The customer returns process is one that many retailers understand to be a critical aspect to customer loyalty. Make the returns process cumbersome and difficult, and customers are apt to avoid future purchases. To structure a sound customer returns process, companies must first understand the real costs associated with returns.
Dealing with customer returns poses a growing challenge, for businesses often underestimating the costs involved. Retail and ecommerce companies can see return rates that range from 1%-3% on the low end for durable goods, to as high as 35%+ for high fashion apparel.
