INTERNATIONAL RETURNS by country and industry – Q2 2024

Foreign returns in Western European countries

We have included 7 Western European countries where we have warehouses and provide shipping and return addresses to our Partners (Germany, United Kingdom, France, Italy, Spain, Austria, Netherlands).

Considering all product shipments to return volumes, the ratio was 11.5 % in Q2 2024. It is 0.6 % higher compared to IQ 2024.

We recorded the highest % of our Partners’ returns in Q2 2024 in the following countries:

• Spain – 37 % of returns (increase from 33.2 % comparing QI 2024 / QII 2024)
• Italy – 25 % (up from 21.7 % q/q)
• France – 21 % (up from 19.2 % q/q)

Least in:

• United Kingdom – 3 % (unchanged)
• Austria – 6 % (up from 3.5 % q/q)
• Netherlands – 8 % (down from 10 % q/q)

International returns in the industries concerned

In which product categories of our Partners did returns occur most frequently in Q2 2024?

• electronics – 31.4 % (up from 27.3 % q/q)
• fashion – 26 % (increase from 22 % q/q)
• horticulture – 16.5 % (up from 5.3 % q/q)

On the other hand, which were the least likely to be subject to returns in Q2 2024 ?

• horeca – 0.7%
• household chemicals – 1.2 % (down from 1.4 % q/q)
• beauty – 1.7 % (down from 1.8 % q/q)

To give you an even better idea of how return volumes vary by country and by industry, here is a breakdown of the 4 product categories that we most frequently SHIPPED in Q2 2024. And they are goods from the industries:

• fashion – 16 % of all international shipments
• beauty and automotive – 13 % each
• children’s articles and home decor – 8 % each

These e-commerce sectors are analysed in detail below.

If you are missing products from your industry and would like to find out the % of returns occurring in each country – write to us, we will provide you with such data.

FASHION returns

See the disparity between the % returns in, for example, the Spanish market (42%) and the UK market (7%). Include in your cost analysis both the price of shipping, returns and the overall margin. You may find, for example, that by selling less in the more expensive UK market vs. the German market, you end up earning more because of the % returns and the margin.

Overall, the number of returns in FASHION increased in Q2 compared to IQ (from 22% to 26%).

Returns from the BEAUTY industry

Here it is again confirmed that product returns in this category are a very rare phenomenon. The average for H1 2024 is just 1.75 % of returns. But here, too, you can see the differences using the example of customers in France and Spain. In the country of the Eiffel Tower, an average of 0.5 % is returned, while in Spain it is already 5.7 %. Is this a lot? Simply multiply this by your average shipment volume, add the costs of returns and your final profit may look very different.

Compared to IQ 2024, the average in this category is at a very similar level (1.8 % in IQ 2024 to 1.7 % in Q2 2024).

Returns from AUTOMOTIVE

Of the 5 industries analysed, this is the one with the biggest difference between the amount of returns in each country – from 2% in Austria to as much as 35% in Spain! This is the clearest example of how a properly prepared analysis of returns can help you decide whether or not to invest further in a particular market.

Since probably as many as 3 out of 10 customers will return your product (e.g. car accessories) in Spain, you need to calculate how profitable further expansion there is.

Returns from the CHILDREN’S ARTICLES industry

For accessories related to children’s items, the difference in returns in the countries concerned is smaller than with automotive, but still noticeable – ranging from 2% returns in the UK to 29% in Spain.

Here, we didn’t notice any fluctuation in the context of the average number of returns between Q1 and Q2 2024, which remains at 5 %.

Returns from the HORTICULTURE

In addition, we have taken the HORTICULTURE’s products on board due to the highest average “increase” in returns from 5% up to 16% (Q1 / Q2 2024) !

Could this be influenced by seasonality ? To some extent certainly, as the shipping volume of our Horticulture partners alone increased by more than 20 % compared to the previous quarter.

So if you sell products in this category, factor into your predictions the potential increase in returns in Q2 2025.

Methodology

We have compiled the above statistics based on the data of our Partners (online shops) who carry out returns and international shipments with us.

We took into account the number of total shipments vs. the number of total returns in Q2 2024.

• How did we segment the shops?

If a shop has a diverse assortment (e.g. home furnishings and handicrafts), we segmented it to the industry in which the products in question predominate (e.g. 80 % is home furnishings and 20 % handicrafts – the shop would statistically fall into the home furnishings industry).

• What exactly do we understand by the term RETURN ?

These are all parcels that:

• have been returned for a specific reason by the buyer (e.g. ill-fitting product, defective product, product not in accordance with the description)
• have been returned because the recipient’s address is incorrect
• have been returned because they were not received by the customer
• have been returned because they are not correct at the stage of dispatch (e.g. weight, size)

An e-Commerce Guide to Returns

If you want to learn more about returns, download our guide. Best Practices for easy, quick and efficient returns.

We discuss:

• Impact on ecommerce KPIs
• Reverse logistics
• Strategies for handling ecommerce returns
• Return process
• Return policy
• Sustainability

🌐 Wondering what form of returns and shipping will be ideal for your overseas customers? We invite you to talk to us about the possibility of making your shop more competitive abroad if only through a local address for returns and shipments, which will strengthen trust and make shopping easier for your customers. Get in touch via email: sales@global24.com or use the form below.