ANP
NOS Nieuws•vandaag, 17:07
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Jeroen Schutijser
economics reporter
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Jeroen Schutijser
economics reporter
Black Friday, Sinterklaas, Christmas: the parcel season is just around the corner. For web shops this means lucrative trade and a lot of turnover. But also: many returns. Customers in particular regularly return clothing, shoes and personal care items. This leads to a lot of (energy) waste and extra costs.
Despite efforts by web shops to reduce the number of returns, this is only happening to a limited extent. Figures from the Netherlands Authority for Consumers and Markets (ACM) show that consumers returned an average of 12.3 percent of packages in the past two years. In 2021 that was still 11.4 percent. And while a third of online stores now charge money for those returns.
The trade organization Thuiswinkel.org knows the ACM figures. “These figures are from recent years. My hope is that this year’s figures will be more positive,” says general manager Marlene ten Ham. “We think it is a good development that web shops are busy creating awareness among consumers. That returns have a lot of impact and cause a lot of extra costs.”
NOS
Editor-in-chief Daniel Verheij of the Twinkle100, the list of the hundred largest web shops, also sees that some companies are working on reducing the number of returning parcels. “With AI and virtual fitting rooms, such as Zalando. But the average consumer does not yet use them. So in that sense, the number of returns will not decrease very quickly.”
He does see that more and more companies are charging money for returning items. The latest Twinkle100 shows that 30 percent ask for a fee. The best-known example is Wehkamp. “That company charges 50 cents. A symbolic amount, yes. But it helps for people who normally order four different colors and four different sizes. They will do so less now.”
Sensitive
According to Wehkamp himself, the number of returns fell by 14 percent last year. “With the symbolic costs, consumers become more aware of the social impact of the flow of goods,” says a spokesperson. “We have seen the biggest progress in the dresses category, followed by swimwear and shoes.”
By the way, web shops are not eager to share figures on this subject. Talking about the share of returns is sensitive for many providers.
If customers have a choice – one I can return for free and the other not – for many people the choice is quickly made.
Daniel Verheij, editor-in-chief Twinkle 100
There are also hundreds of online stores that do not charge money for returns. The fear of loss of turnover plays a role in this, Verheij thinks. “If customers have the choice – with one I can return it for free and with the other I have to pay – then for many people the choice is quickly made.”
Online fashion store Sans Online has been charging money for returned packages for a few years: 3.95 euros. And that works. “We now get about 37 percent back, but previously it was 48 percent,” says owner Tom Sans. “37 percent is still a lot, but we think it is a good development.”
Women more often than men
The webshop owner sees that women return items more often than men: 45 versus 25 percent. “Women want it to be perfect. Men are more likely to think: ‘It’s fine,'” says Sans about that difference.
He is disappointed that there are still large online shops that keep shouting from the rooftops that returns are free. “In fact, that is no longer possible in these times of sustainability. I think that is a nuisance, companies that keep saying that in their marketing.”
When asked, market leader Bol.com says it “only gets a few percent back”. Bol.com does not charge a return fee. MediaMarkt also does not charge any costs, but says it has seen a decrease in the number of returns.
Zalando says free returns are part of the service. The company works with, among other things, virtual fitting rooms. As a result, the number of returns fell by 40 percent, the company says. At H&M, returning a package costs 1.99 euros. Returning a package to the store is free.
The Great Return: A Comedy of Parcel Errors
Ah, the festive season! A time for shopping, joy, and let’s be honest, an absurd number of returns. According to our favorite economics reporter Jeroen Schutijser, it seems that Black Friday, Sinterklaas, and Christmas have morphed into a parade of packages just begging to be returned. I mean, if only my social life had such a flexible return policy!
The Impressive Return Rates—But At What Cost?
Apparently, Dutch customers have found creative ways to make the most of their online shopping habits! Returning an average of 12.3% of packages in the last two years—up from 11.4% in 2021—is not just a statistic; it’s a sport! It’s the only activity where people can legitimately get away with trying on six pairs of shoes and sending back five, all while still wearing their pajamas. Talk about living the dream!
