Delhivery’s AI-powered RTO predictor drives success for D2C brands by minimizing return shipments
RTO predictor solution enables over 4800 D2C companies to reduce logistic costs by assessing return risk.
Delhivery, India’s largest fully integrated logistics service provider, is successfully enabling D2C brands by significantly reducing their cost of returns through its AIpowered RTO Predictor. The solution has already powered over 4,800 D2C brands, including Heads Up for Tails, Healthkart, W for Woman, and Be Minimalist.
The RTO predictor introduced earlier this year is available for all D2C brands across all their sales channels, such as Shopify, WooCommerce, etc., regardless of the shipping partner they use to deliver orders. Brands can also integrate RTO prediction during the checkout stage and hide COD shipping or charge shipping fees for consignees with high return risk.
Returns for cash-on-delivery orders significantly impact businesses’ bottom lines, as companies pay twice for logistics services without making a sale. COD orders constitute more than 60% of ecommerce orders in India, and Delhivery’s RTO Predictor helps reduce RTOs by up to 20%. Delhivery has been acknowledged as India’s most preferred D2C third-party logistics provider by Redseer and continues to add several value-added services to its suite since the launch of its integrated digital shipping solution, Delhivery One.
Nikhil Vij, Head of Product at Delhivery, said, “Dellhivery’s RTO predictor uses machine learning to assess the risk of return and non-acceptance of delivery that sellers face by mining the trove of data already available from over 2.7 billion delivered shipments since inception, our nationwide coverage, and location intelligence solutions. This enables us to predict customer behavior with far higher accuracy and equip our clients with valuable insights on customer intent on their COD (cash on delivery) orders.”
Harsh Gupta, Supply Chain Head at Minimalist, endorsed the service, stating, “The one thing that hurts a D2C brand the most is RTO. Delhivery’s RTO predictor helped us navigate this journey of RTO reduction with better conversions.”
Sugam Arora, Head of Logistics and Customer Experience at W for Women said: “With Delhivery’s RTO predictor service, which we used during the pilot phase, we were able to take quick calls to verify COD orders and take necessary actions, making it easy to understand the customer profile. This has helped us reduce our overall RTO from 8.2% to 7.4%, resulting in increased conversions and lower logistics costs.”
