After December 25, many retailers across the U.S. will be dealing with customers who are returning gifts they do not want or need. Usually this translates into lost sales for stores, but retailers who work hard and get a little creative may be able to retain some of the holiday revenue by encouraging shoppers to use their returned cash in-store. Here are some tips on how to court this group of customers.
Running analyses
Not everyone rushes to the store the day after Christmas to return their items – you can expect to see a steady flow of returners in the weeks following the holidays. At the end of each day, you should be analyzing the returns you had to figure out what made customers bring back certain products. Encourage employees to inquire whether an item was defective or unwanted. Understanding this kind of feedback will help you reorganize your store floor if necessary, or give you an idea of what kinds of recommendations you can make to shoppers who are returning gifts.
Additionally, make sure your employees know that they should be trying to recoup losses by directing customers toward new products that may solve their issue. Defective products can be replaced by those that are functional, and your workers can find new sizes to make up for apparel that doesn't fit.
Stock well near the return counter
Customers who are unhappy with a certain product will likely come in and head right to the return counter. That means this spot is your best chance to catch their eye with a well-designed jewelry display or intriguing display cases. Showcase a variety of options that will appeal to all sorts of shoppers, and be sure to offer items both big and small. Even low-priced products can help you win back some of the sales you might otherwise lose.
Gift cards and exclusive sales
Another way to entice customers to keep spending in-store is to offer them gift cards or special sales. For instance, you could offer a certain percentage off on some of your most popular products if customers opt for store credit rather than a cash refund. Or you could offer gift cards that can be used any time throughout the year, unlike store credit, which often has a time limit.
