Four ways Draper James retains revenue with returns software & reverse logistics
Founded by actress Reese Witherspoon in honor of her Southern heritage, Draper James—named after Witherspoon’s grandparents—captures the Southern charm in a collection of contemporary, ready-to-wear pieces and a variety of chic accessories and home décor. The retailer operates four stores across the South while also selling direct to consumers online. This blog explains how Draper James’ noticed and harnessed an opportunity to shape its customer loyalty, bottom line, and commitment to sustainability by re-imagining its returns, exchanges, and reverse logistics.
The growing pains of a rapidly-growing business
As Draper James grew, the brand recognized its returns process challenged its business from several perspectives. With just a handful of physical stores, the retailer was experiencing a high return rate from consumers across the country. Yet its customers, 60% of whom are 35 or older, expected a returns process as welcoming as the brand itself. Some of the main challenges were:
Slow shipping. Returned packages were taking a long time to make their way back to the warehouse.
Delayed processing. Once there, processing the returns was taking longer than initially expected.
Low morale. These delays put a burden on the brand’s customer care team, who were inundated with calls and complaints.
Decreased loyalty. The high level of dissatisfaction compromised customer retention and loyalty, in turn impacting sales.
4 ways to embrace returns as an opportunity for growth
Draper James recognized it was time to alter its returns process. Here are four, easy ways the team started retaining revenue by using returns software and reverse logistics.
1. Use One-Click Exchanges to Retain Revenue
Draper James increased its conversion rate and order frequency by implementing returns software with “one-click exchanges”, encouraging customers to exchange an item, based on their reason for returning. For example, if a customer returns a blouse with the reason that it was too small, the software will suggest that they exchange the blouse for one (or more) sizes up, with just one click. This proves valuable for numerous reasons: it improves the customer’s experience; retains revenue for Draper James; and captures data on inventory.
2. Expand Customer Loyalty with In-Person Returns
Despite having just four physical stores, Draper James offers its customers the convenience of returning or exchanging their purchases at one of 700 Happy Returns Return Bars nationwide.
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Though it originally predicted that only 10% of its customers would visit a Return Bar, Draper James saw that number soar to 65%.”
Additionally, Draper James uses in-person returns as a strategy to re-engage lapsed customers. By emailing customers details on how easy returns and exchanges are, Draper James helps encourage shoppers to click “buy”on items they’ve previously considered.
3. Aggregate Shipping to Reduce Costs
After shoppers drop off unwanted items at local Return Bars, products are collected and shipped in aggregate (with other retailers goods) to a regional hub for processing, which provides substantial savings.
4. Enhance Your Brand’s Sustainability
With 61% of shoppers choosing to buy exclusively from brands with sustainable business practices, it was important to Draper James to implement sustainable practices in its returns solution. The brand adopted eco-friendly, reusable shipping boxes as a way to showcase its commitment.
Expected & Surprising (!) Benefits
Since implementing a comprehensive returns software and reverse logistics solution, Draper James’ returns process positively reflects the charm and grace of its brand. Customers give a steady stream of positive feedback about the service—and call the customer service team far less often.
But what was most surprising to the Draper James’ team is that customers who return an item shop up to 25% more frequently than those who haven’t!
Other benefits include:
Happier customers. An increase in customer satisfaction and loyalty
More exchanges. A boost in its exchange rate
Sales improvements. Improved conversion and order frequency
Lower costs. Savings from aggregated shipping and lower carrier rates
Want to read more about Draper James’ story of switching to partner with Happy Returns? Read more here.
Alyssa Baroody
Senior Manager of Retailer Success
Alyssa Baroody is the Senior Manager of Retailer Success at Happy Returns. Previously, she served as Senior Project Manager at POSSIBLE. Before that, she worked as the Special Programs Manager at HauteLook, which was acquired by Nordstrom Rack.
