DHL eCommerce research: 79% of surveyed customers abandon purchases due to poor return options
With the end of the main shopping season in the Christmas business, the global logistics industry has heralded the “returns season”. Returns logistics play an increasingly crucial role in the e-commerce supply chain: In recent years, returns have evolved from a pure cost to a strategic differentiator on the front line of consumers.
Based on the results of the latest DHL eCommerce Trends Reports and current operational data, it is clear that the winners in global trade are no longer those who try to eliminate returns, but those who dominate the value cycle.
This aspect is an element of DHL Group’s “Strategy 2030”, which relies on the Group’s global network and diverse capabilities to provide comprehensive, efficient and sustainable e-commerce logistics solutions in a growing digital market. Since returns are an integral part of this and have become an unavoidable customer requirement, the focus of the industry has shifted to who can handle them most efficiently and sustainably.
Returns in fashion
When the inevitable becomes a business model In the fashion industry, returns are no longer a by-product, but the business model in certain sectors: consumers’ habit of ordering multiple sizes or colors (known as “bracketing”) drives return rates to over 50% on average. In highly sensitive categories such as dresses, according to IHL Group data, rates can reach almost 90%.
At such high rates, a brand’s earnings and sustainability profile are significantly influenced by the logistics partner’s infrastructure. DHL Group is addressing this challenge with a strong commitment to more sustainable logistics, using 42,000 electric vehicles worldwide and a dense network of around 170,000 service points in Europe alone. Through these “out-of-home” drop-off points, DHL shortens the physical distance of a return and maximizes customer service. This is supported by DHL’s “Label-less” solution, which allows customers to return items with just a QR code, reducing paper waste and meeting the expectations of digital-savvy shoppers like Gen Z.
Lost chances of winning: “Invisible Value Pool”
This volume also creates what experts call the “Invisible Value Pool” – an estimated potential of $62.5 billion in annual global revenue that remains untapped. This figure represents lost profit opportunities when returns are treated as waste instead of assets; through systematic inspection, refurbishment and resale, companies can recover significant value. In the U.S. alone, where the National Retail Federation (NRF) estimates retail returns at $890 billion by 2024, the scale of returns is forcing many retailers to reassess the resilience of their supply chains.
Consistency of the “Click to Quit” factor
The results of the latest DHL eCommerce Trends Report: Shopper Edit prove that a smooth returns process is an important driver of the purchase decision. According to the survey, 79% of online shoppers abandon a purchase if the conditions for returns do not meet their expectations. While companies often cite “transport damage” as the reason, online customers consistently cite incorrect sizes (54%) and poor product quality (55%) as the real drivers of the wave of returns. Clothing is by far the most frequently returned (20-30%),
Pablo Ciano, CEO of DHL eCommerce: “Returns are unavoidable nowadays and part of the expectations of customers. Data shows that consumers want a ‘hybrid’ experience – buying online but returning via a dense network of Packstations or local service points. At DHL Group, we meet this demand with nearly 170,000 access points in Europe and digital solutions such as labelless returns, which are already preferred by 32% of Gen Z. This not only increases comfort, but also supports our goal of shortening transport distances.”
ReTurn Network: Building the Circular Supply Chain
In order to treat returns as more than just a cost factor, the logistics company has scaled its specialized DHL ReTurn Network. Following the acquisition of Inmar Supply Chain Solutions, this network now operates eleven strategically located locations in North America, designed to handle everything from e-commerce returns to complex excess inventory. By combining fulfillment and returns management, DHL makes it possible to inspect, restock and sell returned items on the same day, significantly reducing inventory idle time.
Hendrik Venter, CEO DHL Supply Chain EMEA: “An efficient supply chain is the backbone of any successful returns strategy. With the DHL ReTurn Network, we don’t just move parcels, we remarket products. Our programs bundle goods for secondary markets and ensure that products remain in the loop instead of ending up in landfills. This approach allows retailers to recover up to 90% of a product’s resale value. With DHL, sustainability and profitability are two sides of the same coin.”