Want to increase average order value with returns? By smartly managing returns, you can boost AOV. This article covers practical strategies like exchanges, store credit, and technology used to transform returns into profit opportunities.
In eCommerce, improving Average Order Value (AOV) is more cost-effective than increasing traffic, leading to substantial revenue gains by encouraging customers to spend more per transaction.
Product returns, often seen as a drawback, can be strategically managed to boost AOV through methods like encouraging exchanges over refunds and offering store credit, which incentivizes future purchases and enhances customer loyalty.
Utilizing technology, such as automated return management systems and personalized recommendations, can streamline the returns process, create upsell opportunities, and provide valuable data for further enhancing customer satisfaction and AOV.
WeSupply increases average order value by incentivizing exchanges over refunds with instant store credit, flexible return rules, and a branded returns portal. Integrations with Justuno and Nosto offer personalized upsell opportunities, while review platform integrations boost sales with social proof. Get started with WeSupply today!
In the dynamic world of eCommerce, businesses are perpetually on the hunt for strategies to streamline their operations and enhance profitability. One key metric that stands at the forefront of this quest is Average Order Value (AOV), which is closely related to the average transaction value. This crucial indicator not only reflects the health of your online store but also provides valuable insights into customer behavior and the effectiveness of your marketing strategies.
Delving further into the realm of AOV, the overlooked eCommerce aspect – product returns – can be converted from a possible pitfall to a potent instrument for enhancing your profit margins.
The digital marketplace, characterized by cut-throat competition and escalating customer acquisition costs, necessitates a focus on escalating your Average Order Value (AOV) for a transformative impact on your eCommerce business. AOV is more than just a number; it’s a key performance indicator that provides a window into your customers’ purchasing habits and the overall health of your online store. By tracking and working to improve this metric, you can unlock significant growth potential without the need to attract more traffic to your site.
The beauty of focusing on AOV lies in its direct impact on your bottom line. When you increase the average amount spent per transaction, you’re essentially boosting your revenue without incurring additional costs associated with acquiring new customers. This efficiency is particularly crucial in the eCommerce world, where transaction costs can eat into profits. Moreover, improving AOV is often more cost-effective than increasing website traffic, making it a smart strategy for businesses looking to maximize their return on investment.
Execution of targeted strategies that motivate customers to elevate their spending per order can trigger a ripple effect, enhancing overall profitability and paving the way for sustainable expansion.
WeSupply offers a suite of tools designed to enhance your eCommerce performance, including strategies and insights tailored to boost your AOV. From personalized product recommendations to seamless post-purchase experiences, our platform ensures customers are encouraged to add more to their carts, thus increasing your revenue per transaction. By leveraging WeSupply’s data-driven solutions, you can not only enhance your customer experience but also drive substantial growth and improve your ROI.
Ready to see how much you can grow? Try our ROI Calculator now!
Prior to plunging into the strategies for escalating AOV via returns management, gaining a robust comprehension of AOV’s significance and its implications is paramount. Average Order Value is a metric that tracks the average dollar amount spent each time a customer places an order on your website or mobile app. This simple yet powerful metric provides invaluable insights into your customers’ purchasing behavior and the overall performance of your eCommerce store.
Decomposing the concept of AOV and investigating its potential to fuel growth and profitability is our next step.
At its core, Average Order Value (AOV) is a metric that gives retail and eCommerce stores a clear picture of how much money customers typically spend per order. This seemingly simple number holds a wealth of information about your business’s performance and your customers’ buying habits. By knowing your company’s AOV, you gain a powerful tool for evaluating your overall online marketing efforts and pricing strategy. It serves as a benchmark against which you can measure the success of various initiatives and campaigns.
Nonetheless, it’s worth noting that AOV is not a static figure. Various factors can impact your AOV, including product category, time of day, and even the shopping platform (web vs. app) that customers use. Additionally, seasonality, promotional offers, and broader economic factors can cause fluctuations in your AOV. Understanding these variables allows you to interpret your AOV data more accurately and make informed decisions about your eCommerce strategy. Maintaining a vigilant watch on your AOV and the elements that shape it allows for trend identification, offering optimization, and ultimately, increased revenue generation from each customer interaction.
