When consumers order gifts for Christmas, online retailers are still missing the opportunity to actively communicate with their customers during returns. Instead of solely focusing on preventing returns to save costs, online retailers should see returns as a chance to get to know their customers better. By clinging to rigid processes like the outdated return form, online retailers are missing out on this opportunity.

Artjom Bruch from Trusted Returns explains why a shift in strategy towards software-based return management makes sense in e-commerce and why return forms are still not a thing of the past.

E-commerce misjudges return potential

In general, avoiding unnecessary returns is sensible from an ecological perspective, and cost factors play a significant role as well. However, it is not productive when online retailers attempt to complicate the return process for customers through time, financial, and emotional hurdles, hoping that customers won't return items.

Many sellers underestimate the potential behind a return: Numerous options for customer communication. The best example of communication loss is that many e-commerce companies still include a return form with the shipment. This form, which the customer must fill out before returning the package, hinders transparency on both sides. The customer can only specify the reason for the return, while other requests such as exchanging the item or arranging for pickup get lost in the process.

On the seller's side, the return form results in the loss of valuable customer information needed to optimize communication and ensure a better consumer experience.

This one-sided communication process also presents a problem for the logistics of online retailers. The seller is unaware when a return will arrive. Upon arrival, they must manually open and process it, entering all information into an internal system for notification to the customer.

This rigid procedure is cumbersome and outdated in today's digital world. All industry leaders are well aware of these drawbacks. Nevertheless, they hesitate to be the first to abandon this established return process. The fear that customers will perceive the elimination of return forms as a loss of service and switch to competitors is significant.

Abolishing return forms leads to more transparency

A software-based return management system would provide more clarity on both sides and make return forms redundant. More transparent processes would provide both sides with more options. Customers would benefit, as they could experience a standardized process with every retailer. Eliminating the inflexible return form would mean greater flexibility for the seller in terms of logistics and return handling.

Moreover, customers in the after-sales cycle would receive better support and not be "dismissed" with just a form. The return process should be seen as an opportunity for another touchpoint with the customer, one that can positively shape the brand experience in the long term. From chat support to call centers or guiding customers through the online portal, many aspects can significantly influence the customer experience in this process, even without additional costs when using the return portal.

Another advantage is the analysis and meaningful use of generated customer data. For example, if it turns out that products are being returned more frequently due to insufficient descriptions, the online store can be optimized.

In a comprehensive ecosystem like Trusted Returns, all procedural and operational aspects of dealing with returns from the perspective of consumers, retailers, carriers, and service providers are holistically combined through technical and commercial interfaces. In addition to improved customer satisfaction, costs are saved, and revenue is increased.

Courage for modernization pays off

Most online retailers understand that the customer experience does not end with the purchase. However, a positive customer return experience is still not on the agenda for most. Yet, software-based return management promises benefits for both retailers and customers. Effective planning, control, and monitoring of return flows require a corresponding database, technical equipment, and digital infrastructure.

Switching to software-based return management and abolishing the outdated return form are essential steps toward a long-overdue modernization of the return process and cost savings that can be reinvested elsewhere in the company.