Returns and customer satisfaction

Have you ever bought something online and regretted it later? Or have you received a damaged or defective product and had to return it? Surely yes, and you know how annoying it can be.

But you also know how good it feels when the store makes the return process easier for you and offers you a quick and appropriate solution.

That's what makes you want to buy from that store again and recommend it to your friends.

Well, that's what we're going to look at in this article: how returns and customer satisfaction are closely related and how you can improve your returns management to have happier and more loyal customers.

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The close relationship between returns and customer satisfaction

Returns are the process of receiving, evaluating and processing products that customers return for various reasons, such as damage, defects, dissatisfaction or change of mind.

Customer satisfaction is the degree of happiness and fulfillment a customer perceives with a company's products and services, as well as the overall experience it provides.

What does one thing has to do with the other? Well, a lot, because good returns management is part of that experience and can increase or decrease the level of customer satisfaction. Let's see why.

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Why is returns management important for customer satisfaction?

Having good returns management is essential for any business, as it influences brand loyalty, reputation and competitive advantage . Let's look at some benefits of good returns management:

  • Increases customer trust, loyalty and recommendation . When customers see that they can return a product without problems and that they receive a satisfactory solution, they feel more confident and happy with the brand. This makes them want to repeat the purchase and tell their acquaintances.
  • Improves brand image and reputation. Good returns management also reflects good customer service and a commitment to quality. This improves customer perception of the brand and generates a good reputation in the market.
  • Optimize resources and reduce costs . Good returns management also involves having an efficient, automated and transparent process that avoids errors, delays and conflicts. This optimizes human and material resources and reduces costs associated with returns.

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On the contrary, poor returns management can cause dissatisfaction, frustration and loss of customers, as well as damage the image and reputation of the brand.

Some harms of poor returns management are:

  • Decreases customer trust, loyalty and recommendation . When customers have difficulty returning a product or do not receive an adequate solution, they feel cheated and dissatisfied with the brand. This makes them not want to buy again and leaves negative comments.
  • It worsens the image and reputation of the brand . Poor returns management also reflects poor customer service and a lack of commitment to quality. This worsens customers' perception of the brand and generates a bad reputation in the market.
  • It wastes resources and increases costs . Poor returns management also means having an inefficient, manual and opaque process that generates errors, delays and conflicts. This wastes human and material resources and increases the costs associated with returns.

As you can see, there is a big difference between doing things right or wrong in this regard. Therefore, we are going to give you some tips and tools to optimize your returns process and offer quality customer service.

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How to optimize the returns process?

Optimizing the returns process is not as difficult as it seems. You just have to follow these tips and use these tools:

Collect data automatically through a digital infrastructure.

The first thing you have to do is know why customers return your products. To do this, you can use a digital platform that allows you to collect and analyze returns data automatically.

This way you will be able to identify the most frequent causes, the most problematic products and customer preferences. This will help you improve your offer and prevent future returns.

Remember that if your company needs help to start this process, you can always request help from a digital marketing consultancy .

Know your clients and their needs

The second thing you have to do is know your clients and their needs. To do this, you can use a customer relationship management (CRM) tool that allows you to store and manage your customers' information, such as their personal data, purchase histories, and reviews.

This way you can segment them, personalize your communication and offer them solutions adapted to their expectations.

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Develop a returns strategy with preventive measures

The third thing you have to do is develop a returns strategy with preventive measures. To do this, you can use a project management tool that allows you to plan, execute and control activities related to returns.

This way you can define your objectives, assign responsibilities, set deadlines and monitor performance.

Some preventive measures you can implement are: improving the quality of your products, offering clear and accurate descriptions and images, providing flexible and secure shipping and delivery options, and providing fast and efficient customer service.

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Ensure automation and transparency – internally and externally

The fourth thing you have to do is ensure automation and transparency: internally and externally.

To do this, you can use a returns management tool that allows you to automate and simplify the returns process for both you and your customers.

This way you can reduce human errors, streamline procedures, save time and money, and improve the customer experience.

With these tips and tools you can optimize your returns process and offer quality customer service. But don't stop there, keep looking for ways to improve your returns management and surprise your customers.

Written by Moises Hamui Abadi : I am an entrepreneur, founding partner of Viceversa and SoyMacho. After leading several digital businesses and advising several other businesses; I decided to form MHA Consulting, a digital marketing consultancy dedicated to growing and enhancing digital businesses in more than 7 countries and generating more than 1,500 million pesos.

If you want more information on this topic or are looking for other options to profile your ideal client, at MHA you will find the solution you need. Schedule a call.

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