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Optimising Delivery and Returns for E-Commerce

June 2023


Recently published consumer research conducted by Parcelhub and the wider Whistl Group has highlighted the significance of a customer-centric approach to returns management policies.

Offering free returns, especially when the retailer is at fault, can go a long way in satisfying customer expectations and fostering positive relationships. Alternatively, providing a paid annual fee option for returns could attract a segment of customers who value convenience and shop frequently. By understanding these preferences and tailoring their returns management policies accordingly, retailers can enhance customer satisfaction and loyalty.

Frequent shoppers willing to pay for hassle-free returns

Certain aspects of the delivery experience have gained equal importance in consumers' eyes. Delivery visibility and parcel tracking control throughout the delivery process, flexible parcel returns, and the ability to choose specific delivery time slots are all considered important factors by consumers. These features contribute to a more convenient and personalised delivery experience, which consumers value highly.

Many respondents believe that eCommerce returns should be free, particularly when the reason for the return is a retailer's fault. This finding underscores the importance of customer satisfaction and the expectation that retailers should take responsibility for any errors or issues with their products or services. Free product returns offer convenience and help build trust and loyalty between customers and their chosen retailer.

Without a free returns option, an annual fee of £20 for unlimited parcel returns becomes an intriguing proposition for many respondents, especially those who shop weekly or more often. Many consumers are willing to pay a reasonable fee upfront for the convenience and assurance of a streamlined returns process throughout the year. This annual fee may be perceived as a worthwhile investment for frequent shoppers to ensure hassle-free returns whenever needed.

However, it's worth noting that free returns hold greater appeal, particularly to female respondents and younger individuals. This preference may stem from a desire for flexibility and risk-free online shopping experiences. Women may be more inclined to prioritise the ease of returns as they engage in more fashion and clothing purchases, where sizing and style preferences are essential considerations.

Download the eCommerce key findings

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