Let’s dive into the world of returns automation and explore how it can greatly reduce the environmental impact of eCommerce returns.

How eCommerce Returns Affect the Environment

The environmental impact of returns in the eCommerce industry is a pressing issue that needs to be addressed. Returns are a natural part of eCommerce, but they come with a cost to the environment.

High return rates lead to increased waste and carbon emissions, as returned items often end up in landfills and require additional transportation to be shipped back. This cycle of wastefulness poses a significant challenge to creating a sustainable eCommerce industry.

It’s essential to find a solution that tackles this environmental issue head-on.

Can Automation Make eCommerce Returns More Eco-Friendly?

Automation is key to making eCommerce returns more eco-friendly. By streamlining reverse logistics, reducing waste, and enabling sustainability initiatives, returns automation provides a framework for building an environmentally responsible returns process. 

By automating the returns process, you can minimize transportation emissions, lower carbon footprint, reduce return rates, and promote circular economy practices. Returns automation also enables carbon offsetting, sustainable packaging, and tracking of green metrics. 

Using an automated solution like ReturnGO can make returns more efficient while also reducing their environmental impact. 

How Returns Automation Can Make eCommerce Returns More Eco-Friendly

Returns automation is the answer to reducing the environmental impact of returns in eCommerce. By implementing returns automation into your workflow, you can improve efficiency, lower return rates, and support a circular economy.

Some of the sustainable benefits of automating your returns include:

Streamlined Reverse Logistics

Returns automation optimizes the entire reverse logistics process, making it more sustainable. 

By generating pre-paid return labels, routing shipments efficiently, and consolidating packages, you can reduce the number of unnecessary trips and carbon emissions. 

You can significantly reduce your eCommerce store’s transportation costs, fuel consumption, and carbon footprint by automating returns. Returns automation contributes to a more sustainable supply chain.

Reduced Return Rates

Using returns automation, you can offer smart resolutions to customers, encouraging them to keep or exchange items instead of returning them. 

This personalized approach reduces return rates and helps minimize the resources, energy, and emissions wasted on producing, shipping, and disposing of returned items.

Imagine the positive impact on the environment if every eCommerce store adopted this approach.

Increased Circular Economy Practices

The automation of returns can help create and support a circular economy. By analyzing the condition and value of returned items, you can make informed decisions about reusing, reselling, recycling, or donating them. This approach ensures that returned items find new life instead of ending up in landfills.

Promoting a circular economy can open up new revenue streams and create a positive social impact by selling returned items at discounted prices or donating them to charitable causes.

How to Automate Returns to Help the Environment

Now that we’ve discussed the benefits of returns automation, let’s look at how to implement this eco-friendly solution for your eCommerce store.

Communicate Effectively with Customers

Transparent and effective communication with customers is essential for sustainable returns. 

Clearly display your return policy, and highlight the eco-friendly benefits of keeping or exchanging items instead of returning them. Customers are increasingly conscious of sustainable shopping practices, and your efforts will resonate with them.

72% of customers are willing to pay more for sustainable products and are more likely to buy from stores that are committed to sustainability. 

Transparent and consistent communication also builds trust and loyalty with your customers, making them more likely to support your sustainability initiatives.

Collaborate with Sustainable Partners

Returns automation platforms like ReturnGO offer integrations with sustainable partners for your reverse logistics needs. 

Collaborate with green shipping carriers, carbon offset programs, and eco-friendly packaging suppliers to further reduce your environmental impact and uphold your brand’s sustainability goals.

Set Up Recycling and Repurposing Initiatives

Recycling and repurposing returned items become easier with returns automation. 

Implement initiatives such as reselling, recycling, donating to charities, or upcycling returned items into new products. These initiatives create value and positively impact the environment by minimizing waste.

Some initiatives you can implement include:

• Reselling Returned Items – By refurbishing and reselling returned items at discounted prices, you extend their lifecycle, reducing the need for new production and conserving valuable resources. 

• Recycling Materials – When products can’t be resold due to damage or any other reason, you can partner with recycling facilities or join recycling programs to ensure that plastics, metals, and other materials are responsibly processed.

• Donating to Charitable Causes – Encourage customers to donate their returned items instead of shipping them back. By giving back to the community and supporting those in need, you can make a positive impact on society and reduce waste.

• Upcycling into New Products – Upcycle returned products to transform products into new items, thereby reducing waste while also recovering value and profitability.

Optimize Packaging

Returns automation platforms provide data to help you optimize your packaging and eliminate excess materials. 

For example, you can analyze the dimensions of returned items and adjust box and envelope sizes accordingly to minimize empty space. This reduces waste from discarded packaging materials.

Keep in mind that 67% of customers consider sustainable packaging to be important when buying products.

Whenever possible, encourage the reuse of packaging or the use of recycled materials and biodegradable packaging.

Automate Carbon Offsetting

With returns automation, you can seamlessly integrate carbon offsetting services like Carbonfund and Terrapass. These services will automatically calculate the carbon emissions produced from return shipments and offset those emissions by funding renewable energy projects.

Carbon offset partners can also provide tracking reports, making the entire process automated and hands-off.

ReturnGO calculates the carbon footprint of your returns so you can monitor your sustainability and determine how much your footprint has decreased.

Track Sustainability Metrics

Leverage returns automation to closely track key sustainability metrics, including things like return rate, waste, emissions per return, and recycling rate.

Tracking these metrics over time (and setting goals for improvement) will give you visibility into the environmental impact of returns. You’ll be able to catch issues early and continuously optimize your automated workflows to make your returns process more eco-friendly. 

Publicly sharing your sustainability metrics can also boost customer and investor confidence in your commitment to eco-friendly practices.

Be the Change: Automate Returns Now for a Greener Tomorrow

Returns automation is the eco-friendly solution that can help you to tackle the environmental impact of returns. By streamlining reverse logistics, reducing return rates, and promoting circular economy practices, returns automation can make a significant difference.

You have the power to contribute to a more sustainable future. Take action now and use ReturnGO to make your returns more eco-friendly.

How do you know how sustainable your eCommerce store is? Let’s take a look at some sustainability metrics that can help you find out.

8 Sustainability Metrics to Track in eCommerce

Sustainability metrics are indicators that help you track and evaluate your eCommerce store’s environmental impact. They can help you identify areas for improvement, set goals and targets, and communicate your progress to your customers.

Here are some sustainability metrics to track:

1. Carbon Footprint

Carbon footprint is the amount of greenhouse gas emissions generated by your eCommerce business, such as sourcing, production, packaging, shipping, and returns. It’s one of the most important sustainability metrics because it indicates how you impact climate change, one of the world’s most pressing issues.

To calculate your carbon footprint, use the following formula: 

Total CO2 emissions = (energy consumption x emission factor) + (transportation emissions) + (packaging emissions). 

By regularly measuring and monitoring your carbon footprint, you can identify areas for improvement, implement energy-efficient practices, and offset your emissions through carbon offset projects.

When you use ReturnGO to manage returns, ReturnGO shows you how much CO2 emissions you have been able to reduce.

2. Energy Consumption

Energy consumption is the amount of energy used by your store, including things like electricity, gas, and fuel. Keeping track of your energy consumption is important because it impacts your operating costs and carbon footprint.

To measure your energy consumption, you use the following formula: 

Total energy consumption = (sum of electricity usage in kWh) + (sum of fuel usage in liters or cubic feet). 

By monitoring and reducing your energy consumption, you can lower your operational costs, decrease your carbon footprint, and contribute to a more sustainable business model.

3. Waste Generation

Waste generation is the amount of waste produced by your eCommerce business, such as packaging waste, product waste, and return waste. As a sustainability indicator, it measures how efficient your resources are and how much impact you have on landfills and oceans.

To track your waste generation, measure the weight and volume of each product and order that ends up as waste.

To measure your waste generation, use the following formula: 

Total waste generation = (weight of packaging materials) + (weight of discarded products) + (weight of returned products waste). 

By implementing waste reduction strategies like using eco-friendly packaging materials, promoting recycling, and minimizing product waste, you can reduce your environmental impact and make your business more sustainable.

4. Recycling Rate

Recycling rate is the percentage of waste that your business recycles or reuses instead of sending to landfill. This includes things such as packaging materials, returned products, and unsold inventory. 

Tracking your recycling rate is essential for seeing how well you’re managing your waste and reducing your environmental impact.

To calculate your recycling rate, use the following formula: 

Recycling rate = (weight of recycled materials) / (total weight of waste generated). 

By improving your recycling rate through implementing recycling programs, partnering with recycling facilities, and educating customers about proper disposal, you can minimize landfill waste and conserve valuable resources.

5. Return Rate

Return rate is the percentage of orders that are returned by customers. It’s an essential sustainability metric because it affects your customer satisfaction, revenue, and environmental impact.

To measure your return rate, use the following formula: 

Return rate = (number of returned products) / (total number of products sold) x 100. 

Monitoring your return rate helps you identify product quality issues, customer satisfaction trends, and areas for improvement in your eCommerce supply chain and returns management.

6. Return Costs

Return costs are the expenses associated with processing and managing product returns, including shipping, restocking, refurbishing, and disposal costs. 

To calculate your return costs, add up all the expenses associated with returns, including shipping costs, labor costs, and any additional costs for repairing or disposing of returned items. 

Understanding and minimizing return costs can help optimize your eCommerce store’s operations, improve the customer experience, and reduce waste generation.

7. Social Responsibility

Social responsibility measures the extent to which your eCommerce store engages in ethical and sustainable practices, such as fair labor conditions, community involvement, and support for charitable causes. 

Evaluating social responsibility is qualitative and involves assessing your store’s policies, supplier practices, employee welfare, and philanthropic initiatives. 

By promoting fair trade, using responsibly sourced materials, and reducing environmental impacts, you can demonstrate your commitment to sustainability and social responsibility.

8. Product Lifecycle

Product lifecycle is the average lifespan of your products before they become obsolete or unusable, which indicates how long-lasting and reliable your products are. 

Measuring the length of your product lifecycle can give you insights into the amount of waste you generate.

To measure your product lifecycle, you need to evaluate the environmental impacts at each stage, such as resource depletion, energy consumption, emissions, and waste generation. 

By considering the entire lifecycle of your products, you can identify opportunities for improvement, implement sustainable design and manufacturing practices, and promote circular economy principles such as recycling and product reuse.

How to Improve eCommerce Sustainability

Now that you know how to track these sustainability metrics, how can you improve them? 

Here are some tips to help you make your eCommerce store more sustainable:

Identify Areas for Improvement

The first step is to assess your current sustainability metrics and identify areas for improvement. 

You can use a SWOT analysis (strengths, weaknesses, opportunities, threats) or a gap analysis (current state, desired state, gap) to determine where there’s room for improvement in your business’ sustainable practices.

Reduce Your Carbon Footprint

Implement strategies to reduce your carbon footprint, such as optimizing shipping routes, using eco-friendly packaging materials, and exploring renewable energy options. 

You can also offset your carbon emissions by investing in carbon credits or projects that reduce greenhouse gas emissions.

Minimize Waste

Reduce the amount of waste you produce by implementing waste reduction measures, promoting recycling, and optimizing inventory management to minimize excess stock. 

Likewise, you can improve product quality and durability to extend the product lifecycle and reduce the need for frequent replacements.

