Proven strategy to address returns and increase customer satisfaction
DID YOU KNOW?
A COMPANY THAT GROSSES $1 BILLION IN SALES WILL LOSE AROUND $80 MILLION IN RETURNS ALONE RESULTING IN A DIRECT HIT TO THEIR BOTTOM LINE; A LOSS THAT IS CONTROLLABLE
93% OF ALL RETURNED PRODUCTS ARE DUE TO QUALITY AND OTHER ISSUES WITH ONLY 7% OF PRODUCT RETURNS DUE TO FRAUD.
As companies take notice of the financial loss that product returns represent, it is no longer practical to accept the situation without acting. Companies are now challenged with taking a proactive approach and implementing a program that will help reduce returns, improve profitability and protect their reputation.
How Can Product Return Rate be Reduced?
Bureau Veritas has created a Returns Analysis process, which focuses on the root cause of the problem and how the deficiencies, perceived or real, of the product can be prevented.
The team is able to extract critical information from the following sources:
An initial visual inspection along with specific functional/ performance testing are utilized to analyze the returned samples.
Voice of the customer databases such as Bizarre Voice can be used to identify focus points for the physical inspection and testing.
Online reviews are used to collect customer feedback trends over time along with star ratings.
Point of Return data collected from the customer provides valuable information and an easy cross-check against what is found upon analysis of the sample.
Key Benefits of Returns Analysis
• Improved profitability through reduction in product return rate
• Identification of poorly performing vendors that can be avoided or mentored
• Updating inspection and testing processes to guard against reoccurrences of poor quality product
• Reduction of inspection requirements for good vendors while refocusing on those vendors with questionable histories
• Improved customer satisfaction as the result of better quality product at a reduced price