Research Proposal

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.

Early Findings

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 returns department 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%.
Prepared By
Jana C.
259 assignments | 4.8