Calculating your average order value is refreshingly straightforward: simply divide your total revenue by the number of orders placed. To calculate average order, for instance, if your store earns $100,000 in revenue from 2,000 orders, your AOV would be $50. This simple calculation can yield profound insights into your business’s performance. By tracking your AOV over time, you can uncover important customer purchasing trends and identify opportunities for revenue growth.
Furthermore, understanding your AOV aids in assessing the long-term value of individual customers, enabling the customization of your marketing and retention strategies. To simplify this process, consider using automation tools like Peel, which can:
Calculate various types of AOV
Provide insights over any period
Make it easier to spot trends
Make data-driven decisions
Having established the significance of AOV, our focus now shifts to a crucial eCommerce aspect that frequently goes unnoticed in discussions about escalating order value: product returns. It’s a sobering statistic that eCommerce return rates can be two to three times higher than those of brick-and-mortar stores. At first glance, this might seem like bad news for online retailers. However, with the right approach, returns can be transformed from a potential liability into a powerful tool for boosting AOV and enhancing customer loyalty.
Let’s examine the influence of returns on eCommerce businesses and their potential to stimulate growth.
While product returns might seem like a necessary evil in the world of eCommerce, savvy retailers are discovering that they can be a hidden goldmine for increasing revenue and fostering customer loyalty. Encouraging exchanges and offering store credit instead of refunds can be a game-changer, helping to retain customers and drive future purchases. This approach not only keeps the revenue within your business but also creates opportunities for upselling and cross-selling.
Significantly, 54% of buyers indicate that free returns or exchanges substantially sway their purchasing decision from a brand. This statistic underscores the importance of a well-crafted returns policy in building customer trust and encouraging purchases. By implementing lenient return policies, you can reduce the perceived risk for customers, leading to increased satisfaction and, ultimately, higher long-term profits.
A satisfactory return experience for customers reinforces the buyer-seller bond, setting the stage for repeat business and elevated average order values in the future.
In 2020, COVID-19 boosted e-commerce sales and increased return rates, especially in fashion, where returns often exceeded 30%. EVEREVE’s manual and fragmented returns process led to inefficiencies, lack of visibility, and overwhelmed customer service teams.
Challenges:
High return rates with a manual process.
Limited visibility into returns.
Overburdened customer service.
Solution: EVEREVE transformed its returns process with WeSupply’s integrations, automating returns and managing everything from a single interface. This approach focused on proactivity, self-service, and return flexibility.
Benefits:
Cost Savings: Reduced customer service burden and fewer support tickets.
Faster, Accurate Returns: Enhanced accountability and transparency.
Improved Customer Experience: Better order tracking, notifications, and in-store pick-up.
Self-Service Returns: Empowered customers to handle returns independently.
EVEREVE’s new strategy optimized shipping costs, reduced redundant processes, and enhanced overall performance.
Returns have a unique dual nature when it comes to their impact on Average Order Value. On one hand, returns can initially lower AOV by reducing total revenue from the initial purchase. However, with the right strategies in place, returns can actually increase AOV if customers choose higher-value exchanges or make additional purchases. The key lies in how you manage and strategize around returns. By offering incentives for exchanges or implementing smart upselling techniques during the return process, you can turn what could be a loss into a gain.
Interestingly enough, high-return existing customers, such as those involved in ‘bracketing’ (ordering multiple sizes or variants with the intent to return some), frequently account for the most loyal and valuable customers. By catering to these customers’ needs and providing a seamless return experience through a customer loyalty program, you can foster loyalty and encourage higher spending in the long run.
Now, having comprehended the positive potential impact of returns on AOV, let’s examine specific strategies to harness the returns process to amplify your average order value. By employing these tactics, you can increase AOV by leveraging your current customer base, which often leads to higher profits with minimal additional costs. The key is to view returns not as a necessary evil, but as a valuable opportunity to increase your average order value and create a positive customer experience.
