Return rate is the percentage of sold items that customers send back for a refund or exchange. It measures product satisfaction and the accuracy of your product listings.
Return rate is the percentage of sold items that customers send back for a refund or exchange. It measures product satisfaction and the accuracy of your product listings.
Return Rate = (Number of Returned Orders ÷ Total Orders Shipped) × 100 Returns are an inevitable part of ecommerce, especially in fashion and apparel where fit and colour vary. The average ecommerce return rate is around 20-30%, significantly higher than brick-and-mortar retail (8-10%). Each return costs you shipping, restocking, potential product damage, and customer service time. Your return rate signals whether your product descriptions, images, and sizing guides are setting accurate expectations.
Return Rate = (Number of Returned Orders ÷ Total Orders Shipped) × 100 You ship 500 orders in a month and receive 75 return requests. Your return rate is (75 ÷ 500) × 100 = 15%. If your average order value is £40 and each return costs £8 to process, returns cost you £600 that month.
High return rates directly eat into your profit margins. Beyond the direct cost of refunds, you lose shipping costs, processing time, and often can't resell returned items at full price. Reducing returns by even a few percentage points can significantly improve your bottom line.
Not tracking return rates per product to identify which items have the highest return rates
Using supplier photos instead of accurate product images that show true colour and scale
Making the return process so difficult that customers file chargebacks instead
StoreLyst tracks returns per product and per order, showing you which items are returned most and why. This data helps you improve listings, adjust sizing guides, or discontinue problematic products.
Learn more about Returns →The average is 20-30% overall, but it varies by category. Fashion and apparel see 25-40%, electronics around 15-20%, and home goods 10-15%. Your goal should be to reduce your rate below your category average.
Use accurate product photos showing true colour and scale, provide detailed size guides with measurements, include customer reviews mentioning fit, write honest product descriptions, and consider adding a virtual try-on or size recommendation tool.
Free returns can increase conversion rates but also increase return volume. Consider offering free returns only for exchanges, or for orders above a certain value. Track the impact on both conversion rate and return rate to find the right balance.
Stop calculating in spreadsheets. Get real-time return rate tracking for your Shopify store.