How Better Product Experiences Can Reduce Returns, Enhance Brand Loyalty, and Protect the Planet

The holiday season has come and gone, and as the dust starts to settle, this means one thing for most brands: returns.

While it's always been normal for consumers to exchange that one gifted shirt that didn’t quite fit right or that well-intentioned but hideous jacket from grandma, the sheer volume of returns in recent years has skyrocketed.

In this most recent holiday season alone, 65 percent of consumers returned or exchanged a holiday purchase. This is a hit not only to the customer but also to businesses; for every $1 billion in sales, the average retailer incurs $145 million in merchandise returns.

Not only do high return rates erode customer trust and hurt brand loyalty, they also have a significant environmental impact. Returns can add up to 30 percent of carbon emissions to the original delivery, and over 4.3 billion tons of returned goods currently sit in landfills in the U.S. alone.

And consumers are starting to pay attention. Although the vast majority still expect free, simple return policies, nearly 40 percent of consumers say that sustainability influences their decision on whether to return a product.

So what exactly is the solution here? Let’s start by looking at the root cause for the majority of returns: insufficient or inaccurate product information.

Related story: Why Return Season is a Golden Opportunity for Retailers

Why Product Information Matters

One of the biggest reasons customers return products is simply because they don’t have the right information before purchasing. A shirt that runs small, a lamp that doesn’t match the color in the product photo, or a gadget that’s incompatible with local power outlets are all very common reasons for returns that better product information could have prevented.

Shoppers today are looking for product information they can trust. In fact, 62 percent of consumers say having more reliable product details would reduce their likelihood of making a return.

By focusing on comprehensive, accurate, and compelling product content, brands can help consumers make more informed decisions and reduce the likelihood of returns while improving their overall shopping experience.

How to Reduce Returns While Preserving Customer Loyalty

Reducing returns doesn’t mean making the process difficult for customers. Instead, it’s about creating a better product experience from the start. Here’s how to strike the right balance:

1. Provide better sizing and fit information.

Clothing remains the most frequently returned product category, with 60 percent of shoppers reporting they return apparel more than anything else. And the top reason? Sizing issues (58 percent).

By offering detailed size charts with precise measurements, fit recommendations based on real customer reviews, or artificial intelligence-powered virtual try-ons or fit predictors, brands can significantly cut down on sizing-related returns while improving the overall shopping experience.

2. Use clear, accurate product descriptions and images.

When customers don’t get a clear, accurate understanding of what they’re purchasing, disappointment, and returns, become inevitable.

To combat this, brands must ensure their product pages are as informative and transparent as possible, which means using high-quality, accurate images; providing clear details on dimensions, materials and specifications; and leveraging real customer reviews to offer shoppers a well-rounded perspective. By refining product information, brands can set clearer expectations, reduce return rates, and build greater trust with their customers.

3. Offer hybrid shopping experiences.

Blending online and offline shopping experiences can be a game-changer in reducing return rates. When customers have more opportunities to interact with products before making a final decision, they’re less likely to be disappointed with their purchase. Offering hybrid experiences like buy online, pick up in-store (BOPIS) allows shoppers to inspect items firsthand before taking them home, reducing the chances of returns due to unmet expectations.

4. Partner with sustainable logistics providers.

Brands can minimize their environmental impact by working with logistics companies that optimize return routes to reduce emissions, implementing "recommerce" programs to resell gently used returned items, and encouraging in-store returns, where products can be resold directly, reducing the need for additional shipping.

Reducing Returns: A Win-Win for Brands, Consumers, and the Planet

Returns will always be a part of retail. However, they don’t have to be a profit-draining, loyalty-eroding, sustainability nightmare.

By focusing on better product experiences, brands can:

• Reduce return rates by equipping customers with accurate, enriched product information.
• Increase brand loyalty by ensuring a seamless shopping and return process.
• Minimize their environmental impact, meeting the expectations of today’s eco-conscious shoppers.

And the best part? These improvements aren’t just for peak holiday shopping seasons. A strong focus on improving product experiences benefits brands year-round, helping them deliver seamless, trustworthy and sustainable shopping experiences no matter the season.

At the end of the day, every return avoided isn’t just a win for your bottom line — it’s a win for your customers and the planet, too.

Laetitia Korn is vice president of marketing at Akeneo, a product experience (PX) company and provider of product information management (PIM) solutions.