Ranging from promoting exchanges to providing store credit, these marketing and pricing strategies can metamorphose your returns process into a potent instrument for revenue generation and customer retention.
One of the most effective strategies for increasing AOV through returns is to encourage exchanges rather than refunds. This approach helps retain revenue within your business while simultaneously supporting customer loyalty. By guiding customers towards exchanging their returned items for something else in your store, you’re not only preventing a loss of sale but also creating an opportunity for upselling or cross-selling.
For an effective implementation of this strategy, consider these tactics: Firstly, articulate your return and exchange policy lucidly on your website and in post-purchase communications. Make it easy for customers to understand the benefits of choosing an exchange over a refund.
Second, by offering free shipping for exchanged items, you provide a powerful motivator for customers to opt for an exchange rather than a refund, as it removes a potential barrier to making another purchase.
Lastly, consider offering a small discount or incentive for customers who choose to exchange for a higher-priced item. This not only encourages exchanges but also nudges customers towards increasing their order value, directly impacting your AOV.
WeSupply encourages exchanges over refunds, helping to keep revenue in-house by offering:
Another powerful strategy to increase AOV through returns is offering store credit instead of refunds. This approach incentivizes repeat purchases, boosting customer retention and increasing AOV in the long run. Customers who use store credit tend to spend more than the value of the credit, which directly contributes to a higher average order value.
To amplify the effectiveness of this strategy, contemplate providing a higher credit amount or a bonus credit for future purchases. This additional incentive can motivate customers to choose store credit over a refund, keeping them engaged with your brand and encouraging larger future purchases.
A case study from Wodbottom illustrates the power of this approach: by offering $10 in store credit for every $100 spent, they increased their customer return rate to 53% and boosted their average order value by an impressive 21%.
WeSupply helps retain customers and boost sales by offering store credit instead of refunds, incentivizing exchanges over returns. This approach saves sales and increases the average order value using instant store credit.
By offering refunds as store credits, you’ll entice customers to shop more often and build a trusting relationship with them.
Though it may appear counterintuitive, the implementation of a free return policy can indeed aid in escalating your AOV. Transparent and flexible return policies can alleviate customer anxieties, encouraging them to make initial and repeat purchases, thus increasing AOV over time. Free return policies can encourage larger purchases by reducing the perceived risk for customers. When shoppers know they can return items without incurring additional costs, they’re more likely to add extra items to their cart or opt for higher-priced products. This approach not only enhances customer trust and loyalty but also leads to higher repeat purchase rates.
However, it’s vital to strike a balance between this strategy and your business requirements, leading us to our next point.
WeSupply strategically boosts average order value (AOV) through free return policies, offering flexible and hassle-free returns.
This approach encourages higher purchases and strengthens customer relationships. Discover how our pre-built return policies can further enhance your customer experience and boost sales. Check out the other pre-built return policies now!
To make free returns financially viable while still leveraging their power to increase AOV, consider setting a minimum order value for free returns. This strategy encourages customers to make larger purchases to qualify for free returns, consequently increasing your AOV. For example, you might set a minimum order threshold of $50 or $100 for free returns. When determining this threshold, it’s crucial to set it slightly above your current average order value. This motivates customers to add a little extra to their cart to reach the free return qualification.
To calculate an appropriate free shipping threshold, you can use this formula: (Proposed Minimum Order Value – Average Order Value) * Gross Profit Margin – Average Shipping Costs. If the result is positive, the free return threshold is fiscally viable for your business.
As we traverse the terrain of elevating AOV through returns management, the potency of personalization remains integral. In today’s competitive eCommerce environment, customers expect tailored experiences that cater to their unique preferences and needs. In fact, a staggering 91% of consumers are more inclined to shop with brands that provide personalized suggestions. By leveraging data and technology to create customized shopping experiences, you can significantly boost your AOV while enhancing customer satisfaction.
Let’s investigate two primary strategies for tailoring the customer experience: harnessing data to personalize recommendations and capitalizing on post-purchase emails.
