Returns Archives | Rithum https://www.rithum.com/blog/category/returns/ Powering the future of commerce Mon, 09 Mar 2026 20:06:43 +0000 en-US hourly 1 https://wordpress.org/?v=6.9.4 How to prepare for the return crisis you’re not watching for https://www.rithum.com/blog/prepare-for-return-crisis/ https://www.rithum.com/blog/prepare-for-return-crisis/#respond Tue, 10 Mar 2026 13:00:00 +0000 https://www.rithum.com/?p=5013 Reading Time: 5 minutesTL;DR Every January, retail teams brace for the post-holiday return wave. It’s become almost a mythical event, with its own nickname: “Returnuary.” But does it actually exist? We analyzed return behavior across our more than 8.2 million unique products and 20,000+ suppliers generating billions in global sales. And across three years of data, January consistently […]

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TL;DR

  • “Returnuary” is a myth: January is the second-lowest return month of the year, with a 7.5% average return rate across 8.2M products and 20,000+ suppliers on the Rithum platform
  • The real returns crisis is summer: June peaks at 9.35%, July at 8.78%
  • TikTok Shop’s U.S. return rate is 0.42%, compared to an 8.25% ecommerce average, meaning traditional channel shoppers are 18x more likely to return a product
  • Even in fashion, women’s jeans are 2.4x less likely to be returned via TikTok Shop than through non-social channels.Zalando reduced size-related returns by 10% after implementing more precise sizing tools

Every January, retail teams brace for the post-holiday return wave. It’s become almost a mythical event, with its own nickname: “Returnuary.”

But does it actually exist?

We analyzed return behavior across our more than 8.2 million unique products and 20,000+ suppliers generating billions in global sales. And across three years of data, January consistently ranks as the second-lowest return month of the year, with an average return rate of just 7.5%.

In today’s ecommerce driven gift season, it seems it’s more likely for items to be regifted or recycled to thrift stores than returned.

The actual return crisis is waiting in the sunny summer shadows: June has the year’s highest return rates, with peaks at 9.35%. July follows at 8.78%.

These are driven almost entirely by seasonal apparel. Shoppers buy swimsuits, dresses, and summer pieces sight-unseen, often in multiples, often with the full intention of returning most of them. Two-piece swimwear alone sees return rates as high as 64%.

This pattern has held consistently from 2022 through 2025. While there are nuances to it—retailers who don’t sell clothes likely aren’t hit as hard, for example—the big takeaway is that if your returns strategy is built around January, you’re focusing on the wrong month. The Returnuary monster is a tall tale, distracting from the spikey June lurking around the corner.

Social commerce is cracking returns wide open

In recent returns analysis, we also looked closely at how social commerce is changing the returns landscape.

TikTok Shop’s U.S. return rate is 0.42%.The overall ecommerce average sits at 8.25%. That means shoppers on traditional channels are 18x more likely to return a product than TikTok Shop buyers. The UK TikTok Shop return rate is 0.75%—still a fraction of conventional channel performance.

The instinct is to chalk this up to product type, with the assumption being that TikTok sells cheap, low-consideration items that aren’t worth the hassle of returning.

That’s the easy answer. But we don’t see that holding true. Even in fashion—the highest-return category in all of ecommerce, where 68% of consumers have made a return and traditional return rates run 50-70%—TikTok Shop buyers behave fundamentally differently. Women’s jeans, one of the most-returned items in fashion, are 2.4x less likely to be returned through TikTok Shop than through non-social commerce channels.

The mechanism is straightforward: TikTok gives consumers more confidence before checkout. In traditional ecommerce, a consumer is gambling on product photos and written descriptions. On TikTok Shop, they can see exactly how a product fits on a real body: the stretch, the sizing, the way it looks in motion. There are no surprises at unboxing. Which likely leads to far less bracketing, far fewer returns.

