Key statistics
- US retailers expected $849.9 billion of merchandise to be returned in 2025, or 15.8% of annual sales. NRF and Happy Returns
- About 19.3% of online sales were expected to be returned in 2025, compared with 15.8% of retail sales overall. NRF and Happy Returns
- 71% of shoppers say a poor returns experience makes them less likely to shop with a retailer again, up from 67% in 2024. NRF and Happy Returns
- 72% of large US merchants started charging for at least one return option in the past year, but 57% of shoppers say they won't shop with a retailer after being charged for a return. NRF and Happy Returns
- Processing a return costs retailers an average of 30% of the item's value, about $211 billion a year across US retail. Appriss Retail
- Retailers say 9% of all returns are fraudulent. NRF and Happy Returns
Returns are part of selling online. Shoppers can't try on a jacket or feel a fabric before they buy, so some of what they order will come back. How you handle that moment affects both your margins and whether the customer buys from you again.
The numbers have become harder to ignore. US returns now run to hundreds of billions of dollars a year, more retailers are charging for them, and shoppers are paying closer attention to return policies before they buy.
Below, we've gathered the most useful current ecommerce returns statistics, with notes on where each one comes from.
How much merchandise do shoppers return?
US retailers expected $849.9 billion of merchandise to be returned in 2025, or 15.8% of their annual sales, according to the National Retail Federation and Happy Returns. That's down slightly from 16.9% and $890 billion in 2024.
The return rate jumped during the pandemic and has stayed high since:
Share of US retail sales returned, by year
NRF's 2023 study used a different method, so that year isn't comparable
These estimates come from a survey of 358 large US merchants, applied to total retail sales. Appriss Retail, which measures returns using transaction data from its retail clients, puts the 2025 total lower, at $706 billion. The two series use different methods, so it's best to compare figures within one source rather than across them.
What is the average ecommerce return rate?
Online purchases are returned more often than in-store ones. The NRF estimates that 19.3% of online sales were returned in 2025, compared with 15.8% of retail sales overall. In a separate October 2024 study, retailers told the NRF their online return rates were 21% higher than their overall rates.
19.3%
Share of US online sales expected to be returned in 2025
15.8%
Share of all US retail sales expected to be returned in 2025
14%
Share of global online holiday purchases returned, November to December 2025
The holidays bring a wave of returns. Salesforce found that more than $181 billion of global online purchases made in November and December 2025 had been returned, 14% of the total and a 10% increase on the year before. US retailers expected 17% of their 2025 holiday sales to come back.
Why do customers return items?
Fit is the biggest problem for clothing and shoes. Across returns on its platform, Loop found that size or fit drove 56% of apparel returns and 61% of footwear returns. Style or preference accounted for most of the rest.
Other categories have different problems:
| Category | Top return reason |
|---|---|
| Footwear | Size or fit, 61% |
| Apparel | Size or fit, 56% |
| Intimates and swimwear | Size or fit, more than 50% |
| Cosmetics | Style or preference, 45% |
| Home goods | Other reasons, often "no longer needed", 32% |
| Electronics | Other reasons, 46%, followed by damaged or defective, 13% |
Source: Loop, February 2026.
Across all categories, damage is a common cause too. In Blue Yonder's July 2025 survey of more than 6,000 consumers in six markets, 31% said defective or damaged products were the main reason for their returns, followed by incorrect size or fit (27%).
Many of these returns start on the product page. Clear sizing guidance, accurate photos and honest descriptions help shoppers choose the right item the first time. Our guide to product detail page best practices covers what to include.
How shoppers return online purchases
Most returns of online orders now happen in person. Across all US retail, Appriss Retail found that 81% of 2025 returns were made in store. That includes online purchases brought back to a shop:
US retail returns by how items were bought and returned, 2025
Retailers are adding more ways to return online orders. In the NRF survey, the share of merchants offering in-store returns of online purchases rose 10 percentage points in a year, and box-free, label-free returns at carrier drop-off points rose 8 points. Shoppers want speed above all: 76% are more likely to choose a return option that gives them an instant refund or exchange.
What do returns cost retailers?
Processing a return costs retailers an average of 30% of the item's value, according to Appriss Retail, or about $211 billion a year across US retail.
