Retailers are curbing serial returners – report

A reset in fashion retailers’ returns rules has seen a reduction in related traffic drop by a quarter. The welcome news to combat the “£6.6 billion thorn in the side” by delivery specialist ZigZag and Retail Economics means the numbers from serial returners has dropped from 11% to 8%, saving retailers a forecast £1.7 billion in 2025 compared to the previous year.

It follows the introduction of ‘smarter returns policies to reduce abuse’ by 76% of the UK’s 100 largest clothing and footwear retailers. The report noted that with most retailers charging a returns fee of under £3 – typically £2.50-£2.95 – is “changing behaviour and resetting expectations” and a sign that “retailers are gaining control over the most opportunistic returners”. 

However, while serial returners are sending back fewer items, the decline has been offset by a rise in occasional and slow returners “suggesting some displacement between groups”, ZigZag said. 

“Returns fees and added friction have curbed the most problematic behaviours, but not all serial returners have become efficient ones. With limited incentives to return goods quickly, some shoppers are now keeping unwanted items or taking longer to send them back”, it explained.

It also said that “returns culture” is being rebalanced as retailers “are now focused on striking a better balance between protecting margins and preserving customer satisfaction”.

While price sensitivity remains, the report said Gen Z and Millennial shoppers will pay up to £2.10 in returns fees before reconsidering a purchase, compared with £1.50 for older shoppers. This provided breathing room for brands to refine their models. 

ZigZag CEO Al Gerrie said: “Returns policies define customer behaviour at the checkout. Curbing serial returners was an absolute priority after a disproportionate £6.6bn hit last year. What we’re now seeing is the industry drawing a clear line between loyal customers and those gaming the system. When done right, returns policies are a clear competitive advantage, a balancing act between cost control and customer satisfaction. There is no one size fits all approach. Retailers must continuously hone their returns models, as basket abandonment is common and consumer expectations are always shifting.”

Richard Lim, CEO at Retail Economics, added: “Retailers have made real progress in curbing the most costly returns behaviours, but the next step is about encouragement as much as deterrence. Clearer communication, faster refunds and loyalty-linked incentives can nudge shoppers towards returning items quickly and responsibly. As returns policies mature, the focus will shift from simply reducing costs to actively shaping positive, efficient post-purchase behaviour.”