Product returns are a big problem for retailers. In 2020, consumers returned an estimated $428 billion in merchandise, representing more than 10 percent of total retail sales. With ecommerce booming, returns are soaring as customers place more orders on a whim — click, buy — without ever seeing the products they are purchasing until they turn up on their doorstep.1.
The problem does not stop there — the surge in online sales has made customers far more discerning when it comes to return policies. Shoppers who might once simply have held onto their receipt in case they needed to make an exchange are now scrutinizing retailers’ return policies before making a purchase.
