AI predicts whether you’ll return an item before you buy it

  • This is one of the most informative articles that I’ve read on eCommerce return rates, driving factors and the tools being developed to help predict outcomes.
    • “With sales anticipated to reach $4 trillion by 2020, ecommerce is an unstoppable force.
    • It’s estimated that as high as one-third of online orders are returned, which whittles down profit margins.
    • 4% occur when there are some similar products present in the cart
    • 53% of returns are due to size- and fit-related issues
    • older inventory has an almost doubled return rate compared to newer items.
    • Cart sizes exceeding five products seeing return rates around 72% compared with 9% for carts with one product
    • In experiments, the best-performing return-predicting AI system achieved 83.2%”

    https://www.google.com/amp/s/venturebeat.com/2019/07/01/ai-predicts-whether-youll-return-an-item-before-you-buy-it/amp/