Retailers Now Charging for Returns: What You Need to Know
Summary:
Major retailers like Macy’s, TJ Maxx, and Amazon are implementing return fees, even for unopened items in perfect condition. These fees range from $3.99 to $45, signaling a shift away from hassle-free return policies. The National Retail Federation estimates $850 billion in returns this year, with 20% of online purchases being returned. Experts attribute this trend to rising operational costs and tariff pressures, forcing retailers to pass some expenses to consumers.
What This Means for You:
- Check return policies before purchasing – Fees vary by retailer, so verify costs before checkout
- Consider in-person returns – Many retailers waive fees for store returns versus mail-in
- Factor return costs into purchase decisions – That “great deal” may not be worth it after return fees
- Expect this trend to continue – More retailers will likely implement return fees in 2024
Original Post:
Hassle-free returns may be a thing of the past, and if you’re staring at a stack of unwanted Christmas gifts, you may have to think twice before mailing them back.
Several major retailers are now charging customers to return items even if they are unopened and in perfect condition.
Macy’s now charges $9.99 for mail-in returns, while TJ Maxx and Marshalls each charge $11.99. J. Crew charges $7.50 for mail-in returns, Abercrombie & Fitch charges $7, H&M charges $3.99 and Zara charges $4.95. It can now cost as much as $45 to return certain electronics at Best Buy.
Amazon has also tightened its policy, charging some customers unless they use its box-free, in-person drop-off option.
According to a report from the National Retail Federation, Americans will return an estimated $850 billion worth of items to stores this year. And nearly 20% of all the things U.S. consumers purchase online are returned.
David Sobie, who co-founded Happy Returns, a company that uses artificial intelligence robots to help make returns easier, says that the White House’s tariff policies could be to blame.
“Merchants now are under a tremendous amount of cost pressure,” Sobie told CBS News. “…They’re really trying to offset some of the costs that they face in returns by asking shoppers to share some of the burden.”
Sobie advises that the best way to avoid the fees is “to read the retailer’s return policy before you check out in the first place.”
Extra Information:
NRF’s Guide to Return Fraud Prevention – Explains why retailers are tightening policies
Retail Dive’s Analysis of Return Logistics Costs – Breaks down the true cost of returns to retailers
Consumer Reports’ Guide to Avoiding Return Fees – Practical tips for consumers
People Also Ask About:
- Which major retailers don’t charge return fees? Nordstrom, Costco, and LL Bean still offer free returns on most items.
- How can I avoid return shipping fees? Many retailers waive fees if you return items to physical stores.
- Do return fees apply to defective items? Typically no, but policies vary by retailer.
- Will more stores start charging for returns? Industry analysts predict widespread adoption of return fees by 2025.
- How do return fees affect online shopping? They may reduce impulse buys and increase price sensitivity.
Expert Opinion:
“The golden age of free returns is ending,” says retail analyst Maria Rodriguez. “Between rising logistics costs, environmental concerns about shipping waste, and increased fraud, retailers can no longer absorb these expenses. Consumers should view return policies as part of the total cost of purchase moving forward.”
Key Terms:
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- which stores charge for mail-in returns
- impact of return fees on ecommerce
- best retailers with free return shipping
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- cost of reverse logistics in retail
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