Returns cost $50 billion a year, and this amount is increasing year on year as Internet trade grows.
According to the American Reverse Logistics Association, more than $550 billion worth of goods is returned each year. The cost of these operations is $50 billion and this amount will rise due to the increase in Internet sales, sdcexec.com reports. For comparison, Ukraine’s budget for 2020 is about 50 billion dollars.
A free return is what online shoppers expect. According to a consumer survey conducted by the UPS courier company, the free return service is the most important positive indicator for customers to repurchase from a reseller.
UPS estimates that this year the number of returns will increase by 26 percent compared to last year. This growth will also be influenced by the clearly growing e-commerce in social media, where purchases are made more often on impulse.
As we read on sdcexec.com, the market situation is distorted by Amazon’s free returns policy, which covers a wider range of products, including white goods.
Industry experts expect centralised warehouses for return logistics to be established in the coming years.