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Shopping online is incredibly convenient, but what happens when purchases don’t meet expectations? For many, the process of making returns isn’t easy.
We surveyed over 1,000 American consumers to learn more about their retail return habits and preferences. It turns out some would rather eat the cost of their order than deal with the process of returning it.
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Complicated Returns Cost Consumers an Average of $78
The holidays are a time of celebration and gift-giving, but not every gift works out. Nearly half of survey respondents (45%) said they anticipate returning 1-3 gifts this holiday season, and 89% said they believe retailers should extend their return/exchange windows during and after the holidays.
When it comes to return preferences, 56% of people like making returns online or by mail. The average American makes nine returns per year and has spent an average of $51 on return shipping in the last year.
For some, the return process impacts whether they even will do the return — 3 in 4 said they have kept an item because the return process seemed too complicated or expensive. Among those who have done so, the average amount of money lost from not making the return was $78. Some people are also not making returns out of inconvenience, as 38% admitted to skipping returning an item because they were too lazy to drive to the drop-off center or store.
“It’s such a waste of money to not return something that you don’t need,” said Erica Sandberg, Consumer Finance Expert for CardRates. “Clearly, many of us have done it, though, with 75% of the survey respondents admitting to keeping unwanted items instead of returning them.”
Nearly 1 in 3 (31%) of those surveyed said they buy several of the same items online to try different sizes and colors, but 50% say they sometimes or rarely return these extra items.
How Return Policies Shape Consumer Shopping Habits
Return policies are not only shaping consumers’ return habits but also their purchasing decisions. Among respondents, 1 in 4 said a store or company’s return policy impacts whether they’ll buy their products. Nearly 3 in 4 (71%) avoid buying online from stores or companies that charge for mailed returns, and 88% are more likely to shop from a retailer that offers easy, label-free return options.
More than half (63%) of consumers surveyed have opted to gift or donate an unwanted item instead of going through the hassle of returning it. As for how long consumers think they should have to return an item? More than 1 in 3 (36%) believe one month is the ideal return window, even though 38% of people said they return items within 2-3 days of receiving them.
The top reasons for returns include the item not fitting (62%), the item being damaged or defective (58%), and just not liking it (43%). Some are quick to spend their return money, with 1 in 4 respondents admitting they spend the money immediately.
As for holiday gift returns, 72% said they plan to do their holiday returns in January 2025. Nearly half (46%) feel guilty returning gifts from loved ones, and 52% even try to hide that they returned a gift from the person who gave it to them.
“My best advice is to be far more conscious of what you purchase, even when the price point is low,” said Sandberg. “Buying random things is a bad habit, even when you can afford to lose the money. Would you throw a $20 bill in the trash? Of course not!”
Returns play a major role in holiday shopping, so it’s important to stay on top of return policies and regularly review your credit card statements to avoid any surprises.
“Do your research and only purchase things that you truly want and need. Then if they don’t work out, commit to returning the items before the clock runs out,” Sandberg said. “If you can’t do it right away, mark your calendar with the deadline. You can make it easy on yourself by shopping from retailers that offer uncomplicated return policies, too.”
If you don’t like something, don’t feel bad about returning it! Make sure you get what you’d like, and keep those gift receipts to make the process even smoother. Happy shopping!
Methodology
In September 2024, we surveyed 1,006 Americans to ask about their retail return habits and preferences. Among respondents, 49% were men, 49% were women, and 2% were non-binary or preferred not to answer. Respondents ranged in age from 18 to 82, with an average age of 40.
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