Encourage Responsible Consumption

Encourage your customers to make responsible choices by promoting sustainable products and educating customers about their environmental impact. 

Offer incentives for customers to buy less, buy better, or buy circular (products that are designed for reuse or recycling).

Boost Your eCommerce Store’s Sustainability

By tracking these sustainability metrics, you can measure and improve your sustainability and gain a competitive advantage in the eCommerce market.

With ReturnGO, you can track your return rates, return costs, and carbon footprint to improve your sustainability levels and improve efficiency.

Ready to start tracking sustainability metrics for your eCommerce store? Try ReturnGO today and see how it can help you achieve eCommerce sustainability.

Here’s how you can reduce the carbon footprint of your return shipments by implementing best practices and strategies in areas like packaging, reverse logistics, and product lifecycle.

The Environmental Impact of Return Shipments

Before diving into some of the solutions to carbon emissions from returns, let’s take a closer look at the environmental impact of return shipments. 

Here are some of the main factors that contribute to the carbon footprint of returns:

Volume of Return Shipments

Online shopping has grown exponentially in recent years. Global eCommerce sales reached $5.7 trillion in 2022, and are expected to grow to $8.1 trillion by 2026. The growth of online shopping, however, is accompanied by a high volume of returns. 

The average return rate for online purchases is 20%. The more returns are shipped back, the higher the carbon footprint and environmental impact.

Energy Consumption and Gas Emissions

Shipping products from warehouses to customers and back uses a lot of fuel and electricity, which generate greenhouse gas emissions that contribute to climate change and global warming. 

The biggest source of carbon dioxide emissions (CO2, the most common greenhouse gas) in the US is transportation, accounting for 38% of all greenhouse gas emissions.

Packaging Waste

Packaging materials are essential for protecting products during transportation, but they also create a lot of waste and pollution.

Most packaging materials are made from plastic or paper, which are derived from non-renewable resources and require a lot of energy and water to produce. 

Moreover, not all packaging materials are recyclable or biodegradable, and many end up in landfills or oceans, where they harm wildlife and ecosystems.

Air and Water Pollution

Return shipments have a negative impact on air and water quality by releasing harmful substances into the environment. 

For example, burning fossil fuels for transportation can emit pollutants such as carbon monoxide, nitrogen oxides, sulfur dioxide, and particulate matter, which can cause respiratory problems and acid rain. 

Packaging materials also often leach chemicals or microplastics into the soil and waterways, which can contaminate drinking water sources and aquatic life.

The Importance of Reducing Carbon Emissions

Return shipments have a significant environmental impact that cannot be ignored. 

Reducing the carbon footprint of your return shipments is socially responsible as well as being a smart business decision. 

Some of the benefits of reducing your carbon footprint include:

Mitigating Climate Change

By reducing the carbon footprint of your return shipments, you can help reduce greenhouse gas emissions and slow down the rise of global temperatures and sea levels.

Preserving Natural Resources

Reducing your return shipments’ carbon emissions can help conserve resources and protect the environment, support biodiversity, and ensure resource availability and security for future generations.

Meeting Customer Expectations

Customers are becoming more conscious and selective about the environmental and social impact of their purchases. 

In fact, 78% of customers say their buying decisions are influenced by a business’ environmental practices. 

By reducing the carbon footprint of your return shipments, you can demonstrate your commitment to sustainability, and differentiate yourself from your competitors.

Reducing Costs 

Taking steps to reduce the environmental impact of your return shipments can help you save costs and improve your profitability by optimizing your packaging, streamlining your reverse logistics, and redesigning your product lifecycle.

Strategies for Reducing the Carbon Footprint of Your Return Shipments

Now that you know why reducing the carbon footprint of your return shipments is important, let’s look at some of the strategies that you can implement in your eCommerce business. 

There are 3 main areas you can focus on to reduce your return shipments’ carbon footprint: packaging, reverse logistics, and product lifecycle.

1. Optimize Packaging

Packaging is one of the key factors that affect the carbon footprint of your return shipments. By making your packaging more eco-friendly, you can reduce the amount of materials, energy, and emissions involved in shipping your products back and forth. 

Here are some tips on how to optimize your packaging:

• Use eco-friendly materials – Instead of using plastic or styrofoam packaging materials that are harmful to the environment and difficult to dispose of, use eco-friendly materials that are made from renewable or recycled sources and can be easily reused or decomposed. 
• Minimize the size and weight of your packages – Instead of using oversized or multiple packages for your products, use boxes that fit snugly around your products and minimize empty space. This can help reduce the amount of materials used and the weight of your packages, which can lower your fuel consumption and emissions during transportation.
• Encourage customers to reuse packaging – Instead of throwing away packaging materials after receiving or returning a product, encourage customers to reuse or recycle them. You can also offer incentives for customers who use the original packaging for returns.

2. Streamline Reverse Logistics

Reverse logistics is the process of managing the flow of goods from customers back to merchants. 

By streamlining your reverse logistics, you can reduce the number and distance of return shipments, and improve their speed and efficiency. 

Here are some tips on how to streamline your reverse logistics:

• Use a centralized returns management system –  Instead of manually handling your returns, use a centralized returns management system like ReturnGO that tracks and analyzes your returns data across all channels and platforms. This can help you gain insights into your return rates and costs associated with your returns.

• Implement a flexible return policy – Create a return policy that enables customers to choose the most convenient and sustainable return method (e.g. free returns, prepaid labels, drop-off locations). This can help you reduce the number of return shipments.
• Work with eco-friendly carriers – Work with shipping carriers that offer low-carbon or carbon-neutral delivery services instead of fossil-fuel-based vehicles.

3. Redesign the Product Lifecycle

The product lifecycle is the process of managing the stages of a product from design to disposal. 

By rethinking your product lifecycle and creating a circular economy, you can extend the lifespan of your products, reduce waste and emissions, and create value from your returned products. 

How to make your product lifecycle a circular economy:

• Extend the lifespan of your products – Offer repair, refurbishment, or warranty services instead of discarding or replacing your products when they are damaged.

This can help you reduce the number of products that are disposed of and go to waste.

• Resell returned products – Instead of throwing away or destroying your returned products that are still in good condition, resell your returned products or donate them to charities that can give them a second life.
• Recycle your unsellable products – Recycle or upcycle your unsellable products into new products or materials instead of sending your unsellable products to landfills or incinerators. This can help you reduce the amount of waste and emissions generated by your returns and conserve resources that would otherwise be used to produce new products or materials.

Be Part of the Solution by Reducing Your Carbon Footprint

By implementing best practices in packaging, reverse logistics, and product lifecycle, you can reduce your return shipments’ carbon footprint.

In addition to helping protect the environment and mitigate climate change, you can save money, enhance your brand reputation, and retain customers.

ReturnGO enables you to manage your eCommerce return shipments in a green and efficient manner, reducing your carbon footprint while improving customer satisfaction and retention.

Contact us to learn more about how ReturnGO can help you reduce the carbon footprint of your return shipments.

Today, we’re going to be talking about the increasing importance of eco-friendly returns management, and sharing some tips on how you can make the returns process more environmentally responsible, all while ensuring that your customers have a positive experience. 

So, let’s explore the importance of sustainability in returns and learn how you can embrace this responsibility for a greener future.

The Environmental Impact of Returns

When you think about returns in the world of eCommerce, it’s easy to overlook the environmental consequences they bring. But they actually have a significant impact on our planet. 

Consider this: when you return a product, it goes through several stages of transportation before reaching its destination. All those extra trips result in increased emissions and energy consumption. What’s more, if the returned items aren’t resold, they often end up in landfills, contributing to an already humongous pile of waste. 

It’s time for eCommerce businesses like yours to focus on reducing the environmental impact of returns.

You have the power to make a difference. By implementing sustainable practices, you can minimize the carbon footprint and waste associated with the returns process. From the moment a product is returned, you can take steps to ensure it has the smallest environmental footprint possible. 

Every small change can make a big impact.

Reducing the environmental impact of returns may be a challenge, but it’s a challenge that no one can afford to ignore. As an eCommerce business, you have a responsibility to take action and make sustainable choices. By doing your part, you protect our planet, conserve its resources, and build a greener future for generations to come. 

Implementing Eco-Friendly Packaging

When it comes to reducing the environmental impact of returns, one powerful step you can take is implementing eco-friendly packaging. By using sustainable materials like recycled paper or biodegradable plastics, you can make a big difference in minimizing your carbon footprint. 

Optimizing the packaging size is another smart move. When you minimize material waste by using just the right amount of packaging, you not only save resources but also reduce the energy required for manufacturing and transportation. Plus, by adopting reusable packaging solutions, you can take sustainability to the next level. 

Think about it: packaging that can be used again and again, reducing the need for new materials every time a product is returned. It’s a simple change that goes a long way.

By prioritizing eco-friendly packaging, you’re doing more than just helping the environment. You’re also sending a powerful message to your customers. They’ll see that you’re committed to sustainability, and that can have a huge impact on your brand image. 

Consumers today are increasingly conscious of their environmental footprint, and they appreciate businesses that share their values. So by choosing eco-friendly packaging, you’re not only doing good for the planet but also creating a stronger connection with your customers.

Encouraging Product Recycling

As an eCommerce brand, you have the power to educate your customers about recycling options for any items they might return. By providing clear instructions on how to recycle or responsibly dispose of these products, you can make a big difference in minimizing waste and promoting a more circular economy.

Imagine this: instead of returned items ending up in landfills, they get a second chance at life. By collaborating with recycling partners or implementing a take-back program, you can ensure that these items are recycled or repurposed, reducing their impact on the environment. 

It’s a win-win situation. Not only are you preventing waste accumulation, but you’re also conserving resources and reducing the need for new materials.

Education plays a crucial role in this process. When customers understand the importance of recycling and how to do it properly, they’re more likely to make eco-conscious choices. You can provide them with information on recycling facilities in their area or even include prepaid shipping labels for returning items to be recycled.

Remember, encouraging product recycling is not only about reducing waste but also about fostering a mindset of environmental responsibility. By taking this step, you’re showing your customers that you care about the planet and are committed to making a positive impact. It’s an opportunity to build trust and strengthen your brand’s reputation.

Optimizing Reverse Logistics

When it comes to managing returns in an environmentally friendly way, optimizing reverse logistics is a key factor you should consider. Reverse logistics refers to the process of moving returned goods from the customer back to the seller, and it has a great impact on reducing the environmental footprint of returns. By making this process more efficient, you can minimize transportation emissions and save energy.

One way to optimize reverse logistics is by consolidating returned items. Instead of handling each return individually, you can group them together based on their destination or other relevant factors. This reduces the number of trips needed and cuts down on transportation-related emissions. 

By consolidating returns, you’re not only being more eco-friendly but also improving the efficiency of the entire process.

Route optimization is another essential strategy. By carefully planning the routes for returning items, you can minimize the distance traveled and the time spent on the road. This helps to reduce fuel consumption and emissions. Technology can be your ally here, as advanced routing algorithms and GPS systems can help you find the most efficient paths for transporting returns.

Choosing greener transportation options is also crucial. Electric vehicles are gaining popularity in logistics, thanks to their lower carbon footprint. By incorporating electric vehicles into your reverse logistics fleet, you can significantly reduce emissions. Another option to consider is shared logistics services, where multiple businesses share the same transportation resources. 

