Online retail is booming, but....

[davidc4430]

Online retail is booming, but free returns mean many sellers are losing money

https://www.abc.net.au/news/2019-05-28/online-retail-booms-but-free-returns-hurt-retailers/11156518

[chameleon54]

Just yesterday I picked up two bags of clothes from the post office for my teenage daughter. They came from Iconic, one of the companies mentioned in the link. The ironic thing is last night I had a discussion with the daughter about her purchases. She was going to try them on and simply return the ones she didnt like. I was a bit suprised, but she said it was just what young people do. She buys a lot from Iconic because of their easy return policy, so I suppose it is working in that sense, but the cost of returns must be killing them.

[go-tazz]

If they allow it to keep going in it's current direction a lot of sellers will go under as so called free returns and

millennials sense of entitlements and wanting stuff for nothing will surely destroy any sense of "balance".

Even the example talked about if he bought multiple items and didn't like any of them because they didn't fit or 

he didn't like them then the retailer is out for postage costs both ways (when he "chucks" them in a bag to send

back then they may also now be second hand as it sounds like he doesn't bother with the packaging).

Sounds like Afterpay will make that problem even worse as well.

[debra9275]

my daughter is similar Chameleon.. between work and uni, she doesn't get much time to go shopping ( which she hates anyway)

so, she buys most of her clothes online.. Dotti is her favourite brand.. if something doesn't fit, she tends to keep it though

[not_for_sale2025]

One thing I've noticed over the last couple of years is that more online stores are offering free or half priced shipping. Also, more stores have become very proficient at dealing with returns, replacements, warranty issues etc. I tend to visit their websites first when I want to buy something, so their improved services are working on me. I have also noticed a number of the larger stores have reduced the spend amount in order to qualify for free shipping. My only real gripe is that some of these stores will not provide a contact phone number and I can't help feeling suspicious about their unwillingness to be fully transparent.

[lyndal1838]

I shop with The Chemist Warehouse.  Usually I have no problem getting into a store as there are a number near us when we do our shopping and several in the CBD where my husband is every weekday.

Recently my OH has not been working and there is no store in our local shopping centre so I was reduced to shopping online.  I was delighted to find that the free shipping amount has reduced from $99 to just $50.....a very easy amount to reach when one script can cost $40.

[springyzone]

it's interesting as it says the Iconic is not returning a profit yet.

I can understand some companies perhaps allowing free returns if they are in the shoe or clothing industry, because fit is always problematical with online purchases.

However, they need to be very strict about what is allowed and what is not eg must be returned with tags intact, in boxes they came in, in new condition, unworn.

I buy a lot from catch of the day and they have returns but the policy is strict and they take out a restocking fee, which i imagine would be a turn off or at least make people think twice. I haven't used it, except for items that were broken or not working and I was not charged any fee then.

Bottom line though is returns are not free. If a lot of people are using them that way, then prices go up to cover it. maybe the companies will need to tweak things so if you return everything there will be a restocking fee or you pay return postage but if you buy items over eg $50, any other returns are free.

If I go to a shop, I can try on plenty of different things for free but not sure people should expect retailers online to provide that same level of service to and from their own home. That's next level.