Online orders do not always end successfully. Sometimes products are returned by the consumer who ordered them, giving rise to a return procedure managed by the warehouse. There may be many reasons why the product is returned by the customer upon his own order: dissatisfaction with the product itself, an order processing error, item defect or fault, or a delay in delivery.
When consumer returns an item, G&G is ready to implement a return procedure, limiting as much as possible the costs that this procedure generates for the consumer. Only correct return management can really satisfy the customer, encouraging them to make future purchases and optimising the resources of the online sales company.
G&G's return management
In e-commerce, return should not be regarded as a failure. Errors are unfortunately part of the profession and consumers' needs are increasingly precise and rigid. Therefore, the merchant should be prepared to manage returns. In the event of an error or customer dissatisfaction, this can in fact be remedied by allowing them to return the goods in the same simple way that they can receive the ordered item correctly. In order to improve return managements, G&G has developed a special area in its warehouses for these "passing through" products.
We use a separate management programme that controls the picking of products and the arrival of returns in the warehouse. This is a type of logbook that allows us to have a separate inventory of returned goods. When the product is returned by the recipient, the first thing to do as soon as it reaches the warehouse is to understand the reason for its return. In fact, in the vast majority of cases, products are returned because they do not meet users’ expectations. Thus we are talking about products that have no defects or faults and can be put back on the market quite quickly, reducing costs for the company to a large extent. The same applies to late delivery: the customer returns the product, but the product may not have any defects and may be re-marketed.
If, on the other hand, a returned article has defects or faults, we must assess whether it is more worthwhile to repair it and send it back to the recipient or send him a new item straight away. The assessment takes into account both the cost of repairing the article and the time needed to repair it. The goal is that the customer should not wait too long and that we should optimise available resources.
Management of returns intended for re-marketing
Items returned to the warehouse as a result of customer dissatisfaction, but which are otherwise in excellent or very good condition, can be put back on the market. In this case, G&G's staff will take care of their repositioning in the warehouse and re-introducing them into the management programme so that they always appear in the periodical inventories. However, these items should be re-packaged and cannot be sold as new because they have already been sent to another user.
Their price will be reduced, which will also result in the appearance of interesting offers that consumers can find directly on the portal where they shop. In any case, G&G's goal in returns management is to satisfy the customer without overcharging the company.