Have you thought of how your store’s returns process might affect your eCommerce conversion rate? By offering hassle-free returns and exchanges you can increase your conversion rates and gain a competitive advantage in the industry.
What is eCommerce Conversion Rate?
Your eCommerce conversion rate measures the percentage of visitors who make a purchase on your eCommerce store. It’s one of the most important eCommerce metrics to track because it directly affects your revenue and profitability. To calculate your store’s conversion rate, divide the number of purchases by the number of visitors and multiply by 100.
Number of purchases / number of visitors x 100 = eCommerce conversion rate
For example, if your eCommerce website had 10,000 visitors and 250 purchases in a month, your eCommerce conversion rate would be 2.5%.
Tracking your eCommerce conversion rate reflects how well your eCommerce website attracts and converts your target customers and how effectively your products, prices, and promotions appeal to them.
How Do eCommerce Returns Impact Conversion Rates?
Hassle-free eCommerce returns can increase your eCommerce conversion rate by improving the overall customer experience and building customer trust. When customers know they can easily return or exchange a product if needed, they are more likely to make a purchase in the first place. Some ways returns affect eCommerce conversion rates:
- Return policies impact purchase decisions: A transparent and accessible return policy sets expectations and reassures customers that they can shop with you risk-free and that you value their business.
- An easy returns process increases customer satisfaction: A hassle-free returns process makes customers feel valued and respected and makes them more likely to shop at your store again and recommend it to others.
6 Ways to Use eCommerce Returns to Increase Conversion Rate
By removing the uncertainty and risk associated with purchasing online, you can improve your conversion rate and drive more sales. Follow these best practices and tips to use your returns process to increase conversions.
1. Make your return policy clear and easy to find
One of the first steps to improving your customer conversion with hassle-free eCommerce returns is to make sure your return policy is clear and easy to find on your website. Your return policy should cover all the essential information that customers need to know before making a purchase, such as:
- What items are eligible for returns?
- What is the timeframe for returns?
- What return methods are offered?
- Is there a return fee?
Write your return policy in a voice that conveys your brand tone and values. Avoid using technical jargon or complicated terms that might confuse customers. Instead, use simple language and easy-to-understand words that show your commitment to customer satisfaction.
To make your return policy easy to find, place it in prominent places on your website, such as your homepage, product pages, checkout page, footer, and header. You can also include a link to your return policy in your confirmation emails and packing slips.
2. Simplify your returns process and reduce friction
Make your return process as easy and convenient as possible for your customers so they can return items without any hassle. Uncertainty and hesitation are common barriers to making a purchase online. When customers know that they can easily return a product if it doesn’t meet their needs, they are more likely to take the leap and make the purchase.
Keep in mind that 70% of online shopping carts are abandoned. By providing your customers with a straightforward process to return products, you show that you value their business and want to make their experience as seamless as possible, thereby increasing the likelihood of them going through with their purchase. Ultimately, a streamlined returns process leads to higher conversion rates, increased customer retention, and a positive impact on your bottom line.
3. Use returns technology
Using returns technology can significantly increase your eCommerce conversion rate by providing customers with a hassle-free and efficient return process. By implementing a user-friendly return portal, customers can easily initiate a return, select their preferred return method, and track the progress of their return. This level of convenience and transparency enhances the customer experience and builds trust and loyalty.
Returns technology can also improve your operational efficiency by automating return processing and reducing your costs. With a streamlined returns process, customers are more likely to make a purchase, knowing that they have the option to easily return an item if needed.
4. Track data and analytics to optimize your products
By analyzing the data from product returns, you can pinpoint the underlying reasons for returns and take proactive measures to address them. Based on your returns data, you can improve your product descriptions, improve the user interface of your store, and address issues with the fulfillment and delivery process. Removing these friction points will improve the customer experience and increase the chances of visitors converting to customers and making purchases.
5. Provide an exceptional customer experience
With so many online stores vying for customers’ attention, providing an exceptional customer experience that includes easy returns can set your store apart from the competition. Customers today expect more than just a product – they want a seamless and enjoyable shopping experience from start to finish. This includes everything from how easy your site is to navigate, to how fast shipping is, and how easy it is to return products. When customers have a positive experience with your store, they are more likely to make repeat purchases and recommend your store to others.
In today’s competitive eCommerce landscape, providing an exceptional customer experience is no longer just a nice-to-have – it’s a must-have. Provide a memorable customer experience to increase customer loyalty, positive reviews, and referrals to other potential customers.
6. Display social proof to build trust
Social proof is a powerful tool for building trust with your customers and increasing conversion rates in eCommerce. Customers are more likely to trust and make a purchase from a store that has positive reviews and feedback from other customers.
Encouraging customers to write reviews specifically about their easy returns experience can help build trust with potential customers who are concerned about the returns process, reassuring them that they can easily return or exchange products if need be.
97% of customers typically read product reviews and look at ratings before making a purchase, so by highlighting positive customer experiences, you can make potential customers feel more confident about their purchase. Leverage social proof to build trust and credibility with your customers and increase your eCommerce conversion rates.
Turn Your eCommerce Returns into a Competitive Advantage
When it comes to eCommerce, customers have many options to choose from. To make your store stand out from the competition and win over customers, provide a customer experience that is relevant to what customers want. Customers consider several factors when making a purchasing decision:
- Positive shopping experience: Providing an easy-to-navigate shopping journey can include a user-friendly website with clear product descriptions and high-quality images as well as providing quick and responsive customer service.
- Transparency and clear communication: Keeping customers in the loop throughout the entire shopping experience can include providing clear pricing, shipping costs, and delivery timelines upfront, as well as keeping customers updated throughout the order fulfillment and returns process.
- Special perks and benefits: Offering special benefits can include free shipping, free returns, or other loyalty programs that provide added value to the shopping experience.
- Confidence in their purchase decision: Giving customers peace of mind can include offering a hassle-free returns process and a clear return policy, providing a sense of security in the event that the product doesn’t meet their expectations.
By addressing these key factors and providing a seamless and enjoyable shopping experience, you can win over customers for your eCommerce store and increase your conversion rate.
Boost Your Conversion Rate with Returns
Offering a clear and easy return process can significantly impact your sales and customer satisfaction. By providing hassle-free returns and exchanges, you can increase your conversion rates and stay ahead of your competitors.
Customers are more likely to make a purchase when they know they have the option to return the item if it doesn’t meet their expectations. Therefore, by focusing on the return experience, you can increase conversions and build a loyal customer base.