Addressing Return Opportunities Across the Retail Journey

This article discusses how retailers can address the complex challenge of product returns using AWS technologies and innovative solutions. The key focus is on reducing return rates while maintaining customer satisfaction.

• Online return rates average 15.2%, accounting for $743 billion in lost sales annually
• Returns are closely linked to customer loyalty, with high-value customers returning more merchandise
• AWS offers several strategies to reduce returns:
• Enhanced product information using generative AI
• Virtual Try-On (VTO) technologies
• AI-powered shopping assistants
• 3D sizing and scanning technologies

Key technological innovations include AI-generated product descriptions, virtual try-on experiences, and data-driven returns management that can reduce return rates by up to 30% while maintaining customer satisfaction.