This has meaningful implications beyond TikTok specifically. It’s a green flag about what actually reduces returns: better pre-purchase information. Our last year’s consumer survey of 6,000+ global shoppers backs this up: 39% said better size and fit recommendations would significantly reduce their returns, and 31% say they’d be less likely to return a product if it included real-life customer photos.

Bracketing is a young person’s game. And it’s here to stay.

The summer apparel spike is largely a bracketing problem, and bracketing is a generational one. More than 50% of shoppers under 35 admit to regularly buying more items than they intend to keep, specifically planning to return the rest. Globally, 36% of all consumers do it, with Germany at 43% and the U.S. at 39% leading among surveyed markets.

The behavior is especially entrenched in European markets, where platform refund rates in countries like Austria and Poland can exceed 60% on fashion items. And it accelerates when conditions are favorable: free shipping, generous return windows, and frictionless return processes all make bracketing easier.

The irony is that the policies designed to drive conversion are often the ones amplifying the return problem. One European retail brand implemented a 100-day return window with free logistics. Fashion refund rates soared above 60%. The policy had turned the brand into a fitting room at scale, with all the handling, restocking, and margin erosion that entails.

Friction as a feature

Return friction has traditionally been treated as something to minimize at all costs. The new thinking—and the data—suggests a more nuanced approach.

1 in 5 shoppers says they’ve wanted to return something but didn’t, citing hassle, shipping costs, or distance to drop-off. This intentional friction, placed thoughtfully, can reduce casual returns without damaging the experience for buyers who genuinely need to return.

Return windows are similarly flexible. 51% of global consumers consider a 14-day or shorter window reasonable—and acceptance is even higher in heavy-return markets like Germany (57%) and France (64%). The assumption that consumers expect 30-day windows as a baseline isn’t supported by what consumers actually say they would accept.

Sustainability framing is emerging as another lever, particularly for younger segments. 60% of shoppers say they’d be open to consolidating return shipments to reduce environmental impact. More than half say they’d accept return limits or small fees if positioned as planet-positive. Among Gen Z, 85% say their return behavior is influenced by environmental concerns—the highest of any age group, and a clear signal about where consumer expectations are heading.

Your return policy is a fitting room

The thread running through all of this—the social commerce returns, the summer spike, the bracketing behavior—is that most returns are a pre-purchase problem masquerading as a post-purchase one. And that returns are more complex than they used to be.

But overall, shoppers who know exactly what they’re buying return far less.

The operational and policy fixes are just symptoms. The information gap is the disease.

Close the information gap first. High-quality images, real customer photos, detailed sizing guides, and fit tools are among the highest-ROI investments a retailer can make in return reduction. Zalando reduced size-related returns by 10% after implementing more precise sizing tools. The upfront investment pays for itself quickly.

Build better return policies. Tie free returns to loyalty tiers or order thresholds. Use SKU-level profitability data to determine where you can absorb free return costs and where you need to draw a line. Test variable fees on low-margin products or with repeat returners.

Watch your calendar, not just your categories. If apparel is in your assortment, your peak return exposure is June and July, not January. Other categories might offer similar clues. There is no more singular commerce calendar. Plan inventory, staffing, and return logistics accordingly.

Take social commerce seriously as a returns strategy. Video-driven, creator-mediated product discovery fundamentally changes buyer confidence. That principle is portable across marketplaces: video content, real customer demonstrations, and fit-focused creative reduce returns across channels.

Want to learn more about the nuances of returns and how to prepare? Talk to us. We can help give you specific guidance and guidelines for making returns a profit lever, instead of a loss.

Talk to our team

Data caveat: Rithum powers sales on social commerce across fashion, beauty, electronics, and other categories. Data sourced from the Rithum commerce platform, representing 8.2M unique products and 20K+ suppliers generating billions in global sales across ecommerce channels. Results reflect the composition of brands and retailers using the platform.

Gregor Kiddie is a manager, engineering, at Rithum.

