Rent-to-own News - "Try before you buy" option could reduce returns

In 2011, many shoppers opted to avoid the frenetic crowds and do their holiday shopping from the comfort of their computer. Sales at online retailers gained by more than 15%, making it the biggest season ever. But people are also returning those purchases at record rates, up 8% from last year.

What went wrong? Is the lingering shadow of the global financial crisis making it harder to accept extravagant indulgences? Or that people shop more impulsively — and therefore make bad decisions — when online?

A Time Magazine article by Martin Lindstrom argues both scenarios are plausible. However there is a third factor: a question of touch. We can love the look but, in an online environment, we cannot feel the quality of a texture, the shape of the fit, the fall of a fold or, for that matter, the weight of an earring. And physically interacting with an object makes you more committed to your purchase.

Why? We feel something akin to a sense of ownership when we hold things in our hand. That’s why we establish or reestablish connection by greeting strangers and friends with a handshake. In this case, having to then let go of the book after holding it might generate a subtle sense of loss, and motivate us to make the purchase even more.

A recent study conducted by Bangor University together with the United Kingdom’s Royal Mail service also revealed the power of touch, in this case when it came to snail mail. A deeper and longer-lasting impression of a message was formed when delivered in a letter, as opposed to receiving the same message online. FMRIs showed that, on touching the paper, the emotional center of the brain was activated, thus forming a stronger bond.

The study also indicated that once touch becomes part of the process, it could translate into a sense of possession. In other words, we simply feel more committed to possess and thus buy an item when we’ve first touched it. This sense of ownership is simply not part of the equation in the online shopping experience.

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