The Demand for Free Returns

customer demands free returns

The Expectation of Free Returns

The average American consumer spends $1,804 a year shopping online. Alongside this immense amount of spending comes increased consumer demands. Retailers have already seen an influx of requests for same-day delivery, which has forced them to innovate their supply chains in order to accommodate this “on-demand” generation of buyers. Another online shopper demand is free returns for their purchases. With companies like Zappos, Nordstrom, and Amazon offering free returns on purchases, it makes customers expect that every online retailer should offer free returns. This consumer demand has led to about 49% of online retailers are now offering free returns on shipping, according to a study done by the National Retail Federation.

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Using Data to Evaluate Shipping Options

Decisions based on data

When consumers buy products online, they typically don’t consider the price of shipping until their selection is in the cart. At that point, retailers want to ensure that nothing detracts from completing that buying experience. And yet shipping is still a leading reason why consumers abandon shopping carts. Furthermore, the ‘Amazon Syndrome’ has created an online buying culture built on the expectations that shipping is free, fast, or both.

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