One of the most effective ways to increase AOV is by providing personalized product recommendations based on customer data. By utilizing a visitor’s past browsing behavior, you can customize recommendations that drive higher spending. This approach not only enhances the shopping experience but also increases the likelihood of customers adding more items to their cart.
The power of personalized product recommendations cannot be overstated. Studies have shown that sessions with engagement in personalized product recommendations have an AOV increase of a whopping 369% compared to sessions without such engagement. To implement this strategy effectively, leverage AI and machine learning algorithms to identify and showcase higher-value products that align with customers’ preferences.
Consider offering personalized discounts or promotions on high-value items to further incentivize larger purchases. Don’t forget to display personalized recommendations in the shopping cart as well. This can serve as a gentle reminder of additional items customers might need, further increasing your AOV.
Post-purchase emails are a goldmine for increasing AOV and fostering customer loyalty. Order confirmation emails, with their impressive average open rate of 70%, present an ideal opportunity for post-purchase upselling. Use these emails to offer personalized product add-ons that complement the customer’s recent purchase. Don’t shy away from offering exclusive discounts in these post-purchase communications to incentivize repeat purchases.
To make your post-purchase emails even more effective, use customer data to segment your audience and tailor the content to resonate with each group’s unique characteristics. This could include educational content, problem-solving resources, or user-generated content that’s relevant to their recent purchase. By consistently engaging customers with valuable, personalized content after their purchase, you’re not only increasing the likelihood of repeat sales but also building a stronger, more loyal customer base.
WeSupply enhances personalized customer experiences by offering a branded returns portal and proactive communication to boost loyalty.
Keep customers informed with proactive return notifications
Provide custom and personalized offers via post-purchase emails and SMS
Eliminate “check-up” phone calls with timely updates
Post-purchase email & SMS notifications
Post-purchase notifications have an open rate as high as 98%
Send return shipping notifications and offer personalized deals
Eliminate the need for third-party tracking websites
Create a unified experience with branded tracking pages
WeSupply & Justuno App Integration
Boost sales with creative pop-ups and banners from the order tracking page
Offer smart product recommendations based on purchase history and behavior
Use powerful user segmentation with specific filters and algorithms
Upsell higher-priced products and cross-sell relevant items
Explore our pre-built return policies to elevate your customer experience even further! Want to see WeSupply in action? Book a demo today and discover how we can transform your post-purchase experience.
In the rapid-paced realm of eCommerce, efficiency reigns supreme. This is particularly true when it comes to managing returns, a process that can be time-consuming and resource-intensive if handled manually. By automating your return policies, you can significantly reduce the manual workload for your employees, allowing them to focus on other crucial areas of your business.
But the benefits of automation extend far beyond just saving time. Automated return management systems can provide valuable data and insights for decision-making, helping you identify areas for product and service improvement. Let’s investigate how technology can be harnessed to streamline your returns process and discover fresh avenues for escalating your AOV.
Implementing technology to streamline your returns process is a game-changer for both your business efficiency and customer satisfaction. Automated return management systems can simplify the return process by providing clear instructions, easy-to-use return labels, and prompt processing. This not only reduces the workload on your team but also ensures a smooth, hassle-free experience for your customers.
One of the key benefits of automating returns is the reduction of manual errors and the expedited processing times. This improvement in efficiency directly translates to enhanced customer satisfaction. A clear and simple return policy, facilitated by technology, reduces customer confusion and builds trust, encouraging more purchases in the future.
Consider offering multiple return options, such as in-store returns and postal mail returns, to cater to varying customer preferences. This flexibility, when managed through an automated system, can significantly enhance the customer experience and indirectly contribute to increasing your AOV by fostering customer loyalty and repeat purchases.
WeSupply streamlines the returns process with advanced technology, enhancing efficiency and customer satisfaction.
