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November 11th, 2008, 04:54 PM #1Shoe merchant reversal rates
In recent weeks I noticed our reversal rate on some shoe merchants on CJ is much higher than usual (even considering that shoe merchants are always higher than other kinds of merchants). I'm talking reversal rates of around 50%.
Anyone notice this? I wonder what's going on here...Kids, you tried your best and you failed miserably. The lesson is, never try. -- Homer Simpson
November 13th, 2008, 12:03 PM #2
I haven't been tracking reversal rates by merchant, but I will definitely start now! For my shoe site I typically see an overall average of about 20% of dollars get reversed, so 50% for one merchant would definitely be out of whack.
It also depends on how the sales are being promoted. I would imagine if there is a heavy focus on "free returns", reversals would be higher.
November 14th, 2008, 12:24 PM #3
We're seeing this on 3 shoe merchants so far. Not sure if they're related companies or not.Kids, you tried your best and you failed miserably. The lesson is, never try. -- Homer Simpson
November 16th, 2008, 04:17 AM #4
i bet i could pick which 2 of the 3 merchants were lol i droped them on ppc because the reversal rates climbed from 30 to 50 then 60 and finaly 75% and enough was enough, its hard enough to make a living these days without BS like that, i really dont believe that all the reversals i had were legit and i even had sales post with a 0 comish, when i questioned this with the merchant they stated this was a store credit. So what! it was a sale! if they got a credit then i got a reversal so i should have been credited the sale of the store credit just total bs if you ask me.
December 18th, 2008, 03:23 PM #5
I've compiled the reversal rate data from October and wanted to see if these numbers were similar to what other shoe affiliates saw. These numbers are based on dollar values pre- and post- reversal, as opposed to order volume.
6pm - 6.5%
Backcountry - 30%
Endless - 8%
Famous Footwear - 0%
Heels - 0%
Piperlime - 30%
PlanetShoes - 17%
Shoebuy - 28%
ShoeMall - 0%
Zappos - 25%
And on other networks:
Onlineshoes - 22%
Shoes . com - 24%
Sierra Trading Post - 2%
Among the big players, Endless really stands out for their low reversal rate --unless there are more that just haven't posted yet! I guess it's really no surprise that the stores that offer free returns have higher return rates.
December 18th, 2008, 05:31 PM #6
affninja, those are interesting stats
December 18th, 2008, 05:33 PM #7
Interesting "good" or interesting "I'm being taken for a ride"?
December 18th, 2008, 05:37 PM #8Originally Posted by affninja
I guess you can say it is "good" in the sense that I appreciate your example of classification.
Are these stats from your own sales or are you factoring in other data to get the percentages?
December 18th, 2008, 05:51 PM #9
Yes these are my own reversal numbers from October sales. I'd never looked at reversals at this level of detail until this thread was started, opting to just track them at the site-wide level. After La_Valette and Rocketfuel posted, I wanted to see if some of my advertisers were out of line, but there weren't really any surprises. No huge outliers in either direction among the high volume stores except for Endless, and they were on the low side.
January 11th, 2009, 05:16 PM #10
- Join Date
- April 22nd, 2007
I have 50% reversal with Zappos and I will to move to another merchant soon.
No one will keep their shoes under the bed in new condition and after 3 months return them to the merchant. This is simply crazy. Yes, the reversals are usually for sales 2-3 months old.
January 12th, 2009, 05:19 PM #11
It's the bottom line that counts, not the stats on the way there.
January 12th, 2009, 09:45 PM #12Originally Posted by Paul_Ward
January 13th, 2009, 02:12 PM #13
Whoever puts the greatest amount of hard currency into my bank account gets my vote.
That's what I meant to say - I'm a bit lost now.....
January 14th, 2009, 04:56 PM #14
ivantk, I met with Zappos this week at Affiliate Summit, and while your 50% reversal rate is on the high side, it is not completely out of line. They were saying 40%+ is average, with the actual total varying month-to-month. Just have to factor that in when looking at your stats and profitability.
March 3rd, 2009, 11:26 AM #15
- Join Date
- January 18th, 2005
From our perspective, while we do allow customers to return orders beyond 30 days (they actually have 365 days), we lock our commissions after 30 days. This means that if a customers DOESN'T return the order within 30 days, the commission will lock.
This helps get rid of some of the issues mentioned here with transactions that are 3 or 4 months old getting reversed. Our return rate runs in the 20-30% range. When you offer free shipping and free returns you are going to see a high return rate, but all shoe merchants have to offer that in order to remain competitive in the space.
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