Beyond Squarefeet™ Advisory Pvt. Ltd.’s Post

“Retailers’ return policies influence the purchasing decisions of 82% of consumers responding to a recent survey from ICSC, which represents shopping centers.” “Across all retail categories, 6.2% of in-store customers returned items they bought, while about a third of online shoppers did so. Among apparel shoppers, 6.2% of in-store customers returned their merchandise, but over a fifth (22%) of online apparel shoppers returned theirs, the survey found.” “When faced with charges for online returns, almost eight in 10 shoppers said they would be more likely to return an item in stores, and 77% said they would go to a store to purchase, the survey found.” “A great majority of consumers who purposely over-order online are shopping for apparel: 87% of those surveyed said they order extra items to try on at home and return what they don’t want. Some retailers are instructing shoppers to keep items they want to return, with six in 10 survey respondents saying that retailers had given them full refunds and told them to keep their unwanted online purchases.” “Last year, retailers received $743 billion in returns, according to the National Retail Federation and transaction data from the analytics company Appriss Retail. The two estimate that $10.40 per $100 worth of returns were fraudulent transactions.” - Tatiana Walk-Morris

Store customers make fewer returns than online shoppers. Intuitively, this makes sense, especially when it comes to ordering apparel online. As Tatiana Walk-Morris reports in this Retail Dive piece, "87% of those surveyed said they order extra items to try on at home and return what they don’t want." But the cost of those returns is significant. So major retailers -- like H&M, Zara, and Amazon -- have begun charging fees to recoup some of those costs and try to make customers think twice about ordering items they know they'll likely return. If you're a brick-and-mortar retail store, this could represent an opportunity. After all, if your online competitors are making it more costly for customers to return things online, they may go back to shopping in-store. And if you offer the products they want at a reasonable price, ensure those products are easy to find and buy, and deliver an exceptional in-store shopping experience... ... you'll give shoppers fewer reasons to shop online. The death of brick-and-mortar retail has been greatly exaggerated. With the right technology solutions, physical retailers can be formidable competitors to online merchants. And if you need the right technology solutions, you know how to reach us. #brickandmortar #retail #shopping #online #returns

It was like a human version of online shopping. The shoe store was worryingly empty for a Sunday afternoon, with three young assistants stood in the middle of the store, facing the entrance, but looking thoroughly bored. On the face of it, they’d been trained well in the elements you’d expect from customer service: Available – wearing branded clothing, and stood in the middle of the store, you couldn’t miss them. Product knowledge – they answered my questions confidently Responsive – when I asked to try on a shoe in a particular size they responded quickly and efficiently But apart from being able to try the shoes, I could have had the same experience online. There was something missing – there was no effort to understand my needs, or to suggest alternatives – even a website suggests “you might also like” I could have spent £20 more if the assistant had suggested alternatives for me to try And next time I’ll probably go to a store where they hold the stock on the floor and you help yourself Getting your customer service right is one of the keys to unlocking growth in your business, and it’s a common problem for businesses with around 10 employees. You’re focused on winning new business, but if your team aren’t aligned around providing excellent customer service to your existing customers, you’ll start to lose them, and you’ll soon be back to square one. If you feel like your business has hit an invisible ceiling and just can’t break through, speak to your customers to find out whether your customer service is as good as it can be. Or call me, and let me help you find out what’s holding your business back. Meanwhile, coming soon to a networking event near you, my new white shoes! White shoes! Me! I’m the girl with scuffs on her steel toe-capped shoes! How long do you think they’ll stay white? ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ I’m a specialist in business growth and exit planning. I help owners of engineering and technology based businesses to create a well-run, profitable business that doesn’t depend on them. If you’d like to find out more, email helen.phillips@mustardadvisers.com – let’s have a coffee and see if we’re a good fit for each other.