Self-service returns for easy, anytime returns without customer support
Streamline the Returns Process
Automatically calculate restocking fees
Apply vendor-specific return policies
Prevent return fraud by identifying and stopping abusers
Eliminate back-and-forth customer emails and reduce clicks from request to refund
Identify and prevent return fraud to protect your business
Automate calculations and validations to minimize user errors
Save time and money by avoiding mistakes
Inspect Returns and Manage Inventory
Implement quality control with defined criteria and collect customer feedback
Simplify Returns for Your Customers and Support Team
Book a quick call with our experts to see how WeSupply can help you: simplify the Return experience with just a few clicks, reduce customer service calls and manual processing, notify your customer about their refund, automate returns and reduce user error
The returns process presents a unique opportunity for upselling and increasing your AOV. By tracking returns data, you can gain valuable insights that allow you to create personalized offers and discounts, effectively turning returns into upsell opportunities. Implement AI chatbots that can not only initiate returns and provide instant support but also offer personalized discounts and promotions during the return process.
Consider presenting customized recommendations based on the customer’s purchase history during the returns process. This could encourage cross-sells or upsells. To make these recommendations even more effective, you can:
Conduct a multiple-choice survey to understand the customer’s reason for return.
Use this information to present individualized product recommendations that are more likely to resonate with the customer.
This can potentially turn a return into a higher-value exchange or additional purchase.
WeSupply’s integration with Justuno and Nosto enhances the returns process by offering personalized upsell opportunities and discounts.
Offer smart product recommendations based on purchase history and behavior
Utilize powerful user segmentation with specific filters and algorithms
Upsell higher-priced products to boost average order value
Cross-sell relevant items for each product category
Highlight the most purchased or most viewed products to drive additional revenue
Integrate Nosto to deliver fully personalized, integrated commerce experiences
Personalize branded tracking pages to promote your brand and engage shoppers
Deliver product recommendations within shipping emails
Drive engagement and increase revenue with after-sale engagement
Boost sales conversions and drive repeat purchases
Provide a personalized shipping experience
Upsell products within transactional emails
Easy integration with no extra charge
Track conversion rate metrics
In the current digital era, capitalizing on appropriate technology and tools is paramount for streamlining your returns process and enhancing your AOV. Implementing a robust return management system (RMS) can automate various aspects of the returns process, from generating return labels to tracking items. This not only streamlines your operations but also provides a seamless experience for your customers.
Moreover, integrating your RMS with other business systems like inventory management and CRM software ensures data synchronization and informed decision-making across your entire eCommerce ecosystem. Let’s delve deeper into how returns management software can revolutionize your approach to returns and contribute to increasing your AOV.
Returns management software is a powerful tool that can transform your returns process from a potential headache into a streamlined operation that enhances customer satisfaction and boosts your bottom line. This software:
Centralizes and systematizes the returns process
Aids in the tracking, documentation, and logistics of returns
Automates processes to reduce manual errors
Speeds up the entire returns cycle
By utilizing returns management software, you can improve customer satisfaction and optimize your returns process.
One of the key benefits of returns management software is its ability to:
Analyze return data, providing valuable insights into patterns and reasons for returns
Improve your products and services, potentially reducing future return rates
Help you recover value from returned items through repair, refurbishment, or resale
Minimize losses and potentially even create new revenue streams
From a customer perspective, returns management software enhances satisfaction by providing real-time return tracking and ensuring timely refunds or exchanges. This transparency and efficiency can go a long way in building customer trust and encouraging future purchases, indirectly contributing to an increase in your AOV.
WeSupply leverages technology and tools to optimize the returns process, enhancing efficiency and customer satisfaction.
Branded Returns Portal to Boost Customer Loyalty: Create a branded, omnichannel experience instead of using third-party courier pages.
Self-Service Returns Process That Saves You Time: Enable a frictionless returns experience, giving customers control over the process.
Create Flexible Returns Rules to Match Any Use Case: Develop hassle-free return policies with flexible return rules.
Autogenerated QR Code Return Labels: Simplify returns by allowing customers to scan QR codes from their email.
Returns Tracking: Provide easy access to return status updates with just a few clicks.
Post-purchase email & SMS Notifications: Send return shipping notifications and personalized deals with high open rates.
Returns Analytics: Gain actionable insights into why products are returned and identify serial returners to reduce return rates.
Enhance your returns process and boost customer satisfaction with WeSupply’s advanced technology and tools. Ready to transform your returns experience? Book a demo today!
