Stop Fighting Returns, Start Using Them to Build Loyalty

For customers, returns are often when customer experience and loyalty is really tested. A confusing process, long wait times, or inconsistent answers can undo months of brand trust in minutes.

Unfortunately, returns are a simple fact in retail. Post-holiday returns may spike in January, but the pressure they create extends throughout the entire year. The National Retail Federation (NRF) estimates nearly $850 billion in merchandise returns for 2025, and Statista forecasts the global returns market will reach $954 billion by 2029. Yet most retailers still treat returns as a damage-control exercise rather than an opportunity to strengthen customer experiences and build loyalty. That mindset is expensive, and as fraud and abuse continue to rise, it’s increasingly unsustainable.

The shift for retailers starts with the moment a customer decides an item has to go back. That decision isn’t the end of the relationship. It's a signal, a datapoint, and often an opportunity. Retailers that intercept that signal with clarity and speed can change the outcome of the relationship.

The retailers that turn year-round returns into a strategic CX moment (or a chance to surprise and delight customers) are the ones that win. The secret to reducing return volumes, protecting margins, and strengthening customer loyalty starts with smarter support and communications.

Make Returns Feel Effortless

Self-service tools are the first line of defense. Customers crave control, not chaos. They're far more likely to shop with a brand that makes returns as easy as three clicks. No printer needed. Schedule a package pickup and save a trip. This autonomy reduces inbound calls, lightens the load on contact centers, and keeps staff available for complex issues. More importantly, it protects the customer relationship. The retailer that makes returns effortless is the retailer that gets a second chance, and often the next purchase.

Proactive communication cuts return volume before it starts. For example, apparel retailers that offer a quick sizing recommendation or fit video can prevent an unnecessary return. For home goods, a short assembly tutorial can eliminate confusion before frustration sets in. A timely SMS or email offering a sizing guide, video tutorial, or a quick chat with a product specialist can turn a pending return into a satisfied keeper. In categories like electronics, proactive support in setup has been shown to meaningfully reduce return rates by resolving confusion before frustration sets in. The most effective retailers embed this outreach into shipping confirmations or post-delivery touchpoints via SMS or WhatsApp, not apology emails after the box is already sealed.

Let Customers Pick Up Where They Left Off

Unified customer assistance connects the dots across the post-purchase journey. When shoppers reach out, customer service agents need immediate visibility and context into order history, prior interactions, and inventory status. Fragmented systems force customers to repeat themselves, creating friction that escalates frustration and increases the likelihood of negative reviews and unnecessary returns. A single conversation thread, accessible across voice, video, chat and social, allows for faster resolution and fewer handoffs. Shoppers remember the brands that solved their problems without needing to transfer them three times.

The financial case is stark. Every return prevented protects margins. Processing a return can cost more than outbound shipping, and each interaction with a frustrated shopper risks losing a potentially loyal customer. Unified platforms transform return data into actionable insight. Retailers can spot which products trigger returns, where customers need extra guidance, and what channels breed confusion. That intelligence can inform merchandising decisions, content updates, and staffing models before small issues become margin-killing trends. And when retailers act on this insight, customers feel understood, not processed.

Customers don’t judge retailers by how well things go when purchases are perfect; they judge them by how brands show up when something goes wrong. Retailers that treat returns as a conversation, not a cost, earn trust at the moment it matters most and turn a potential loss into lasting loyalty. For retailers willing to rethink how they show up after the sale, returns become more than an operational burden. They're one of the clearest opportunities to build trust, earn loyalty, and win the next purchase.

Michelle Kelly is vertical marketing manager, retail at 8x8, a leading global business communications platform provider.