Nearly 40% of online shoppers make monthly returns

Post-purchase intelligence platform Narvar’s 8th annual State of Returns Report found that 39% of consumers make monthly returns, and in 2023 alone, returned merchandise in the United States reached $744 billion. The report noted that 46% of consumers purchase items online once a week or more, and 87% do at least half of their shopping online.

Narvar also found that with growing returns, return fraud is becoming an increasingly severe issue. Nearly six-in-10 (57%) shoppers admitted to engaging in fraudulent returns at least once. This year, return fraud incidents rose 16 percentage points to 52%, making it a critical area for retailers to address.

For retailers, Narvar’s data shows that 60% of consumers are open to exchanges or store credit instead of full refunds if the process is quick and convenient. Younger consumers (ages 18-29) are more likely to favor instant refunds or exchanges, while older shoppers prioritize convenient and low cost return methods.

“The returns process is often overlooked, but it holds incredible potential for driving customer loyalty and lifetime value,” said Amit Sharma, CEO of Narvar. “As our research shows, retailers who invest in optimizing their returns experience can transform this traditionally costly and burdensome process into a significant growth opportunity.”

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