This not only cuts down on costs but also reduces the overall environmental impact of transportation.

Leveraging technology and data analytics can further optimize your reverse logistics operations. By using software solutions that provide visibility into the entire process, you can identify bottlenecks, inefficiencies, and areas for improvement. Data analytics can help you make informed decisions, such as identifying patterns in returns and implementing preventive measures to reduce the number of returns in the first place.

Incorporating Sustainability into Returns Management Practices

By setting clear sustainability goals, measuring key performance indicators, and regularly evaluating and refining processes, you can make a real difference in reducing your environmental impact. 

Let’s explore how you can integrate sustainability into the core of your returns management and why it’s crucial for the long-term success of your business.

Start by defining your sustainability goals, and aligning them with your values and objectives. These goals can include reducing carbon emissions, minimizing waste, increasing recycling rates, or promoting eco-friendly packaging. By setting clear goals, you provide a roadmap for your returns management practices and give direction to your sustainability efforts.

Measuring and tracking key performance indicators (KPIs) will help you assess the effectiveness of your sustainability initiatives. Consider metrics like carbon emissions per returned item, waste reduction rates, or customer satisfaction with your eco-friendly practices. Regularly monitoring these KPIs allows you to evaluate your progress and identify areas for improvement.

Continuously evaluate and refine your processes to ensure ongoing improvement in sustainability practices. Review your returns management workflows, analyze data, and seek feedback from customers and employees. By actively seeking optimization opportunities, you can reduce your environmental impact and enhance the efficiency of your returns management.

Maintaining a Positive Customer Experience

While being eco-friendly is ultra-important, maintaining a positive customer experience is absolutely crucial for your eCommerce brand. There needs to be a balance between environmental responsibility and customer satisfaction. Clear and transparent communication about sustainable returns practices, hassle-free return processes, and offering incentives for eco-conscious choices will help you maintain a positive customer experience.

Prioritize clear and transparent communication with your customers about your eco-friendly initiatives. Provide them with information about how you’re implementing sustainability in your returns processes, such as using recyclable packaging or promoting product recycling. Clearly outline your return policy, including any specific instructions for eco-friendly returns. Keeping your customers well-informed will build trust and demonstrate your commitment to sustainability.

Make sure to simplify and streamline your return processes to create a hassle-free experience for your customers. Implement user-friendly online return portals or mobile apps that make it easy for them to initiate returns, track their progress, and receive timely updates. By simplifying the process, you reduce frustration and ensure a smooth experience for all parties involved.

Consider offering incentives to encourage your customers to make eco-conscious choices. Provide rewards, discounts, or loyalty points to those who opt for sustainable returns options, such as product exchanges or store credits instead of refunds. By highlighting the benefits of these choices, you motivate your customers to make environmentally friendly decisions while also enjoying the perks you offer.

Continuously gathering feedback from your customers and actively listening to their suggestions will help you better understand their needs and preferences, allowing you to make necessary adjustments to improve the customer experience. Engage with them through surveys, reviews, and social media to show them that their opinions matter to you. 

Conclusion

In this era of heightened environmental concerns, you, as an eCommerce business, have a responsibility to make your returns process more sustainable. By implementing strategies like eco-friendly packaging, encouraging product recycling, optimizing reverse logistics, and incorporating sustainability into your returns management practices, you can make a significant impact in reducing the environmental footprint of returns.

Remember, sustainability is an ongoing journey. Continuously evaluate and refine your returns management practices, measure your performance using key indicators, and set clear sustainability goals. Actively engage with your customers, listen to their feedback, and adapt accordingly.

By taking action with these steps and making sustainable choices in your returns processes, you position yourself as a responsible leader in the industry – striving for the balance between sustainability and customer satisfaction, contributing to a better world, and creating a stronger, more loyal customer base in the process. 

Together, let’s embark on this journey towards a more sustainable and responsible eCommerce landscape.

About the Author

Chad Jensen, a writer for Aurajinn, is a trusted source of information for eCommerce store owners. With his extensive background in sales, marketing, and technology, Chad offers a unique and engaging perspective through his writing, helping online businesses flourish within the ever-evolving digital landscape.

The Connection Between Sustainability and ROI

When you make sustainability a priority for your business, it can actually help you make more money in the long run. 

By cutting down on waste, reducing costs, and attracting more eco-conscious customers, you can improve your ROI and help the environment at the same time.

How Sustainable Returns Can Increase ROI

In today’s world, where environmental sustainability has become a major concern for customers and businesses alike, adopting sustainable practices can benefit your eCommerce store in several ways.

Tax Benefits and Other Financial Incentives

In many countries, the government provides tax benefits and other financial incentives to businesses that adopt sustainable practices. 

In recent years, renewable energy has become increasingly recognized as having economic, environmental, and political value, and many government agencies and organizations offer incentives for businesses to invest in renewable energy.

Incentives include things like income tax credits, sales and property tax exemptions, grants, rebates, and “green loans.”

Moreover, the United States Environmental Protection Agency (EPA) has regulations for pollution prevention that manufacturers must follow, so make sure you are in compliance with them.

Some incentives provided by local and national entities include:

• Business Energy Investment Tax Credit – The Business Energy Investment Tax Credit (ITC) is a federal tax credit for businesses for building or purchasing equipment that generates renewable energy. 

For example, if you buy solar panels for your business, you can get up to 30% credit on their cost. You may also be able to claim city and state tax incentives for installing solar panels for your business.

• Energy Star – The Energy Star program, run by the U.S. Environmental Protection Agency and the U.S. Department of Energy, helps businesses save money and reduce carbon footprint by providing resources and guidance on energy efficiency.

• USDA – The U.S. Department of Agriculture Rural Development and the U.S. Department of Energy offer financial assistance in the form of grants and loans to small businesses that implement sustainable practices.

• Green Jobs Initiative – The Green Jobs Initiative is a federal program that provides grants to businesses that educate their staff on sustainable business practices.

Stay up-to-date about relevant regulations and use available resources to increase your profits through sustainable eCommerce practices.

Reduced Costs

Sustainable returns practices can help you reduce costs associated with returns management. 

Returns management can generate a significant amount of waste, which can be costly to dispose of properly. By implementing sustainable returns practices, you can reduce the amount of waste generated from returns and save on disposal fees.

For example, you can implement a program to recycle returned items. Working with a recycling company can help make sure that materials are properly sorted and processed.

You can also encourage customers to return items in their original packaging to reduce the need for additional packaging materials.

By minimizing the amount of waste generated from returns, you can save on disposal costs and production costs, reducing your environmental footprint while increasing your bottom line.

Competitive Advantage

Adopting sustainable returns practices can also give you a competitive advantage in the eCommerce market. 

Today’s customers are increasingly aware of the impact their purchases have on the environment and are looking to buy from businesses that share their values. 

78% of customers say their buying decisions are influenced by a business’s environmental practices – customers want to know that the stores they shop at are committed to sustainability. 

By demonstrating your commitment to sustainability through your returns management process, you can appeal to eco-conscious customers and gain a competitive edge in the market.

Additional Revenue from Returned Products

Sustainable returns practices can also help you generate additional revenue from returned products by implementing a circular economy. 

By refurbishing or reselling returned items, you can turn what would otherwise be a loss into a profit. This additional revenue can help increase your store’s ROI and improve your bottom line.

Some ways to gain additional revenue from returned products include:

• Refurbish and resell – Instead of simply discarding returned items, you can repair them for resale. 

This reduces waste and generates additional revenue by enabling you to sell refurbished products at a discounted price.

• Sell to liquidation companies – Another option is to sell returned products in bulk to secondary markets or liquidation companies. 

These companies will purchase products at a reduced rate and sell them in other markets, providing you with additional revenue from items that would otherwise go to waste.

• Resell as “open-box” – Returned items that are in good condition can be resold at a discount on your site or on third-party reCommerce sites.

By offering open-box items at a discounted price, you can appeal to budget-conscious customers who are willing to buy products that have been opened or slightly used. 

Think about this – if you don’t resell those returned products, where will they go? 

To the garbage dump, or to sit on your warehouse shelves collecting dust? If that’s the case, it definitely makes more sense to resell returned products than to lose money on them.

Increased Customer Lifetime Value

It is important to remember that customers who are satisfied with your returns process are more likely to continue doing business with you in the future. 

Customer loyalty is one of the most valuable assets your store can have. Loyal customers spend an average of 67% more per purchase than new customers.

When customers feel a strong connection to your store, they are more likely to spend more, buy more often, and recommend your store to others.

Customers are becoming increasingly conscious of their impact on the environment, and they want to buy from stores that do their part to reduce their environmental footprint. 

By implementing sustainable returns practices such as repairing and reselling returned items, using eco-friendly packaging materials, and donating returned items to charity, you can show your customers that you are committed to minimizing waste and protecting the environment.

Customers who prioritize sustainability are more likely to be loyal to businesses that share their values. By offering a sustainable return process, you can attract more customers and increase customer loyalty, repeat business, and positive word-of-mouth referrals.

Real-World Examples of Sustainable Returns Management

Sustainable returns management is becoming more important for businesses of all sizes, as customers become increasingly conscious of their environmental impact. 

Let’s take a look at some real-world examples of how stores are improving their ROI and reducing waste through sustainable practices.

Best Buy

One of the more environmentally-conscious stores, Best Buy is ranked among the top 5 of Barron’s 100 Most Sustainable Companies.

Best Buy aims to protect the environment, conserve natural resources, and prevent pollution by:

• Reducing carbon emissions
• Recycling returned products
• Offering a variety of sustainable products

Between 2009 and 2023, Best Buy has already:

• Collected over 2 billion pounds of recyclables from customers.
• Reduced carbon emissions by 61%.

Waste diversion is one of Best Buy’s major goals. 

In order to achieve this, Best Buy offers a recycling program, through which customers can recycle electronics such as phones, laptops, and tablets for free at Best Buy store locations.

The company also has a service that removes TVs and appliances, which is convenient for those who prefer not to dump used items in the trash.

At the same time, Best Buy uses machines that create custom boxes and envelopes designed to fit the products being shipped out, resulting in a 40% reduction in cardboard waste and no need to use plastic fillers.

Patagonia

Patagonia has implemented several sustainability initiatives, including:

• Worn Wear –  Worn Wear is an online program to trade in and buy used Patagonia gear, encouraging customers to partner with Patagonia to extend the life of those products. 

On this reCommerce site, customers can trade in used Patagonia clothing and receive credit for a used or new Patagonia item.

Most items are cleaned using CO2 technology, saving water and energy (compared to conventional methods) and capturing microfibers.

• 1% for the planet – Patagonia has pledged 1% of sales to the preservation and restoration of the natural environment. 

Through this initiative, Patagonia has awarded over $140 million in cash and in-kind donations to domestic and international grassroots environmental groups that make a positive difference in their communities. 

To encourage other businesses to do the same, Patagonia’s founder Yvon Chouinard and Blue Ribbon Fly’s owner Craig Mathews created a non-profit corporation in 2002.

• Action Works – Patagonia Action Works connects people with organizations working on environmental issues in the same community. 

The goal of this program is to make it easy for anyone to discover and connect with environmental action groups and get involved with their work.

