E-tailers need to improve communications or face flood of returns

[October 17th 2000]

"...e-tailers must improve their Internet and e-mail communications or prepare for massive customer returns after Christmas..."

The warning is based on e-Mail Solutions' latest research white paper covering consumer Internet attitudes. The paper reviews all the industry research conducted this year and then adds e-Mail Solutions' internal research. The conclusion? "Consumer frustration is at an all time high," Johnson explained. The white paper will be issued nationally to customers in November and will be highlighted in the "what's new" section of the www.emsresponse.com site.

"The industry typically assumes that when a customer encounters poor service at a Web site, they simply click over to a competitor. Our analysis suggests that customer behaviour is much more complex," Johnson explained. "Ignored e-mail seriously fractures the consumer trust that on-line retailers have worked hard to build. Customers frequently feel insulted, outraged and ask, 'Why isn't my question important enough to be answered?'"

During qualitative in-depth interviews, customers frequently explained to e-Mail Solutions management that when questions weren't answered, customers were quick to return the product and place a hold on their credit card. As Johnson explained, "When you read all of this year's industry data documenting the high-level of unanswered e-mail, it is obvious that on-line consumer confidence is at an all time low and consumers aren't willing to tolerate even minor product problems."

The Gartner Group and other industry analysts have issued numerous studies this year documenting the growth of poor communications among e-commerce companies. e-Mail Solutions has organized all these research reports on their Web site. The abbreviated findings include:

"Only 30% of companies surveyed respond to e-mail within 24 hours...," Yankee Group

"The top 50 e-tailing Web sites earn poor grades for customer relationship management...," Gartner Group

"23 of the Fortune 100 companies could not be reached by e-mail via their Web site...," Rainier Communications

"Consumers have little patience for...poor customer service...," Gartner Group

"Two-thirds of shoppers abandon purchases at checkout due to lack of human contact...," Forrester Research

"Customers are not satisfied to send an e-mail query and get a response a week or two later...," . Teleprofessional

"The good news is that consumer complaints are fairly easy to solve and product returns easy to avoid...provided the communication process doesn't break down," Johnson emphasized. "That means all customer communication forums must work together perfectly: e-mail must be promptly answered, phone lines staffed, customer letters given priority. No excuses. No delays. It must be done."

The white paper suggests five key improvement areas to prepare for the surge of on-line shoppers this holiday season:

1. Be Responsive -- Customer questions should be personally answered in less than 24 hours. Consumers hate "canned," automated responses.

2. Detail the Product -- List in detail all the features of the product. Have convenient e-mail and phone links that answer those last minute questions. Consumers hate any surprise after the product arrives.

3. Streamline the Site -- Make "Contact Us" idiot proof on your site and list every possible means to reach you: e-mail, instant messaging, telephone, fax, U.S. mail. Reduce site graphics and simplify the site logic. Consumers hate lengthy searches and slow-loading pages.

4. Confirm Your Sale -- Send thank you e-mail as soon as the order is placed repeating: price, product, shipping costs, delivery date and how to modify an order. Include this same information with the product. Consumers hate being left in the dark.

5. Test, Test, Test -- Make every person in your company a quality control expert by asking them to place one e-mail inquiry per day. You will know about system problems immediately. Consumers hate being ignored.

Links
e-Mail Solutions		http://www.emsresponse.com