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Returns season is here. And AI raises the stakes  https://www.rithum.com/blog/returns-season-is-here-and-ai-raises-the-stakes/ https://www.rithum.com/blog/returns-season-is-here-and-ai-raises-the-stakes/#respond Mon, 22 Dec 2025 12:00:00 +0000 https://www.rithum.com/?p=4815 Reading Time: 3 minutesDuring peak season, more than $1.5B in Cyber 5 sales moved through Rithum across channels, regions, and categories. That’s the first wave. The second arrives after the shipping notifications stop: returns season. Calendars reset, staffing normalizes, and inventory shifts back toward warehouses. For the shopper, the decision often happened earlier—at checkout, when they relied on whatever the product page made […]

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During peak season, more than $1.5B in Cyber 5 sales moved through Rithum across channels, regions, and categories. That’s the first wave. The second arrives after the shipping notifications stop: returns season. Calendars reset, staffing normalizes, and inventory shifts back toward warehouses. For the shopper, the decision often happened earlier—at checkout, when they relied on whatever the product page made clear and whatever it didn’t. 

And as shopping shifts from product pages to AI agents that summarize and recommend, returns get harder to manage. When an agent gives the highlights, shoppers may never scan the full product detail page (PDP), compare specs side by side, or catch details that prevent a mismatch. If the summary is wrong, the purchase can still go through, and the retailer still absorbs the return. The harder part is accountability and diagnosis. If shoppers never see the original product page, you lose the trail of what they were told and you can’t easily trace a return back to a missing detail, a bad summary, or a mismatched listing. 

How can you prepare for returns season? Use January to audit the promises you made during peak: which products were misunderstood, which channels dropped key details, and which fixes would have prevented repeat returns. 

What returns show 

In the U.S., online returns will top $363B, driven by a 24.5% return rate, according to Rithum’s 2025 global returns & profit impact report.  

Rithum’s consumer research shows the same drivers repeating: 61% cite poor fit and over a third say the item didn’t match the description or photos. 

Fit plays out differently by category. The “didn’t match” driver applies across categories. 

Electronics returns can trace back to compatibility or what was included. Home returns follow scale and finish. Parts and industrial returns surface around fitment, specifications, or installation assumptions. Across categories, the same thing happens: unclear listings leave customers to guess

In January, returns cluster. The same products come back through the same channels for the same missing details. In a Rithum returns fireside chat featuring Fabian Ortmann, Head of Returns, ZEOS; Kevin Brown, Director, Sales and Strategic Partnerships, Essendant Fulfillment Services; and Louis Camassa, Director of Product, Rithum, Ortmann argued that returns should be treated as a data source, not just a cost center, one of the clearest ways to pinpoint where expectations broke by product, channel, and market. 

That framing changes how brands and retailers should use January. For returns season, the work should shift from cleanup to finding out what went wrong. 

Where channel listings diverge 

Channel differences start costing money in January. During peak, products are listed, reformatted, and rewritten to fit each marketplace’s format. That’s expected. The risk is what gets lost. 

One channel may carry a compatibility field. Another may not. One listing spells out what’s included, while another assumes it’s obvious. One channel enforces short titles that drop (important) qualifiers where another keeps them in tact.  

Louis described this in the fireside chat: when listings leave room for interpretation, customers answer the question themselves. Sometimes they guess right. Sometimes they don’t and that can lead to a higher rate of returns. 

Why timing changes the math 

Returns also don’t happen on your schedule. In the same conversation, Essendant’s Kevin Brown described the gap between decision and action. Customers often decide quickly whether they’re keeping something. The return itself may take weeks to arrive. 

That delay narrows options. Inventory comes back later. Resale windows shrink. Seasonal goods lose flexibility. The cost isn’t only the refund. It’s what the business can no longer do with the product. 

January is also when slow fixes compound. If product information is inconsistent across channels and updates move slowly, the same mismatch keeps shipping while teams debate which version of the truth is “correct.” 

Rithum’s 2026 commerce readiness index points to why this is common. 91% of retailers and 78% of brands report poor data quality. Nearly 75% say inaccurate data leads to bad decisions. 

