Online shopping returns during peak season may reach $112 billion

Recently, according to foreign media reports, this year is expected to see the largest batch of peak season returns, with an estimated return amount of more than US$112 billion.

Marcus Shen, chief operating officer of B- Stock, said the return rate for online purchases is twice that of offline purchases , posing a challenge for online sellers and retailers this year and in early 2022.

It is understood that most returned goods eventually enter the secondary market through platforms such as B-Stock, one of the world's largest online markets for customer returns and overstocked inventory. It handles excess goods for nine of the top 10 retailers in the United States, including Walmart, Target, Amazon, etc.

B-Stock said that after conducting statistical analysis based on the platform market network and retail industry trends, it came up with a prediction for this year's holiday returns:

1. 13.3% of goods purchased during the peak season will be returned.

2. After the peak season, $11.2-114 billion worth of goods will be returned.

According to B-Stock's findings, in the first three months of 2021, after last year's peak season, the top categories of returned merchandise included apparel, home and garden items, consumer electronics and toys.

According to B-Stock's findings, in the first three months of 2021, after last year's peak season, the top categories of returned merchandise included apparel, home and garden items, consumer electronics and toys.

In addition, Amazon launched the Amazon Liquidation Tool a few days ago, which not only helps sellers solve the problem of secondary sales of returned goods, but also solves the problem of inventory backlog for some sellers. B-Stock suggests that sellers can use this tool to alleviate the problem of large-scale returns during the peak season.

Another second-hand product e-commerce platform OfferUp survey data shows that this year, one-quarter of consumers will use resale platforms to buy holiday gifts and decorations . In particular, electronic products will become the main shopping choice for holiday consumers, with an estimated proportion of 30%, followed by furniture and household items, with an estimated proportion of 20%, and clothing, shoes and accessories, with an estimated proportion of 18%. OfferUp said that due to the change in consumer shopping needs and the increase in the return rate during the peak season, the second-hand product e-commerce market will usher in greater development.

It is worth noting that B-Stock reminds sellers that if they need to trade second-hand goods, they can apply for a resale certificate in advance to reduce the financial expenses of paying local sales taxes.

Peak Season

Seller

return the goods