One personal finance expert says she expects more retailers to follow suit
Online retailer Boohoo is set to start charging for returns after previously offering them for free.
The fast-fashion house quietly made the policy change in the small print of its app and website, informing customers that a £1.99 charge will be deducted from any refund issued.
A spokesperson for Boohoo said the change had been rolled out in response to the cost of shipping increasing, adding that the move was made so the company can “continue to offer great prices and products and do this in a more sustainable way”.
Last month Boohoo reported that its shares were down 14 per cent after it reported an 8 per cent dip in first-quarter sales that partly reflected higher returns.
A Boohoo group spokesman told The Mirror: “As the cost of shipping has increased, we’ve had to look at where we can adapt without compromising what our customers love most, the convenience of shopping with us and the great value that our brands offer.
“This has meant that we will be applying a charge of £1.99 to returns so that we can continue to offer great prices and products and do this in a more sustainable way.”
Commenting on the news, Tara Flynn, co-founder of the money-saving website, Choosewisely.co.uk, said she expects more retailers to follow suit by applying charges to returns.
“This is a sign of the times, and I expect to see many clothes retailers will be forced to follow suit”, she said.
“With a recession looming on the horizon, many young consumers have fallen out of love with fast fashion and are turning to second-hand clothing as a way to help beat rising inflation.
“Boohoo only mention the change to their returns policy in small text on their product or help pages. Brands must be transparent with their customers when introducing changes that are likely to be unpopular to keep their customers loyal. There’s no point in pulling the wool over their customer’s eyes.
“I can’t help but notice that Boohoo has also hiked their charge for next-day deliveries by £3 recently too. These kinds of practices are all a new trend we’re seeing where consumers bear the brunt of retailers trying to claw back losses from soaring overheads. Sadly I predict many brands will follow.”
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