According to a recent report by Asendia and ESW, one in four shoppers avoid purchasing from global retailers due to concerns about returns. The report, based on data from over 18,000 respondents in 18 countries, sheds light on customer expectations regarding the post-purchase journey, particularly in relation to cross-border returns.
The findings reveal that customer concerns about shipping and returns are varied and high, highlighting the need for global brands and merchants to understand and meet consumer expectations. Key concerns include transparency around fees and return policies, as well as the implementation of return or restocking fees.
Return logistics can be both challenging and expensive for retailers, leading many to consider implementing return fees to recover costs and discourage excessive purchases with the intention of returning most items. While nearly half of consumers are willing to make purchases even if there is a nominal returns charge, the report shows that Gen Z is more likely to accept a fee than Baby Boomers. Additionally, certain countries, such as India, UAE, and South Korea, are more open to accepting return charges.
Furthermore, the report indicates that a significant portion of shoppers are open to paying for a membership that includes free returns or return shipping charges. For example, more than four in 10 shoppers in India, China, and Mexico would pay a membership fee for free returns, while only 15% of shoppers in the UK, Germany, and Switzerland would do the same. However, they would be willing to pay for return shipping.
Helen Scurfield, CEO Global Returns at Asendia, emphasized the importance of prioritizing a seamless, customer-centric return process in today’s global marketplace. She stated that a robust cross-border returns strategy is not just a checkbox, but a strategic imperative that enhances satisfaction, builds trust, and fuels long-term success. Scurfield highlighted the unique ecosystems of each market, with distinct customer behaviors and preferences.
Nick Cranney, Global CEO of ESW, emphasized the complexity of global reverse logistics and the expertise required to manage them. He noted that by partnering with ESW and Asendia, brands and retailers can access industry-leading solutions to enter new markets and create exceptional customer experiences that foster brand loyalty and drive revenue growth.
