Indian e-commerce facilitator GoKwik has partnered with caller ID platform Truecaller for instant customer verification.
GoKwik, a network platform offering end-to-end solutions for D2C brands, marketplaces and omnichannel e-commerce players, has integrated Truecaller to improve conversions and reduce RTO (return to origin) by leveraging the brand’s expertise in identifying and verifying users.
Apart from this, the scope of the partnership would be a seamless shopping experience and reduced returns for e-commerce and digital brands in India.
Truecaller SDK empowers mobile-focused startups, developers, and businesses to simplify customer verification for web and mobile apps. For GoKwik, the company will optimize existing dynamic product models with Truecaller SDK. Truecaller officials explained that through this partnership, they will use their one-click verification solution for businesses that build storefronts on e-commerce platforms.
This process aims to ensure that their end customers do not have to manually enter names, phone numbers and other details or worry about OTP issues with the online shopping experience powered by GoKwik and Truecaller SDK.
How is the return to origin going?
According to Press Trust of India, RTO or return to origin, which occurs due to failed delivery of goods, is a major problem for e-commerce and online merchants. Industry-wide data cited by the news agency shows that about 20% of orders are sent back to origin. In the case of an order placed in cash on delivery mode, this number can reach 40%.
According to data presented by Datadriveninvestor.com in May 2022, RTO is one of the biggest problems for e-commerce businesses which accounts for almost more than 30% of orders and each RTO constitutes a loss of INR 100-200 per order ( which includes shipping, labor, packaging, fuel, time, etc.)
General reasons for RTO include incorrect address entered by the user, fraud by the user, as well as the user’s impulse purchase with cash on delivery options and the subsequent casual refusal to receive the delivery, or the availability of the item at a lower cost on another platform.
The GoKwik-Truecaller SDK Strategy
As e-commerce fraud is one of the main reasons for RTO, for merchants GoKwik-Truecaller SDK will work to reduce return to origin due to fraud arising from phone numbers. This will provide the possibility of greater accuracy in tracking unverified customers who will be more likely to commit RTO fraud.
As Press Trust of India explains, D2C brands such as BoAt, Bombay Shaving Company, Neeman’s and Sanfe on the GoKwik network have already enabled connection via Truecaller SDK to improve the overall user experience.