Firms are foregoing free online delivery as the cost increases

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Companies that offer free delivery and returns have to face losses of up to £ 8 per order for each order shipped and then returned. That is, before administrative, repair and repackaging costs are taken into account.

It is estimated that customers return £ 5.2 billion worth of stocks every year, and the spread of coronavirus cases in the past few weeks has increased the volume of returns as people return evening attire now with millions of dollars in Christmas parties being canceled.

According to Rebound, the returns management company, retailers have seen returns increased 48.4 percent in the past three weeks, and the return rate of formal wear is now 40 percent higher than it was last year.

Graham Best, Rebound CEO, said, “Canceled Christmas parties and Omicron concerns have driven fashion returns as shoppers are returning clothing they will no longer wear. Traditionally, this time of year we see a spike in fashion returns thanks to shoppers’ remorse after Black Friday, but this is well above the usual level.

Kelly Askew, Retail Strategy Lead at Accenture UK & Ireland, said: “It has been a uniquely turbulent year for retailers. The pandemic has changed consumer behavior like never before, pushing people to use new channels just to avoid major supply chain disruptions and labor shortages to get companies to meet demand in the run-up to the holiday season. “


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