You Can't "Out Process" Your Customer Returns Fresh off the heels of #RCCStore24, Retail returns are back in the news. Michael LeBlanc and John D Lee sat down to share their wisdom. A few key insights on the state of returns: • General merchandise retail return rates: 7-10% of sales • Apparel return rates: 33-35%, sometimes as high as 50% • Ease of use for consumers is a must for a successful returns process • Retailers should have multiple return options to suit customer preferences • 15-30% of returns are retail perfect and can be resold When it comes to the recommendations however, I have to respectfully disagree with a few things. First, retailers trying to protect their brand value by not discounting returns "too much" when trying to resell is an old an archaic idea that needs to go away. Shipping product to the other side of world devalues a brand just as much - retailers were just able to hide it before. Retailers should embrace the returns they have and support new and novel ways to connect with customers. Returns can be a gateway for a new customer shopping experience - you just need to start thinking differently. Spending millions of dollars on specialized returns partners and processing is a waste of time. You will never be able to "out process" the tsunami of returns. Processing individual items from a massive consumer base spread across hundreds (if not thousands) of miles makes no sense. Trying to deal with returns this way is like trying to treat a gunshot with a band-aid. If you want to treat a BEHAVIOURAL consumer issue, you have to treat it in the consumer's mind. Modify systems and policies to make customers make different choices before they think it's a good idea to "showroom" their cart. Oh Polly, a UK women's fashion retailer, joined the likes of Zara, H&M and Wayfair who are all now charging customers for returns. The fees for Oh Polly range from £2.99 for 0-50% of orders returned, to £8.99 for 90% to 100% of online returns. I still think this is a poor implementation (since it's still a stick instead of carrot), but at least it has more of an impact to reduce bad "sales" from going out the door that never should. 70-80% of returns are not retail perfect and require different handling. What are you trying to save triple handling product that has no chance to sell near retail prices ... Do you think the real unlock to solve retail returns is better processing? -------- ---------- ---------- ---------- ---------- Get my Deeper Dives newsletter 1x/wk 👇 https://lnkd.in/dCsUAauR Want to submit a question for me to write about 👇 AMA: https://lnkd.in/e3RjBiJD Want To Book A Free Discovery Call 📲 https://lnkd.in/eE8Z5dNc

Amazon ends AI-checkout stores 👇 Amazon has decided to discontinue its "Just Walk Out" cashierless checkout technology in its larger grocery stores, marking a significant shift in its retail strategy. This technology, which allowed customers to shop and leave the store without going through a traditional checkout process, will be replaced by "Dash Carts" that require customers to scan items as they shop. The decision to move away from the cashierless model comes after Amazon faced challenges in managing the technology and achieving profitability with its physical retail operations. The "Just Walk Out" technology, which was introduced with much fanfare, utilized a combination of cameras, sensors, and artificial intelligence to track what customers picked up and charged them accordingly after they left the store. Despite the innovative approach, Amazon struggled with the complexity and cost of the system. Reports indicated that the technology was not only expensive to implement but also required a significant number of employees to monitor the footage and ensure accurate billing, which contradicted the initial promise of reducing labor costs. Amazon's pivot away from cashierless stores also reflects broader challenges in the retail industry with self-checkout technologies. Other retailers, such as Walmart and Costco, have also reevaluated their self-checkout strategies due to customer complaints, increased theft, and operational inefficiencies. The move to "Dash Carts" suggests a compromise between fully automated checkout and traditional cashier-operated systems, offering a more manageable and potentially more customer-friendly solution. This shift is part of a larger trend of Amazon scaling back its physical retail operations. Over the past few years, the company has closed various types of stores, including bookstores, pop-up stores, and "Amazon Style" clothing stores, as it reassesses its approach to brick-and-mortar retail[2]. The decision to remove "Just Walk Out" technology from its grocery stores is another step in this direction, indicating a strategic reevaluation of how best to integrate technology into the shopping experience without compromising on customer satisfaction or operational efficiency. In summary, Amazon's decision to end its AI-powered cashierless checkout in its grocery stores and switch to "Dash Carts" reflects the challenges of implementing and scaling such technology in the retail environment. It also highlights the company's ongoing efforts to find the right balance between innovation and practicality in its physical retail operations. Citations: [1] Amazon's cashierless stores: artificial intelligence or major deception? https://lnkd.in/gi2HtsiC [2] Amazon gives up on no-checkout shopping in its grocery stores https://lnkd.in/gztK-QBY

Customers often choose where to shop based on return policies, and according to this Retail Dive article far less returns happen in brick and mortar stores than online, so why not have a customer-friendly return policy that makes shopping at your store an easy choice? https://lnkd.in/eNEdG_gH #returnpolicies #retailtips #retailexpert #whizbangretailer

