten years and are expected to top 35% this year. This is a massive cost to your brand, how can you reduce them? First the most popular advice going around right now is how to make returns harder.  -Charge a restocking fee -Keep a small returns window -Make them jump through hoops to force an exchange Do not do this. This is what my grandfather called being penny wise and pound foolish. Trying to save some money with combative customer service is only going to hurt you. 1. It doesn’t turn people away from returning, it makes them dig in   2. You will be remembered in their minds as an enemy making a stressful time harder 3. Paying a restocking fee on a gift you didn’t want is going to appear, at best, as greedy. This is a great way to obliterate future sales. What should you do? Make it as easy as possible. Counterintuitive but here is why: Someone looking to scam you is going to do it anyway. You aren’t deterring those people by making it harder. But, making it easier will create a sense of camaraderie and good associations, which you will benefit from down the line when you DO have something this person wants. Retention is notably difficult and one of the better ways to achieve it is to be known as a “good” brand. It is one of the few ways to create real loyalty in a product that isn’t addictive or one-of-one unique. It also makes people want to do you a favor. This is the more important part. If you lean in first, you can then: -Ask for feedback directly -Email more often -Get a better social following -Get better word of mouth This matters because it will help your actual problem, year round return rates. Gift giving season has high returns because it isn’t the user who is shopping. But high seasonal returns are hurting you because you also have high returns year round. To combat that you need to know what the problems are and the best way to get that is by having a good enough relationship with the customers so that they will tell you to your face. You have to give to get and to be able to afford that giving you need to have a year of profits that isn’t tanked by a month of high returns. TLDR: Short term: be super easy to deal with, build up your relationships Long term: fix the root issue (bad web UX, weird sizing, unclear use case etc) #ecommerce #retail #profitability

Last year I had a call with the VP of ecommerce of a $300M+ retail company who was convinced their 32% return rate was "just the cost of doing business" When I dug into their data I discovered that almost half of post-purchase revenue loss is preventable. This happens all the time, retailers are pouring their heart and budget into hitting sales targets, only to watch a third of that revenue disappear due to inefficiencies and refunds. It's demoralizing to be a retailer these days. It doesn't have to be this way! Here's the playbook we used to help that company recover over $6.8M in just 4 months: Most retailers focus on the wrong metrics, for example they celebrate $10M in sales while silently losing $3.2M to returns, and another $1M to operational inefficiency, plus $800K to return fraud and abuse. Quick observations: Your "best customers" are killing you! 37% of "VIP shoppers" are serial returners, they look great in your CRM but they're negative margin customers. We found one customer returning over $14K → this is totally preventable! This is our framework that we developed after working with hundreds of enterprise retailers in the past 5 years: Prevent returns Enable size/style swaps and allow for uneven exchanges (more expensive or cheaper options) Store credit options instead of refund Relevant product recommendations for exchange and upsell Analyze the return reasons by product - this can save you a lot of products from being returned! Results: Over 60% reduction in refunds b) Prevent fraud and abuse Fraud rules to prevent return abuse Automate policy enforcement and verification of product quality before the product is sent back Product inspection workflows at the warehouse level Results: the highest we seen last year for a customer was over 90% c) Streamline Operations Setup rules for returns routing to the closest warehouse or outlet stores Minimize clicks and enable a scan, scan, refund workflow Centralize all returns data and actions into one system, to prevent system switching Results: 42% faster processing Returns are not a cost of doing business. They're a goldmine of hidden opportunities. But here's the truth: Most retailers will read this and do nothing. They'll keep losing millions because "that's just ecommerce." The smart ones will see this as the competitive advantage it is. What side do you want to be on? P.S. If you're a retail executive seeing 20%+ return rates, DM me. I'll share our full framework as it’s way more detailed.

