Rick Nelson, editor in chief of Test & Measurement World and EDN, comments on test, globalization, measurement, machine vision, economics, nanotechnology, the engineering profession, and topics of general interest.
May 9 2008 4:33AM | Permalink |Comments (30) |
The consumer-electronics industry needs smarter consumers—that’s the takeaway from a Wall Street Journal article titled “The War on Returns.” The article cites a study by Accenture noting that the US electronics industry last year spent about $13.8 billion to re-box, restock, and resell returned products.
The article states, “Especially galling to manufacturers is that many returns are preventable: Only about 5% of returns were because a product was truly defective. Instead, most consumers give up on products for other reasons, such as the device being too confusing to use, the study found.” A full 68% of returned items ended up with an NTF (no trouble found) result; 27% were returned because a product “was too expensive or the spouse didn’t like it.”
The article cites ways CE manufacturers are responding:
• Manufacturers including Vizio are including more information on product packaging to help consumers make sure they are purchasing the right products. (Perhaps some such vendors had previously been promising out-of-the-box solutions that didn’t meet customer expectations.)
• Companies including Seagate Technology have begun eliminating installation disks and providing simple guides instead of lengthy instruction books.
• Retailers including Best Buy are setting up consumer concierge services to help resolve problems and avoid returns. The article notes that Best Buy’s Geek Squad has helped reduce home-theater-system returns by 10% and PC returns by 40%
• Sony has begun allowing customers to engrave their names or messages on personal computers and digital cameras—engraved items cannot be returned unless defective.
My conclusion—perhaps it’s the manufacturers who are stupid, not the consumers. If you make a product with a user interface that’s so poor the average consumer can’t figure it out, then your product is defective, even if all the transistors, buttons, displays, and other components work.
What’s your experience with consumer electronics—from your perspective as either a manufacturer or purchaser?
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