Marlene ten Ham from Thuiswinkel.org is out here hoping for better results this year. You’ve got to admire her optimism. “We think web shops are creating awareness among consumers!” she affirms. Awareness, you say? How about a new slogan: “Buy, try, deny!” Because if there’s one lesson the online shopping world has taught us, it’s that returning something is easier than explaining to your partner why you ordered four more pairs of shoes—again!
AI and Awareness? Sounds Fancy!
The introduction of AI and virtual fitting rooms sounds like something from a sci-fi movie, but apparently, they’ve hit the online fashion world like a well-timed punchline. Daniel Verheij, editor-in-chief of Twinkle100, pointed out that while some companies are touting these new techy wonders, most consumers are still opting for the classic method of wasting time and resources to send things back. Let’s be real, how many of us have the time to stand in front of a mirror with a fitting room app? My last attempt involved more crying than styling.
But look on the bright side! About 30% of online stores are now charging for returns as a creative incentive to discourage impulse online shopping. Wehkamp, for instance, charges 50 cents. That’s right, folks! Just half a euro to change the way you shop! I can already hear the collective gasp from bargain hunters. The only thing more shocking would be if they charged people for ordering coffee online. Oh wait… that’s already a thing!
– Daniel Verheij, Editor-in-Chief Twinkle 100
Men vs. Women: The Return Wars!
And in the ongoing battle of the sexes over returns, women seem to dominate! According to Sans Online, women return items more often than men—45% versus just 25%. Classic case of perfectionism: “Does this dress make me look great?” The answer is always “Yes,” followed swiftly by returning every item that doesn’t make you feel like a runway model.
Meanwhile, the ever-charming Tom Sans of Sans Online observes that a small fee has had a remarkably positive effect on their return numbers, dropping from 48% to 37%. It’s almost as if by charging people, they’ve encouraged them to be a bit more selective! Can we extend this logic to other aspects of life? “Oh, you want a refund for that dodgy haircut? That’ll be 5 euros, please.”
The Availability of Free Returns: A Double-Edged Sword?
Some big players like Bol.com and MediaMarkt are taking the high road—no return fees here! But with great power comes great responsibility, and one can’t help but wonder if their “free returns” policy is simply a way to keep the impulse buying flowing. Because let’s face it, free returns must be appealing when the only repercussion is a colossal pile of clothes next to your bed.
Zalando apparently loves their free returns, proclaiming it’s part of their service. Their magical virtual fitting rooms have led to a 40% drop in returns! Wish I could say the same for my last Tinder date, which had a 100% return rate, but hey, what can you do?
Conclusion: The Packaging Paradox
To wrap it up (pun intended), as we dive into this festive season filled with online shopping and returns, let’s remember that while we may be tempted to indulge, every return has an environmental price tag. Perhaps we should treat our online carts like real life—it’s okay to try things on, but maybe scrolling through endless options at 2 AM needs a slight recalibration.
So go ahead, shop till you drop, but remember to take it easy on the return policies! After all, the only thing more awkward than trying on a pair of shoes is realizing they don’t fit… and then trying to return them without bumping into your ex!
ANP
NOS Nieuws•vandaag, 17:07
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Jeroen Schutijser
economics reporter
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Jeroen Schutijser
economics reporter
As the festive parcel season approaches with Black Friday, Sinterklaas, and Christmas looming, online retailers anticipate a robust surge in sales and turnover. However, this busy season also brings challenges, particularly with returns of merchandise such as clothing, shoes, and personal care items from customers, which can contribute significantly to energy waste and added costs for businesses.
Despite online shops implementing various strategies to mitigate return rates, progress has been gradual. Recent statistics from the Netherlands Authority for Consumers and Markets (ACM) reveal that, on average, consumers returned 12.3 percent of all packages over the past two years, marking an increase from 11.4 percent in 2021. Interestingly, around one-third of online retailers have now begun to impose fees on return shipping.