When product records aren’t consistent or trustworthy, January becomes more triage than correction. 

What policy can and can’t do 

Return policy shapes demand, but it doesn’t explain repeat returns. Policy still matters because shoppers read it before they buy, especially when they’re unsure. 

Rithum’s research shows return policies influence 41% of purchase decisions, 88% expect free returns, and 47% won’t click “buy” without them. 

Most preventable returns aren’t caused by policy. They’re caused by uncertainty that existed before policy mattered. 

What to check first 

Start with the returns that teach you something. Look at SKUs that return quickly after delivery. Fast returns tend to signal expectation breaks, not end-of-season cleanouts

Compare the same SKU across your top channels. Don’t assume it matches your internal record. Check titles, key attributes, images, what’s-included language, and variants. 

Track “didn’t match description/photos” returns by channel. Rithum found that 33% of shoppers cite mismatch with the description or photos as a reason for returns. 

Then move from insight to change quickly. If updates take weeks to reach every listing, the same mismatch keeps shipping

Where AI fits 

AI won’t fix messy product data. The eTail report’s preparedness finding reinforces the same issue returns already expose: only 2% of organizations describe themselves as fully prepared with structured product feeds and governance. 

Rithum’s 2026 commerce readiness index shows how widespread the gap still is: 91% of retailers and 78% of brands report poor data quality, and nearly 75% say inaccurate data leads to bad decisions.  

Whether the buyer is human, a marketplace algorithm, or an emerging shopping interface, the requirement doesn’t change. Product truth has to be consistent, category-appropriate, and fast to update. AI will move decisions faster, but it will also scale whatever your data gets wrong

What to do next 

The goal is to reduce the avoidable ones and recover value faster on the rest. 

The brands and retailers who do this well don’t wait for the next peak. They use January to tighten product truth, align it across channels, and push corrections while the signal is still fresh. Learn how Rithum can help.

Talk to our team

Jordan Christensen is Director, Client Experience, Retailers at Rithum. 

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The return season begins at checkout  https://www.rithum.com/blog/the-return-season-begins-at-checkout/ https://www.rithum.com/blog/the-return-season-begins-at-checkout/#respond Wed, 13 Aug 2025 12:00:00 +0000 https://www.rithum.com/?p=4009 Reading Time: 4 minutesRetailers are already bracing for the holiday rush, knowing that sales in November and December often turn into returns in January. Last year, U.S. shoppers sent back an estimated $112 billion worth of goods, much of it from peak season purchases, driven by bracketing, bulk ordering, and unmet expectations. Some companies are turning to technology […]

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Retailers are already bracing for the holiday rush, knowing that sales in November and December often turn into returns in January. Last year, U.S. shoppers sent back an estimated $112 billion worth of goods, much of it from peak season purchases, driven by bracketing, bulk ordering, and unmet expectations. Some companies are turning to technology to reduce the impact, such as using AI-powered tools to automatically assess product condition and route returns efficiently, or launching dedicated online marketplaces for returned goods that cannot go back into regular inventory, according to Vogue Business

The challenge spans fashion, electronics, home goods, and more. That reality was the focus of a recent Rithum webinar with Fabian Ortmann, Head of Returns, ZEOS, Kevin Brown, Director, Sales and Strategic Partnerships, Essendant Fulfillment Services, and Lou Camassa, Director of Product, Rithum. Through data, real-world examples, and practical advice, they shared what works to reduce return rates without losing customer trust. 

How to improve product pages to reduce retail returns 

Every product page is a chance to keep a sale from becoming a return. Even small changes in how information is presented can shift the outcome. Lou described a case where a retailer listed the same item on its own site and on a marketplace. The brand’s page told shoppers to size up, but that line was not including in the marketplace listing. Returns on the marketplace version increased, each one chipping away at margins. 

Fabian’s experience at Zalando underscored the same point, though his team looked at the fix from another angle. About a third of their returns were tied to size and fit. Adding the model’s height and size to photos gave customers a better sense of proportion, while short videos showing the product in motion helped set realistic expectations.  

