Small ecommerce business - return delivery options?

[19ninety]

As my little enterprise gets slowly bigger and makes more sales, I'm getting more requests for returns for various reasons. Up until now I have been able to ask customers to pay their own return delivery and then I re-pay them by PayPal. Now though more and more people are paying by card and I can't over refund a purchase via the payment processor, it's a uncomfortable question to then ask if they are happy for a PayPal transfer (if they even have a PayPal account, plenty of people don't), or the embarrassing "can I have your bank account number and sort code", which is really awkward and I feel both scenarios are really unprofessional.
I send my orders mostly by Royal Mail, ParcelForce for larger parcels and one particular product is prohibited by Royal Mail so I use DHL instead for orders which contain that product.

Can anyone recommend me a way of easily managing customer returns for Royal Mail orders, and also larger Parcel Force orders?

What suggestions are there for dealing with DHL returns? I can book these myself online, but the issue is making sure the collection isn't missed as I've then lost £26 for two return delivery bookings (DHL have stopped accepting depot drop off for now due to CV19).

Thanks in advance.

 

[Mr D]

Royal mail - if you have an account - will enable returns. Not cost effective for low numbers last I looked. But with sufficient numbers it can work OK.
We pay for all returns - usually customers use paypal and we just refund the extra as a payment.




Perhaps more importantly, look at why the returns are happening. Can you reduce them by changing a process or altering packaging? Or add information to page you are selling from?

 

[19ninety]

I use Drop & Go currently with Royal Mail, Parcel Force I use their "Rewards4U" account.

The returns rate is tiny, averaging one or two a month (in about 250 orders this month). I've put a ton of effort in to making sure all the info on products is good and answers most questions about "will this fit" or "does this work well with...". Some products have swappable mountings, so I always try to convert a wrong order return for exchange or refund to a sale/exchange by then selling the customer the correct mount and sending out a pre-paid return (stamped envelope) for the other to be returned and refunded. It's the bigger products that are a challenge.

I'm just trying to work out an efficient hassle free way of doing it. I work full time as well as running this online business, it would be good to have a smoother returns process for customers is all I'm thinking. With such a low return rate maybe it isn't worth the investment of time & money, and better to just do things a bit more ahnds on ... I just worry that approach doesn't look very pro!

 

[Mr D]

Pro is not necessarily going to be cost effective.

Perhaps speak to your royal mail contact and your parcel force contact see if they can suggest anything for your requirements.

If not refunding as necessary - providing a prepaid returns label is easier on the customer. Easiest is arranging a courier collection at an acceptable time and date. But far from hassle free for you!
Saying that, is DHL the only courier you can use for collection of that product type? Is there a better or more cost effective courier that could handle collection?

 

[Mr Dibb]

I have found people cant be trusted to stay in for collections. And as you have found, the surcharges (as hassle rebooking) for missed collections are too much.

For small numbers, use myhermes or collectplus. Customer can drop off at a shop, and its fairly cheap.

For larger numbers, or where you want a more automated solution, a Royal Mail "Tracked Returns" or just a freepost address is a good option.

DPD, UPS and Parcelforce have options for the customers to drop off at a local shop or post office. These are good for heaver or more valuable items. There are several parcel price comparison websites you can book these on if you don't have an account.

I emphasise to try and avoid collections for returns.

 

[Mr D]

I have found people cant be trusted to stay in for collections. And as you have found, the surcharges (as hassle rebooking) for missed collections are too much.

For small numbers, use myhermes or collectplus. Customer can drop off at a shop, and its fairly cheap.

For larger numbers, or where you want a more automated solution, a Royal Mail "Tracked Returns" or just a freepost address is a good option.

DPD, UPS and Parcelforce have options for the customers to drop off at a local shop or post office. These are good for heaver or more valuable items. There are several parcel price comparison websites you can book these on if you don't have an account.

I emphasise to try and avoid collections for returns.

Heh, most people who need to go out at all cannot be trusted to wait in for collections all day.
A courier gives a time slot, great can arrange to be in.

Or rearrange.

 

[Paul Norman]

My payment processor do allow returns, and that is how I would make the refunds.

Alternatively, you can issue Collect Plus labels for them to fix to the parcel, and drop it off at their local collect Plus shop.

But fixing the ability of the payment processing to do refunds would seem option one, to me.

 

[DontAsk]

If the returns are due to change of mind (i.e. not faulty) you need to include in your Ts&Cs that these are at the customers own expense.

