Sunday, November 10, 2024

What shoppers really think of retailers’ return policies

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A staggering 90% of shoppers do not think it is reasonable to pay a fee to return an item bought online, while 86% deem clear returns policies to be important. 

These are the headline findings of Retail Week’s latest report, Shopper Unlocked, where 1,000 UK shoppers were surveyed to discover their attitudes to online shopping. 

The report, produced in association with nShift, highlights other exclusive data that retailers must factor into their fulfilment strategies, such as that only 4% of shoppers believe returns to be unimportant. 

 

In addition, 18% of consumers go as far as saying that unsatisfactory returns policies are one of the top three reasons they would abandon their online shopping basket.  This represents a significant potential loss of revenue for retailers. 

Do shoppers think returns should be free?  

Free returns have become a hotly debated topic as ecommerce snowballed over the past decade.  

However, the research from the report is clear: the vast majority of customers do not think they should be footing the bill to send things back.  

Just 10% of respondents say the statement ‘It’s reasonable to expect to pay a small fee to send things back’ best reflects their attitude to returning things they have bought online.

Meanwhile, only 8% align with the statement ‘Returns are fully the responsibility of the customer’.  

In an unexpected twist, younger shoppers – 18- to 24-year-olds – are more likely to be willing to take responsibility for returns, compared with other age groups: 15% of this demographic say returns fees are acceptable, with 17% agreeing returns are fully the responsibility of the customer.

For context, just 9% of over-55s agree with the first statement and 5% with the latter.  

It is not just costs that shoppers consider – convenience is crucial too.  

An easy returns process – even with a fee – means 75% of consumers say they’re more likely to shop with a retailer again.  

How are retailers approaching the returns problem?  

Around 52% of ecommerce retailers do still offer free returns, according to research by Sendcloud, leaving 48% charging customers to send things back.  

When it comes to the fashion industry, the rules of the game are changing more quickly, with 79% of fashion retailers now charging for returns to recoup costs and discourage wasteful purchasing.  

For instance, Oh Polly and Pretty Little Thing have joined the latest list of retailers to charge for returns. PrettyLittleThing introduced a returns fee of £1.99 for UK customers, including those with its premier membership – who already pay a flat fee of £9.99 for unlimited delivery for a year.  

In May, fashion etailer Oh Polly unveiled a new returns policy to crack down on “repeat refunders”.  New customers will still get their first returns for free, but the cost of returns will be calculated based on their rate of returns moving forward – the greater the amount of an order returned, the higher the return fee.  

Previously offering a flat returns fee of £2.99, customers returning between 90-100% of an order may now be charged up to £8.99. Returns for store credit or exchange remain free.  

The retailer justified its policy changes in an email to customers, saying: “We really value each and every one of our customers, and one of the ways we keep pricing down is being fair to all.

“Customers with high return rates increase the cost of the business, and we can either alter prices collectively for all or only for those who fall into the higher returner category.”  

Want more insight into shoppers’ views on retail returns? Keen to dive deeper into the opinions of online shoppers?  

Download your free copy of Shopper Unlocked: Inside the minds of 1,000 consumers for unrivalled insights into what makes shoppers spend online in 2024.  

You’ll discover:  

  • What UK online consumers really value when it comes to delivery and returns 
  • The importance of sustainability, and what shoppers will and won’t pay for 
  • The pitfalls leading to basket abandonment and how to overcome them 
  • The key sources of inspiration driving online shopping across demographics

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