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  • Yasser Allam

E-Commerce Returns Management Strategies for 2023

Updated: Feb 16, 2023

E-commerce returns are unwelcome but unavoidable. Many companies underestimate costs, especially if products cannot be resold. In tight times, businesses need a reliable return management solution. This article covers five e-commerce returns management best practices to help you streamline logistics and save money.

How do you handle return management?

Keeping track of what goods have been returned is crucial in the world of e-commerce. This includes keeping track of which products were returned, when, and for what reason. This data can be used to enhance the product's quality as well as identify any potential challenges with the distribution or shipment process.

E-commerce Return handling can be a complex and time-consuming process; therefore, it is essential to have a straightforward and efficient system in place. This will guarantee that all products are properly accounted for and that any problems are resolved promptly. Handling these returns is a crucial aspect of logistics and can have a substantial effect on a company's bottom line. By implementing a transparent and efficient system, businesses can ensure that they can effectively manage returned products and avoid potential losses.

The client is not the problem.

When there are returns, it is easy to accuse the client of being picky or difficult, but this is virtually never the case. Businesses need to put themselves in the shoes of their customers in 2023 to find out where the pain points are with product returns.

How to take advantage of exchanges and returns?

1. Collect data and enhance the digital infrastructure.

Good return management rests on the foundation of accurate data. Compiling and analyzing data from consumer returns is quite straightforward, which is an enormous advantage to e-commerce businesses.

By 2023, e-commerce businesses should be able to leverage their digital infrastructure to pinpoint the causes of returns and the costs connected with them. Consider the reasons behind the returns.

Gather the following information to figure out how the four types of returns are split up:

A) The returned items are in brand-new condition and can be sold immediately.

B) A few modifications to the product or packaging must be made.

C) Things that have major problems that keep them from being reprocessed and sold as new, which puts them on the secondary market.

D) Products with significant issues are difficult to process and resell.

2. Determine their identities.

Customer loyalty is created more by exceptional customer service than by brand recognition. In addition, you may establish your brand if you know your clients and can tailor your responses to their requirements.

Automating data collection and analysis could assist you in creating an audience profile and learning more about your target audience. Using AI and machine learning, which evaluate text data automatically to help you quickly learn how people feel about your business, you can rapidly determine who the customer is, what they desire, and most importantly, what they were unable to get from your brand.

3. Prevention is superior to treatment.

It should go without saying that getting rid of product returns is much cheaper and better for a business than setting up a returns policy "after the fact."

The first stage of the preventative strategy for ensuring that products leave the warehouse in excellent shape is advanced quality control. The next and most important part of the plan is to make sure the goods are delivered on time.

The purchase of a birthday gift or an outfit for a particular occasion are examples of time-sensitive e-commerce transactions. If they are not delivered on time, these items become obsolete and are returned.

For logistics companies that are committed to on-time client deliveries, efficient systems based on machine learning are vital, as they have helped a lot of e-commerce companies improve their performance based on historical data so that the delivery services became more efficient.

4. Green indicates the upcoming path.

As nations strive to meet new environmental goals, the transportation sector is under greater scrutiny than ever. Returns not only cost logistics firms a great deal of money annually, but they also add considerably to an organization's carbon

Logistics companies may begin reducing their carbon footprint and preparing for future restrictions as we all move toward environmental sustainability by implementing innovative technologies.

5. Look into automation.

The majority of e-commerce enterprises include the return slip with the package because it is still the standard. Many companies are hesitant to employ innovative revenue-generating techniques. They are concerned that implementing new procedures may result in substandard service.

As a result, the customer has to wait until then to receive a refund, which is tough in today's highly technological environment.

When you automate your e-commerce, you can save time and energy by eliminating routine operations and streamlining complex procedures that might otherwise consume your entire workday. This will help you deal with e-commerce returns more efficiently and have fewer failed deliveries.


Effective return management for a logistics business includes coordinating numerous duties at once. It can be a problem for many businesses to ensure that consumers receive deliveries and redeliveries on time, maintain employee satisfaction, and enhance efficiency while adhering to ever-shrinking budgets. Fortunately, technology may help a company get a head start in retaining customers, saving money, and ultimately conserving our planet's resources.

What kind of support can Norma LIVE offer to e-commerce businesses when it comes to returns management?

By selecting the most efficient route for your fleet, Norma LIVE route optimization and auto-dispatch software automate last-mile delivery. Norma LIVE helps you meet delivery deadlines, shorten service times, reduce costs, free up time, enable you to expand your business, and allot the appropriate amount of resources.

Download the white paper " Making Same-Day Delivery Possible" to learn more about how online retailers should reconsider their logistics choices in order to achieve same-day delivery in the most efficient way.

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