ANTALIS Packaging has urged retailers to “overhaul” their returns processes to help reduce the costs presented by people returning unwanted Christmas presents.
The firm highlighted figures from ParcelHero, which revealed returns represent 47% of all the delivery service’s shipments in the first few days of the year.
Andrew Smedley, head of e-commerce and logistical packaging at Antalis said, “Each year, the UK receives around £2.2 billion worth of unwanted Christmas gifts, which in recent years has spurred a phenomenal growth in returns during the first few weeks of the New Year. As a result, many retailers are struggling to cope with the cost of servicing this unprecedented level of returns, which inevitably puts a massive strain on their profit margins.
“However, there are many ways in which retailers can limit these costs, which often starts with streamlining the returns process to limit the touch-points each package goes through before it can go back up for resale. Also, ensuring that all packaging is ‘returns-ready’ can minimise any damage that occurs in the rigorous logistics environment, while optimising warehouse operations not only frees-up valuable storage space but can also create a slicker returns process.”
