Online returns to rise to £5.6bn

Online returns

Online returns are forecast to increase to £5.6 billion over the next five years, according to a new report.

This equates to an increase of 27 per cent during that period, GlobalData said in its Online Returns in the UK 2018-2023 report.

The research found that the rise is mainly driven by returns of clothing and footwear.

The report emphasised that in order for retailers to successfully handle higher volumes and achieve better customer service, they must be prepared for the increase in online returns.

While clothing and footwear will account for the lion’s share of the online returns, health and beauty, gardening, homeware, and DIY will also encounter a major increase in online returns as consumers gain confidence in buying online from these sectors.

“Clothing and footwear is the most returned sector, which is unsurprising due to the importance of fit – especially for online pureplays as customers do not have a chance to try items on or judge the quality of products,” GlobalData retail analyst Emily Salter said.

“Females account for the majority of clothing and footwear returners partly because they make up a higher proportion of online clothing and footwear shoppers, but also due to the numerous fits of female clothing.”

GlobalData’s report found the majority of clothing and footwear returns were due to issues in sizing or receiving incorrect items.

“The ease of returning items is important to consumers – 78.3 per cent of online shoppers agree that retailers need to improve the ease of repacking items for returns, and 53.3 per cent state that the hassle of returning goods puts them off shopping off online,” Salter said.

“It is important that retailers offer a range of returns options, as although returns via post dominate, many consumers use alternative methods such as returns via a convenience store.

“Free returns are common across most sectors and consumers have come to expect this, with 72.9 per cent of online shoppers agreeing that they wouldn’t order from a retailer if they had to pay for returns.”

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  1. In its latest results, JD explained why stores were still crucial despite the rise of online sales: “The often social nature of consumers’ shopping trips and impulsive nature of their buying decisions combined with the importance of cash to a high proportion of our demographic, means that we expect physical retail to retain most of its current level of importance.

  2. In July 2008, it was disclosed that Sports Direct also held a 12.3% holding in the John David Group, parent of JD Sports. The stake is currently 11.9% of JD Sports as of November 2013. Sports Direct formerly held 5% of Amer Sports.

  3. JD Sports Fashion revenue worldwide 2011-2019. Sports fashion retailer JD Sports’ revenue in the past eight years has been nowhere near flat. In 2019, it reached a value of 4.71 billion British pounds, more than fives times higher than it was in 2011.

  4. The retailer said it would shut stores in a major U-turn on Tuesday, after initially saying its high street shops would continue to sell sports and fitness equipment amid the Covid-19 crisis. However, the company said its factories and warehouses would remain open and deliveries to customers would continue

  5. What have you been up to? I am fascinated about covid19. Can you talk about it? If the same thread is opened please redirect my post :). Thanks :).

    PS: I don’t know any people with covid and you? rambo 😀


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