Retailers should consider offering label-free and package-free returns to improve the customer experience, decrease costs, and support sustainability.
Label-free and package-free returns benefit both retailers and customers.
5 retailer benefits of more package-free and label-free returns
- Cuts processing time
The return of items as-is without packaging supplies cuts down on processing time. Package-free returns can also be consolidated and sent to the returns warehouse, saving money and streamlining processing.
- Saves money
Overall, the cost of returns on online purchases has been increasing, with an excess of $2 billion being the norm for the past few years. As such, retailers are always looking for ways to mitigate these costs. No-box returns are one of those ways.
- Decreases waste
Forty-four percent of Gen Z consumers and 42% of Millennials are more likely to purchase from brands with sustainable shipping and returns options than other brands. Returns without packaging decrease waste which matters to an increasing number of consumers.
Permission granted by Delivery Solutions - Increases customer touchpoints
Label-free and box-free returns also increase customer touchpoints since customers have various options for dropping off their returns. Sixty-two percent of consumers use their refund to shop at the returns drop-off site, the original merchant, or a third-party location.
- Satisfies customers
Satisfied customers return and refer, and easy, hassle-free returns satisfy customers. Sixty-seven percent of shoppers favor package-free and label-free returns over any other return method. Ninety-one percent are more likely to shop at a retailer offering this option and issuing immediate refunds.
Including favored returns methods can positively affect your customer retention rate and revenue.
4 benefits to customers of being able to return merchandise how they want
- Greater convenience
Repackaging is the #1 challenge for consumers with making returns, and many don’t own or have casual access to a printer to print a shipping label. Fifty percent of consumers ditch a purchase due to a lack of convenient return options. Label-free and package-free returns eliminate these challenges and simplify the process.
- Cost savings
According to 87% of consumers and 99% of retailers, free returns are most important to shoppers. Retailers can offer label-free and package-free returns as a free or cheaper option to customers who want to avoid costly return fees.
- Environmentally-friendly
Label-free and package-free returns are more sustainable for the brand and the customer. As mentioned above, these options are the preferred return methods for environmentally-conscious customers.
- Quicker refund
Forty-eight percent of shoppers expect their refund to be processed within 24 hours. Label-free and package-free returns allow quicker verification and processing, meaning quicker refund initiation.
Considerations of offering label-free and package-free returns
Label-free and package-free returns aren’t a perfect option for retailers because of third-party drop-offs. When customers aren’t returning to your stores, it can be difficult to verify the reason for a return and the eligibility of merchandise. It can also result in a drop of revenue if you don’t have that additional touch point.
However, customers are increasingly choosing brands who offer the flexibility to shop and return how they please. So retailers should consider how they can offer label- and package-free returns in a way that still boosts their business.
Software platforms can help facilitate label-free and package-free returns
Delivery Solutions’ platform helps enterprise brands orchestrate the label-free and package-free returns process.
- Multi-method return support—Delivery Solutions supports home pickup, return shipping, and in-store or access-point drop-off.
- Multi-SKU returns—Customers can simultaneously make multiple returns and exchanges and keep track of them from a single platform. Gather return details, issue instructions, offer return options, collect fees, and show tracking and status info.
- Branding—Apply your company’s brand features (logo, colors, fonts, voice, etc.) to every step of the customer journey. Customize returns portal pages, tracking pages, notifications, emails, and texts to maintain consistency.
- Access point locator—Customers can locate the nearest available drop-off locations that you offer for returns.
- Transparent fulfillment—Improve customer visibility for returns as well as purchase fulfillment. Keep them aware of their return and refund status by providing real-time tracking information and status updates.
- Actionable notifications—Actionable notifications streamline and integrate the tracking process and prevent a disjointed experience.
- Analytics—Analytics insights can inform every step of your process for instituting a new box-free, label-free return option. Use analytics to monitor trends and to improve and perfect your returns processes.
Do you think label-free and package-free returns could benefit your company?
Learn more about how to implement label-free and package-free returns all while integrating with current systems on the Delivery Solutions blog.