“We see very significant improvements on the return rates when shoppers can picture how the product fits in real life.” – Fabian Ortmann, ZEOS 

Kevin brought the conversation beyond apparel. For electronics, furniture, and other categories, the most reliable sizing or performance advice often comes from other customers. He pointed to reviews that spell out precise measurements, compatibility notes, or assembly tips as powerful tools for setting expectations.  

“I’m a two XL tall, six-five, and I rely on reviews that say, ‘Here’s my size and weight. This is what fits me well,’” he said, noting that the same principle works whether you are buying a jacket or a desk. 

Speed matters: why acting fast on returns protects profit 

When a customer decides to send something back, speed becomes critical. Kevin described the “trunk time” he has seen, where returns sit at home or in a car for days or weeks before being shipped. This delay cuts into resale opportunities for any category, whether it is seasonal apparel or high-demand electronics. Prepaid labels, clear instructions, and easy drop-off options can make the difference between a resale and a write-off. 

Fabian’s team at Zalando tested shorter return windows, moving from one hundred days to thirty. Customers accepted the change because most were already returning within that timeframe, and the tighter window meant popular products got back into circulation faster. 

Lou tied faster returns to customer confidence. When shoppers know how the process works before buying and get updates along the way, they are more willing to shop again. Even telling customers when they can expect a refund helps close the loop in a positive way. 

Preventing return fraud without losing good customers 

Fraud takes many forms and it was one questions that webinar viewers wanted to learn how to answer. “For the better part of 20+ years in the industry, the unfortunate reality of it is, what used to surprise me, no longer surprises me,” Kevin said. He has seen laptops returned in greasy pizza boxes and cocktail dresses returned with champagne stains with tags still in place.  

Lou shared how a retailer reduced fraudulent returns by keeping an internal watchlist of repeat offenders and flagging their orders before shipping. Fabian’s approach favored protecting return flexibility for trusted customers while limiting it for those with a record of abuse. 

During the Q&A, an audience member asked how to stop a bad customer from continuing to buy and return. Kevin’s answer started with tracking returns at the customer level. Once a pattern is identified, the next step is having a strong and well-communicated policy. He advised against detailing punishments in that policy, as those details can circulate quickly on social media and damage the brand. 

Instead, he suggested sending a professional message to customers whose behavior raises concern, explaining the situation and giving them a chance to change.  

“Simply cutting them off is bad news,” he said. “The cost of customer acquisition is too high and the risk of creating a bad public image is terribly expensive.” 

In some cases, particularly for low-cost products, Kevin noted it might be more efficient to let the customer keep the item and still process the refund, as long as patterns are monitored. 

How payment methods and delivery speed impact returns 

Not every return happens because the product disappointed. Fabian highlighted how payment methods can influence behavior. In Northern and Western Europe, where paying by invoice after delivery is common, return rates run higher than in Southern Europe, where prepaid cards are more typical. 

Late deliveries also have an impact, especially for purchases linked to specific events. Kevin added that orders shipped across borders without prepaid duties and taxes often get refused at the door, leading to expensive reverse shipments. These patterns play out in fashion, consumer electronics, home goods, and other categories where shipping costs can be substantial. 

Turning return data into a competitive advantage 

One takeaway cut through every example: returns are more than an expense to control. They are direct feedback from customers about where the shopping experience falls short. Fabian urged brands to use return data to strengthen product descriptions, improve size guides, and even adjust sourcing. Kevin stressed the need for company-wide accountability, with someone responsible for leading return-reduction efforts. 

The most effective retailers treat each return as information that can prevent the next one, turning potential losses into better customer experiences and stronger repeat sales. 

Want to watch the full conversation? Click here

Some quotes have been lightly edited for context and clarity. 

