Online customers will rarely have the opportunity to try before they buy. For businesses selling goods online this can mean a high level of returns or exchanges.
This is the nature of the beast when it comes to e-commerce. It is also an important aspect, which should be considered when it comes to providing quality customer service.
Having a streamlined return or exchange policy is important if your aim is to provide second-to-none customer service.
You know yourself how annoying it can be if a product you have bought is not quite appropriate and if you have to jump through hoops to exchange it or get your money back, it makes you think twice before dealing with the business again.
Importance of a return policy
Make sure your customers are well informed about your guarantees and return and delivery policies. Also ensure you and your staff adhere to your service promise. Make it clear who is responsible for return postage so consumers are well aware of it. Don’t leave customers guessing how to return products – this is how you will find yourself entangled in a returned merchandise nightmare.
Include a return address label with every delivery so customers know exactly where to send the products back, even if they do pay for postage. Create a straightforward return policy and make sure it is clearly stated on your Web site.
Questions you need to answer include:
How soon do customers have to send the faulty/unwanted product back?
Do they need to contact you in advance?
Who pays freight and delivery?
If it is faulty, do you pay for the return? If it’s a matter of wrong choice, does the customer pay?
Will you send a replacement item or attempt to repair the old one?
How are refunds handled?
Your business success will be gauged on how quickly and how reliably your products reach your customers. Simply stating you stock a particular item and informing the customer they can buy it is a relatively easy step.
Processing the order
Processing the order and getting the goods to them is next move. And considering they are paying for an item, usually by credit card, without seeing or touching it, consumers believe the least your business can do is get it to them in an efficient manner.
Prompt delivery services will not only help you build a loyal customer base, but will limit the amount of time customers have to cancel their orders. A golden rule is not to give the customer too much time to reconsider their purchases.
At your offline premises, a customer may make a purchase, arrive home and decide the product is not quite right. They can always take advantage of your exchange or refund policy, however, on many occasions consumers may not have the time to make the trip to your store so they keep it anyway.
It is different online. If your product is taking too long to arrive, or you are not keeping your customer up-to-date with the order’s progress, they may log on and cancel the order.
However, if you are up front with your customer on freight and delivery/postage requirements, how long the product will take to arrive and customers are left in the loop, they will have a rough idea when to expect it and be more satisfied.
According to research conducted by Internet research firm Jupiter Communications, problems with returning merchandise from shopping on the Internet was among customers’ top five concerns. Another survey, also conducted by Jupiter Communications, showed that of 2000 Internet users, 40 per cent said they would buy more online if they could return items easily.
If you have a “bricks and mortar” premises, customers can always make returns to your offline store. But it is highly unlikely, if customers are using the Internet as a shopping tool, that they will want the perceived “hassle” of going offline. Plus, they may be too far away to go to your offline store.
Tips to help with online ordering and returns
Here are some tips for online ordering and returns:
Pay for return freight and delivery or postage when a customer must return a defective item.
It is important to make sure you are aware of lost, late or incorrect orders. It does not make good business sense to leave customers wondering where their goods are or when the situation will be rectified.
Try, at all times, to keep customers updated with the status of their order so they do not have to worry that it has been lost or not sent. Follow up on back-ordered items.
Address any ordering or handling mistakes immediately. If your customer receives the wrong item, replace it immediately. Don’t expect customers to pay for its return and don’t wait until they send the wrong item back. Send them the original product they ordered immediately and it will show faith in the customer – especially if the mistake was your fault.
When customers order a product, be up front with them if you do not have it in stock. Let them know when it is likely to arrive and how quickly you can get it to them. Do not let them order it and then wait “forever” for it to arrive. It is important customers are given a time frame. The more in control customers feel, the more comfortable they are when dealing with you. Allow customers access to information that allows them to track the status of their order.
Keeping a customer database is a good way to know everyone who orders from you. There is software available to help you do this. A customer database will allow you to retain information about your customers, such as how many times they order from you, what they order, their phone number, address and credit card information. This can be incorporated into your Point-of-Sale (POS) software.
One of the most effective ways to make the order process as simple for your online customers as possible is to insert an electronic “shopping cart”. This cart holds your customer’s ordered goods while they continue their virtual shopping tour of your online store.
When your customers are finished, their final shopping list will be displayed and the total bill calculated. Any freight or postage charges should also be clearly added so the customer can see how much it will cost.