If there is one area where online sales have gone up like a rocket, it’s the high fashion and premium brands sector, and because of the bloom, we have seen various businesses entering the market. However, these online markets face a 15 to 20% rate of return, which has forced these companies to think of innovative technology to avoid these returns.
Talking of the online marketplace Luxepolis, the company is using radio frequency identification or RFID technology to tackle the problem, which sometimes involves return of fake products.
"We have developed a solution for solving the problem of customers gaming our system. What happens when a customer claims he or she received a fake bag when we actually shipped a genuine authentic bag? We use NFC (near-field communication) enabled tag and reader using secret codes (unique to each product) to establish the authenticity," Vijay KG, cofounder of Luxepolis, told ET.
Another problem that these companies face is when customers return products after using them, but technology comes to their rescue even here.
"Currently we do not do refunds, only exchange of products. In order to ensure that the customer does not use the product before returning it, we have a seal on a prominent place on the product so that it cannot be used without breaking it," said Anvita Mehra, cofounder of Confidential Couture.
Well, looks like making good use of technology can do you more good than imagined.
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