Cutting eCommerce Returns: Reducing the Cost of Convenience

What unsustainable behaviour needs to change:

The ease of online returns is fueling an environmental crisis, with about 30% of online purchases being returned. This contributes to rising CO2 emissions and waste. In the fashion industry, return rates can reach as high as 50%. 

This seamless process encourages unsustainable behaviours such as impulse buying, overconsumption, and neglecting accurate sizing. Many customers order multiple sizes, unaware of the significant environmental toll, while fatigue and poor use of sizing guides exacerbates the problem.

The Green Nudge:

To help fashion retailers reduce the rate of their returns, behamics developed green nudges that promote conscious decision-making. These nudges help to reduce unnecessary returns by encouraging customers to use size guides and product information to select the appropriate size. Powered by AI, behamics predicts which psychological factors, such as ‘social norms’ or ‘loss aversion,’ will resonate with each customer and accordingly delivers personalised pop-ups. 

For instance, when multiple sizes of the same product are detected in the cart, the following nudge appears: “Do you really want to order two sizes? By consciously selecting your size using our guide, we can avoid extra transport mileage for returns. Together, we protect the environment and climate. Thank you for your support!”

The result: By leveraging over 40 psychological mechanisms, such as ‘loss aversion’ and ‘social norms,’ these nudges align customers with sustainable behaviour. They emphasise the negative impact of ordering two sizes (extra transport), motivating customers to choose the right size upfront, and thereby reducing returns by up to 18%. 

Variations of this nudge focus on factors like time loss and environmental impact, tailored to different behavioural patterns. As environmental awareness grows, these nudges are expected to become even more effective.

Are you aware of any other nudges that help to reduce returns? Feel free to get in touch: hello@green-nudges.com