In addition to those sustainable programs, Patagonia also provides DIY repair and care tutorials to show customers how to keep their gear in usable shape for as long as possible.

As an industry leader in retail sustainability, Patagonia is working hard to become a zero-waste company and strives to set a high standard for businesses and customers to follow.

Ikea

What’s impressive about Ikea is that their commitment to sustainability extends far beyond the initial appeal of their products. In fact, their products are intentionally designed to be reusable and sustainable.

Ikea aims to use only renewable or recycled materials and to provide new solutions for customers to prolong the life of products and materials. This includes manufacturing products using sustainable materials and ensuring that the majority of their waste is recycled or incinerated into energy.

To ensure that products can be reused, refurbished, remanufactured, and eventually recycled, Ikea has developed circular product design principles. 

Designing for standardization and adaptability ensures that products can be reused and refurbished with scalable maintenance and repair services. Standardized parts also facilitate remanufacturing by making it easier to reuse parts in another product.

Another sustainable returns initiative Ikea has implemented is a buyback program in around 30 countries, including at the Ikea store in Vancouver, Canada, which rewards customers for bringing in their used Ikea furniture. Customers simply upload a photo of the furniture online, wait for the return to get approved, and drop it off. 

The returned items, after being cleaned, go to a special section of the store. In 2020 alone, the company helped give 39 million used products a new life. 

By creating circular solutions for both existing and new customers to acquire, care for, and pass on products, Ikea reduces waste and extends the life of their products.

Sustainable eCommerce Returns Initiatives of Industry Leaders

When it comes to sustainable eCommerce returns, many businesses are following the lead of companies like Best Buy, Patagonia, and Ikea and prioritizing waste diversion, offering recycling programs, and designing products with circular principles in mind.

As sustainability becomes a growing concern, eCommerce stores are adopting more sustainable practices. By following the lead of sustainable stores and implementing their own initiatives, more and more businesses are demonstrating their commitment to a greener future while improving their bottom line.

Make Sustainability a Priority for Your eCommerce Business

Implement a sustainable returns process to benefit the environment while also benefitting your business in terms of revenue and profitability.

By making sustainability a priority and taking steps towards reducing waste and improving your returns process, you can create a win-win situation for both your business and the planet. 

Take action today and see how sustainable eCommerce returns can help you achieve your business goals while making a positive impact on the world.

Take action to make a difference by embracing a circular economy, extending the life of products, and driving the shift toward sustainable practices. 

What is a Circular Economy? 

A circular economy is a system of production and consumption that aims to keep materials in use for as long as possible, reduce waste, and minimize the environmental impact of retail. 

Simply put, this means creating a closed-loop system where products are designed to be reused or recycled instead of being discarded as waste. 

In the world of eCommerce, a circular economy can be created by implementing sustainable returns practices. By encouraging customers to return items for reuse or recycling, you can reduce waste and significantly improve your environmental impact. 

The concept of a circular economy is gaining traction as the world becomes increasingly aware of its limited resources and the impact of eCommerce waste on the environment.

The Role of Returns in a Circular Economy

As technology advances and eCommerce continues to thrive, you’re presented with a unique opportunity to participate in building a circular economy by effectively managing your returns process. 

Product returns can be a source of waste and inefficiency, damaging the environment and reducing profitability.

However, with the right strategies in place, returns can also play an essential role in building a circular economy. By implementing a sustainable returns process, you can reduce waste and increase your store’s impact.

Customers are more aware and conscious of the impact their purchases have on the environment than ever before. 78% of customers say a store’s environmental practices influence their buying decisions. 

Having a sustainable returns process can attract eco-conscious customers and build trust with customers who want to buy from a store that’s committed to sustainability.

How to Build a Circular Returns Process

Building a circular returns process includes implementing solutions for managing returned products in a responsible manner, such as refurbishing, recycling, and donating returns. 

By implementing a circular returns process, you can become more sustainable while meeting customer expectations.

1. Offer Sustainable Return Methods

Offering sustainable return methods to customers is a key step toward achieving a more sustainable returns process. 

One way to do this is by partnering with sustainable logistics companies that specialize in eco-friendly transport and handling of returned items. 

Another option is to implement a return drop-off program that lets customers bring returns to a drop-off location without a label or packaging. This enables you to consolidate return shipments, reducing the number of shipments you send back to the warehouse.

By taking the initiative to implement sustainable return methods, you can lead the way toward a circular economy while improving customer satisfaction. 

2. Encourage Donation of Returned Products

By partnering with charities or creating a donation program, you can divert returned products from landfills and give them a second life. 

Besides being a sustainable option, it can generate goodwill among customers who value social responsibility. When customers know that the products they return will be donated to a worthwhile cause, they are more likely to shop with you again.

You can also offer incentives to customers who choose to donate their returned products instead of shipping them back. By incorporating donation options into your returns process you can reduce waste, help those in need, and demonstrate your commitment to sustainability and social responsibility.

3. Repair or Resell Returned Products

Instead of throwing away returned items that are in good condition, you can repair them and resell them at a discounted price. This prevents waste and offers customers an opportunity to purchase sustainable items.

A great way to do this is to work with third-party repair companies and reCommerce companies. 

It’s important to note that not all returned products will be suitable to resell or donate. Create a clear process for assessing the condition of returned items and determining if they can be repaired or resold.

By implementing a system for repairing and reselling returned items, you can reduce waste, offer sustainable options for customers, and contribute to a more circular economy.

4. Recycle Returned Products

Contribute to building a circular economy by incorporating recycling into your returns process. Recycling returned products can help reduce waste and prevent materials from ending up in landfills. 

Partner with recycling facilities to properly dispose of products that can’t be repaired or resold. Returned products can be recycled and used as raw materials to create new products, thereby extending their life, reducing waste, and benefiting the environment.

Embracing recycling as a part of your returns process is a critical step towards building a circular economy, which aims to reduce waste and reuse materials as much as possible.

5. Use a Returns Management System

Using a returns management system like ReturnGO can help you create a more sustainable returns process by automating your returns process and providing transparency into your returns so that you can monitor and improve your environmental impact.

Returns management systems enable you to track and analyze your returns data, providing valuable insights into why products are being returned and identifying patterns and trends. This information can help you make more informed decisions about your inventory management and product design, reducing the likelihood of returns and minimizing waste.

Through ReturnGO you can also offer sustainable return methods such as letting your customers keep or donate their items instead of shipping them back, and integrating with return drop-off services.

By providing customers with convenient and responsible ways to dispose of unwanted items, you can reduce landfill waste and contribute to a more sustainable economy.

6. Communicate Your Commitment

It’s important to let your customers know that sustainability is a priority for your eCommerce store. 

One way to do this is by prominently displaying your sustainability practices on your website and social media platforms. Include information about your recycling, repurposing, or donation programs, as well as any sustainability initiatives your business is involved in.

For example, Silk & Salt, an eco-friendly fashion brand, has a page dedicated to its sustainability statement, outlining its sustainability practices and values. 

You can also incorporate sustainability messaging in your emails, packaging, and product descriptions. Use language that highlights the benefits of sustainable practices such as reducing waste and emissions and supporting local communities.

Additionally, it’s a good idea to add a section to your return policy that outlines how returned items will be processed for reuse or recycling so that customers will know what will happen to the products they return.

By being clear and transparent about your commitment to sustainability you can inspire customers to take part in building a circular economy.

“Every retailer, on every scale, must do their best to create a sustainable business model, and reducing returns will help the amount of emissions to get a bit smaller. The more we narrow it down the better.” – Assaf Neuman, Head of Operations, Silk & Salt

Start Building a Circular Economy Today

Embracing a circular economy approach can help you reduce waste, save costs, and enhance your reputation. 

By optimizing your reverse logistics and leveraging technology, you can bring returned products back into the value chain and reduce your store’s environmental footprint. 

As the world moves toward a more sustainable future, building a circular economy with eCommerce returns is an important step for your store, for the planet, and for customers alike.

Whether you’re just starting to think about sustainability or you’re looking to take your efforts to the next level, this guide is for you. Learn about ways you can make your returns process more sustainable, from reducing packaging waste to shipping returns in bulk, offering in-store returns, or reselling returned products. 

In this guide, you’ll find tips for how to become a more sustainable business, how to communicate your sustainability efforts to your customers, and examples of eCommerce stores that have implemented sustainable returns strategies.

Table of Contents

• The Importance of Sustainability in eCommerce Returns
• How to Make Your Returns More Sustainable in 5 Steps
  • Step 1: Evaluate Your Current Practices
  • Step 2: Set Sustainability Goals
  • Step 3: Implement a Sustainable Returns Process
  • Step 4: Communicate Your Commitment
  • Step 5: Monitor and Measure Your Progress
• The 5-Step Process to Sustainable Returns
• Best Practices for Sustainable Returns
• 4 Examples of eCommerce Stores With Sustainable Returns
• Conclusion

The Importance of Sustainability in eCommerce Returns

Sustainability is becoming an increasingly important issue in the world of eCommerce. With the rise of eCommerce, the number of returns has grown significantly, and this has led to an increase in the environmental impact of returns. 

From transportation emissions to natural resource depletion and landfill waste, eCommerce returns have a significant impact on the environment.

Meanwhile, customers are becoming more eco-conscious, and are increasingly looking for more sustainable shopping options. 78% of customers say a business’s environmental practices influence their buying decisions – customers want to know that the stores they buy from are committed to working towards a more sustainable future. 

The Environmental Cost of Returns

Returns cause significant environmental damage due to transportation, packaging, and processing, which cause carbon emissions and waste.

Products that can’t be resold are often discarded, which adds to waste and natural resource consumption. Returns generate billions of pounds of landfill waste and create huge amounts of carbon emissions. 

• Carbon Emissions – The transportation of returned products can generate significant carbon emissions, which contribute to climate change and pollute the environment.

• Waste – Returns can generate large amounts of waste, both in packaging materials and discarded products that cannot be resold, putting a strain on landfills and natural resources.

• Energy Consumption – Return processing requires energy and resources, such as electricity and water, which adds to consumption and environmental impact.

By understanding the environmental damage caused by returns and taking steps to minimize that impact, a more sustainable future can be achieved.

Customers Want Sustainable Shopping Options

Customers are becoming increasingly eco-conscious and looking for ways to make more sustainable shopping choices, and they seek out online stores that share their values.

Environmental awareness has risen to the point where 72% of customers are willing to pay more for sustainable products and are more likely to buy from stores that are committed to sustainability. 

Customers are looking for clear and transparent information about the environmental impact of products and how stores are working to mitigate it. By clearly communicating your sustainability efforts you can build customer trust, set yourself apart from your competitors, and increase customer retention.

How to Make Your Returns More Sustainable in 5 Steps

Use this 5-step process to identify areas for improvement and take action towards a more sustainable future. 

From assessing your current returns process and setting goals to implementing a sustainable returns process and monitoring the results, these steps will help you reduce the environmental impact of your returns while aligning with your business objectives and customer expectations.

Are you ready to make your returns more sustainable? Let’s dive in.

Step 1: Evaluate Your Current Practices

The first step towards improving your store’s sustainability is to take a look at your current returns process and see where you can cut down on waste and be more eco-friendly. 

How to Measure Your Level of Sustainability

Measuring the sustainability of your eCommerce returns process can be a complex task, but there are a few key areas you can focus on to get a sense of how sustainable your current process is.

