3P Sellers in apparel category that “hope to stay in business” in lieu of higher returns rates, usually end up having no other choice but to adjust pricing across most inventory to help cover some of the losses incurred as already itemized by previous respondent.
Unfortunately, its the Consumers who end up paying More for that new pair of shoes or dress, Because of those who order the exact same item, same color, 3 different sizes, returning 2 and sometimes all 3?
And yes, even Amazon with their most liberal returns policy Will close a buyers account for excessive returns. But I don’t think that’s the solution either?
Another problem is, Amazon doesn’t really make it too clear to the buyer, when they are ordering from a 3PS and not actually from Amazon?
So, the buyer may often think they are just returning those 4 items directly to mega rich Amazon? Especially on FBA orders that are sent Back to an Amazon FC but are usually not Amazon’s Merch.
Another seller on this thread mentioned the Big Box stores being able to “Absorb” these returns costs better than the 3PS’s, but even Macy’s continues to struggle for Profits and are closing 100 hundred+ stores again Q1 2017. Maybe returns do also affect big boxer’s more than we might think?
Returns most certainly can put smaller sellers on the ropes. At minimum it hinders a small shop who is trying to grow and scale when margins are being eroded.
Ultimately, returns (they run the gamut from "weekend party dress Renter, to those just not coming to terms they no longer wear a size 3 anymore and those who don’t go beyond scannig images and clicking on sizes and ordering.
I appreciate your caring enough to take the time to ask this question from a buyers perspective.