Returns also compete for warehouse space. In the NRF survey, 40% of retailers said they'd had to prioritize shipping new orders over processing returns because of limited warehouse capacity.
Return fraud and abuse
Retailers say 9% of all returns are fraudulent. Appriss Retail splits the problem in two: 12% of returns involve abuse of return policies, and 2% are outright fraud. Together, those preventable returns were worth $100 billion in 2025.
Shoppers admit to more than you might expect. In the NRF's survey of 2,006 consumers who'd returned an online purchase, 45% said they sometimes bend the truth when making a return:
Shoppers who admit to each return behavior, 2025
US consumers who have returned an online purchase
These behaviors are much more common among younger shoppers. Two-thirds of Gen Z (66%) admit to sometimes bending the truth, and 53% buy several sizes intending to return some. Retailers report that 23% of purchases include a bracketed item, rising to 26% in apparel and footwear.
Retailers are turning to technology to catch the problem. 85% of merchants in the NRF survey use AI or machine learning to fight return fraud, but only 45% say these tools are effective on their own.
Are retailers charging for returns?
Free returns are becoming less common. In the NRF survey of large US merchants, 72% had started charging for at least one return option in the past 12 months, up from 66% in 2024. Among the 4,000-plus Shopify brands on Loop's platform, 65.2% charge return fees on at least some returns, with an average fee of $9.04.
Shoppers aren't happy about it:
57%
Shoppers who say they won't shop with a retailer after being charged for a return, up from 40% in 2024
82%
Shoppers who say free returns are an important consideration when buying online
47.6%
UK shoppers who think a return fee is fair for people who return often
Targeted fees may be easier to accept. In an IMRG survey of 1,000 UK consumers, only 21.5% said charging for returns is never fair, while 47.6% said a fee is fair for frequent returners.
How do returns affect customer loyalty?
Return policies shape whether people buy at all, and whether they come back:
- 81% of shoppers read return policies before buying from a retailer, up from 77% a year earlier.
- 52% won't make a purchase at all if they expect the return to be difficult.
- 71% say a poor returns experience makes them less likely to shop with that retailer again.
The UK data tells a similar story. In IMRG's Q2 2026 survey, 85.6% of UK online shoppers said a returns policy matters when they decide whether to buy. After a poor return, 42.3% would be much less inclined to shop with the retailer again, and 28.8% would stop altogether.
Tightening a policy carries risk too. In Blue Yonder's survey, 84% of consumers said they'd stop shopping at their favorite retailer if it introduced stricter returns policies.
Exchanges keep the sale
An exchange turns a return into a second chance at the sale. 73.6% of Loop's merchants now offer exchanges, and shoppers are open to them: in IMRG's survey, 66.1% of UK shoppers said they'd be likely to accept an exchange if it was offered at the start of the return.
That's one of the simplest ways to protect revenue from returns, especially for size-related returns in clothing and footwear.
Returns statistics that don't hold up
"30% of online purchases are returned." This figure comes from a 2016 Invesp infographic that doesn't cite a source. The NRF's current estimate for online sales is 19.3%.
"92% of consumers will buy again if returns are easy." This comes from the same unsourced 2016 infographic. The NRF's finding that 71% of shoppers are less likely to come back after a poor return is a better-documented alternative.
What these numbers mean for ecommerce brands
Prevent the avoidable returns. Size and fit drive most clothing and footwear returns. Size guides, fit notes from reviews and accurate product photos reduce them before they happen.
Offer exchanges first. Many returning customers will take a different size or product if you make it easy, which keeps the revenue and the customer.
Be careful with blanket return fees. Fees can cut costs and discourage serial returners, but more than half of shoppers say they won't come back after paying one. Fees aimed at frequent returners are easier for customers to accept.
Make returns quick. Shoppers want instant refunds or exchanges and an easy drop-off. A smooth return is one of the best chances you have to earn the next purchase.
Final thoughts
Returns are expensive, and they're not going away. But the data shows they're also a turning point in the customer relationship: a poor return loses the customer, while an easy one keeps them coming back.
The brands that do best treat returns as part of the shopping experience. They work to prevent unnecessary returns, steer customers toward exchanges and make the rest as painless as possible.
