boohoo online returns move is lazy and irresponsible. Here’s why
Are online returns a problem to solve or an opportunity to embrace?
That was the question posed this week by Julian Burnett, Founder at Quercus Advisors and former Chief Information Officer & Executive Director, Supply Chain & Business Transformation at House of Fraser and Chief Technology Officer - Head of IT Strategy, Architecture & Business Process, John Lewis.
Burnett broached the topic as pureplay boohoo announced it had become the latest retailer to charge shoppers who return items. Customers must now pay £1.99 to send back products, with the cost deducted from their refund.
boohoo blamed the move on the rising cost of shipping. The likes of Uniqlo, Next and Zara also now charge for online returns.
In a LinkedIn post, Burnett said: “I believe most online customers have positive intent when purchasing multiple items to try on for fit and style. If we were talking about physical retail, this move by boohoo would be the equivalent of charging customers to use a changing room.”
He added: “This is lazy thinking and doesn't acknowledge the responsibility you have for the vast majority of reasons for returns.”
In a deep review of returns for one retailer, Burnett said that he found 26 distinct reasons for returns, grouped into four very different areas for action on product design, product quality, product presentation and product handling processes.
“A couple, at most, were down to customers but the vast, vast majority were for us to improve upon,” he wrote.
“Sure, we need to educate customers to shop more responsibly but that's a different thing entirely and every retailer should do more on that.”
Burnett concluded: “Before deciding to charge their customers I really hope boohoo did the work to find and fix everything they could their end...or this smacks of simple, cynical margin protection with a feint whiff of greenwashing about it too.”
No solution at all
Brendan Witcher, VP & Principal Analyst, Digital Business Strategy, Forrester Research, also took to LinkedIn to give his take on this hot topic.
“We're TOTALLY customer-obsessed - well, except when we're not,” he commented.
“When I was in retail, I hated how returns hit my margins as much as the next person, but instead of annoying your customers and possibly losing them for good by charging everybody, find a better strategy!”
He continued: “This "low-hanging fruit" solution is no solution at all. Why? Because you don't have a problem with returns - you have a problem with offsetting the cost of returns, and throwing it onto the customer is not the best decision.”
Agree, disagree? Let us know your thoughts in the comments section below.
