Returns rates have hit 35%. It’s time to tighten up on returns management

 Last update: 01.08.2025

In this blog:

1. Why is returns management challenging for retailers?
2. How can retailers make returns pay?
3. The best ecommerce delivery management software powers successful returns strategies
4. Further reading: Return rates FAQs

Why is returns management challenging for retailers?

Returns management is a key piece of the ecommerce customer experience. Returns provide retailers with a golden opportunity to differentiate and improve customer loyalty. But they are also a profit killer.

The DeliveryX Returns 2024 report, co-sponsored by nShift, has found that over one third (35%) of consumers now send products back. In the UK alone, the value of returns reached £4.2bn in 2023.

The report also found that 54% of consumers see ‘easy’ returns as very important and over three quarters (76%) of consumers expect their ecommerce returns to be free of charge.

How can retailers make returns pay?

Retailers can follow the following advice to revamp their return strategies.

1. Make returns easy – operating a simple digital returns management process gives shoppers confidence in the brand. It also makes it easier for the retailer to track patterns and work out why items are being sent back.
2. Convert returns to exchanges – a consumer-friendly returns interface makes it easier for the customer to exchange the item they are sending back for something else from the brand or retailer. With the right returns software and post purchase experience, ecom companies can automate the process of offering an exchange. nShift Returns customers typically convert 30% of returns to exchanges, helping retailers retain revenue.

3. Maximize returns data – when reverse logistics processes operate digitally, it is easier and quicker to get returned items back on shelves, so they have a second chance to be sold.
4. Respond with remarketing – emails about returns have significantly higher engagement rates than other retail communications. By weaving marketing messages into these emails, ecom companies can create additional sales opportunities.
5. Drive customers in-store – a digital returns process makes it easier to give customers the opportunity to take their items back into store. These so-called BORIS (bought online, returned in store) returns create further opportunities for exchange, cross-sell, and loyalty building.

The best ecommerce delivery management software powers successful returns strategies

The right returns strategies depend on a seamless, intuitive, post purchase experience. The experience should be seamless, from selecting delivery options at checkout, to tracking deliveries to the doorstep or collection point, and requesting a return if necessary. It should be totally digital, with the retailer, rather than carriers, acting as the focal point.

nShift’s delivery & experience management software (DMXM) enables retailers to build brand loyalty, reduce costs, and increase revenues, with deliveries. With DMXM, shipping and deliveries become customer experiences which surprise and delight shoppers, while reducing costs and unlocking efficiencies across warehouses and delivery teams.

Download your copy of the DeliveryX Returns Report 2024 here!