Returns are, unfortunately, a fact of retail life, particularly in the age of ecommerce. The National Retail Federation (NRF) reported that U.S. consumers returned $743 billion in merchandise in 2023, equaling 14.5% of all purchases. Return rates for online purchases were higher than the overall average, at 17.6%. By dollar value, the $248 billion in online returns accounted for one in every three dollars of returned merchandise last year.
This special report explores how retailers can prevent at least some returns from occurring in the first place, as well as strategies for mitigating the negative impact of the returns that do happen, including:
- Promoting greater transparency about return policies;
- Ensuring product reviews and fit guides are accurate and up to date;
- Deploying augmented reality solutions to visually demonstrate how potential purchases will fit on different body types, including the customer’s own;
- Speeding up refund processes to encourage consumers to stay within the retailer’s ecosystem; and
- Leveraging loyalty programs as a reward mechanism for top customers, i.e. offering them more liberal return policies and/or providing the returned product’s value in loyalty program points.
Download the report now!