• Resource consumption – One key aspect of sustainability is the impact that your returns process has on natural resources. This includes the energy and water used to process returns, as well as the materials used to package and transport them. 

You can measure resource consumption by tracking the amount of energy, water, and materials used during the returns process, and comparing it to industry benchmarks or to your own past performance.

• Waste generation – Another important aspect of sustainability is the amount of waste that is generated during the returns process. This can include packaging materials, damaged or defective products, and other waste. 

• Carbon emissions – Return shipping can also have a significant impact on the environment, as it often involves shipping products long distances. 

Tracking the distance your returns are shipped and the mode of transportation used, and then calculating the carbon emissions resulting from those, can help you determine the carbon footprint of your returns process.

• Efficiency – Evaluate how efficient your eCommerce returns process is. You can address bottlenecks in the return process by tracking your return processing time, return rates, and the cost of handling returns.

Evaluating your current returns process can help you determine what areas your store can focus on to make its returns process more sustainable.

“Our eCommerce store evaluates our returns process in terms of sustainability by measuring how much of the returns process can be reused or recycled. We track the amount of materials used in packaging and shipping, the number of returns that are successfully reused or recycled, and the amount of energy consumed in the returns process. 
Additionally, we measure customer feedback and satisfaction to ensure that our returns process is easy and efficient for customers. Through this data, we can identify areas for improvement and make changes to be more sustainable.”

Umit Kemal, MD and Manager, DK Klinik
www.en.dk-klinik.com.tr

Step 2: Set Sustainability Goals

It’s time to start planning your sustainable returns process. In order to do that, you’ll need to decide what you’re going to focus on and then set measurable goals accordingly.

Planning out your approach is important to help you to make the most of your efforts and achieve the best results while avoiding potential roadblocks and ensuring that your sustainability efforts are efficient and effective.

Decide What You’re Going to Focus On

To plan your sustainability goals, decide what you want to focus on first.

There are many different aspects of the returns process that you could address, such as packaging sustainability, return shipping emissions, return rates, and what happens to returned products. Rather than trying to tackle all of these areas at once, it can be helpful to start by focusing on just one or two areas and working on making those more sustainable. 

By taking a step-by-step approach, you can keep from overwhelming yourself and your team, and build momentum and success as you go. After making improvements in one area, you can move on to other areas and keep improving your returns process.

Some of the areas you can focus on are packaging, return shipping, return rates, and returned items. Choose the areas of your store in which you want to be more sustainable and set goals accordingly.

Let’s take a closer look at some of the areas in which your store could focus on sustainability, why they’re important, and how they can be improved.

Eco-Friendly Packaging

Packaging is one area you can focus on in your sustainability goals. Using less material and adopting eco-friendly alternatives can reduce your environmental impact and appeal to customers who value sustainability.

Improving the sustainability of your packaging is important for a few reasons:

• Packaging waste – A major reason for focusing on sustainable packaging is to minimize packaging waste. Returns often generate a lot of packaging materials that end up in landfills. 

Use eco-friendly packaging materials and designs to reduce waste generated during returns.

• Shipping efficiency – Another reason to focus on packaging is to make the shipping process more efficient. By using lightweight, compact packaging, you can reduce the amount of fuel required to ship returns and exchanges, thus reducing your carbon footprint.

Additionally, reducing the number of boxes on each truck by consolidating orders reduces transportation emissions.

• Brand image – Your packaging is the first experience your customers have with your products. Using eco-friendly packaging demonstrates the commitment your store has to sustainability and attracts eco-conscious customers, as 67% of customers consider sustainable packaging to be important when buying products.

How to Make Your Packaging More Sustainable

When looking to use more sustainable packaging, it’s important to consider the materials that you use and the products they are best suited to. 

Make sure that your packaging is durable and will last for a long time, and consider how it can be recycled and reused.

Take into account the environmental impact of the packaging, including emissions, energy use, and toxicity. 

Taking these factors into consideration will help you choose the most effective and sustainable packaging for your products.

To make your packaging more sustainable, consider using:

• Recyclable materials – Choose packaging materials that can be easily recycled, such as cardboard, paper, or corrugated plastic.

Recycling plastics or cardboard gives them another life, reducing the amount of waste generated by landfills, decreasing landfill waste, and preventing pollution.

• Reusable packaging – Invest in packaging materials that can be reused, such as sturdy boxes or resealable mailers.

Using reusable packaging can make returns more sustainable since customers can easily repackage a product and return it instead of having to find new packaging.

• Biodegradable materials – Use compostable materials made from organic materials that break down naturally over time and do not release harmful chemicals.

A popular type of biodegradable packaging is bioplastics, which are plastics made from renewable resources. Bioplastics help reduce fossil fuel use for plastic production and are made from natural materials such as corn, wood, algae, and sugarcane. 

• Less packaging – Reduce the use of packaging whenever possible. Avoid the use of excess packing materials such as bubble wrap, Styrofoam, and other single-use materials. 

Use materials such as cardboard, paper, and reusable containers, and consolidate orders into fewer packages to reduce waste and create a more eco-friendly return process. 

By improving the sustainability of your packaging, your store can demonstrate its commitment to sustainability and make a positive impact on the environment.

“At our online store, we try to be as eco-friendly as possible. We minimize our usage of excess packaging and ship in bulk whenever possible. We also make use of a large box that can be reused for several shipments. This allows us to lower our carbon footprint and pass on the savings to our customers.” 

Henffrey M. Muthama, Head of Marketing, Ledask
www.ledask.com

Sustainable Return Shipping

You can focus your efforts on sustainable return shipping by reducing carbon emissions associated with the transportation of returned products.

The environmental impact of return shipping can be reduced in a few ways:

Offset Your Carbon Emissions

Offset your carbon emissions from return shipping by investing in renewable energy and reforestation projects. 

Carbon offsetting is a way to compensate for your store’s carbon emissions by investing in projects that remove or reduce an equivalent amount of greenhouse gases from the atmosphere.

There are a few ways in which you can offset your carbon emissions:

• Purchase carbon offset credits – When customers initiate a return, you can offer them the option of purchasing carbon offset credits to offset their return shipping carbon emissions.

• Use a sustainable shipping provider – Work with a shipping provider that reduces the carbon emissions from transportation through carbon credits, consolidated delivery routes, green delivery vehicles, or other sustainability initiatives.

• Invest in sustainable infrastructure – Invest in sustainable infrastructure that enables eco-friendly return shipping, such as using electric vehicles instead of gasoline or diesel cars, using clean energy for shipping, and using biodegradable packaging.

Make sure to choose offset providers who adhere to international standards and whose projects contribute to sustainable development. By offsetting the carbon emissions caused by return shipping, you can reduce the environmental impact of your returns process and become more sustainable.

Ship in Bulk

One strategy you can use to reduce the environmental impact of your eCommerce returns is to ship returns in bulk. Consolidated returns reduce the number of individual shipments and associated transportation emissions. 

ReturnGO’s integration with Happy Returns enables you to have customers bring their returns to a Return Bar drop-off location, where multiple returns are consolidated and shipped back to your warehouse all at once. This reduces the number of shipments and helps lower the overall carbon footprint of your returns process.

In addition to reducing the environmental impact, shipping returned products in bulk can also reduce your operational costs. This can be a great opportunity to save money and be more sustainable at the same time.

Have Customers Keep or Donate Items

In most cases, you probably want to get back returned items so that you can restock and resell them. However, in some circumstances such as low-value or damaged products, it may be more cost-effective and eco-friendly to offer a returnless refund. 

A returnless refund is when customers don’t have to return the item to get a refund or replacement, and they keep or donate the item instead.

Having customers keep or donate returned items instead of shipping them back is a great way to make returns more convenient for customers while reducing your return handling costs and the environmental impact of returns.

Returnless refunds are becoming more popular as online stores look to reduce return costs and increase sustainability. Many leading eCommerce stores, including Amazon, Target, and Walmart offer returnless refunds, and more and more are following suit. 

Offering returnless refunds can be valuable for several reasons:

• Reduces transportation emissions – When customers keep or donate returned items instead of shipping them back, it reduces the need for transportation and the associated emissions, as the items do not have to be shipped back to your warehouse.

• Decreases waste – Having customers keep or donate items reduces the amount of waste associated with returns. When items are donated, it gives them a second life and keeps them out of landfills. 

• Reduces costs – Shipping items back can be costly for the business and customer. By having customers keep or donate items instead, you can save on transportation and return handling costs.

• Builds customer loyalty – By giving customers the option to keep or donate returned items, your store can build loyalty because customers feel like their return is sustainable and has a positive impact on the community.

Encouraging customers to keep and donate items instead of shipping them back can lead to a more sustainable and eco-friendly return process.

Implement a “Buy Online, Return In-Store” Policy

Have customers return online orders to physical store locations instead of shipping them back. By doing so, the emissions associated with returning products are reduced.

A “buy online, return in-store” policy is a strategy that enables customers to purchase items online and return them to a physical store location. 

By returning items in-store, customers reduce their carbon footprint associated with transportation, as there’s no need for shipping. 

As a bonus, when customers return items in-store they can bring back the items back with the original packaging and tags, which reduces packaging waste from additional packaging.

Use Eco-Friendly Shipping Methods

Reduce carbon emissions by using more energy-efficient shipping methods, such as ground shipping instead of air shipping.

The use of ground shipping instead of air shipping can significantly reduce carbon emissions. Since ground shipping is often more energy-efficient and consumes less fuel, the carbon emissions per package are lower. 

Return shipping carbon emissions can also be significantly reduced by using electric or hybrid delivery vehicles as opposed to traditional gas-powered ones.

When choosing a return shipping method, it’s important to consider the trade-offs involved, such as delivery time, cost, and the types of products being shipped.

Use On-Demand Return Shipping Labels

Take advantage of technology such as on-demand printing of return shipping labels to minimize waste and ensure that accurate information is included on the label. 

Offering on-demand pre-paid return shipping labels is a great strategy that can help make the returns process more sustainable by having customers print out their own return shipping labels as needed instead of including a pre-printed label with every order.

By having customers print out their own return shipping labels, you can reduce the number of pre-printed labels that are shipped to customers who don’t need to make a return. 

You can use ReturnGO to generate pre-paid return shipping labels. When a return request is approved, the customer receives an email with a pre-paid return shipping label they can print out, attach to their package, and ship back.

Taking steps to make return shipping more sustainable will help you make your return process more efficient, cost-effective, and eco-friendly.

Return Rates

High return rates can negatively impact the sustainability of your store, as they contribute to more transportation emissions.

Here are a few ways to reduce return rates and make your store more sustainable:

Provide Detailed Product Descriptions

One of the most common reasons for returns is that the product received does not match the product described or shown online. 

By providing accurate and detailed product descriptions you can help reduce the number of returns that happen due to miscommunications.

Product descriptions should contain information about the product’s features and benefits, as well as answers to common questions.

Make sure product descriptions include:

• Descriptive product title to hook your audience, clearly stating what the product is.
• Detailed paragraph that explains and tells a short story about the benefits of the product.
• Bulleted list of technical product features.

It’s important to clearly describe your products, including the materials they’re made of, how they’re packaged, what to expect of the fit, and how long shipping will take.

