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Retailers brace for £2.5bn Christmas returns avalanche

Retailers are expected to face up to £2.5bn worth of returns in the wake of the Christmas period, as customers send back unwanted online orders.

According to logistics consultancy firm LCP, retailers face a growing mountain of returns over the festive period, causing a logistical challenge.

Stuart Higgins, director of retail at LCP, commented in The Telegraph: “Not only will this flood of returns put additional demands on retailers’ back-end operations during one of the busiest times of the year, it will also impact their stores as a third of returns will come back into stores just as they’re launching their January Sales.”

He also warned that an online order typically costs £2-£3 more to process than an in-store purchase. Shoes and clothes have the highest return rates, at 28% and 20% respectively.

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