While 2020 was unprecedented in virtually every way, a sense of normalcy returned to e-commerce during the holiday season as online sales surged again. From Nov. 1 through Dec. 24, U.S. consumers spent 47.2 percent more this year than they did during the same period in 2019. While retailers cheer more sales, they also understand that the post-holiday period will be busy with returns and chargebacks.
A recent report from commercial real estate firm CBRE predicts e-commerce returns will reach more than $70 billion, 73 percent higher than the five-year average. Along with post-holiday returns, merchants also need to protect against the predictable rise in chargebacks that also occurs in January and February each year. According to chargeback management firm Chargebacks911, since chargebacks typically lag purchases by 45 to 60 days, e-commerce sellers can expect a surge that will reach its apex in mid-February.
Chargebacks911 made several tips available this week for merchants to prepare themselves and minimize the impact of this seasonal increase in chargebacks. The company urges merchants to make use of AVS and 3D Secure; make sure to request the CVV or security code during checkout; make your return policy clear, visible and easily accessible; respond to customer calls and messages promptly; provide detailed and accurate product descriptions; list your business’s name, URL and phone number in your billing descriptor; and others.