Write a Clear Return Policy

Having a clear and easy-to-understand return policy can help reduce the number of returns by setting customer expectations and providing a straightforward process for returning items.

Your return policy should clearly answer questions such as: 

• How long do customers have to return items?
• What condition do items need to be in?
• Do you charge any fees for returns?
• What steps do customers need to take to request a return?
• What types of returns do you offer?

Encourage Customer Feedback

Collect customer feedback to identify and address issues with your products or website that may be leading to a high return rate.

Sending customers an email survey after a purchase or asking them to leave a review on your site can provide valuable insight into the shopping experience and product quality.

Provide Size Charts and Fit Guides

Provide size charts and fit guides to help customers choose the correct size and reduce the number of returns due to wrong sizing.

In categories such as clothing, sizing issues are often a major contributing factor to returns. Reduce your return rates due to sizing issues by offering clear and easy-to-use sizing charts and guides so that customers are more confident in their purchases.

Show High-Quality Product Images

Multiple high-quality images of the products from different angles can help customers get a better sense of what they’re buying.

When customers can see detailed and accurate images of a product, they can be more confident about their purchasing decision, which can reduce the likelihood of items being returned due to misunderstandings. 

Analyze Return Data 

Use a tool like ReturnGO to analyze your return data to identify trends and patterns in the products that are being returned and return reasons. 

Analyzing your return data can help you identify areas to improve, such as tweaking your return policy or updating product descriptions, which can reduce your return rates and make your store more sustainable.

Returned Items

One of the biggest challenges in eCommerce is figuring out what to do with returned items, as they can take up warehouse space and contribute to landfill waste. 

The best way to handle your returned items sustainably is to repurpose them instead of letting them go to waste.

The three “R”s of sustainable management of returned items are:

1. Resell 

Reselling your returned products enables you to make money on otherwise wasted inventory and increases sustainability since products are reused rather than discarded. 

Two of the simplest strategies for reselling your returned products are in a resale section of your site or through a third-party reCommerce platform. 

By reselling returned items, you can recoup some of the cost, as well as offer these items at a lower price to customers.

2. Refurbish 

Refurbishing returned items can extend their life, reduce waste, and save money.

Inspect, clean, and test returned items to ensure that they are in good working order and then resell them as “refurbished.” 

Refurbishing returned items is an effective way to reduce the amount of returned items that go to landfills.

3. Recycle 

Some returned items may not be in a condition to resell or donate, but many materials can be recycled, reducing the environmental impact of these items. 

You can recycle your store’s returned items by finding a local recycling facility that accepts the types of materials they’re made of, or by working with a recycling company that specializes in returned items.

Recycling returned items’ materials and repurposing them for new products can reduce waste and the environmental impact of returns.

Ultimately, how you handle returned items depends on your products and business. Consider all your options and pick the one you see as most sustainable, cost-effective, and manageable for your store.

Set Measurable Goals

Establish measurable goals based on the areas you decided to focus on first. Setting specific, measurable goals will enable you to track your progress and adjust accordingly.

Your sustainability goals should be aligned with your overall business objectives and be challenging but achievable. 

SMART goals are a widely used framework for setting and achieving goals. The acronym stands for Specific, Measurable, Achievable, Relevant, and Time-bound. 

Using SMART goals can help to ensure that your goals are clear, achievable, and effective, which can in turn increase the chances of success, and it can help to focus efforts and resources, establish priorities, and measure progress.

Specific – Goals should be clear and specific, stating exactly what is to be accomplished.

Measurable – Goals should be quantifiable, so progress can be tracked.

Achievable – Goals should be realistic and achievable, given the resources and constraints.

Relevant – Goals should be relevant to your industry and business objectives.

Time-bound – Goals should have clear deadlines for completion.

To set SMART goals for your sustainability efforts, follow these steps:

1. Decide which areas of your returns process you want to improve, such as increasing the use of sustainable shipping methods or reducing packaging waste.

2. Define what you want to achieve in each area. Put together specific and realistic targets for each goal. 

3. Plan how you’ll achieve this goal, and determine what steps you need to take.

4. Set a timeframe for achieving your goal, such as by the end of the next quarter or the next year.

Setting measurable goals will help you keep track of your progress and ensure that your sustainability efforts are having the desired impact. This will enable you to stay on track to achieve your sustainability goals by making any necessary adjustments.

“Our goal-setting process involves mapping out specific objectives, timelines, and resources needed. We break these down into smaller steps or goals and check in periodically to review progress made using KPIs and metrics. With this method, we are able to continually adjust our strategy so that we meet our short-term and long-term goals for increased sustainability.”

Grace Baena, Director of Brand, Kaiyo
www.kaiyo.com

Step 3: Implement a Sustainable Returns Process

Once you’ve set your sustainability goals and decided which area of your business you want to focus on making more sustainable first, it’s time to take action.

In order to effectively implement your sustainability goals, you’ll need to set up a system for tracking and recording returns data and work with reliable service providers to ensure that the right incentives and processes are in place to manage returns sustainably. 

Use a Returns Management System (RMS)

Using a returns management system can greatly help in implementing a sustainable returns process by automating and streamlining the returns process. 

An RMS like ReturnGO enables you to track and monitor your returns. Another advantage of using an RMS is that it provides you with data about your returns that can help you improve your returns process and make data-driven decisions. 

The ReturnGO returns management system also includes features like pre-paid return shipping labels, consolidation of return shipments, and incentives to encourage certain return methods, which can help reduce waste, emissions, and costs.

Using a returns management system can make it easier for you to implement sustainable eCommerce practices because it simplifies the process and integrates with your shipping carriers, warehouse management systems, and helpdesks. This makes it easier to manage, scale, and track the sustainable practices you implement.

Work With Reliable Service Providers

It’s important to make sure that you are working with reliable service providers, whether that’s shipping carriers, warehouse management systems, or packaging suppliers. Work with companies that share your commitment to sustainability and have proven track records.

Some of the most important things to look for in a service provider are reliability, expertise, and experience. Ideally, a service provider will deliver on their promises as well as provide excellent customer service and support.

When choosing a service provider, look for service providers who have experience working with other eCommerce stores in your industry and who are familiar with the challenges that come with handling returns, and make sure your service providers have solid reputations by reading online reviews and asking for references. 

Do your research when choosing service providers for a sustainable returns process, and make sure the companies you choose have relevant experience and knowledge. It can be helpful to evaluate several options in order to determine which is the best fit for your store’s needs.

Put in Place the Sustainable Practices You Decided On

Take the steps you laid out in your sustainability goals, whether that’s switching to eco-friendly packaging, setting up a carbon-offsetting program, reselling returned items, or any other changes you decided to make.

When implementing your sustainability efforts, pay close attention to the details of the process. Define clear steps and assign responsibilities, and make sure the necessary resources are available. 

Know that once you begin to implement your sustainable practices, there will be roadblocks and unforeseen challenges, and you’ll need to adapt your goals as necessary. That’s completely normal. Just review your sustainability goals and see where you need to make adjustments.

Step 4: Communicate Your Commitment

Once you’ve implemented sustainable practices in your eCommerce store, it’s important to communicate your sustainable efforts everywhere you can, including on your website and social media channels as well as in your return policy and product pages. 

Communicating your sustainability efforts is an essential part of building trust and creating transparency with your customers. 

Where to Communicate Your Sustainability Efforts

Clearly communicating your commitment to sustainability is essential for inspiring change and gaining support. Promote your sustainability efforts everywhere from your product pages to your return policy to email marketing.

Return Policy

Reflect your sustainability efforts in your return policy. A well-crafted return policy can help to reduce the environmental impact of returns by encouraging customers to keep items instead of shipping them back or explaining how you repurpose returned items. 

When writing your return policy, make sure to include clear information about your sustainable returns process, and make sure it’s easily accessible to customers. Display your return policy on your website header or footer, on product pages, and in confirmation emails. 

A clear return policy can help educate customers about the steps you are taking to reduce waste and emissions, and also make it easy for them to see the impact they are making when they choose to shop with you.

Website

Include information about your sustainability efforts on your website, such as on your “About Us” page or on a dedicated “Sustainability” page. 

This helps educate customers about the sustainable practices you have in place and shows them the impact they have when they choose to buy from your store.

Product Pages

Include information about the sustainability of your products on your product pages, such as the materials used, the environmental impact of production and shipping, and what happens to the products when they are returned. 

Clearly communicating your sustainability efforts on your product pages helps build customer trust and reassures customers that their purchase is sustainable.

Marketing

Use marketing channels such as social media and email marketing to effectively communicate your sustainability efforts to a wide audience. 

Through marketing your sustainability efforts, you can increase awareness about sustainability and educate customers about the impact of their purchases.

Making your store stand out through sustainability initiatives and products can create a sense of community and loyalty among your customers, helping them feel part of something important, which can lead to repeat purchases and increased customer retention.

Employee Communication

Involve your employees and support agents in your sustainability efforts and ensure they know their role in helping your store achieve its sustainability goals.

Mission Statement

Make sure your sustainability efforts are reflected in your store’s mission statement. Your store’s mission statement communicates who you are, what you stand for, and why you’re doing what you do.

Incorporating your sustainability efforts into your mission statement helps you align your efforts with your overall business goals and values. It also helps customers understand why sustainability is important to you and how you aim to make a difference.

Regardless of where you decide to communicate your sustainability efforts, it’s important to be consistent, transparent, and honest in order to build trust with your customers.

“We created an Instagram campaign in which we included what we’ll introduce. Our company collectively decided to share the campaign on the platform that already had a promising following – Instagram. We posted videos and Reels to inform our audience that we’d introduce climate-neutral shipping processes. An in-depth video was made highlighting the entire journey.”

Melissa Collins, Food Scientist and Director of Content, Jupiter
www.getjupiter.com

Step 5: Monitor and Measure Your Progress

Once you’ve implemented your sustainability strategy, it is essential to monitor and measure your progress so that you can make adjustments as needed.

Review your return data regularly to identify patterns and make adjustments as needed. Identify and track key trends over time so you can see how your efforts are impacting overall results.

Tracking your progress helps you stay on track to achieve your sustainability goals. Then, once you achieve your sustainability goals, you can set new ones and continue improving and making an impact.

Making your online store more sustainable is a never-ending process, and it’s important to keep updating, adjusting, and adding sustainable practices to keep reducing your environmental impact.

“We track metrics like energy consumption, recycling rates, water usage, carbon emissions, waste production across every process involved in production as well as product lifecycle analysis (LCA). We also monitor customer feedback about their experience with us versus other stores to identify areas where we can improve toward achieving greater sustainability goals. 

From there, we adjust our goals according to what data is telling us; this could mean investing more resources into certain parts of the supply chain or product design that consume larger amounts of energy or emit higher levels of carbon dioxide during manufacturing.”

Eric Sornoso, CEO, Meal Fan
www.mealfan.com

The 5-Step Process to Sustainable Returns

After breaking down each step, here’s a recap of the process of making your returns more sustainable:

1. Evaluate your current practices

• Measure your carbon emissions, waste generation, and efficiency.
• Identify areas for improvement.

2. Set sustainability goals

• Decide what areas to focus on first.
• Set specific, measurable goals.

3. Implement a sustainable returns process

• Use a returns management system.
• Work with reliable service providers.
• Put your new sustainability practices into action.

