How Protest is managing to reduce returns by 48%

‍Protest was founded in the Netherlands, one of the flattest countries on earth. With exactly five hills and fourteen waves, they counted the obstacles and said: "Forget logic, forget barriers — let's do what we love." From day one, they have been committed to making the world a better place for boarders, whether on the slopes or in the water. They achieve this by designing stylish and functional sportswear at an affordable price.

We spoke with Michiel van der Poel, Head of Data at Protest, about the strategies they have implemented to reduce return rates. Michiel explains: "We saw a higher-than-average return rate for certain products, and that became the starting point for this project. Our goal is to continuously reduce return rates to improve the profitability and customer satisfaction of our products. So, we decided to dive into the data to figure out how we could achieve this goal."

‍

Michiel explains:
"With the help of Returnista, we identified items with a return rate significantly above our average. To reduce these returns, we analyzed return data to uncover the main reasons behind them. The Return Rate Impact Index played a major role in determining which products we needed to prioritize. This index takes both return frequency and sales data into account, providing a clear roadmap for action.

We also used the Returnista dashboard to investigate country-specific differences, allowing us to make product adjustments tailored to each market."

‍

This proactive, data-driven approach led to a 48% reduction in returns for the target items. Michiel shares:
"This decrease is a major victory for Protest, resulting in improved customer satisfaction and higher profitability. We are now expanding our analysis to more product categories to further reduce overall return rates. It is an ongoing process; with every new category or collection, we incorporate insights from previous launches.

We are particularly pleased that our total return rate has dropped by 8% relatively quickly, and we are now taking additional steps to build on this success."

The Protest Sportswear case offers valuable lessons for companies looking to improve their profitability and reduce return costs. Here is a brief overview of three steps you can take to lower your return rates in the short term:

1. Collect data:
   Data is powerful. If you understand why customers are returning products, you can find practical solutions. Use tools like Returnista or your own BI systems to collect the data needed for the next step.
2. Analyze the data:
   It is not enough to just collect data; you must take informed measures based on your findings. Need help with the analysis? We are happy to help you, even if you are not a Returnista customer.
3. Take action:
   Act on your insights, but remember that this is an ongoing process. Repeat this analysis for every new collection or product launch to ensure continuous improvement. The reward? Satisfied customers, lower return costs, and better results.