Page 49 - HW October 2019

global eyes
Can returns generate sales?
SURE THING – JUST ask Kohl’s, which has seen a significant uplift in foot traffic and same store sales thanks to handling Amazon returns.
Just in time to make hay from Amazon’s Prime Day in July this year, Kohl’s started handling Amazon returns so shoppers can drop off unwanted Amazon purchases at any of its 1,150 stores where Kohl’s employees then facilitate faster and easier refunds.
In terms of what happened then, InMarket in the US has research that
says the net uplift in terms of foot traffic for Kohl’s has been marked, with total average visits after Kohl’s began accepting Amazon returns up almost 24%.
Visits lasting longer than 16 minutes rose by roughly 14%, while Kohl’s also experienced a 17% increase in short visits of 5 minutes after it began accepting Amazon returns, which wouldn’t significantly enhance Kohl’s sales any but could result in a return trip at some stage.
Another possible benefit to Kohl’s is that although its Q2 same store sales fell by almost 3%, they turned positive during the last six weeks of the period ending
3 August.
InMarket characterises the effect of Amazon Lockers with the highest spike in
foot traffic falling on the second Saturday and Sunday after Amazon Prime Days, likely due to a case of “buyer’s remorse”.
With this sort of result, it’s to be expected that Amazon will be looking at similar programs with other retailers.
https://inmarket.com/
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