4. Communicate your commitment

• Clearly communicate your sustainability efforts through your website, product pages, return policy, and marketing channels.

5. Monitor and measure your progress

• Track your returns data.
• Adapt and adjust your sustainability practices as needed.

By implementing these steps, you can reduce waste, emissions, and costs, and create a more sustainable eCommerce business. 

Best Practices for Sustainable Returns

As you take action to make your returns more sustainable, keep these best practices in mind.

Avoid Greenwashing

Avoid greenwashing by being transparent about your efforts, practices, and process. Make sure not to make misleading claims about the sustainability of your products or return process.

In addition to weakening trust and credibility, greenwashing can have negative effects on the environment and on your reputation.

To avoid greenwashing, be transparent about your efforts, and make sure that any claims you make are supported by data and evidence. Openly communicate your sustainable efforts and be ready to provide more details upon request.

Constantly Look to Improve

Regularly evaluate and reassess your returns process, and make sure to consistently set new goals and implement new strategies as needed to reduce waste, emissions, and costs. 

It’s important to constantly be looking to improve your store’s sustainability in order to remain relevant and effective over time and to keep up with customer preferences and industry developments.

“Educate yourself constantly about current trends and solutions on how you could improve your sustainability efforts when dealing with product returns – there’s always room for improvement, so don’t feel like once you’ve started down this path there’s no more work left to be done here!”

Carlos Barros, Director of Marketing, Epos Now
www.eposnow.com/us

Be Open to Customer Feedback

Make use of feedback from customers to improve your returns process, meet expectations, and improve your store’s sustainability over time.

Customer feedback is important because it helps you better understand how your business and sustainability efforts are perceived by your customers, identify areas of improvement, and make informed decisions. In addition to building trust and improving customer relationships, accepting feedback shows that you value customers’ input and are committed to improving.

In order to receive customer feedback you can set up surveys, create a customer feedback box, and encourage customers to leave reviews on your site. Make sure to put a process in place to regularly review and respond to customer feedback.

Make Use of Technology

Use eCommerce software and tools such as shipping carriers, helpdesk software, and returns management systems to optimize your returns process.

With today’s advanced technology, you can easily increase efficiency, and reduce costs and emissions as well as improve the customer experience.

By using ReturnGO’s returns management system you can automate your returns process, track and monitor returns, and also provide customers with options such as sustainable return methods, pre-paid return shipping labels, and a clear return policy. 

ReturnGO also provides valuable analytics and actionable insights to help you make data-driven decisions, identify areas for improvement, and improve your returns process. 

4 Examples of eCommerce Stores With Sustainable Returns

Let’s take a look at how some eCommerce stores are implementing sustainable returns practices. 

Seeing real examples can give you a better sense of the different strategies and tools you can use to reduce the environmental impact of returns while meeting the needs of eco-conscious customers. 

From innovative recycling programs to carbon offsetting programs, these examples show how online stores are finding creative and effective ways to be more sustainable. 

1. Hellovein

“We use biodegradable packaging whenever possible and recycle or repurpose all materials that can’t be reused. We also strive to reduce our environmental footprint by utilizing carbon offsets and renewable energy sources to power our operations. 

We communicate the sustainability efforts of our business through multiple channels including our website, email campaigns, and social media posts. 

On each platform, we feature stories about how we are minimizing waste, investing in renewable energy solutions, and creating sustainable partnerships with suppliers and customers alike. 

We’re committed to being an environmentally responsible company, and we want shoppers to know that their purchases are making a positive impact on the planet.”

Kreisel Jaquish, Owner and CEO
www.hellovein.com

2. Kate Backdrop

“Our packaging is made from 100% recycled materials, which we source from post-industrial waste. 

Our return process is designed to minimize our environmental impact. Any returned items are inspected for damage, and any damaged items are donated or repurposed by us. We then ensure that all of our packaging is reused as much as possible before it goes into the recycling bin. 

Furthermore, we communicate our sustainability efforts to customers through various channels, such as our website and social media pages. We post regular updates about the steps we take to reduce our environmental impact, including details about how we package products and process returns. 

We also hold special events where customers can come in to learn more about sustainability initiatives that our company is involved in.”

David Zhang, CEO
www.katebackdrop.com

3. Soxy

“We make use of biodegradable materials for product packaging to make the returns process as sustainable as possible. We use recycled fabric for our packaging. The use of plastic packaging for the return process can be detrimental to the environment. 

Our e-commerce store focuses on sustainability as an objective. Our vision for a greener future is communicated through our social media posts, email newsletters, and product sourcing and packaging. 

The sales and marketing department of the store actively communicates our sustainability efforts to the target audience on these platforms.”

Jessica Kats, eCommerce and Retail Expert
www.soxy.com

4. Aimvein

“We’ve put in place several measures to ensure that our returns process is as eco-friendly as possible. 

We use recycled materials wherever we can, such as paper and cardboard, and all of our plastic packaging is made from recyclable materials. 

We also offer an option for customers to return their goods using a pre-paid postage label, so that goods don’t have to make multiple trips back and forth between the customer and our warehouse. This helps us reduce emissions associated with transportation.”

Robert Leonard, Owner
www.aimvein.com

Take Action Towards a More Sustainable Future

The environmental impact of eCommerce returns is a growing concern, and it is important to take action to reduce your store’s environmental impact. 

By implementing sustainable returns practices, you can minimize your impact on the environment while meeting the evolving expectations of eco-conscious customers.

This guide explored the importance of sustainability in eCommerce returns and looked at various strategies and tools to make your returns process more eco-friendly. 

It’s important to note that sustainability is a journey, not a destination, and that it’s important to constantly look for ways to improve and to be open to feedback. 

Now is the time to get started on making your returns more sustainable. Every small step can make a big difference.

There are many ways to make packaging more sustainable, from using recycled materials to choosing packaging that can be reused or recycled.

Customers are becoming increasingly aware of what businesses are doing in terms of sustainability, so using eco-friendly packaging can be a huge factor in your success. 

Why is Eco-Friendly Packaging Important?

Eco-friendly packaging is important for reducing the environmental impact of eCommerce because it uses fewer materials, is more environmentally friendly to produce, and is easier to dispose of in a sustainable manner. 

By reducing your carbon footprint, promoting sustainable business practices, and using eco-friendly packaging materials, you can ensure that your eCommerce store aligns with your customer’s values and that no huge environmental damage is caused.

Here are some of the benefits of using eco-friendly packaging in eCommerce.

Decreased Carbon Footprint

Switching to eco-friendly packaging reduces your business’s carbon footprint.

Packaging production is hugely energy-intensive and emits greenhouse gases that damage the environment and contribute to global warming. Creating new packaging from existing materials uses less energy than using raw materials.

In spite of their convenience and affordability, plastic, styrofoam, and other non-biodegradable packaging materials negatively impact the environment by clogging water drains, raising global temperatures, polluting water bodies, and adding to landfills.

Choosing sustainable packaging helps the environment and decreases your carbon footprint.

Improved Brand Image and Increased Sales

Your packaging is the first experience your customers have with your products. Using eco-friendly packaging shows customers that your brand is committed to sustainability.

There has been a growing awareness of the need for sustainability in recent years, to the point where 83% of customers consider the environment when making purchasing decisions and 78% think that businesses could be doing more to be eco-friendly. 

In a world where customers increasingly prefer buying from eco-friendly brands, using eco-friendly packaging improves your brand image and increases your chances of attracting environmentally-conscious customers.

Reduced Waste

More and more eCommerce stores are taking measures to reduce packaging waste and use more recyclable or reusable materials.

Over 2 billion tons of waste end up in landfills worldwide every year, with 91 percent of packaging waste being sent to landfills. 

Certain states in the US have established regulations around packaging waste, especially in regard to single-use plastics, shopping bags, and increased recycling.

To reduce the amount of packaging that ends up in landfills, switch to compostable or recyclable packaging, or reuse packaging from returned products.

Types Of Eco-Friendly Packaging Solutions

Choosing the right packaging material will help your online store reduce its carbon footprint, improve its brand image, and increase sustainability.

Corrugated Packaging

Corrugated packaging is made up of around 70% to 100% of recycled material.

Manufactured from paper pulp, corrugated packaging is commonly made from pine trees and can also be created from woodchips and by-products of many types of paper-making processes.

The materials used in corrugated packaging usually come from sustainable forests, where harvested trees are replaced with seedlings to start the process again. This makes corrugated packaging highly renewable. 

Besides being easily recyclable and renewable, corrugated packaging can also be reused, helping to further reduce packaging costs and environmental impact. Many corrugated boxes are designed to be easily collapsible and fully reusable.

Compostable Packaging

Compostable packaging is made from organic materials that break down in a reasonable period of time and leave no toxic chemicals or harmful particles behind. 

The most popular type of compostable packaging is bioplastics, which are plastics made from renewable resources. Bioplastics help reduce the use of fossil fuels for plastic production and can be made from materials such as corn, wood, algae, sugarcane, and more. 

One of the most commonly used bioplastics in packaging is PLA, which is a functional, renewable, and comparable replacement for traditional plastic packaging often made from cornstarch or sugarcane.

Another example of a compostable packaging alternative is mushroom-based packaging called mycelium packaging, which is used as a replacement for Styrofoam.

Recycled Packaging

Recycled packaging is made of recycled materials, as part of a circular economy. By using recycled materials you give a second life to plastics or cardboard that have already been produced and used.

By using recycled packaging you can reduce the use of natural resources, decrease landfill waste, and prevent pollution by minimizing the need for raw materials.

Recycled Plastics

Using 100% recycled plastic is a great way to maintain your commitment to sustainability even in cases where plastic packaging is the most practical solution for your business and shipping needs.

You can reduce the need for raw materials by using recycled plastic for your packaging. It is important to note that most plastic can be recycled only 2-3 times, which means that even recycled plastic packaging will eventually end up in landfills.

Recycled Paper and Cardboard

Paper and cardboard are among the most recyclable materials that prevent waste pollution. When striving to maintain a high level of eco-friendly packaging, be sure to use recycled cardboard and paper that have been obtained from post-industrial or post-consumer sources.

Sustainable Packaging is the Future

Take part in reducing the environmental impact of eCommerce by shifting to eco-friendly packaging.

From recycled plastics to biodegradable packaging, there’s a wide variety of options available for eco-friendly packaging, and you can choose to use whatever suits your products best. 

Assess the packaging your eCommerce store uses and see what you can change to make your business more sustainable.

This customer prioritization has led to environmental degradation, with retailers and the planet taking a hit to ensure that the expectations of customers are met. These expectations are unsustainable and have consequently resulted in this buy and return culture which ultimately cannot be sustained.

49% of retailers now offer free return shipping with free returns becoming an expected norm. 92% of consumers have stated that they will buy something again if returns are easy and 72% of consumers have expressed a desire for free return shipping. The problem is that promoting free returns motivates consumers to buy less consciously, due to the added security that they can send it back without consequences. 

Returns do have consequences though, maybe not to the consumer’s wallet directly, but to the planet, they live on and their retailer’s revenue. Consumers have grown used to this availability of free returns – 51% of shoppers are now consciously overbuying online, knowing that they will return unwanted goods. However, the consequence of this nonchalance when it comes to returning items has resulted in 5 billion pounds of returned goods going to landfill each year. 

