ZigZag’s Annual Returns Report

UK Returns Insights

UK State of Ecommerce Returns

The 6 Pillars of Returns Excellence™

Returns Competitive Edge

UK Fashion Methodology

Download the full 2025/2026 ZigZag Annual Returns Research Report to access the complete industry benchmark.

Download Full Report

100 Retailers. 4,000 Data Points. The UK Returns Benchmark

UK Ecommerce Returns Benchmark Report & Returns Management Insights

ZigZag’s Annual Returns Research Report is the leading UK ecommerce returns benchmark, analysing how fashion retailers manage returns, refunds, fees and customer experience.

Produced in partnership with Retail Economics, the 2025/2026 edition provides the most comprehensive comparative study of returns management in UK fashion retail.

This year, the research goes further than ever before. Instead of relying solely on surveys or policy analysis, our team purchased and returned items from each of the UK’s top 100 fashion retailers, enabling us to experience the full returns journey exactly as a customer would.

The research combines:

A survey of 2,000 UK consumers on returns expectations
A mystery-shop benchmark of the top 100 UK fashion retailers, where we bought and returned products from every retailer
Analysis of over 4,000 data points captured across the complete ecommerce returns journey

The result is the most detailed and authoritative insight into the real returns experience offered by UK fashion retailers today, providing a clear framework for defining best-in-class returns management strategy.

‍

The State of Ecommerce Returns in the UK

Online returns have become one of the most significant operational and financial pressures in retail.

UK non-food online returns are forecast to reach £25.1bn in 2025
Clothing return rates now average 23.6% of ecommerce orders

At this scale, ecommerce returns directly impact:

Retail profitability and margin
Working capital and refund speed
Customer retention and loyalty
Sustainability performance
Regulatory exposure

Returns management is now a strategic lever — not simply a post-purchase process.

The 6 Pillars of Returns Excellence™

ZigZag’s proprietary framework identified six core drivers of high-performing returns processes:

Ease of Returns
Returns Cost & Fee Strategy
Communication & Policy Clarity
Choice of Return Methods
Refund Speed
Sustainability & Environmental Impact

‍

Key Ecommerce Returns Insights from the 2025/2026 Benchmark

Refund Speed Impacts Customer Satisfaction

Clear communication and fast refunds significantly influence repurchase behaviour. Retailers optimising refund speed outperform those treating it as an operational afterthought.

Multiple Return Methods Drive Conversion

Consumers increasingly expect choice — including in-store returns, parcel shop drop-off, locker networks and courier collection.

Returns convenience now impacts pre-purchase decision-making.

Product Fit Drives the Majority of Returns

Sizing and fit remain the primary reason for fashion returns, reinforcing the commercial opportunity in predictive sizing tools, AI-driven recommendations and returns data analytics.

Reducing avoidable returns is a direct profitability lever.

Generational Differences Influence Returns Behaviour

Millennials and Gen Z consumers demonstrate lower tolerance for restrictive returns policies. Poor returns experiences directly affect brand loyalty and repeat purchase rates.

Returns policy is now a conversion strategy.

‍

Why Returns Management Is a Competitive Advantage

The research highlights a widening performance gap between retailers who:

Actively engineer returns as a loyalty driver
Use returns data to inform buying and merchandising
Segment customers by value and behaviour
Personalise policies using AI
Embed sustainability into the returns journey

And those who simply explains the list above.

Returns excellence is becoming a measurable differentiator in UK ecommerce.

See Which Retailers Lead on Returns Excellence