6 November 2021

E-commerce: The Increase in Returns Shows It’s Time to Prioritize Logistics

6 November 2021

The Covid-19 pandemic has turned the business world upside down, significantly accelerating the digital transformation of companies. Those already engaged in physical sales and e-commerce began to invest more in online sales, and those not yet present in e-commerce had to act quickly to adapt to the new reality.

This indicates a great opportunity for companies investing in online sales: it is possible to capture not only consumers who were already familiar with e-commerce, but also those who are discovering this new channel. What will make the difference, in both cases, is the shopping experience provided. 

Increase in return requests and complaints

Contrary to the good expectations for e-commerce is consumer dissatisfaction with the services received. Return requests related to online sales have increased significantly during this quarantine period.

Delivery delays are among the main reasons for complaints. According to the website Reclame Aqui, between March and April there were 192,000 delivery-related complaints, an increase of 61%. Besides this reason, statistics show that defective product shipping and delivery different from the order are also among the causes of complaints.

These numbers show that many companies entering online sales have not yet met one of their main requirements: offering the best shopping experience for the consumer. Probably, most of them invest in an attractive sales site but forget to prioritize logistics, which is the foundation for the company’s operations. 

Optimized logistics are essential for e-commerce

Imagine a customer visiting your website, quickly finding the product they want, and completing the purchase without issues. The order then arrives at your distribution center, and when you go to separate the product, the employee realizes it is out of stock. A few minutes later, the customer is informed that the item is out of stock. What is most likely to happen? Certainly, this consumer will migrate to the competitor and never return.

Another very common situation is shipping errors or delivery delays. All these are reasons for complaints and can undermine a company’s image. With the digital network, customers have gained a voice and can turn a small complaint into a post or comment with thousands of views and shares, which significantly impacts the company’s reputation.

Adding to this is the fact that the e-commerce boom has greatly increased competition among companies. So, it’s no longer about offering good service to stand out. This has become essential. Now you must increasingly personalize your customer’s shopping experience, positively surprising them every time they come into contact with your company.

Therefore, it is essential to invest in logistics operations, ensuring high productivity, efficiency, and eliminating errors. In fully manual operations, controlled by spreadsheets and/or “by eye,” the chances of having slower processes and bottlenecks are high. Consequently, the challenge of optimizing performance becomes even greater. Many companies have sought to invest in systems that help them manage intralogistics to ensure greater assertiveness and speed. 

Offer the experience the customer deserves

As major players strengthen in the market, offering more and more conditions to the consumer’s advantage, a new culture has been established. Now more than ever, the customer overvalues the shopping experience, seeking companies that offer benefits and conveniences. If something bad happens during the purchase, order processing, or delivery, it is likely that the seller’s reputation will be damaged and sales will decrease.

That’s why companies with multiple sales channels have strived to offer the same standard of service to the customer regardless of the channel, aiming to provide a unified shopping experience, whether in the act of purchasing the product, in collection/delivery, or in returns. This effort requires logistics optimization, hence the growing interest of companies in management tools like WMS (Warehouse Management System), OMS (Order Manager System), and ERP, which together bring greater efficiency in order fulfillment and management.

The fact is that these new consumer demands have led companies to abandon traditional practices and seek greater agility and flexibility. They invest in innovations that help them provide personalized service and consistent support so that their customers are fully satisfied with their shopping experience.

In this sense, a question every manager should ask is: “Is my company ready to offer the customer the experience they deserve?” From there, they must identify areas for improvement, prioritizing investment in the right tools so that their business can be strengthened and customer loyalty ensured. An extremely important issue is to view innovations not as expenses, but as fundamental support for growth. Those who do not innovate in this highly competitive and fast-paced digital environment will surely be left behind.

Being open to change

It’s time to restructure the business but also to rethink the relationship with the consumer. Note that the companies standing out in the market are exactly those that continuously invest to satisfy those they serve. Therefore, always work so that complaints are rare and praises frequent. The result will come in numbers, with increased sales and revenue. Think about it!


E-commerce: The Increase in Returns Shows It’s Time to Prioritize Logistics Deagor WMS per ecommerce può aiutarti!


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