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Fix What’s Causing Preventable Returns Before the Order Ships https://www.rithum.com/blog/fix-whats-causing-preventable-refunds-before-the-order-ships/ https://www.rithum.com/blog/fix-whats-causing-preventable-refunds-before-the-order-ships/#respond Tue, 15 Jul 2025 13:00:36 +0000 https://new.rithum.com/blog/uncategorized/fix-whats-causing-preventable-refunds-before-the-order-ships/ Reading Time: 3 minutesDuring Amazon’s Q1 2025 earnings call, they disclosed a staggering $1 billion hit tied to unresolved customer returns and tariff-related inventory adjustments. This expense had a noticeable impact on Amazon’s operating margins, serving as a stark reminder that no retailer is invulnerable to the financial impacts of inefficient returns process.   Customers don’t always return products […]

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During Amazon’s Q1 2025 earnings call, they disclosed a staggering $1 billion hit tied to unresolved customer returns and tariff-related inventory adjustments. This expense had a noticeable impact on Amazon’s operating margins, serving as a stark reminder that no retailer is invulnerable to the financial impacts of inefficient returns process.  

Customers don’t always return products because they received the wrong item. Sometimes, they return them because the item was “off.” Perhaps it looked different online than it did in person, or it arrived later than promised. Each time that happens, it costs retailers and brands roughly $30 per return, according to Rithum’s 2025 Global Returns & Profit Impact Report. That adds up quickly. But it can be avoided with the right guardrails in place. 

Guardrail: Set clear delivery expectations using high-quality shipping data 

When a shopper places an order, they expect it within the timeframe promised at checkout. 54% of consumers cited shipping time as a reason why they decided to buy from an online retailer or brand. Unreliable shipping can lead to disappointment and a negative customer experience—and that consumer will go elsewhere next time.  

Delivery Promise helps retailers set accurate delivery dates using AI and supplier, warehouse, and carrier data from Rithum’s network of over 40,000 retailers, brands, and suppliers. Shipping Optimization supports that promise by identifying the most cost-effective and timely ways to fulfill an order without compromising delivery speed. This combination gives customers the reliability they expect. And in the process, our retailers in average have saved up to 10 percent annually on shipping costs. 

41% of shoppers say return policies influence where they shop. Nearly half have stopped buying from retailers over a poor returns experience. Better accuracy up front reduces that risk and builds confidence. 

Guardrail: Stay ahead of delivery issues by monitoring every order from click to doorstep 

Late deliveries often begin with fulfillment or shipping issues. A package might sit too long at a warehouse or move slowly through a carrier network. These delays are sometimes unavoidable. But what can cause the biggest problems for both retailers and consumers alike is when those friction points are not spotted in time. 

End-to-End (E2E) Monitoring enables retailers and brands to view each stage of the order process. It helps identify slowdowns before they reach the customer and sends alerts when shipments are at risk of arriving late. Teams can track supplier and carrier performance, uncover trends, and take action earlier.  

One national retailer improved its on-time delivery rate from 95% to 99% by using these insights to respond faster. With 60% of global shoppers returning at least one order a year, and more than a third buying multiple items with the intent to return, known as bracketing, staying ahead of fulfillment issues helps protect both the customer experience and retailers and brands’ margins.  

Guardrail: Improve product listings with AI-powered categorization and content checks 

A third of returns happen because the product didn’t match the listing. AI Magic Mapper helps retailers and brands avoid misleading photos, unclear sizing, or category mismatches. By automating product categorization and listing setup, retailers and brands free up hours of manual labor to just minutes. You can view a side-by-side view of product images, titles, and descriptions, and can quickly refine listings before they go live. 

In early testing, AI Magic Mapper achieved 99% accuracy for a fashion brand with over 14,000 products. This feature is especially useful for onboarding to new marketplaces or managing large, frequently changing catalogs.  

Shoppers will always want flexibility. But they also want the product to arrive when expected—and to be what they expected. Fix that upstream, and the return never happens. Learn how with Rithum. 

 

Madison Jarvis is Senior Product Marketer at Rithum. 

