Improving Returns: Ecommerce Finance Tip for October 2, 2024

Returns is one of the ugly parts of ecommerce and it can have a big impact on profitability.

Return Considerations

With returns, brands have a lot to consider:

• Customer experience and service
• Process for receiving and processing returns
• Fraud
• Fees from your 3PL or Amazon

It's easy to ignore returns, but they will become an issue over time.

Statistics to Consider

Here are some stats to think about:

• Per Chain Storage Age, for every $100 spent online, an average of $15 is returned versus $5 spent in a physical store.
• According to the Wall Street Journal, fraudulent returns were estimated to cost U.S. retailers over $100 billion in 2023
• Per EcomCrew June 1, Amazon started charging sellers $2-4 extra to process returns that surpassed the average return threshold in their category

Needless to say, returns impact online sellers financially in a variety of ways.

Returns Webinar

LedgerGurus is hosting a webinar with Redo tomorrow on October 3 at 1 PM Eastern / 11 AM Pacific. These guys are making a lot of buzz in the ecommerce world and they are going to share some insights around how good return strategies can:

• Boost sales and profits
• Gain insights into customer behavior
• Build customer loyalty

Register here to join.

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