Leading returns and reverse logistics platform, Loop has introduced Offset, a new pre-purchase returns solution that helps Australian merchants offset the high costs of returns and reverse logistics.
Offset gives customers the option to pay a small fee upfront during checkout in exchange for free returns later. Merchants have a seamless way to cover the operational and shipping costs of returns, while continuing to deliver a high-quality customer experience that optimises revenue retention.
Merchants can choose between two Offset models based on their business needs:
- Offset Free: Merchants with significant US return volume looking to free up cash flow can have Loop cover all return software and US domestic shipping costs, including Return Bar drop-offs. In exchange, Loop collects return fees from US shoppers through Offset.
2. Offset Flex: Merchants worldwide who want to shift return costs to consumers in a targeted way can own the Offset revenue stream and recoup return software and shipping costs. Offset Flex allows merchants to personalise the experience for different customer segments, regions, and return outcomes.
Offset marks a major step forward in helping merchants recoup the rising costs of returns while continuing to deliver a stellar customer experience, according to Loop CEO, Hannah Bravo.
“At Loop, we’re committed to ensuring our partner brands improve both profitability and customer loyalty, especially as they prepare for the peak shopping season. Offset offers the world-class, convenient return options consumers expect today and represents the evolution of the returns experience.”
Early adopters of Offset include Mac Duggal, Margaux, Grant Stone, and more, to cover their return costs ahead of peak season. Early Offset merchants have witnessed a nearly 10% increase in average order value by giving shoppers the assurance of a free return, without increasing overall return rates. In addition, over 80% of shoppers given the option to purchase Offset choose to do so.