If you could reduce your returns by 25 percent, what kind of impact would it have on your bottom line? After creating a foundation for managing returns, companies such as Philips, AT&T, Best Buy, Hoover, and P&G have reduced returns by more than $100 million. Whether your company has the potential for that kind of savings or not, the impact can be significant. A streamlined product returns management plan saves money, increases productivity and profitability, and improves customer relations.
A failure to approach returns the way you approach sales is causing you to lose customers. I don’t want to sugar coat that fact because, not only is this a serious hole in most business strategies, but this gap in customer service is fixable. When you consider the cost of attracting a new customer—which is five times greater than the cost of keeping an existing one—why wouldn’t you fix something that’s costing you so much money?
By training your staff to effectively manage customer returns, you can reduce incidences by up to 25 percent. Often this means sending the customer home with the very product they intended to return. We’ve developed four simple steps to help you train your employees to best handle returns and ensure customer satisfaction.
Our proprietary profit analysis process ARDIT Method™ delivers guaranteed financial return on investment (ROI) to major retailers and global manufacturers, such as:
How? ARDIT consists of five sequential steps that accelerate ROI and create long-term, sustainable impact. Bill Stuart, CEO of Stuart & Associates, Inc. said, “It has been our experience that traditional consultants and their processes fall short because they are based on theoretical models instead of practical and tactical real-world application. And most importantly, traditional consultants do not guarantee financial return. We do. We take 100 percent of the risk out of each engagement by specifically documenting the ROI we will acheive for a client -- in the form of dollars and cents! We never provide clients with the hope that ROI will happen -- we guarantee it. Or, we refund 100 percent of our fee. That makes it pretty darn simple”.
The Product Returns Management Strategy implemented by a nationwide retailer makes a definitive statement about how they choose to run their organization. Your returns strategy not only impacts your customer experience management process -- but also employees on your sales floor all the way up to the your corporate office. Focusing on product returns management (by way of both volume and impact) without alienating end customers requires thoughtful planning, anticipation, strategy, and precise execution!
What causes product returns? Could be poor sales transactions, scheduling, delivery, service after-the-sale, or product quality. How about the end customer experience or their inability to operate the product? The reasons are numerous. But, the real question to ask yourself is “how much insight do we have and what do we do with that knowledge”?