nbcnews.com
Holiday Returns to Reach $890 Billion in 2024
Holiday returns are expected to hit $890 billion in 2024, a 20% increase from 2023, due to increased online shopping and practices like "bracketing" and "wardrobing", posing challenges for retailers' profits and sustainability.
- How are retailers responding to rising return rates, and what are the environmental consequences of these returns?
- Increased online shopping and relaxed return policies have fueled this trend. 69% of shoppers admit to wardrobing, a 39% increase from 2023, and 46% return goods multiple times monthly, up 29% from last year. These behaviors strain retailers' resources.
- What is the projected financial impact of holiday returns in 2024, and what consumer behaviors are driving this increase?
- Holiday returns are projected to reach $890 billion in 2024, a 20% increase from 2023, driven by factors like bracketing and wardrobing. This surge impacts retailers' profitability and sustainability efforts.
- What long-term strategies can retailers adopt to mitigate the financial and environmental challenges posed by increasing return rates?
- Retailers are responding with stricter return policies (81% implemented changes in 2023), alternative solutions like 'keep it' refunds, and buyback/resale programs. However, the environmental impact of returns remains a significant challenge, with 8.4 billion pounds of waste generated in 2023. Long-term success will require a multi-pronged approach.
Cognitive Concepts
Framing Bias
The article frames the increase in returns as a significant problem, emphasizing the negative financial and environmental consequences for retailers. The headline, while factual, highlights the record levels of returns, setting a negative tone from the start. The repeated use of terms like "problem," "hefty price," and "major challenge" reinforces this negative framing. The inclusion of numerous statistics on the cost of returns and environmental impact further underscores the problem's severity.
Language Bias
The article uses language that leans toward negativity. Terms like "problem," "hefty price," "strain," and "challenge" contribute to a negative and alarming tone. While these terms accurately reflect some aspects of the situation, using more neutral language, like "increase," "costs," "impact," and "issue," would create a more balanced perspective. The frequent use of quantifiable data, while informative, also contributes to a sense of overwhelming scale and negativity.
Bias by Omission
The article focuses heavily on the negative impacts of returns on retailers and the environment, but gives less attention to the consumer perspective on why returns are made. While bracketing and wardrobing are mentioned, a deeper exploration of consumer motivations and the role of online shopping's convenience in driving return rates would provide a more balanced view. The article also omits discussion of potential solutions from the consumer side, such as more careful purchasing decisions or greater awareness of environmental consequences.
False Dichotomy
The article doesn't explicitly present a false dichotomy, but it implicitly frames the issue as a problem that needs solving primarily by retailers. It focuses on the costs and challenges for businesses without fully exploring the complex interplay of factors involved, including consumer behavior and societal trends. This might lead readers to believe the solution lies solely with retailers' strategies rather than a broader societal shift.
Sustainable Development Goals
The article highlights the significant environmental impact of product returns, including increased carbon emissions from transportation and repackaging, landfill waste, and low recycling rates. The rise in bracketing and wardrobing contributes to this unsustainable consumption pattern. Retailers are responding with stricter return policies and alternative solutions, indicating recognition of the problem and initial steps toward more sustainable practices.