The North Face and Innotrac Partner to Deliver Happy Returns
Business Challenge
How returns are handled can greatly impact consumer satisfaction and customer retention. When managed well, returns can translate into additional sales opportunities and increased customer loyalty.
For apparel and outdoor gear retailer The North Face, a division of VF Corporation, the goal was to make e-commerce returns seamless while still delivering a superior brand experience. Speed is essential in this process, especially when it comes to the busy holiday season. The North Face return rate typically increases by a factor of two to three percentage points during the peak sales season, further validating the need for an efficient operation.
Solution
Innotrac and The North Face partnered to create a returns process that would help mitigate the financial impact of returns, while simultaneously improving the customer experience.
On the front end, The North Face created online pre-purchase content, such as high-resolution product images and detailed sizing charts, to help minimize errors in merchandise selection. The retailer regularly reviews the return codes consumers select on return forms to indicate why they are making a return, and creates or refines on-site features that help answer the problem, such as enlarged photos that show product details, improved sizing charts, and customer reviews.
On the back end, Innotrac implemented a customized returns program based on The North Face’s business rules and Innotrac’s years of returns management expertise. Using ISO 9001 standards and training, Innotrac ensured consistent product inspection and re-packaging of all incoming returns. Innotrac sent The North Face a daily report on the merchandise that had been returned and approved for resale, allowing the retailer to sync the e-commerce site with available inventory and process the refund quickly. Combined, these efforts resulted in a faster refund for the consumer, while also minimizing cost and manual intervention for the retailer.
Result
Over the last three years, The North Face and Innotrac have decreased the return processing window from approximately 72 hours to just 24 hours, getting merchandise back into inventory more quickly, and improving The North Face’s bottom line.
During the holiday season when seasonal employees are added to keep up with demand, having such an established process allows temporary workers to be quickly brought up to speed, minimizing training or time off the floor for Innotrac’s year-round associates.
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