Returns in the furniture industry can be complex, costly, and a major source of customer frustration. Whether it’s a damaged table on delivery or a customer claiming a sofa was never received, furniture retailers are caught between maintaining margins and meeting rising service expectations. Fortunately, smart technology now offers a better path forward. Utilizing smart technology for product protection and fraud mitigation solutions will reduce the operational and financial burden of returns while keeping customer satisfaction (CSAT) high.
The Real Cost of Furniture Returns
Furniture returns don’t just involve a label and a box. They typically require reverse logistics, inspection, repairs, and, in some cases, disposal or resale at a steep discount. These returns hurt revenue, create inventory headaches, and frustrate store staff and customers.
In addition, the home furnishings category is increasingly vulnerable to return fraud. From claims of “item not received” to using an item before returning it (also known as “wardrobing”), fraudsters exploit return policies and cause real damage to your bottom line.
Traditional return processes often lack the sophistication to differentiate between legitimate and fraudulent returns, leading to either customer dissatisfaction or financial losses. This is where intelligent solutions become crucial.
Smart Protection That Prevents Unnecessary Returns
Smart Technology like Extend Product Protection gives customers peace of mind when purchasing big-ticket furniture. By offering protection plans at checkout, retailers can reduce return requests tied to accidental damage or product failure.
Instead of returning a scratched dining table or malfunctioning power recliner, customers can easily file a claim for repair or replacement. That means fewer items coming back to your store and a more confident customer experience from the moment of delivery.
Best of all, these plans are administered entirely by Extend—no extra lift for your in-store team or call center. Customers enjoy a seamless claims experience through Extend’s user-friendly digital portal, which comes with 24/7 online support.
Retailers are seeing tangible benefits. For instance, after partnering with Extend, The Dufresne Group Canada expanded its warrantable portfolio by 28% and achieved a 40% product protection attach rate.
Fighting Return Fraud With AI
Return fraud is a growing concern, with sophisticated schemes that can be challenging to detect manually. Extend addresses this issue with its AI-driven fraud detection platform, which analyzes patterns and behaviors to identify fraudulent activities. By automating this process, retailers can quickly flag and prevent fraudulent returns, reducing financial losses and operational burdens.
This intelligent system protects the retailer’s interests and ensures that genuine customers experience a smooth and fair return process, thereby maintaining high CSAT scores.
A Seamless Post-Purchase Experience
Extend’s solutions are designed to integrate easily into your existing point-of-sale and ecommerce platforms. Whether you sell through brick-and-mortar showrooms, online channels, or both, Extend can help deliver a frictionless post-purchase experience across the board.
Furniture retailers gain better visibility, improved customer satisfaction, and real operational efficiency by consolidating protection, returns, and fraud mitigation into one unified platform.
Measurable Results for Furniture Retailers
Furniture retailers using Extend are already seeing strong performance gains:
- Fewer returns: Product protection plans resolve many issues that would otherwise result in costly returns.
- Higher CSAT scores: Easy digital claim experiences boost customer happiness and loyalty.
- Lower fraud losses: AI helps you catch bad actors before they cost you real money.
- Improved efficiency: Automation saves time for store teams and support staff.
Embrace Smart Technology for Sustainable Growth With Extend
Furniture retailers have unique post-purchase challenges, but they also have a unique opportunity. By adopting smart tools like Extend Product Protection and fraud mitigation, HFA members can reduce returns, safeguard profits, and build CSAT scores relating to stronger customer relationships.
Want to see how Extend can work for your furniture business? Request a demo and start future-proofing your post-purchase experience today.
