Industry experts are raising concerns that excessive ordering is seriously impacting retailer profitability as major sellers tighten their policies. A recent UK report reveals that online shoppers who frequently return items are projected to send back nearly £1,400 worth of products each this year, totaling an astonishing £6.6 billion.
According to the report by return logistics company ZigZag and research firm Retail Economics, “serial returners”—those who routinely return products—represent 11% of shoppers but are expected to contribute to nearly 25% of the £27 billion in returns anticipated this year. This group, along with “slow returners” who often experience buyer’s remorse, accounts for almost half of all returns.
The surge in online sales in recent years has turned into a significant challenge for retailers, complicating their inventory management, especially when returns are delayed. Currently, more than 20% of non-food purchases made online in the UK are returned.
Notably, generational differences in shopping behavior are emerging, with younger consumers more inclined to over-order with the intention of returning many items. Over two-thirds (69%) of Gen Z shoppers admitted to this practice, in stark contrast to only about one-sixth (16%) of those over 60.
Al Gerrie, CEO of ZigZag, emphasized that the rise of serial returners is likely to alarm retailers. “Led by younger shoppers, this segment is taking advantage of retailers, forcing them to implement more controversial measures,” he stated. “Retailers will continue to combat soaring costs and return fraud by introducing paid return policies and stricter measures against abusive return behaviors.”
In fact, research shows that over 40% of shoppers openly admitted to the practice of “bracketing,” where they order multiple sizes or colors with plans to return some. Additionally, around 16% confessed to “wardrobing”—buying clothing or footwear for short-term use at events—and a similar number admitted to “staging,” purchasing items to showcase on social media.
Retailers are actively exploring strategies to mitigate the costs associated with consumer returns without alienating their customer base. Richard Lim, CEO of Retail Economics, remarked, “Serial returners are quietly eroding retail profitability in ways many retailers are just beginning to grasp. The rise of opportunistic shopping, where consumers intentionally buy large quantities with plans to return most of them, is putting unprecedented pressure on retailers.”
In response to this trend, online fashion retailer Asos recently notified some frequent returners of a new £3.95 charge for returns unless they keep at least £40 worth of their order. Similarly, H&M, Boohoo, New Look, and Uniqlo have instituted charges for online returns unless customers bring items back to physical stores. Other major retailers are considering the introduction of delivery fees in light of these challenges.