Lack of Clear Policy Leads to Abandoned Orders and Revenue Loss

  • Two in three consumers abandon orders without a return policy
  • 75% of consumers prefer free returns
  • 3/4 of consumers order more from stores with easy returns
  • £7bn returns nightmare for online retailers post-Christmas
  • 55% of consumers expect retailer to arrange and pay for returns
  • 71% want refunds within a week
  • Returns process is a hassle for both parties
  • Clear return policy drives conversions

A recent study by Sendcloud reveals that two-thirds of consumers abandon online orders without a return policy, while three-quarters would order more frequently from stores offering free returns. With the peak season resulting in a £7bn returns nightmare, retailers must prioritize clear and simple policies to drive conversions. Consumers expect retailers to arrange and pay for returns (55%) and provide refunds within a week (71%). The most important aspects of return policies are cost, returns label, and refund information.

Factuality Level: 8
Factuality Justification: The article provides relevant information about consumer behavior and preferences regarding online returns, cites research by Sendcloud, and includes quotes from the CEO of the company. It presents facts and statistics without any significant issues related to digressions, sensationalism, redundancy, or personal perspective masquerading as fact.
Noise Level: 3
Noise Justification: The article provides relevant information about consumer behavior and preferences regarding online returns, but it could benefit from more analysis or context on how this impacts the industry as a whole.
Financial Relevance: Yes
Financial Markets Impacted: Online retailers and related logistics companies
Financial Rating Justification: The article discusses the impact of return policies on consumer behavior, which can significantly affect online retailers’ revenues and profitability. This is a financial topic as it relates to their bottom line, and it also impacts the logistics companies involved in processing returns.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the article.

Reported publicly: www.retailsector.co.uk