Echoing these statistics, Thuiswinkel.org acknowledges the ACM’s data while expressing hope for an improvement in this year’s returns. Marlene ten Ham, the organization’s general manager, stated, “We think it is a good development that web shops are busy creating awareness among consumers. That returns have a lot of impact and cause a lot of extra costs.” Such awareness is crucial as ecommerce continues to grow.
Daniel Verheij, editor-in-chief of Twinkle100, which ranks the hundred largest web shops, noted that some companies are actively developing technologies to decrease return rates. He mentioned initiatives like artificial intelligence and virtual fitting rooms—examples being employed by companies such as Zalando. However, he pointed out that these innovations have yet to be widely adopted by the average consumer, slowing the decline in return numbers.
He does observe a growing trend of businesses implementing return fees, with the latest data from the Twinkle100 indicating that approximately 30 percent of online retailers charge a fee for returns. Wehkamp stands out as a notable example, instituting a modest charge of 50 cents which, while symbolic, helps deter customers from ordering multiple sizes or colors to make comparisons.
Last year, Wehkamp reported a 14 percent drop in return rates. A spokesperson acknowledged, “With the symbolic costs, consumers become more aware of the social impact of the flow of goods. We have seen the biggest progress in the dresses category, followed by swimwear and shoes.”
However, the reluctance of many web shops to disclose figures regarding return rates is palpable, as discussions around this topic often prove sensitive. Verheij remarked, “If customers have a choice – one I can return for free and the other not – for many people the choice is quickly made.”
Numerous online stores continue to offer free returns, primarily due to concerns about potential loss of sales. Verheij added, “If customers have the choice – with one I can return it for free and with the other I have to pay – then for many people the choice is quickly made.”
Sans Online, a fashion retailer, has implemented a return fee of 3.95 euros, resulting in a notable decrease in returns from 48 percent to around 37 percent. Owner Tom Sans remarked, “37 percent is still a lot, but we think it is a good development.”
Observations from Sans Online indicate that women are more likely to return items compared to men, with return rates documented at 45 percent for women and 25 percent for men. “Women want it to be perfect. Men are more likely to think: ‘It’s fine,'” he explained, providing insight into shopping behavior between genders.
Sans expressed frustration over larger online retailers continuing to promote free returns, stating, “In fact, that is no longer possible in these times of sustainability. I think that is a nuisance, companies that keep saying that in their marketing.” This highlights a growing concern in the industry about sustainability and responsible consumer behavior.
When inquired, market leader Bol.com mentioned that it only experiences a few percent of returns, despite not charging customers for return shipping. MediaMarkt also refrains from implementing return fees and cites a decrease in returns. Meanwhile, Zalando maintains that the cost of free returns is part of their service and claims that the introduction of virtual fitting rooms has reduced returns by an impressive 40 percent. H&M adopts a hybrid approach, charging 1.99 euros for returns via mail while allowing free returns to physical stores.
How does the perception of free returns influence impulse buying behaviour during the holiday shopping season?
Feel that they can return items without consequence, they may be more inclined to make impulsive purchases, leading to higher return rates.” This highlights the delicate balance retailers must strike between providing a user-friendly shopping experience and managing the costs associated with excessive returns.
As we gear up for the holiday shopping rush, it’s clear that both consumers and businesses must navigate the evolving landscape of online shopping and returns. With the potential for heightened impulse buying during festive sales events like Black Friday and Christmas, understanding this balance becomes even more crucial.
The environmental impact of returns, along with the increased costs for retailers, makes it imperative for both parties to foster a culture of thoughtful purchasing. So, consumers, let’s embrace our inner fashionistas but keep the urge to collect half a dozen pairs of shoes in check. And retailers, while free returns may seem like a sweet deal, it might be time to rethink strategies to encourage responsible shopping—all while ensuring we maintain our festive cheer! After all, in a world where everything can be returned, maybe it’s time we consider what truly deserves a comeback.
