Reduce returns
Fashion e-commerce return rates have settled around 30 to 40%. Sizing tools, AR fitting rooms, and stricter return policies have each been tried, and each plateaus quickly. Independent research into peer-to-peer return forwarding identifies a different ceiling: up to 44% of warehouse returns are structurally unnecessary. This page explains the data, the mechanism, and what it takes to apply.
44%
of warehouse returns can be eliminated, according to independently validated research
Eruguz, Van Heijst et al., Omega 128 (Elsevier), 2024
The starting point
Fashion return rates are not a temporary spike. They are a structural feature of online apparel sales, driven by sizing uncertainty, deliberate bracketing, and shopping behaviour that has been locked in for over a decade.
30–40%
of online fashion purchases in Europe are returned
Meteor Space, 2025
50%+
return rate on dresses in Germany and the UK
Statista, 2025
24.5%
online apparel return rate in the US, vs 8.7% in-store
NRF, 2024
€20–€40
average cost of processing a single return
Opensend, Shopify
Existing approaches
Most retailers have already tried at least one of the strategies below. Each helps at the margin. None of them get close to 44%, because they all aim at the same point in the funnel: the order. Once a return has been initiated, none of these tools have anything to offer.
Plug-ins that recommend size based on user height, weight, and prior orders. Effective for repeat customers, less effective for first-time buyers. Reduce returns by 4 to 8% in published case studies.
Hits a ceiling because sizing uncertainty is only one driver of returns.
Augmented-reality try-on through a phone or webcam. Engaging for some categories, especially eyewear and accessories. Adoption in apparel is uneven and conversion impact is modest.
Adoption among first-time buyers is the bottleneck.
Charging for returns reduces volume by 5 to 15% but also reduces conversion. Many retailers report that customers switch to competitors who still offer free returns.
Trades return volume for cart abandonment. Net effect is often neutral.
Reducing the return window from 60 to 14 days cuts returns by 3 to 7%. The reduction is concentrated in lower-value items where the customer decided not to bother.
Pressures customer satisfaction, has a small absolute impact.
Combined, these tools can bring fashion returns down by perhaps 10 to 15%. The overwhelming majority of returns happen anyway, because the underlying behaviour, that consumers buy with the option to return, is structural.
A different leverage point
Most returned items are in resaleable condition. The conventional flow sends them back to a central warehouse, where they are inspected, repackaged, and shipped to the next buyer. Independent research published in Omega 128 (Elsevier) shows that a significant share of these warehouse round-trips are structurally unnecessary: the item could move directly from the returning customer to the next buyer, never entering the warehouse counted as a return at all.
The exact upper bound depends on assortment, geography, and order density. The published research identifies up to 44% under realistic conditions for fashion e-commerce.
44%
of warehouse returns can be eliminated through peer-to-peer return forwarding
Eruguz, Van Heijst et al., Omega 128 (Elsevier), 2024
What the live data shows
Forwarding has been live in production at Kuyichi (a Dutch sustainable fashion brand) since February 2025. The numbers below come from that operation, refreshed daily.
43%
consumer adoption rate (sender side)
Of customers eligible to Forward their return, 43% choose Forwarding over a conventional refund.
65%
consumer adoption rate (buyer side)
Of buyers offered a Forwarded item at checkout, 65% select it.
21%
return rate on Forwarded items
Versus the roughly 38% industry average. Buyers who select Forwarded items return them at about half the typical rate.
4.8/5
consumer satisfaction rating
Across both senders and buyers, drawn from in-flow surveys.
Over 1,000 Forwards handled to date. All operating numbers are published openly.
What the reduction means
Cutting 44% of warehouse returns is not just a cost line item. It changes the operational shape of returns processing.
Inspection, repackaging, depreciation, and outbound logistics on the second leg are removed entirely.
Mostly from eliminating the second outbound shipment. Methodology is ISO-aligned and audit-defensible for CSRD reporting.
Items that Forward never enter the returns queue. Capital releases faster, inventory turns improve.
Per-transaction CO₂ reporting supports CSRD, ESPR, and EPR documentation requirements arriving through 2026 and 2027.
What it takes to set up
Forwarding plugs into an existing return portal and order management system. The warehouse keeps doing what it was already doing for the share of returns that does not Forward. Implementation typically takes about a week.
Most major return portals are pre-integrated. Custom portals connect via REST API or our MCP server.
Forwarding generates the shipping label using the carriers you already use. No new carrier contracts required.
Standard implementation runs about five working days, including order-management mapping, label-flow testing, and consumer-flow QA.
Data processed only as needed for the return. Standard DPA available. Hosted in the EU on Google Cloud.
Get the numbers for your shop
Share a few details and we will come back with a specific calculation: expected adoption, savings range, and what implementation would involve on your stack. No sales call unless you ask for one.
We reply to every inquiry. Sometimes that reply is an honest 'this is not the right fit yet'.
Last updated: April 2026