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Tariffs Are Rising. So Are Returns. Here’s How to Stay Ahead https://www.rithum.com/blog/rising-tariffs-and-returns/ https://www.rithum.com/blog/rising-tariffs-and-returns/#respond Thu, 29 May 2025 10:00:58 +0000 https://new.rithum.com/blog/uncategorized/rising-tariffs-and-returns/ Reading Time: 3 minutesImport costs just got more complicated. On May 2, the U.S. government closed a trade rule that had allowed retailers to bring in goods from China and Hong Kong without paying tariffs. That rule, called the de minimis exemption, covered shipments valued under $800. Many of those shipments were faced with new tariffs as high […]

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Import costs just got more complicated. On May 2, the U.S. government closed a trade rule that had allowed retailers to bring in goods from China and Hong Kong without paying tariffs. That rule, called the de minimis exemption, covered shipments valued under $800. Many of those shipments were faced with new tariffs as high as 145%Even with a temporary 90-day rate reduction to 10-30% (depending on shipping carrier), tariffs bring long-term change. Some retaliatory tariffs from China have also been suspended. But this reprieve is temporary, and the tariff structure remains uncertain. Sellers are facing higher costs and longer delivery times, especially if they rely on cross-border fulfillment. Retailers that rely on low-cost global supply chains, especially in categories like apparel, electronics, and home goods, are facing higher product costs, slower delivery times, and more complex logistics. 

How tariffs impact returns 

Returns already cost retailers an average of $30 each. Factor in delays, added import fees, and common bracketing behavior, and those costs climb even higher. Rithum’s 2025 Global Returns & Profit Impact Report highlights two consistent triggers for returns: 

  • 33% of shoppers return items that don’t match the description or photos 
  • 54% say delivery speed affects where they choose to buy 

In other words, items are not returned because the merchandise is flawed. But rather, because the item descriptions or delivery timing are not clear. Without the de minimis exemption, inaccurate descriptions and murky delivery definitions will cost retailers and brands more than ever before. 

Product content is part of the solution 

Clear descriptions, accurate sizing, and high-quality images boost shopper confidence, reducing returns. 

Quality control across thousands of SKUs selling through multiple sales channels can be a time and resource-intensive process. One way to lessen the burden while ensuring quality and consistency is by automating these tasks with technology like Rithum’s AI Magic Mapper. This tool helps brands by classifying and formatting listings when uploaded. Fewer miscategorized products and fewer rejections lead to less shopper disappointment. 

Shipping visibility protects your bottom line 

Shoppers expect accurate delivery windows. Otherwise, they’re likely to lose trust in that retailer or brand, leading to order cancellations, negative reviews, and unnecessary returns.  

Rithum’s Delivery Promise tool helps set realistic shipping expectations using supplier and carrier data. The data provides a reliable estimation of when your customers can expect their product to arrive. And Shipping Optimization allows retailers to choose the most reliable and cost-effective fulfillment route.  

A return costs more than a refund 

Yes—tariffs have raised costs, and a return today could cost more than the margin on the original sale. If you ship internationally, you now face new documentation requirements, too. Small delays or product mismatches have more costly consequences than previously. Retailers and brands can get ahead of these costs by having better data, better automation, and smarter fulfillment choices from the beginning of the consumer journey. 

Accuracy is always important, but investing in these capabilities is more pressing than ever. The combination of higher tariffs and rising shopper expectations is eating into margins. The better controls you have in place before checkout, the less likely your customers are to return their purchases. 

For brands, these shifts aren’t just operational; they’re essential. Margins are tightening, shopper expectations are rising, and the cost of a mistake whether it’s inaccurate content, missed delivery promises, or poor fulfillment choices has never been higher. The brands that win will be those who invest now in automation, content precision, and smarter logistics across every marketplace they serve. Rithum helps brands stay ahead by turning complexity into clarity—so you can protect margins, reduce returns, and build lasting trust with customers, no matter where they shop. 

Sean Meeks is President, Brands at Rithum.