𝗛𝗼𝘄 𝘁𝗼 𝗥𝗲𝗱𝘂𝗰𝗲 𝗥𝗲𝘁𝘂𝗿𝗻𝘀 𝗮𝗻𝗱 𝗥𝗲𝗳𝘂𝗻𝗱𝘀 𝗼𝗻 𝗬𝗼𝘂𝗿 𝗦𝗵𝗼𝗽𝗶𝗳𝘆 𝗦𝘁𝗼𝗿𝗲 Returns suck. You think you’ve made a sale, you celebrate a little… and then BOOM, refund request. Even worse? Some customers treat online shopping like a free trial. They buy, use, and send it back. But here’s the thing, most returns aren’t scams. They happen because something went wrong in the buying experience. Here’s how to fix that and keep more of your hard-earned revenue: #1 Stop Selling Surprises The #1 reason people return stuff? It’s not what they expected. ✅ Use real product photos (not just perfect studio shots) ✅ Add videos or 360° views so customers can see details ✅ Be brutally honest in descriptions, if the fabric is thin, say it’s lightweight, not “premium” One brand I worked with had crazy return rates on their clothing. Why? The sizing ran small, but they never mentioned it. We added a simple “Runs small, size up!” note, and returns dropped overnight. #2 Offer a Fit Guide (Not Just a Size Chart) Size charts are useless if they don’t make sense. ✅ Show “Fits Like” comparisons (e.g., “Runs like Nike shoes” or “Similar to Zara sizing”) ✅ Use real customer reviews to mention fit (“I’m 5’8”, 150 lbs, and M fits perfectly”) ✅ AI-powered fit finders work if they’re simple and accurate People hate returning clothes. Help them get the right size the first time. #3 Improve Your Product Descriptions If your product descriptions just list features, you’re setting yourself up for returns. ✅ Tell customers what to expect. Is the fabric stretchy? Is the color slightly different in real life? Say it. ✅ Answer objections. If a customer is hesitant about durability, mention the warranty. ✅ Use bullet points. No one reads long paragraphs. Example: Instead of saying “Made from high-quality fabric,” say “Soft, breathable cotton, perfect for summer.” #4 Make Shipping Expectations Crystal Clear If people expect 3-day shipping and get their order in 10, they’re already annoyed. ✅ Give accurate delivery estimates at checkout ✅ Send tracking updates (Shopify has built-in tools for this) ✅ Be upfront about delays, customers are more patient when they know what’s happening If shipping is slow and unpredictable, returns will skyrocket. #5 Stop Making Returns TOO Easy Yes, a good return policy builds trust. But if you make it effortless to return, people will abuse it. ✅ Offer exchanges before refunds ✅ Charge a small return shipping fee (this alone cuts abuse in half) ✅ Give store credit instead of refunds where possible Some brands intentionally make the return process a little annoying. Not impossible, just… inconvenient enough that only real issues get returned. Most returns aren’t a “customer problem.” They’re a store problem. Fix the expectation gap, and you’ll see fewer returns. More happy customers. And, of course, higher profits. 📌 Still dealing with crazy return rates? DM me “Fix” and let’s get started. #shopify

1 under rated D2C hack no one is talking about. Disclaimer: only use this if you’re 100% sure your product delivers. When we launched Dr. Vaidya's by RPSG Group, I was obsessed with one question: “How do we get a first time customer to trust Ayurveda again?” Because in wellness, especially skincare or health, the biggest battle isn’t the product. It’s trust. And that’s why I’ve always respected founders who are willing to say: “Try it and if it doesn’t work, take your money back.” It gives the customer that last leg of validation to flip over the edge. I saw this mindset in action recently with Personal Touch Skincare on Shark Tank India. They left without a deal. But instead of doubling down on explanation, they went back and doubled down on conviction. They launched a no questions asked money back guarantee on their hero SKUs. The founder said he was confident on the results. And, it worked because: 1. It reduces friction. As consumers, we’re loss averse. Take that fear away, and people are more likely to try. We feel losses twice as intensely as gains (Prospect Theory). 2. It reinforces product quality. You can’t afford a refund model unless your product does what it says. 3. It deepens belief. When something works better than expected, and the customer had the option to return it, they become evangelists. And they’re not alone. I’ve seen brands across beauty, wellness and even food try this in India and around the world. What all of them understood is this - In saturated markets, trust outperforms targeting. It costs much less than a performance ad. If your product delivers, belief becomes your biggest moat. Have you bought something because of a money back guarantee? #D2C #strategy #skincare #business