Summary
After Christmas, many people return gifts they don't want, which creates a busy period for retailers dealing with these returns. Commonly returned items include clothing, accessories, and electronics due to issues like size mismatches or duplicates. Retailers are using artificial intelligence (AI) to try to reduce the number of returns by helping shoppers choose better before buying.
Key Facts
- Americans return tens of billions of dollars worth of Christmas gifts each year.
- Returns increase by 25% to 35% after December 26, according to Adobe Analytics.
- Commonly returned items include clothing, shoes, accessories, and electronics.
- About 20 to 25% of retail sales are expected to be returned, showing the scale of this issue.
- Many returned items do not get restocked due to cost issues, leading to waste.
- AI is being used by retailers to help reduce returns by assisting consumers in making better purchase decisions.
- Returned items contribute to an estimated 8.4 billion pounds of waste in landfills each year.
- Traditional gifts like toys and beauty products are less returned post-holiday.