In the realm of eCommerce, trust serves as the currency. One of the most effective ways to build this trust and encourage higher spending is through the strategic use of social proof. Social proof is based on the concept that people tend to follow the actions of others, especially when they’re unsure about what to do. In the context of online shopping, this means that potential customers are more likely to make a purchase (and potentially spend more) if they see that others have had positive experiences with your products and services.
Some examples of social proof include:
Customer reviews and testimonials
Social media mentions and shares
Influencer endorsements
Trust badges and certifications
Case studies and success stories
By incorporating these elements into your eCommerce strategy, you can effectively build trust and encourage higher spending from your customers.
By displaying social proof across your ads, website, and emails, you can assist in converting online shoppers by offering the authenticity and credibility they desire. Let’s explore two powerful ways to leverage social proof to increase your AOV: highlighting user-generated content and showcasing success stories.
User-generated content (UGC) is a powerful form of social proof that can significantly impact your AOV. This type of content, which includes reviews, ratings, and customer photos, is often perceived as more objective and trustworthy compared to company-generated content. The impact of UGC on purchasing decisions is substantial, with studies showing that online conversions increase by a staggering 133% when mobile shoppers see positive reviews before making a purchase.
To effectively leverage UGC, consider the following strategies: Encourage customers to share their own photos and experiences with your products. This not only enhances the authenticity of your reviews but also provides potential customers with real-life examples of your products in use. Showcase UGC prominently on your product pages and throughout your website to boost engagement and foster a sense of community around your brand.
Don’t forget that fresh and unique UGC can also improve your brand’s online presence and search engine ranking, potentially driving more traffic to your site. By consistently highlighting positive customer experiences, you’re not only building trust but also subtly encouraging new customers to make larger purchases, thereby increasing your AOV.
While general customer reviews are valuable, success stories specifically related to your returns process can be particularly powerful in boosting AOV. By incorporating success stories, you can create an emotional connection with potential customers, demonstrating the positive experiences others have had with your product returns.
Here are some ways to highlight success stories:
Include testimonials from satisfied customers who had a smooth and hassle-free return experience.
Share before and after stories, showcasing how your product solved a problem for a customer and how they were able to return it easily if needed.
Use case studies to illustrate how your return policy has benefited customers in specific situations.
By highlighting real-life customer stories about successful returns, you can build trust and reassure new customers about the reliability of your return policy.
These stories can illustrate the ease and benefits of your return process, making customers more confident in making larger purchases. When customers know that returning items is hassle-free, as demonstrated by success stories, they’re more likely to make significant purchases. This increased confidence can directly translate to a higher AOV.
Moreover, positive testimonials about the return experience can increase repeat purchases, creating a virtuous cycle of customer satisfaction and increased average order value.
WeSupply’s integration with powerful review platforms boosts sales and customer trust by displaying social proof.
Loox: Drive sales with visual-centric reviews and referrals.
Judge.me: Collect reviews via web, email, push, and SMS notifications.
Stamped: Gather reviews, ratings, referrals, and reward customers.
Yotpo: Collect reviews, referrals, and boost sales with SMS marketing.
Okendo: Capture and showcase high-impact customer reviews.
Junip: Display customer reviews on your storefront in minutes.
Reviews.io: Showcase genuine text and video reviews quickly.
Leverage social proof to enhance your brand’s credibility with WeSupply’s review platform integrations. Ready to see more? Check out the other powerful integrations WeSupply offers!
To truly understand the impact of effective returns management on Average Order Value, let’s look at some real-world success stories. These case studies and examples demonstrate how businesses have successfully implemented the strategies we’ve discussed to increase their AOV and overall profitability.
Rudsak, known for high-quality fashion and exceptional customer service, partnered with WeSupply to streamline their return and exchange processes as their business expanded. Key challenges included managing exchanges only for same-priced product variants, using inventory from multiple locations, handling non-returnable items like sale and POS orders, and integrating seamlessly with existing systems.
The Solution:
Seamless Integration: Efficiently managed exchanges, returns, and gift card refunds.
