About Steve Madden

The legendary Steve Madden brand is expanding its presence in Europe by opening physical stores across the continent and adapting its online channels to meet the needs of European shoppers. Since its inception in 1990, innovation and bold designs have been at the heart of Steve Madden. Remarkably, the business started with just $1,100 and has grown into a $3 billion global fashion and shoe powerhouse. 

As Steve Madden expands in Europe, it encounters challenges, including a higher-than-desired return rate, low exchange rate, and a large volume of return-related customer service tickets. Ralph Donhuijsen, Steve Madden’s Managing Director, sought a suitable returns management platform with a strong European presence and chose Returnista. In this article, we'll explore Steve Madden’s return-related goals and the significant impact achieved within the first 90 days after launching on the Returnista platform.

Setting ambitious but realistic goals help to get a team moving

Most Ecommerce professionals understand that getting a grip on returns can be a daunting task, especially when your business operates in the fashion industry. A returns management platform can help to do exactly that. Steve Madden faced a common set of issues and specified clear goals to reach to improve the overall (financial) performance of the business as well as increase the customer experience. 

• Lowering the returns rate – the goal to improve customer satisfaction and profitability through a lower return rate
• Lowering the returns-related customer support tickets – by providing clear and proactive communication both internally and externally
• Increasing the retained revenue rate – offering alternatives for refunds, such as store credit and exchanges

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During the initial conversations, the onboarding process and after going live, Returnista was involved in helping specify the targets and addressing potential root causes that could help Steve Madden close in on its targets. Hard work pays off, as can be seen in the results section below.

Results after 90 days: 12.7% fewer returns in certain categories

“The results from the first 90 days after going live have been incredibly valuable,” says Ralph Donhuijsen. “We reduced returns in many product categories by as much as 12.7% simply by analysing the data and optimising our product listings to better match customer expectations. We're now moving forward to incorporate this feedback into our buying journey, refining our product offerings based on returns data. Additionally, we've cut return-related customer support tickets by 73%, largely thanks to clearer communication with our customers about shipping status and refunds."

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“We've cut return-related customer support tickets by 73%”

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This was just the beginning

After seeing what's possible, Steve Madden is now even more committed to further reducing return rates and increasing retained revenue by offering exchanges and store credit. As the company wraps up the implementation of its new ERP system, it plans to roll out these options across Europe. With high sales volumes—and consequently, high returns—retaining revenue through store credit and exchanges can significantly impact both business performance and customer perceptions of the returns process. Good to know: a returns experience that exceeds customer expectations is a major driver of customer loyalty, something Steve Madden fully recognizes.

Returnista’s presence in Europe

As an American company, Steve Madden sought a strong European partner to ensure their returns experience meets the expectations of EU shoppers. Returnista is proud to be Steve Madden's partner in their fast-paced online and offline expansion across Europe.

If you're looking to upgrade your returns solution or need advice on your data structure or return strategy, reach out to us—we’ll connect you with an expert.

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