There is a rise in conscious consumption and people are slowly realizing the repercussions of the buy and return culture. 83% of customers surveyed in the US consider the environment when making purchase decisions and 78% mention that companies could be doing more to help them be more environmentally friendly.

So, it is obvious that the current system in place for returns is broken; the environment is suffering, retailers are losing billions in revenue, and consumers driving these trends want companies to help them be more conscious. Therefore, it is pretty evident that retailers must look for ways that they can adapt and encompass sustainable returns policies into their business.

What can retailers do to mitigate the returns problem?

• Optimize product descriptions

By optimizing product descriptions and providing as much information about the product and its quality as possible, customers are less likely to be surprised when they open their order and less likely to send it back. Some of the main reasons customers return are due to products not fitting or meeting their expectations.

Include images that represent the items’ color, fit, and detail. Use a variety of models that help to incorporate different body types, so people can visualize how it might fit on them. Additionally, try to be as honest as possible about the size, allowing customers to feel confident that it will fit and look good on them. One of the best ways to prevent returns is to give the customer the order that they envisioned when they clicked purchase.

• Provide information on the ecological impacts of shipping and returns

Customers want to know more about their ecological footprint – the world is on fire, yet people are unaware of the actions that light the flame. Therefore, by pushing for conscious consumerism, providing information, and educating them about how returns work and the damage inflicted from them, people are less likely to buy blindly and return. Online shopping has allowed consumers to buy irresponsibly with no idea of how their behavior impacts the world – if they are told, then it might make them think again before buying 2 different sizes of one dress, to keep one, return the other.

• Stop offering free returns

People expect free returns, however, people used to expect free plastic bags at grocery stores!! The more the narrative is adapted to the needs of the planet, the more consumers will adapt to it. If the reasoning behind not offering free returns is explained, and the gravity of the situation, then consumers might actually value the companies that are considering the environment, over those that are prioritizing mass convenience and consumption.

• Discourage large orders that may be returned

Our homes have become our own private changing rooms. Instead of going into brick-and-mortar stores to try on items we might like, we buy a multitude of things and then send back what we don’t like. It might seem difficult from a retailer’s point of view because sales are the driver of business, but large orders which allow people to do this need to be discouraged. In the long term, retailers will save money because they are not trying to figure out their reverse logistical chain of handling unwanted returns.

• Invest in technology

As technology has given consumers a platform for buying and returning, it has also given a sustainable solution. People are never going to stop returning; you can discourage, educate, prohibit returns or optimize descriptions; however, the truth is people will always have things they do not like, that are defective and or just don’t fit. So, as much as returns can be discouraged, they can never be prevented.

ReturnGO’s AI-powered sustainable returns solution can help businesses recover the loss from returns, whilst offering customers the best user experience and protecting the planet. Returns logistics does not have to be a difficult or a costly investment, it is just one that has to be done. 

Therefore, with our exchange-first returns platform, you can provide a return and exchange experience that will not only retain the sale but also get you the best long-term repeat customers and minimize environmental damage.

The process of returning products to merchants is a major part of retail, however, with no infrastructure built to support the returns, our planet suffers the consequences.

The logistics sector has many associated problems relating to its efficiency and sustainability and so it may come as no surprise that the reverse chain of logistics is even more inefficient and unsustainable. This lack of infrastructure consequently has resulted in 5 billion pounds of returned waste going to landfill each year. Even more shocking is that in the US, only 20% of 3.5 billion returned products are defective, meaning that billions of products are discarded for no reason.

When it comes to returnable goods, it expands into more than just the problem of landfills. There are huge financial implications with global retailers estimated to be losing up to $600 billion each year to sale returns. Additionally, returned goods are responsible for 11 million metric tons of carbon dioxide being emitted into the atmosphere per year.

When a product is purchased, that purchase brings with it a carbon trail starting at sourcing the materials, manufacturing, shipping, transport, and delivery. If a customer then decides they don’t want the product, or it doesn’t work, the trail might then continue straight to landfill where it will exist for hundreds, if not thousands of years.

COVID-19 has pushed people to a more virtual world, with more people and more people moving away from physical stores and shopping online. When people buy goods online, they are almost three times as likely to return them, which is a problem as the market for e-commerce grows. There is even a millennial trend – consumers buy multiple items, try them, sending back the ones they don’t like. 

Online orders are now being treated like virtual changing rooms – a problem further exacerbated by the ease of free returns. Unfortunately, it is never free, and what might not cost us, costs the environment. 

When we buy items online or return them, they require packaging, shipping, and printing labels. As e-commerce continues to rise, so will the demand for these and the demand for wood-pulp-based packaging. The demand for wood-pulp-based packaging is linked to deforestation, with an estimated three billion trees logged every year for the packaging alone. Many of the trees are derived from ecologically-critical tropical forests in Southeast Asia and South America and therefore, if excess packaging is reduced, it could help mitigate the pressure that these forests are put under.

It is not that companies don’t want to have a sustainable way to handle their returns but with so many returns, they need to have processes in place which help facilitate how they are handled. For example, a smashed iPhone screen is very different from a pair of faulty trainers – you need to have the right people to help identify the problem and then relocate it accordingly. The relocating, sorting, and storing of returns will also require additional space which some companies do not have. Companies do not intentionally disregard returns, the problem lies with the size and amount of returns, so there needs to be a solution that encompasses the demands put on a company to sustainably handle returns that do not cost the consumer or the business. 

The world of returns must be reshaped as the environment cannot be forgotten when it comes to buying and returning. We cannot return our planet – when it doesn’t work or we don’t like the extreme weather, we have to live with it. Therefore, solutions must be put in place allowing people to return their unwanted or defective goods in a way that is least impactful to our world.

Here at ReturnGO, we are that solution. Through the use of AI, we help companies maximize their revenue whilst also reducing refunds and waste. Customers are not going to stop returning, they just need a smarter return and exchange solution, personalized to their needs.

ReturnGO offers a solution, not only beneficial for the planet; but also for the merchant, saving significant reverse logistics costs; and the customer, improving satisfaction and user experience. Returns should not cost the planet, business, or customer, and ReturnGO ensures a harmonized process benefitting all three.

The way you run your eCommerce store has a significant impact on the environment, and putting in place new practices can help improve the situation, whether in manufacturing processes, material choices or even return rates.

Why is Sustainability Important in eCommerce?

The negative impact of eCommerce on the environment is huge. From production to shipping to returns, every step in the eCommerce supply chain harms the environment. The negative impact ranges from carbon emissions that pollute our air to excess waste that ends up in landfills. 

While eCommerce is becoming increasingly popular, customers love brands that mirror their own values. So much so that 83% of customers consider the environment when making purchase decisions and 78% think that companies could be doing more to be environmentally friendly. 

36% of customers feel increased loyalty towards brands that offer sustainable products.

Customers are willing to change their buying habits and 72% of customers are even willing to pay a premium for sustainable products.

Given that people are increasingly choosing to buy from eco-friendly brands, taking action to be sustainable can encourage customers to choose your store over others.

5 Best Practices to Make Your Store More Sustainable

With customers increasingly interested in sustainable shopping, and eCommerce a major contributor to environmental damage, here are some best practices you can implement to make a difference.

1. Work Towards Sustainable Manufacturing

Manufacturing processes use approximately one-third of the world’s energy. Many manufacturers focus on performance while reducing costs, with little attention paid to long-term environmental impact. 

Reducing waste and water use, adjusting energy loads, and utilizing renewable resources can boost your sustainability outcomes and reduce your costs.

Other sustainability factors to consider:

• Fair working wages and conditions for workers.
• Single-use or high-consumption products.
• Storage and transportation.

2. Make Smart Material Choices

Are your products themselves sustainable? In many cases, the products are the biggest culprit for environmental impact. Whether it’s the products’ lifecycle or the materials used to make the products, a lot can be improved to make your products more eco-friendly.

Consider whether your products are made from sustainable and organic sources and whether they are fast-moving, fast-consumed products (which generate a lot of waste) or products that are intended to be used long-term (which avoids waste).

Materials such as linen and hemp are great organic materials that require very little water – making them a great, eco-friendly choice for clothing. Another great alternative is using pineapple lead fibers instead of leather (yes, that’s a thing).

Pure Waste is a great example of an eCommerce business whose business model centers around reducing waste by developing and manufacturing yarns, fabrics, and clothes from recycled fibers. Through their commitment to their goal of eliminating textile waste in the world, Pure Waste is doing their bit in reducing the environmental footprint of the entire industrial sector by inspiring others to go in a more ecological direction.

Consider how you can make your products more sustainable, and maybe you’ll inspire other eCommerce stores to do the same.

3. Design Eco-Friendly Products

Products that are designed to be environmentally friendly can be more appealing to customers and more sustainable to produce. Incorporate sustainability into your product design to account for environmental impacts over the entire lifespan of your products. 

Determine how sustainable your products are by looking at factors such as energy consumption, recyclability, and hazardous substances.

You can find examples of eco-friendly product design in all sorts of products such as biodegradable furniture, compostable coffee cups, and recycled tableware, as well as clothes and shoes made out of plastic recovered from the ocean, and milk-based textiles.

Aim to create products that are multipurpose, reusable, and recyclable, that don’t require much maintenance.

4. Use Sustainable Packaging

Over 2 billion tons of waste end up in landfills worldwide every year, with packaging waste often ending up in the Great Pacific Garbage Patch. The amount of plastic that is used and thrown out on a daily basis is huge, and as eCommerce merchants, there are steps you can take to make a difference.

The first step to take is to work towards eliminating the use of plastic and containers with multiple materials that are hard to separate or recycle, and reducing the amount of filler material and excessive packaging size.

A great example is Zara, which is taking active steps towards being completely plastic-free. Online orders are shipped in 100%-recycled cardboard boxes made out of boxes that were previously used in stores. Products are also not individually packaged, hugely reducing the amount of waste produced.

Reusing packaging is another way for your business to be more eco-friendly. For example, Ted Baker ships packages in cardboard boxes with a card slip on the outside. Labels can be replaced in the slip and the box itself can be reused many times. When customers return products using the original packaging, Ted Baker can easily reuse the boxes for new orders.

In your journey towards a more sustainable business model, figure out a packaging design that can best represent your brand. Sustainable packaging that emphasizes reusability can boost customer loyalty as well as reduce waste.

_{Source Image}

5. Reduce Your Return Rates

Product returns are a major part of eCommerce, and without the right infrastructure to support the return process, our planet suffers the consequences.

Returns create 5.8 billion pounds of landfill waste and produce 16 million tons of carbon emissions a year. 

Reducing the number of product returns will help reduce the amount of waste and emissions caused by returns. 

So what actions can you take to reduce your return rates?

• Make sure your product descriptions are clear and detailed.
• Automate your returns with a platform that encourages exchanges over refunds.
• Have a well-defined return policy that’s prominently displayed on your website.

Reducing your return rates is as beneficial to the environment as it is to your bottom line.

Get Started on the Path to Sustainability

Sustainability is an area where every effort counts. Think of sustainability as a lens for viewing your entire business process, and not as something to check off and then forget about.

Follow the tips we’ve shared above to start on your sustainability journey. There is no right or wrong way to begin – just get started! Even a small change can make a world of difference.