UK serial returners to drive £6.6bn in online returns in 2024

The retail sector is currently seeing a surge in the number of ‘serial returns’, with an estimated £6.6bn of online returns in 2024, according to the Annual Returns Benchmark Report 2024 conducted by returns specialists ZigZag, in partnership with Retail Economics.

The report stated that serial returners, accounting for one in 10 (11% of) online shoppers that make returns, are generating a quarter (24%) of all online non-food returns.

They are projected to generate £6.6bn of online returns in 2024, as total UK returns across non-food are forecast to tip £27.3bn.

Serial returners are skewed towards younger shoppers engaging in new behaviours unseen in previous generations, frequently over-ordering with the intention of returning a high proportion of items.

More than two in five (42% of) shoppers admit to returning items because of over ordering sizes or colours – known as ‘bracketing’. Here, just 16% of Baby Boomers engage in this behaviour across any retail category, compared with 69% of Gen Z consumers that do.

In clothing and footwear, which suffers from the highest returns rates compared with other categories, overall 16% of shoppers admitted to having bought clothing or footwear online just to use for a short time like a social event – known as ‘wardrobing’ and 15% have bought clothing or footwear online to showcase on social media – known as ‘staging’. Both of these practices rise to over a quarter among Gen Z shoppers.

The report highlighted that while serial returners represent just one of four major cohorts of consumers engaging in returns (including slow returners, efficient returners and occasional returners), they generate a disproportionately high share of returns which are often delayed, adding cost and complicating stock management for retailers.

Slow returners represent another key segment retailers need to focus on to reduce the impact of returns. Slow and serial returners together account for less than a quarter of all returners (22%) but generate almost half of returns (45.5%).

Additionally, on an annual basis per person, serial returners are projected to send back a staggering £1,400 worth of non-food products this year.

However, fast fashion brands such as H&M, Zara, and PrettyLittleThing have introduced fees for online returns to discourage excessive returns and offset expenses. Brands including ASOS have also introduced higher returns fees for individual customers and deactivated accounts altogether.

Al Gerrie, CEO of ZigZag, said: “There have always been good and bad returners but the rise of serial returners, in particular, is likely to cause alarm for retailers. Led by younger shoppers, this cohort is exploiting retailers and forcing them to make more controversial and divisive actions.

“Retailers will continue to clamp down on spiralling costs and returns fraud by introducing paid returns and policies that hone in on abusive returns behaviours, like wardrobing, staging or bracketing. Education also plays a pivotal role. Retailers must ensure customers have accurate product information – consistent sizing, clear descriptions and transparent return policies – so that confidence, not abuse, drives buying decisions.”

Richard Lim, CEO at Retail Economics, added: “Serial returners are quietly eroding retail profitability in ways many retailers are only just beginning to understand. The rise of opportunistic shopping behaviours, where many people intentionally buy large quantities of goods with the intention of returning most of them, is placing an unprecedented strain on retailers. This not only impacts the bottom line through increased operational costs but also creates significant challenges in inventory management and sustainability efforts.

“Retailers are facing thinner margins and must urgently rethink their approach to returns management by integrating advanced returns solutions and educating consumers about the implications of their returns, balancing customer satisfaction with profitability.”