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An Innovative Approach To The Future Of Returns

The Modern Customer Podcast

Release Date: 02/23/2021

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Businesses across all sectors are constantly seeking new ways to elevate their customer experience offerings and drive customer loyalty. One fascinating model is the cruise industry. Cruise ships offer a 24/7, 'live-in' customer relationship model, forcing a relentless focus on swift problem resolution and exceeding expectations to avoid tarnishing the entire experience for passengers. With over 40 years of experience in the cruise industry, Paul Rutter, author of “You Can't Make This Ship Up,” has witnessed firsthand the evolution of customer experience on cruise ships. His role as a...

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The secondhand market is booming, fueled by consumer shifts towards sustainability and value.  With shoppers demanding the same seamless experience they expect from traditional retail, customer experience (CX) is crucial for resale platforms. ThredUp, an online leader, illustrates how strategic CX drives success in this unique market. ThredUp’s CEO and Co-Founder, James Reinhart, understands the complex customer journey in resale and focuses on addressing pain points at every stage. Blake Morgan is a customer experience futurist, keynote speaker, and author of the bestselling book...

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Exceptional customer experience (CX) isn't just for B2C companies anymore. B2B organizations are now recognizing its vital role in their success. Surbhi Kaul, Vice President of Global Customer Experience at Juniper Networks, exemplifies this shift. With over 10,000 employees and $5 billion in annual revenue, Juniper Networks is at the forefront of networking innovation. Blake Morgan is a customer experience futurist, keynote speaker, and author of the bestselling book The Customer Of The Future.

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Generative AI, a rapidly evolving technology, is poised to revolutionize various aspects of business, particularly customer experience (CX). A GBK Collective study reveals that over 50% of U.S. senior executives have already embraced generative AI, and this trend is expected to accelerate. Professor Stefano Puntoni, a leading marketing and AI expert at Wharton shared his insights on the impact of generative AI on CX during a recent podcast interview.  Blake Morgan is a customer experience futurist, keynote speaker, and author of the bestselling book The Customer Of The Future....

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It’s a common experience for online shoppers: an item arrives in the mail, either doesn’t fit or is no longer needed and now must be returned. 

But the process of making the return is cumbersome and requires printing shipping labels, packaging the item, making a trip to the post office and then waiting up to a few weeks to get the refund. 

With all the advancements in customer experience and online shopping, the return process for many companies has stayed the same—inconvenient and outdated. 

But an innovative approach to returns improves both the customer experience and sustainability. 

David Sobie is co-founder and CEO of Happy Returns, a company that partners with DTC and e-commerce brands to provide streamlined return practices. When a customer needs to return an item from a Happy Returns partner, they start the return online and get a QR code and directions to one of 2,600 drop-off locations around the country. Customers bring their items to the Happy Returns return bar, drop them off without worrying about packaging and get a receipt and an instant refund. That part of the process greatly improves the customer experience. 

But Happy Returns’ real work is just beginning. The drop-off centers collect items from dozens of brands and then ship them together in reusable totes to a Happy Returns regional processing hub. There, the items are sorted by store and then bulk shipped back to each merchant to re-sell or use how they want. 

The entire process is a win for everyone involved. Customers get a much smoother and faster return experience, e-commerce brands save on return shipping by sending items back in bulk and the reusable totes save the environment from an influx of cardboard and packaging materials. 

Sobie had the idea for Happy Returns years ago, but it wasn’t until the partnership of Kohl’s accepting Amazon returns that people came around to the idea and saw what was possible. The idea has taken off recently due to the huge increase in online shopping (and returns) during the pandemic. 

This modern approach to the return process shows the importance of prioritizing customers in all aspects of the customer experience, from start to finish. Sobie says that to be successful, companies must have physical and digital systems working together for cohesive software and logistics. 

This innovative approach to returns should spread to other companies and showcase the creative ways brands can improve their customer experience and reduce friction.

Blake Morgan is a customer experience futurist, keynote speaker, and author of the bestselling book The Customer Of The Future. Sign up for her new course here. For regular updates on customer experience, sign up for her weekly newsletter here.