How Returning Products In E-Commerce Can Be Made More Sustainable

6 ways the negative impact of product returns can be reduced

Package return are part of the online selling process, but can be avoided to some extent (credit: Fotomowo on Shutterstock)

Credit: This article is based on two scientific articles by Regina Frei and Lisa Jack and their colleagues. (Full citations and link available at the end of the article)

Have you ever bought something online and returned the product? As I don’t buy much and especially not online, I can’t remember when I returned it last, but it is very likely that I did as well. For example when the product arrives damaged or breaks too early. And I guess you have too, as consumption already reached an all-time high in 2019 and e-commerce or online shopping has boomed during the pandemic that started in early 2020. Because of this pandemic, also many small and family-owned street stores became multi-channeled, meaning they started selling their products online as well.

Selling products online means that sellers also have to deal with product returns. Return rates are usually 20–40% of total sales, and can even reach 70% of all products sold. So, although many retailers consider returned products as unimportant and an event that will eventually happen, it is important to keep an eye on, as it creates a lot of sustainability issues. Especially on the economical and ecological aspects.