Online Retailer Takes Action Against Unsustainable Returns

  • Asos updates its returns policy to deter serial returners
  • Serial returners cost retailers £7bn annually
  • 47% of online clothing purchases are returned
  • Many consumers wear clothes once for social media posts before returning

Online fashion retailer Asos has updated its returns policy to include a clause that may deactivate accounts of customers suspected of returning worn clothes. The company sent an email to customers, directing them to the updated terms and conditions page, stating that it will investigate unusual return patterns and take action if necessary. Research from Barclays revealed that serial returners cost retailers £7bn annually, while a separate study by Barclaycard found many consumers wear clothes once for social media posts before returning them. Asos aims to maintain sustainability in its returns process.

Factuality Level: 8
Factuality Justification: The article provides accurate information about Asos updating its returns policy and includes relevant statistics from research studies. However, it lacks some details on the specific criteria for identifying ‘unusual patterns’ of returns activity and could provide more context on how this will impact customers.
Noise Level: 3
Noise Justification: The article provides relevant information about Asos’ updated returns policy and the issue of serial returners in online shopping, but it lacks in-depth analysis or exploration of the consequences for consumers and retailers.
Financial Relevance: Yes
Financial Markets Impacted: Asos’ stock price and other online retailers
Financial Rating Justification: The article discusses Asos’ updated returns policy which can impact their financial performance, and it may also affect the financial performance of other online retailers due to potential changes in consumer behavior.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the article.

Reported publicly: www.retailsector.co.uk