Reduced returns costs by 50%

Stadium

Stadium’s post-implementation success story is truly outstanding. With a nearly 50% reduction in costs and processing times, they’ve gained a comprehensive understanding of returns, both active and passive. Customers now experience expedited service and a transparent view of the entire return process.

The challenges

Stadium faced substantial challenges in its online sales operation. Juggling around 1.8 million customer orders each year, along with a 25% return rate, posed significant challenges. The extended return processing time, averaging 2-3 weeks, had a negative impact on customer satisfaction. At the same time, handling the thorough return process came with significant expenses, reaching a whopping 25 million annually, not to mention the complexities of associated administrative tasks.

The platform proved to be exceptionally robust and user-friendly for both our customers and our team. Its flexibility allowed for an effortless, staged rollout
Andreas Ericson, Director of Business Development

The solution

In 2020, Inretrn entered into a collaborative partnership with Stadium, introducing a sophisticated digital return management platform. The approach involved carefully planned and structured iterations, covering process design, blueprints, and the smooth integration of a comprehensive return platform. The first MVP, including digital return registrations and Return Room Management, was launched in March 2021. Following that, enhancements were made, concentrating on automated refund processes and streamlining the operational efficiency of the return station. Strategic moves, including implementing variable return fees and gradually transitioning to digitalization, played a pivotal role in developing a cost-effective and flexible solution.

“We intentionally took the implementation of the returns platform step by step, starting with digitizing the customer journey and later diving into the return station and refunds. The platform turned out to be super solid and user-friendly for both customers and us. Its flexibility made it a breeze to roll out in nicely defined stages!”

– Andreas Ericson, Director of Business Development

We’ve cut our costs and lead times by nearly half – a win for us and our customers. Now, with total control over returns and clear reasons, we deliver faster service and transparent processes.
Andreas Ericson, Director of Business Development

The outcome

Since implementing the new system, Stadium has achieved remarkable success metrics. They’ve cut costs and processing times by almost half. The company now has a detailed understanding of both active and passive returns, examining the specifics of each returned item and the reasons behind them. This has translated into faster service for customers and a transparent view of the return process. With an eye on further progress, Stadium is targeting an additional 30-40% decrease in return costs, having already reduced the return rate from 25% to about 22%. Their ultimate objective? To achieve a 20% return rate over time. This success story underscores their triumph over return-related issues, leading the way towards a more sustainable and customer-focused online retail experience.

Demonstrating the effectiveness of their e-commerce return project, Stadium, as an omnichannel retailer, has seamlessly integrated the return management platform into their in-store cash registers. This allows for returns and refunds to be processed as easily as in the warehouse. This integration was implemented and launched in 2023.