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5 Ways Brands and Retailers Could Reduce Returns https://www.rithum.com/blog/5-ways-brands-and-retailers-could-reduce-returns/ https://www.rithum.com/blog/5-ways-brands-and-retailers-could-reduce-returns/#respond Mon, 11 Mar 2024 15:01:41 +0000 https://new.rithum.com/blog/uncategorized/5-ways-brands-and-retailers-could-reduce-returns/ Reading Time: 2 minutesIn e-commerce, minimizing returns is crucial for brands and retailers to maintain healthy profit margins, operational efficiency, and customer satisfaction. By learning the reasons why customers return products, brands and retailers can take steps to reduce the amount of returns they receive. ZEOS and Rithum have years of data-driven insights and recently shared key takeaways […]

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Reading Time: 2 minutesIn e-commerce, minimizing returns is crucial for brands and retailers to maintain healthy profit margins, operational efficiency, and customer satisfaction. By learning the reasons why customers return products, brands and retailers can take steps to reduce the amount of returns they receive. ZEOS and Rithum have years of data-driven insights and recently shared key takeaways in this webinar from the world of returns in the fashion and lifestyle sector.

While avoiding returns is the goal, returns are part of online retail. When necessary, an easy and straightforward process is key to giving consumers a positive experience. Brands want to run cost-effective reverse logistics, get items back online for resale, build brand loyalty with a pleasant customer experience, and focus on sustainability throughout the returns process.

To do this, brands can leverage ZEOS and Rithum’s data to strategize a seamless returns process. Ultimately, brands aim to reduce return rates altogether. There are steps to help reduce return rates from happening in the first place.

How do you lower product return rates?

ZEOS and Rithum highlight how brands could reduce returns by providing clear product details and using technology to ensure the right fit. For apparel, a poor fit accounts for one-third of returns, according to Zalando.

This webinar highlights five ways brands can avoid returns. Here are 5 strategies that could reduce returns on European marketplaces:

1. Provide accurate and detailed product information.

2. Use localized content so it resonates in that country or locale.

3. Ensure consumers have accurate sizing charts. For example, for items where Zalando provides size advice, size-related returns have decreased by 10%.

4. Use data to optimize product assortment and understand what SKUs perform best on different channels.

5. Use the features available on each marketplace (3D body scanning, virtual try-on tools) to help consumers find the right fit.

How are online retailers reducing returns in e-commerce?

Today’s brands are selling to consumers in multiple countries with different preferences – cross-border e-commerce. Online footwear and accessories brand Kazar uses Rithum to integrate six sales channels and uses ZEOS logistics for Zalando and About You across multiple European markets.

The brand has used Rithum to develop its marketplace business for the last three years. “Rithum’s wide range of available marketplaces allows us to scale our business efficiently through future integrations,” said Radomir Kiepas, B2B Development Partner at Kazar.

To understand and prevent returns, Kazar uses tools such as ZEOS’s zDirect analytics reporting and reports from Rithum. Rithum analyzes key metrics such as: country, category, SKU, average order value (AOV), and reviews return reasons when available. That data is then turned into actionable insights. Brands can amend product selection per channel and country. Rithum’s data includes historical data that can help you forecast return rates on new products.

“Rithum has countless reports. We use reporting on sales, returns, and distribution centers most frequently,” Kiepas said.

Kazar also considers customer comments alongside sales data to identify possible improvements on return rates or reduce margins, Kiepas said.

The brand uses the reporting to optimize its offerings and expand its range of bestselling products, according to Kiepas. “We focus on the products that bring us the highest ROI,” he said.

How to sell on ZEOS using Rithum

ZEOS and Rithum offer marketplace integration and end-to-end logistics to fashion & lifestyle brands across multiple European sales channels. This includes Zalando, About You, Otto, La Redoute, and Bol. Brand-owned e-commerce, ASOS and other channels will soon be supported by Rithum and ZEOS.

Learn more about how to use data to reduce returns.

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