A fairly new component (since the 1960s) of many businesses is logistics. The term is used for the movement and storage of goods from the distribution to the final delivery of the goods to the end user. It can also include the recycling and disposal of any waste produced.
Efficient storage system is as important as production itself as it can have a wide range of impact on the running of the business. Businesses will spend a small fortune to ensure that their warehouse system is as effectively managed as the goods and facility can allow for.
Having a dedicated team that can offer efficient returns processing is essential to any business that wants to survive in today’s busy and constantly evolving markets.Traders that do not provide this service or treat it as an after thought will quickly find that customers will not use them again if they have a bad experience, the customer will also be likely to share their experiences with friends and possibly use internet forums and message boards that will possibly result in thousands of people learning of the negative experience of the customer – one poor instance of this can lead to a huge negative impact on a company.
Looking at online companies that deliver a product to customers in particular, it has been found that some companies have a return rate of 40% – we can look at ways of driving this figure down in the first instance to lessen the load on the team that deals directly with the returns – thus keeping the business cost down as well as having happier customers.
Goods are normally returned due to being faulty, not being as the customer expected them to be, So let`s look at these three main causes on an individual basis and see how we may reduce or even negate their impact on a returns department of a company.
1.Faulty Goods – Having a team that checks items before dispatch may be time consuming and ineffective for some products, but it could pay dividends for companies that do offer this service in the long run.
2.Not being as the customer expected – If more information was offered at the point of sale and also during the final checkout phase these types of returns could be reduced – it is understandable that companies may not wish to dissuade the customer from purchasing but is essential to understand that one sale that may have been lost is better than potentially thousands lost in the future due to an angry customer letting the world know of their negative experiences