Then all you need to refund is the original payment, no "over refund" neccessary.

 

[19ninety]

My payment processor do allow returns, and that is how I would make the refunds.

Alternatively, you can issue Collect Plus labels for them to fix to the parcel, and drop it off at their local collect Plus shop.

But fixing the ability of the payment processing to do refunds would seem option one, to me.

I can issue refund up to the original payment amount, I just can't refund above that. So if a customer has paid by CC and needs to return an order they paid £65.00 for and the return delivery is £5.00, I can't refund £70.00, only the original £65.00 and then have to work to a way to reimburse them the additional £5.00.

If the returns are due to change of mind (i.e. not faulty) you need to include in your Ts&Cs that these are at the customers own expense.

Then all you need to refund is the original payment, no "over refund" neccessary.

This is already included in my T&C and is the only case where I don't refund return delivery, and makes up only a handful of returns at most over a year.

I have found people cant be trusted to stay in for collections. And as you have found, the surcharges (as hassle rebooking) for missed collections are too much.

For small numbers, use myhermes or collectplus. Customer can drop off at a shop, and its fairly cheap.

For larger numbers, or where you want a more automated solution, a Royal Mail "Tracked Returns" or just a freepost address is a good option.

DPD, UPS and Parcelforce have options for the customers to drop off at a local shop or post office. These are good for heaver or more valuable items. There are several parcel price comparison websites you can book these on if you don't have an account.

I emphasise to try and avoid collections for returns.

Thanks, Will look in to Collect+ (and Hermes), I remember seeing their labels included in some things I ordered in the past. Hopefully the labels can be self printed by the customer, if not I can print and post the label out, bit of a faff but gets it done. For that one RM prohibited product, in those situations I'll have to get the customers to arrange their own courier and drop off, seems the better option.

 

[Paul Norman]

"Thanks, Will look in to Collect+ (and Hermes), I remember seeing their labels included in some things I ordered in the past. Hopefully the labels can be self printed by the customer, if not I can print and post the label out, bit of a faff but gets it done. For that one RM prohibited product, in those situations I'll have to get the customers to arrange their own courier and drop off, seems the better option."

The labels can be self printed by the customer. I have found this system works OK. A tiny number of customer complain about having to take the parcel to the collection point. But that is a very tiny number.

 

[19ninety]

A tiny number of customer complain about having to take the parcel to the collection point. But that is a very tiny number.

Interestingly I was furloughed for 6 weeks so used a local Post Office instead for Drop & Go drop offs instead of one near to work. Social distancing, etc, meant I had to queue to get to the counter to drop off my orders ... nearly all the people in front of me (and behind) were dropping off pre-paid returns (none seemed to be grumbling about it though), the PO staff are not happy and there are daily queues out the door!!
Would love to see some figures on how big the ecommerece boom is since COVID-19 came about.

 

[Mr D]

Interestingly I was furloughed for 6 weeks so used a local Post Office instead for Drop & Go drop offs instead of one near to work. Social distancing, etc, meant I had to queue to get to the counter to drop off my orders ... nearly all the people in front of me (and behind) were dropping off pre-paid returns (none seemed to be grumbling about it though), the PO staff are not happy and there are daily queues out the door!!
Would love to see some figures on how big the ecommerece boom is since COVID-19 came about.

https://www.retail-week.com/technol...online-sales-soar-in-lockdown/7034853.article

https://www.statista.com/statistics...il-y-o-y-trends-during-coronavirus-in-the-uk/

https://internetretailing.net/indus...commerce-takes-record-share-of-spending-21298

Online shopping as a proportion of all retail reached a record high of 30.7%, the ONS said.
https://www.bbc.co.uk/news/business-52766856

Personally my sales are far higher than normal. Triple or more.

 

[19ninety]

https://www.retail-week.com/technol...online-sales-soar-in-lockdown/7034853.article

https://www.statista.com/statistics...il-y-o-y-trends-during-coronavirus-in-the-uk/

https://internetretailing.net/indus...commerce-takes-record-share-of-spending-21298

Online shopping as a proportion of all retail reached a record high of 30.7%, the ONS said.
https://www.bbc.co.uk/news/business-52766856

Personally my sales are far higher than normal. Triple or more.

Ah thanks, I'll have a read of those later. For me May has turned over as much as Jan-April combined this year ... busy times.

 

[Mr D]

Ah thanks, I'll have a read of those later. For me May has turned over as much as Jan-April combined this year ... busy times.

Crisis equals opportunity as well as problems.