Returns in E-Commerce: Which Online Store Is the Best?

Returns remain a persistent challenge in e-commerce, with approximately 286 million annual returns in Germany alone. parcelLab's E-Commerce Shipping Study 2020 analyzed how the top 100 German online retailers handle returns processes based on test orders and detailed analysis.

Return Costs

Free returns remain the industry standard. Of the 100 retailers studied, 93 offered free returns. Only 6 retailers charged fees (averaging around €5), and 1 retailer required no physical return at all. The expectation of free returns is firmly established in the German market.

Return Label Availability

How customers access return labels varies significantly:

Communication Gaps

Communication during the returns process remains a major weak point. 68 retailers confirmed receipt of returns to customers, but 32 left customers completely uninformed about whether their return had arrived. Even worse, 75 of the 100 largest German online stores failed to communicate expected refund timing.

What the Best Retailers Do Differently

The study's findings point to clear best practices for retailers looking to improve their returns experience:

1. Maintain direct control over customer communications rather than delegating to logistics providers
2. Enable data collection and personalization opportunities throughout the returns process
3. Implement automated notifications for delivery delays and return receipt confirmations
4. Use customer touchpoints during returns for cross-selling and engagement
5. Communicate refund timelines proactively so customers know what to expect

Controlling the returns process directly benefits customer satisfaction, repeat visits, and revenue growth while maintaining brand consistency. In a market with 286 million returns per year, the returns experience is not a back-office concern -- it is a strategic differentiator.