The Man Company Reduces Returns By 20% Using GoKwik

Solution For The Man Company

GoKwik analyzed the historical order data of The Man Company to understand the key reasons for returned orders. Based on this data, GoKwik configured features onto its RTO API so that it can populate intelligent risk flags for the incoming traffic on the brand’s website.

The real-time risk flagging on transactions is based on model decisions informed by patterns observed on pin codes, addresses, product profiles, phone number white labeling, marketing campaigns, A/B testing and several other parameters.

This means that the moment a customer starts his checkout process on The Man Company’s website, GoKwik’s RTO API starts analysing the data and responds with a risk flagging as high, medium or low and helps the brand in determining whether the customer should see CoD payment option, or a
prepaid payment mode should be incentivised, etc.

A transaction flagged as high risk means low intent in genuine purchase and may result in a return. The delivery rate on high-risk orders can be as low as 20%.

Similar to credit risk protection, where a customer’s past payment behaviour & other parameters determine whether he is eligible for a loan in future, GoKwik’s RTO model predicts the intent for a customer to commit return on CoD and then categorises them into high, medium and low risk for
necessary further action.

The Result

The Man Company has always trusted GoKwik. Post enabling GoKwik Checkout suite, they were able to witness a constant rise in conversion rates and gross merchandise value (GMV) realisation. This time, they trusted us with their RTO reduction needs. By quickly integrating the RTO suite, within a few weeks, we were able to deliver results to them.

Putting strong constraints on merely 3% of very high-risk cash on delivery orders resulted in an overall drop in rate of return by 20%.

Many of these high risk customers still chose to complete purchases using UPI as a mode of payment despite cash on delivery being disabled. This increased overall conversion rates, CoD to prepaid conversion rates and reduced the possibility of return.

Future Promise

We are constantly striving to improve the precision and efficiency of our RTO model by addressing reasons for returns and factoring in more parameters that can predict a low intent order. We also plan to scale up interventions with The Man Company with multiple features in our RTO suite, aiming to reduce returns further to 30% in the next few weeks