Prepared for Omid F. | Delivered January 4, 2020
Impact of Flexible Return Policy on Online e-Commerce Sales
To obtain insights on the impact of flexible return policy on online e-commerce sales.
Flexible Return Policy and eCommerce
Free returns in ecommerce, has the ability to
persuade customers to buy products
It gives customers the power to return things they have purchased
should a problem develop
or they have changed their mind.
According to the Journal of Marketing, customers who receive free returns are more likely to increase their purchases
between 58% and 357%
over a two-year period.
The absence of free returns has the ability to
turn customers away
and towards the competition.
A company with a
therefore becomes more competitive, increases its efficiency, retains more customers and engenders growth for the company.
It was found that
74% of customers
see having a flexible return policy as being important in the buying process.
The survey also found that only
42% of customers
would be willing to buy from a retailer if they did not have an appealing return policy.
Another factor that is important to customers, is the ability to
buy online, return instore, 19.65%
. This is especially true among certain demographics, namely Millennials, Gen Zs and Gen X.
Customers find it important to be able to return items for
free online, 14.1%
259 assignments | 4.8