Are free returns coming to an end?
What: Online retailers have competed to offer cheaper, more convenient shopping experiences but one of the world’s biggest apparel sellers may stop the trend.
Why is it important: Zara had earlier this month begun charging UK customers GBP1.95 to return online purchases by mail. The policy, in place in 37 other countries, doesn’t apply to online orders returned in stores.
Many shoppers took to social media to complain. Some talked about long queues and slow service when they attempted to bring items back to Zara’s stores. Others argued that Zara should improve its sizing and fits if they were going to charge for returns. A few applauded the new policy, saying it would nudge consumers toward more mindful consumption habits.
The environmental case for Zara’s switch is iffy as a delivery van picking up multiple returns will likely generate fewer emissions than individual customers driving to stores to avoid the fee
Online shopping, which boomed over the pandemic, has a much higher rate of customer returns than in-store purchases. Shipping and processing returned items create mounting logistical costs, as well as carbon emissions. However, many shoppers have become accustomed to free and easy returns.
Cutting overproduction, or the volume of clothes discounted at end of season, from 40% to 30% every year could save 158 million tonnes of carbon emissions. While reducing an e-commerce return rate from 35% to 15%, could save 12 million tonnes of greenhouse gas emissions per year.
Regardless, charging for online returns will no doubt reduce the number of orders sent back. Incentivising in-store returns, which immediately puts products back in circulation, can also prevent waste.
Other tactics include improving product pages and virtual sizing technology, or letting customers know about fit and styling advice if they start to add multiple sizes of the same item to their online cart. Some retailers offer repair and alteration services, hoping some minor adjustments to fit will ward off some returns.
