10 Tips to Reduce Returns in Your Webshop

Lower costs, less effort, more revenue: it really pays to focus on reducing returns. Especially when you realize that about one-fifth of online purchases are returned.

But how do you actually start reducing returns for your webshop? Before we give you 10 tips to (significantly) reduce your online returns, we will briefly explain what a normal return rate is and what you should look out for.

What is a normal return rate for webshops?

With the sharp increase in online sales over the past few years, webshops have faced a major challenge: the rise in the number of returns.

According to data from e-commerce platform Shopify, about 20% of all online purchases are returned, compared to just 9% of physical purchases. During the holiday season, online return rates even climb to 30%. So, if your webshop's return rate is around 20%, that is normal. 

The fact that one-fifth of online purchases are sent back naturally has a major impact on your business. Although there is quite a bit of difference between the return rates of different types of products. You can also take this into account when analyzing your return statistics.

Which products are returned the most?

There are many different types of products that are frequently returned after being purchased online. In general, however, clothing and footwear are among the most returned product categories. This is often because the sizes do not fit well, or because the product looks different than expected. Electronics and household items are also frequently returned products.

If we look at the average e-commerce return rate statistics by industry, we see the following: 

• Clothing: 30%
• Footwear: 12%
• Electronics and household items: 8%
• Bags & accessories: 6%
• Books, movies & video games: 5%
• Cosmetics: 5%

Clothing and footwear are returned significantly more often than other products. Does your webshop sell these types of products? Then your return rates will generally be somewhat higher.

Can you prevent returns entirely?

The short answer: no, you cannot completely prevent returns of online products. No matter how good your product descriptions and size charts are, consumers will always continue to return products.

However, it is important that you try to reduce the number of returns as much as possible to build a healthy e-commerce business. 

The most important change you can make to your return process is to proactively offer exchanges. This allows you to retain revenue that would otherwise be lost and keep customers satisfied. 

10 tips for reducing returns in your webshop

Below are our 10 tips to significantly reduce returns in your webshop. Let us know if you are going to implement these tips and whether they have led to a successful reduction in the number of returns.

1. Ask (satisfied) customers to share photos and reviews

If you aren't already offering customers the opportunity to share reviews and photos after purchasing a product, you should start doing so immediately. These reviews provide you with 2 huge advantages:

• Buyers get an even clearer picture of your product. Thanks to reviews, potential customers immediately know whether the product matches your photos and whether others are ordering a size smaller or larger. Reviews therefore lead to a better-informed purchase - and thus fewer returns.
  
  
• Another advantage: positive reviews make people more inclined to make a purchase. That chance increases by as much as 270% (!) when you display 5 or more reviews. Every reason to get started with this right away.
  

2. Use feedback

Are reviews rolling in, but so are the returns? At least you now have the tools to reduce those e-commerce returns. 

Reviews are not just a great way to inform new buyers; they also provide a wealth of information. Always ask your customers for the reason behind their return.

Do multiple buyers indicate that a smaller size would have been a better fit? Are you hearing that the color doesn't match your images? With the information that feedback provides, you can reduce your returns in no time.

3. Analyze data

‍You can learn from every return. But how do you find out where there is room for improvement and what concrete actions you should take? Simple: by using the data that returns provide.

For example, which products are returned most often and which products receive the most feedback? A data-driven process is the fastest way to gain valuable insights to reduce your online returns. So, use that data!

4. Don't skimp on your product descriptions

Have an induction cooktop at home? Then you won't buy a new frying pan without knowing if it's suitable for induction. Need a new summer jacket? Then you want to know if it runs small or large.

Our point: when making an online purchase, your customers want to know what to expect. So, be generous with your product descriptions: this makes it easier for your customers to make a choice, which in turn helps you reduce the number of returns.

Keep the following in mind on your product pages:

• Provide information about the fit
• Display frequently asked questions
• Use social proof (but you already knew that, since you read point 1)
• No walls of text; keep things organized with paragraphs and bullet points
• Optimize your texts for search engines
• Think from the customer's perspective: what do they want to know?

5. Check your delivery time

Do you promise a fixed delivery time during the checkout process, but struggle to consistently meet it? It is very likely that the decision to return the item is made before your product has even been delivered.

People are quite willing to wait a little longer for your product, provided the quality is good, the competition isn't faster, and you stick to the promised delivery time. 

Fail to do the latter? There is a good chance the buyer has already ordered the product from a competitor in the meantime. So, check if there are any issues with your shipping policy and, most importantly, compare it with your competitors.

6. Be mobile-friendly

If you are still tailoring your e-commerce site primarily for desktop users, you are already at a disadvantage. The number of purchases made via mobile websites continues to rise significantly: in 2022, the number of mobile purchases is expected to increase by about 22%. 

There is every reason to take a critical look at your mobile website. Is the same information just as easy to find there? Do you offer the same contact options as on the desktop version? And are all photos and product descriptions optimized for mobile use?

If you answered 'no' to at least one of those questions, there is still a lot of room for improvement when it comes to reducing (mobile) returns.

7. Be customer-friendly

It sounds obvious, but there is often still a lot to be gained here for e-commerce companies. For example, ensure you are easily accessible: by proactively offering a chat or other contact feature during the purchase process, you can easily reduce the number of returns. This helps your customers make a more informed choice.

If the product is returned anyway, make that process seamless. You can do this, for example, by sending real-time status updates for that return shipment. This increases the quality of your service and reduces the pressure on your customer support team.

View providing top-notch service (even during the return process) as a way to distinguish yourself. This prevents a return from becoming a final goodbye.

8. Review your product photos‍

There is little more disappointing than receiving a package, tearing open the packaging, and… seeing a product that doesn't meet expectations at all. The biggest culprit: poor photos. 

Unlike in a physical store, online shoppers cannot examine the product themselves. That is not a problem, as long as you use high-resolution imagery, highlight product details, and show the product from multiple angles. 

Even better: 360-degree photos or short product videos. This not only makes potential buyers more likely to purchase the product, but it also reduces the risk of disappointment (and therefore returns).

9. Optimize your return policy

Did you copy a return policy from the internet, paste it onto your website, and never look at it again? That’s a missed opportunity. Because with a solid return policy you set yourself apart from competitors and make customers more likely to opt for an exchange.

And what’s more: a full 67% of people check the return policy before making a purchase. A half-baked return policy only hurts you. So, make it easy to return products and consider offering free returns or a 30-day return window instead of 14 days.

10. Turn returns into exchanges‍

Admittedly, this won't reduce the number of packages coming back your way. But by offering an exchange based on your live inventory, you retain revenue that would otherwise be unnecessarily lost and keep a (satisfied) customer.‍

Want to reduce returns in no time?

You can do that with Returnista's return software. It allows you to effortlessly encourage exchanges, gain valuable data from your returns, and stay ahead of the competition with unparalleled service. Want to know more? Request a demo on our website.