Rithum, a global leader in commerce solutions, released its 2025 Global Returns & Profit Impact Report, uncovering how return policies are increasingly influencing where and what consumers buy. The extensive study, surveying over 6,000 consumers across the U.S., Canada, U.K., France, and Germany, reveals the complex dynamics behind returns and offers insights for brands and retailers to turn this growing challenge into a profit opportunity.

Returns Are No Longer an Afterthought — They Shape Purchases

With 60% of global consumers returning products in the past year, returns have become an integral part of the online shopping experience. Notably, 36% of shoppers admit to overbuying with the intent to return, signaling a strategic shift in consumer behavior.

“Returns are no longer a post-purchase afterthought – they’re shaping buying decisions,” said Lou Keyes, CEO of Rithum. “Brands that treat returns as a critical business lever instead of a cost center will gain a significant competitive advantage.”

Insights from the 2025 Returns Report

Product Presentation Drives Post-Purchase Satisfaction

• 61% cite poor fit as the main return reason

• 33% returned products that didn’t match online descriptions or images

• 50% rely heavily on customer reviews for clothing and shoes purchases

Return Policies Influence Brand Loyalty

• 88% expect free returns as a standard offering

• 41% check return policies before buying

• 47% stopped shopping with retailers due to unfavorable return policies

Return Behavior Differs Regionally — Localization is Key

• Germans and French consumers favor shorter return windows (14 days or less) compared to North America

• Over 60% of fashion items are returned in parts of Europe, where shoppers often buy multiples intending to return some

• Electronics returns are high in Germany (54%) and the U.K. (51%), while beauty product returns dominate in North America

Fashion Sector Leads in Return Volume

• 68% of consumers returned clothing or footwear in the last year

• 36% engage in “bracketing” by buying multiples to try and return some

• Among shoppers under 35, 50% commonly overbuy with plans to return

Empowering Retailers to Turn Returns Into a Competitive Advantage

Suzin Wold, CMO of Rithum, explains, “Consumers want to trust that they’ll get what they paid for. When product content and return policies don’t match reality, it breaks trust and loyalty.”

Rithum’s solutions support retailers in:

• Ensuring accurate product listings

• Using AI-driven categorization

• Delivering SKU-level profitability insights

• Managing localized return policies

This helps brands proactively reduce returns’ margin impact while enhancing customer satisfaction.