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The Scale of the U.S. E-commerce Returns Market and Effective Return Management Solutions - Remex!

The upcoming November-December period

can be considered the peak season for e-commerce.

It's a season that records the highest sales

through various year-end promotions.

However, did you know there's a problem that troubles sellers

during this otherwise prosperous shopping period?

It's the returns, which approach nearly 20% of sales.

Let's take a look at the scale of returns

in the U.S. e-commerce market today!

<Growth of E-commerce>

Before we explore the scale of e-commerce returns,

let's look at the remarkable growth of e-commerce.

The growth of the U.S. online e-commerce market

has been notable since the outbreak of COVID-19.

E-commerce was already growing impressively

before the pandemic,

but it has exploded with the extensive use

by Millennial consumers in conjunction with the pandemic.

The Financial Times reported that in 2021,

online shopping returns amounted to $218 billion,

which is over one-fifth of the total online shopping sales.

<Scale of Returns in the U.S. Retail Market>

According to the National Retail Federation (NRF),

the value of goods returned to retailers in 2021

was a whopping $761 billion, marking

a 78% surge from the previous year.

This astronomical number not only is staggering

but also exceeds the U.S. defense spending in 2021,

which was $741 billion.

This return phenomenon is fraught with various difficulties for sellers.

Especially in the U.S., where return shipping is often free,

it can be a significant burden for small businesses.

In addition to the cost, the process of handling returns

requires more time and labor, and disposing of or

incurring additional costs to avoid discarding

returned products can lead to reduced profitability.

However, outright refusal of returns is not

an option in today's e-commerce market.

Building a competitive edge by offering

a better online shopping experience,

including a more generous return policy,

is now a strategy for building

closer relationships with customers

and enhancing customer loyalty.

<Boom in the Resale Market>

With such trends,

the resale business in the U.S. is growing.

Refurbished products, which are resold after being returned,

are gaining popularity.

Colorado State University predicts that

the refurbished market has grown more than twice since 2008.

The merit of refurbished products is

their affordable prices and eco-friendliness.

They are typically 30% cheaper than new products,

prevent the wastage of perfectly functional items,

and avoid the environmental impact of producing

new items or disposing of used ones.

Remex is proud to offer an optimal solution

that satisfies customers, sellers, and the environment,

aligning with these modern trends.

<Remex's Return Management Solution>

In the rapidly growing e-commerce industry,

'returns' are an unavoidable element.

Remex provides a return management solution

that supports convenient return procedures for customers,

as well as the reprocessing and reselling of products for sellers.

This minimizes the loss for sellers

while promoting a more environmentally beneficial cycle.

Remex Hub

Team Remex

If you are concerned about return issues or

are curious about Remex's free demo service,

please request a free consultation with Remex.

We are always ready to solve your return problems!

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