The stat: Shoppers returned 1.39 billion orders globally following the 2022 holiday season, a 63% increase year-over-year (YoY), per Salesforce.
Holiday hangover: After a relatively strong holiday season, retailers are beginning to feel the weight of returns as inflation drives more consumers to return online purchases.
A serious problem: Return rates are growing faster than revenues for 91% of retailers, per a survey by Appriss Retail and Incisiv. With returns rates rising so quickly—posing a serious threat to profits—more retailers are adding fees to help cover the costs of reverse logistics, despite previously fearing that charging for returns would turn off customers.
Looking ahead: We expect ecommerce returns volumes to grow 4.2% this year to $211.76 billion, as consumers continue to practice bracketing and budget concerns drive shoppers to be more selective with their purchases.
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