CLOTHING RETURNS ARE KILLING US? DID YOU KNOW THAT MOST RETURNS END UP IN LANDFILL

BLOG

24 Jan

Written By Debbie Mckeegan

GUEST ARTICLE WRITTEN BY CARY SHERBURNE OF WHATTHEYTHINK

Did you know that most of what you buy online and ship back as a return ends up in the landfill?

It’s too expensive for most companies or their reverse logistics operators to put them back up for sale, so they just ship them off to the landfill. In this space, we have written a great deal about the evil effects of Fast Fashion, and this is just another one.

I hope after reading this article, you will take a serious look at your buying habits. The truth is, we as consumers hold the power. If we stop buying Fast Fashion, and if we discontinue the detrimental practice of bracketing shopping, we can make a huge difference. Don’t know what bracketing shopping is or if you are guilty of it? Read on….

Retailers and brands have long struggled with what to do with returns

It’s one thing to have an item returned directly to the store, where it can be examined and most likely put back on the shelf. But with the rise of ecommerce, the problem has escalated.

It’s quite common for folks to buy four or five items with the intent of only keeping one…or none. In a recent Semafor posting, Tim McDonnell notes, “The pandemic launched an online shopping boom, and a tidal wave of returned items followed. This year [2023], the retail value of product returns in the U.S. alone will approach $1 trillion, according to Hitendra Chaturvedi, a professor of supply chain economics at Arizona State University. Yet costs and inefficiencies in “reverse logistics” mean that for most returned items—up to 9.5 billion pounds (4.3 billion kilograms) in the U.S.—it’s cheaper for the retailer to send the product to a landfill than to bother reselling it: Chaturvedi estimates that 80% of returned products end up in the trash. But a growing number of retailers are turning to artificial intelligence to help.”

This is tragic and certainly not the direction we want to go, as individuals, companies, governments, and the world as a whole. And all of that waste certainly outweighs the efforts, however large or small, brands and retailers are making to reduce packaging, minimize the carbon footprint associated with transport, and more accurately forecast manufacturing of their collections. You sort of want to say, what’s the point, if 80% of returns just go to the landfill! And it doesn’t seem there is much action being taken to change this travesty.

First of all, each of us, as consumers, can stop this ridiculous behavior! Don’t order five things knowing you are going to return four of them—or all of them.

If you order something and it’s defective, that’s one thing. But by carefully examining sizing metrics, colors, etc., each of us should be able to figure out the one item we need in which size. And if you get something via ecommerce and don’t like it, re-sell it to someone else! Or donate it. Or use an app like Poshmark or RealReal. For heaven’s sake, don’t just send it back to be relegated to the landfill! We all buy too many clothes anyway, IMHO.

We’ve also been writing about artificial intelligence and some potential uses it could be put to.

McDonnell reports that AI could be useful here, to brands and retailers. He quotes Amena Ali, CEO of the reverse logistics management software company Optoro, saying, “About a third of U.S. online shoppers engage in ‘bracketing’ shopping, in which they buy a range of items with the intention of testing them out and returning some. AI can help cut back on that practice by processing customer feedback on the reasons for returns and generating guidance for the next customers—this shirt style runs big in the shoulders, for example. For items that do get returned, some retailers are using AI-driven software that aggregates returns headed to the same warehouse, cutting back on transportation space. And once items return to a warehouse, AI image processing can help workers identify and sort them, to increase the odds that they can be put back on the shelf or sent on to be resold by a liquidator.”

We recently wrote about two companies that are working toward landfill diversion, SwagCycle and Mun-2.

These companies would likely be glad to work with reverse logistics management companies like Optoro to access quality goods that can either be donated to charitable organizations or sorted and the quality items shipped to the Dominican Republic, where Mun-2 claims none of it goes to landfills—although about 50% gets sorted out in the U.S. and does go to landfills. But if they receive better quality items from returns, that percentage could decline. Then the items are sold in the DR at very reasonable prices, to people who need the clothes and want the quality, but can’t afford to bracket shop at Amazon. Ali also points out that supply chains are optimized for forward movement of goods, and that needs to change as well.

All of that being said, it comes back to us, the consumers, to be more responsible with our purchasing.

We need to purchase fewer clothes and don’t buy things you know you are just going to send back. Or for Pete’s sake, may be even go to a store to buy clothes! That way you can try them on, and if you don’t like some of them, they go right back on the rack! It’s also a good way to find out how your favorite brands fit you so you can order the right size the first time.

And to continue my rant, we all need to think about buying higher quality clothing that will last, and can also can be worn from season to season. Sure, it might cost a little more up front, but if you buy carefully, you will have garments that you love and you can wear and enjoy for months if not years.

In the end, many brands will continue pushing out cheap clothing that doesn’t last, doesn’t fit right, etc., until we, the consumers, stand up and say, “Stop it!” with our wallets.

About Cary Sherburne: Cary Sherburne is a well-known author, journalist and marketing consultant whose practice is focused on marketing communications strategies for the printing and publishing industries.

Cary Sherburne is available for speaking engagements and consulting projects. To get more information contact us. Please offer your feedback to Cary. She can be reached at cary@whattheythink.com.