fb

#problemswithreturns

#problemswithreturns

It’s common knowledge that high street shops are struggling. A number of household names have gone (or are going!) out of business and one of the reasons for this is the rise of online shopping.

But the online stores haven’t got it easy and online clothing stores in particular are facing an emerging threat driven by social media.

A lot of people are reluctant to buy clothes online in case they don’t fit properly. To get around this a number of online stores offer free returns.

This has led an increasing number of people to take advantage of the free returns policy.

By take advantage I mean to order clothes that they have NO intention of keeping. Instead, they want to order the clothes so that they can have their photo taken wearing them and then post those photos on social media sites before returning them free of charge.

Whilst this enables individuals to look super trendy in front of their friends on sites such as Instagram and Facebook, it is proving to be a problem for retailers.

The giant credit / debit card provider Barclaycard, which sees nearly half of the UK’s credit and debit card transactions, recently undertook some research which showed the scale of the problem.

The research showed that 9% of online shoppers in the UK had bought clothes online with the aim of wearing them for a photo to post on social media and then returning them. The age group who were the largest culprits were 35 – 44 year olds where the percentage rose to a staggering 17%.

Perhaps surprisingly, men were more likely than women to “snap and send back” (12% of male shoppers compared to 7% of female shoppers).

It’s a major issue for online retailers.

George Allardice, Head of Strategy at Barclaycard Payment Solutions said “It’s interesting to see the social media trend further fuelling the returns culture. We know from our research that returns are having a big impact on retailers, with a huge figure of seven billion pounds a year in sales that they potentially can’t recognise”.

In summary, “snap and send back” equals #bigproblemswithreturns

Share this entry

Related articles

View All Articles

Recent articles

View All Articles
Lego – building strategy blocks…
Mar 14, 2024
Title
Lego – building strategy blocks…
Excerpt

In the contemporary business environment, characterised by rapid changes and unforeseen challenges, companies across various industries must adapt […]

Weathering the chocolate storm?
Mar 12, 2024
Title
Weathering the chocolate storm?
Excerpt

In today’s interconnected global economy, the ripple effects of local weather phenomena can have far-reaching consequences, extending far […]

Pass the doughnuts…
Mar 12, 2024
Title
Pass the doughnuts…
Excerpt

Does your weight affect the amount of money you earn? That’s an interesting question and researchers from the […]

The Significance of Audit Quality: Lessons from KPMG’s Fines
Mar 06, 2024
Title
The Significance of Audit Quality: Lessons from KPMG’s Fines
Excerpt

In the intricate world of finance and business, the accuracy and integrity of a company’s financial statements stand […]

Insider Trading: A Cautionary Tale from the Oil Industry
Feb 29, 2024
Title
Insider Trading: A Cautionary Tale from the Oil Industry
Excerpt

In the complex world of finance, insider trading remains one of the most controversial and closely watched issues. […]

Lessons from Kraft Heinz’s Sales Decline
Feb 20, 2024
Title
Lessons from Kraft Heinz’s Sales Decline
Excerpt

In the fast-paced world of business, staying ahead of market trends and consumer preferences is paramount. The recent […]

The strategic rationale behind Uber’s share buyback…
Feb 15, 2024
Title
The strategic rationale behind Uber’s share buyback…
Excerpt

In the realm of corporate finance, decisions regarding share buybacks often spark curiosity and sometimes confusion among investors […]

Adapting to the Digital Age: Lessons from Sky TV
Feb 09, 2024
Title
Adapting to the Digital Age: Lessons from Sky TV
Excerpt

In the ever-evolving landscape of the entertainment industry, adaptability is key to survival. Recently, Sky TV, a prominent […]