Exchange Rules Implementation: Allowed exchanges only for same-priced variants with available inventory.
Gift Card Refunds: Provided a flexible refund option.
Automated Approval and Return Labels: Enabled automatic approval, label generation, and cost coverage.
Non-Returnable Items Management: Ensured sale items and POS orders were non-returnable.
Outcomes and Benefits:
Efficient exchange processing and accurate management.
Enhanced customer satisfaction and loyalty through improved communication and faster processing times.
Reduced customer service queries related to exchanges and refunds.
Clear rules and communication about non-returnable items, reducing disputes and increasing transparency.
ZAVI, a sustainable clothing brand, partnered with WeSupply to enhance their post-purchase experience and manage orders and returns efficiently.
The Challenge:
ZAVI needed a centralized platform to track orders and automate returns seamlessly.
The Solution:
Analyzed ZAVI’s post-purchase journey to identify improvement areas.
Enabled effortless shipping tracking and returns initiation.
Implemented automated return logics and return label generation.
Allowed product returns to multiple warehouses, reducing costs and processing time.
Provided a branded tracking page and split ship view functionality.
Sent proactive email notifications to build trust and enhance customer relationships.
The Value:
20% reduction in workload related to customer inquiries.
360-degree visibility into shipping and return operations.
Efficient return management, reducing costs and increasing workload capacity.
Keep your customers engaged during the delivery experience
Book a quick call with our experts to see how WeSupply can help you engage your customers with relevant updates through the right channel, at the right time.
As we’ve examined in this article, it’s not just feasible to elevate your Average Order Value through strategic returns management – it’s a potent instrument for eCommerce expansion. By implementing a comprehensive strategy that combines various techniques, you can transform your returns process from a necessary evil into a revenue-generating powerhouse. Some key techniques to consider include:
Encouraging exchanges
Offering store credit
Leveraging technology
Utilizing social proof
By incorporating these strategies into your returns management, you can effectively increase average order value and drive revenue growth.
Bear in mind, the key is to perceive returns not as a cost center, but as an opportunity to uplift customer satisfaction, foster loyalty, and ultimately, amplify your AOV. As we look to the future of eCommerce, it’s clear that those businesses that can master the art of turning returns into opportunities will be well-positioned for success. So, take the insights and strategies we’ve discussed, adapt them to your unique business needs, and watch as your AOV – and your profits – soar to new heights.
WeSupply helps increase average order value (AOV) through strategic returns management. By offering instant store credit, customers are incentivized to exchange items instead of opting for refunds, keeping revenue in-house. WeSupply allows for flexible return rules, free return shipping, and VIP customer benefits, enhancing customer satisfaction and loyalty. A branded returns portal, self-service returns, and proactive email/SMS notifications streamline the process, while integrations with Justuno and Nosto provide personalized upsell opportunities. Additionally, WeSupply’s review platform integrations boost sales by displaying social proof. Get started with WeSupply today!
Encouraging exchanges over refunds can increase Average Order Value by keeping revenue in your business, providing upselling opportunities, and maintaining customer engagement. By offering incentives for exchanges, you can motivate customers to choose exchanges over refunds and positively impact your AOV.
Implementing a free returns policy can help boost AOV because it alleviates customer concerns and increases their confidence, leading to larger initial purchases (cart or expensive products) (date excluded).
WeSupply offers customers the option to exchange items with any product, reship the same item, or exchange for items of the same or higher value, keeping revenue in-house.
WeSupply offers flexible returns with smart return rules, free return shipping conditions, extended free returns for VIPs, and free returns on exchanges to enhance loyalty and satisfaction.
Yes, WeSupply does have an official Shopify App. You can download and begin to integrate it with your Shopify store.
Yes, WeSupply has an official extension for Magento. The WeSupply x Magento integration allows for automating order tracking experiences, reducing customer inquiries, automating shipping email and SMS notifications, and providing a fully branded order tracking experience
Yes, WeSupply has an official BigCommerce App. You can integrate WeSupply with your BigCommerce store to improve your post-purchase customer experience.
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