Do you know how much shrink impacts your revenue? Learn what’s causing it and what you can do about it in this article. https://ow.ly/j64F50Ssaz3 #retailshrink #ecommerceshrink #ecommerce #shippingprotection #Extend

Hey POS Retail.......Lack of customer loyalty is forcing retailers to experiment...... #NCR #Repair #Service #Grocery #NCRHardware #PointOfSale #Scanner #NCRRetail #POS #Retail #NCRCounterpoint #NCRPOS #NCRSystem #NCRTerminal #NCRHardware #NCRVOYIX

Retailers are constantly seeking innovative ways to enhance the shopping experience and streamline operations. Enter AxiomaBot, an AI assistant designed to revolutionize retail. Here’s how AxiomaBot can drive significant value in the retail sector: 1. Personalized Product Recommendations Use Case: AxiomaBot analyzes customer behavior and purchase history to provide tailored product recommendations. Impact: This personalized approach not only enhances the shopping experience but also increases average order value. Customers feel understood and are more likely to make additional purchases when offered products that align with their preferences. 2. Inventory Management Alerts Use Case: AxiomaBot monitors inventory levels and notifies customers about low stock or restocked items. Impact: By keeping customers informed about product availability, AxiomaBot helps prevent missed sales opportunities. Shoppers can purchase their desired items promptly, reducing the frustration of out-of-stock products and driving sales. 3. Customer Support Use Case: AxiomaBot handles common customer inquiries such as store hours, return policies, and product details. Impact: Providing instant, accurate responses, AxiomaBot improves customer satisfaction and reduces the burden on human agents. Retail staff can focus on more complex tasks while the bot efficiently manages routine queries. 4. Order Tracking and Notifications Use Case: AxiomaBot provides real-time updates on order status, from confirmation to delivery. Impact: Keeping customers informed about their order status enhances transparency and trust. Timely notifications reduce anxiety and improve the overall shopping experience, encouraging repeat purchases. 5. Loyalty Program Management Use Case: AxiomaBot assists customers with loyalty program inquiries, including point balances and reward redemptions. Impact: By making it easy for customers to track and use their loyalty points, AxiomaBot fosters greater engagement with loyalty programs. This increased engagement can lead to higher customer retention and lifetime value. 6. Virtual Shopping Assistance Use Case: AxiomaBot guides customers through the shopping process, offering assistance with product selections, comparisons, and promotions. Impact: Acting as a virtual shopping assistant, AxiomaBot enhances the online shopping experience, making it more interactive and user-friendly. This support can reduce cart abandonment rates and boost conversion rates.

Ecommerce is not just a way of shopping. It is a way of changing the world. Ecommerce has revolutionized the retail industry, by offering consumers and businesses a new and convenient way of shopping and trading, that is faster, cheaper, and more accessible than the traditional brick-and-mortar stores. Ecommerce has also created new opportunities and challenges for the retail industry, by enabling the development and emergence of new products, services, markets, and business models, that challenge and change the existing ones. But ecommerce is not without its risks and challenges. Ecommerce transactions involve the exchange of sensitive information, which can be vulnerable to cyberattacks, data breaches, identity theft, and fraud. Ecommerce businesses face fierce competition and high customer expectations, and need to constantly innovate and improve their products, services, and customer experience. Ecommerce businesses also need to deal with complex and costly logistics and delivery, and comply with various laws and regulations across different countries and regions. How can you shop online safely and smartly? How can you protect your personal and financial information from hackers and scammers? How can you make the most of the benefits and advantages of ecommerce, while avoiding the pitfalls and drawbacks? How can you use ecommerce to achieve your financial goals and dreams? If you want to learn more about the history, features, and future of ecommerce, and how it has transformed the retail industry, check out this article by FinGlimpse. Click the link below to read the article, and share your thoughts and opinions in the comments section. What do you think about ecommerce and its impact on the retail industry? Do you prefer online or offline shopping? What are your favorite ecommerce sites or apps? How do you shop online safely and smartly? Let’s have a conversation! https://lnkd.in/g2tJDHGW #onlineshopping #world #shoponline #ecommerce #retail #consumer #FinGlimpse #Shopping #Digital #Cybersecurity #Security #Protection #ThreatProtection