6 Key Scenarios For Online and In-Store Retail Returns

A well managed retail returns process isn’t just a convenience, it’s an important part of the shopping experience.

Why 70% of Shoppers Value Flexible Returns:

A study showed that around 70% of customers consider flexible return options when deciding where to shop. Nowadays with so many buying options, customers want the freedom to return items through whichever method is most convenient for them, whether it’s in-store, online, or a combination of both. The ability to return a product easily builds trust and customer loyalty, leading to repeat purchases.

In this blog, we’ll understand different types of retail returns in omnichannel retailing:

1. Buy Online, Return Online (BORO)
2. Buy In-Store, Return Online (BISRO)
3. Endless Aisle, Return Online (EARO)
4. Buy Online, Return In-Store (BORIS)
5. Buy In-Store, Return In-Store (BISRIS)
6. Endless Aisle, Return In-Store (EARIS)

These journeys allow customers to choose how they want to complete their returns and improve the overall shopping experience.

The Impact of a Strong Return Policy on Retailers Success

A clear and well-structured retail returns policy does more than just handle product returns, it builds customer trust, boosts sales, and improves long-term profitability. When customers know they can return items if needed, they feel more confident making a purchase.

With the right approach, returns can go from being an expense to an exchange or upsell opportunity.

At the same time, setting clear rules like return timeframes and restocking fees helps prevent misuse.

How Do Online and In-Store Retail Returns Work? 6 Scenarios Explained

1. Online Returns

Online retail returns occurs when a customer purchases an item from a website or in-store but submits a return request online. This happens when the item is defective, doesn’t meet expectations, is the wrong size, or was mistakenly ordered.

Retailers usually provide an online return portal where customers can initiate returns, choose between a refund or exchange, and track the return process.

Here are the three scenarios for online retail returns:

• Buy Online, Return Online: This return method is ideal for customers who prefer the convenience of handling returns from home without visiting a store. After purchasing an item online, they can initiate a return through the retailer’s online portal, select a refund or exchange option, and ship the item back. A well-designed return portal plays a key role in this process, offering features like real-time tracking, prepaid shipping labels, and automated refunds to enhance the customer experience.

• Buy In-Store, Return Online: Some customers enjoy shopping in-store but find it more convenient to return items online, especially if it’s easier or more accessible for them. This scenario requires a simple and user-friendly online return process that works well with in-store purchases.

• Endless Aisle, Return Online: Endless aisle allows customers to purchase products that may not be physically available in the store. This means that even if the item is out of stock or unavailable to purchase, store associates can still place the order on their behalf, which will then be delivered directly to their home. In EARO customers initiate online returns for their in-store ordered items which they received home delivery for.

2. In-Store Retail Returns

When a customer buys something at a store, endless aisle in-store, or online and returns it by physically bringing it back to a store location, it’s called an in-store return. This is usually quicker because customers can get a refund or exchange right away.

Many retailers view returns negatively, but when customers return items in-store, it opens up valuable opportunities for retailers, such as increasing foot traffic, and giving retailers the chance to convert returns into new sales through exchanges or upsells. Customers returning items in-store are more likely to browse and purchase other products, helping retailers recover lost revenue.

Here are three POS (Point of sale) experiences for customers:

• Buy In-Store, Return In-Store: This is the most traditional return method where customers purchase an item from a physical store and, if needed, return it to the same or another store location. This process is often quick and convenient, as refunds or exchanges are processed instantly, eliminating wait times for shipping and inspection. It also benefits retailers by driving foot traffic, and providing opportunities for additional sales when customers browse other products while making their return.

• Buy Online, Return In-Store: Customers can purchase items online and then return them at a physical store location. This option provides convenience of getting an instant refund and flexibility for customers who prefer the ease of online shopping but want the option to return items in person, potentially avoiding shipping fees or delays associated with online returns. For retailers, in-store returns create opportunities to retain revenue by converting lost sales into exchanges.

• Endless Aisle, Return Online: When customers make an endless aisle purchase, they might prefer to return them in-store instead of shipping them back. This is especially helpful for large or expensive items.

By optimizing both online and in-store returns, retailers can enhance customer experience and profitability.
A well-managed retail returns process builds customer trust and encourages repeat purchases. Offering flexible online and in-store retail returns options enhances the shopping experience, improves customer satisfaction, and creates opportunities for additional sales.

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HotWax Commerce supports omnichannel returns with integrations across Shopify, Loop Returns, and NetSuite. With expertise in managing both online and in-store retail returns, HotWax Commerce helps retailers improve operations, reduce costs, and maximize profitability.

HotWax Commerce has extensive experience working with various retailers who use both Shopify POS and Loop POS for in-store retail returns. The synchronization capabilities allow HotWax Commerce to provide retailers with expert guidance on choosing the best solution for their business.

To get started, contact an expert now!