--- title: Is the Era of Free Online Returns Over? description: Over 70% of U.S. retailers now charge shoppers a fee for at least one return method, up from 66% last year. What's behind the shift? authors: - name: Liliana Hall role: Reporter url: https://money.com/author/liliana-hall/ bio: Liliana Hall joined Money in 2025. She is an Austin-based reporter for Money, where she covers a range of topics, including financial news, policy, banking, investing, passive income, financial planning and student loan debt. education: University of Texas at Austin at_money_since: 2025 articles: 134 covers: - Shopping - Banking - Business - Career Advice - Credit - Credit Cards - Debt - Economy and Politics - Education - Health and Wellness - Housing - Insurance - Investing - Lifestyle - Loans - Mortgages - Personal Finance - Pets - Retirement - Taxes social: - https://x.com/lilihallllllll - https://www.linkedin.com/in/liliana-hall/ editors: - name: Julia Glum role: Managing Editor url: https://money.com/author/julia-glum/ bio: Julia Glum joined Money in 2018 and specializes in covering financial trends that affect everyday Americans' wallets. She also writes Dollar Scholar, a weekly newsletter that teaches young adults how to navigate the messy world of money. education: University of Florida at_money_since: 2018 articles: 453 covers: - Shopping - Banking - Business - Career Advice - Credit - Credit Cards - Debt - Economy and Politics - Education - Health and Wellness - Housing - Identity Theft - Insurance - Investing - Lifestyle - Loans - Mortgages - Personal Finance - Professional Services - Retirement - Taxes - Technology also_seen_in: - Newsweek - International Business Times - CBS News - Good Morning America - WUSA9 - Pix 11 - The New York Times - Mashable - The Washington Post - CNBC - Politico social: - https://x.com/superjulia - https://www.linkedin.com/in/julia-glum published: '2025-10-24T17:31:47.000Z' modified: '2025-10-24T17:31:47.000Z' section: Shopping tags: - News word_count: 861 canonical: https://money.com/online-shopping-free-return-policies/ type: NewsArticle source: structured-blocks --- > **Disclosure:** Money may earn a commission when you click on the products and services below. Opinions are our own, but compensation and in-depth research determine where and how they appear. [Learn more](https://money.com/page/disclaimer/) about how we make money. ![Photo-illustration of a stack of packages with an arrow showing returns. Money in the background.](https://img.money.com/2025/10/News-End-Free-Returns-1.jpg) Think twice before ordering those shoes in two sizes — sending one pair back might cost you. According to a [report](https://a-us.storyblok.com/f/1021220/x/6e22cae2b7/2025-retail-returns-landscape.pdf) released Oct. 15 by the National Retail Federation and Happy Returns, a logistics company owned by UPS, 72% of U.S. retailers now charge customers money for at least one return method, up from 66% last year. Over the past few years, [retailers have slowly been rolling back](https://money.com/dollar-scholar-store-return-policies/) one of online shopping’s biggest perks: free returns. The reason? Rising shipping costs, economic uncertainty and the mounting expense of handling the billions of dollars' worth of merchandise expected to be sent back this year. Retailers from [Zara](https://www.bbc.com/news/business-61423753) and [H&M](https://www.retaildive.com/news/hm-expanding-online-return-fees-more-markets/694207/) to [Amazon](https://money.com/amazon-returns-fee-ups-store/) have introduced small fees for certain returns, signaling a broader recalibration across retail as companies rethink the economics of online shopping. Amazon, for instance, began adding a $1 fee in 2023 for return drop-offs at UPS stores when a free option — like a Whole Foods or Amazon Fresh return location — is nearby. ## This holiday season, don’t fall victim to cybercrime ### Hackers, fraudsters, and cybercriminals love the holidays. With so much online shopping going on, it’s high season for bad actors looking to spoil your holiday cheer. Click below to protect your identity today. [View Plans](https://money.com/pr/f9d880ffcb9d?ap_referrer=%2Fonline-shopping-free-return-policies%2F) “It’s a challenging landscape in e-commerce,” Tim Fehr, chief operating officer at Happy Returns, tells Money. “Prepandemic, the focus was on growing as fast as possible and satisfying customers, no matter the cost.” Postpandemic, as growth slowed and costs rose, merchants began focusing more on refinement and bottom-line diligence, he adds. “Those trends are continuing, and companies face additional headwinds with some of these regulatory and tariff changes,” Fehr says. “Many merchants are trying to find ways to still succeed.” This calibration isn’t just a strategic choice; it’s a financial necessity. According to the NRF report, retailers estimate that 15.8% of their total annual sales — both online and in stores — will be returned this year (that's the equivalent of $849.9 billion). Online returns alone are projected to account for 19.3% of sales, with Gen Z shoppers leading the way. Shoppers born between 1997 and 2012 averaged nearly eight returns each over the past year. Baby boomers, on the other hand, averaged just five. The pressures driving these changes go beyond shipping costs. Brandon Yoshimura, a director in consumer retail at Solomon Partners, says the post-pandemic environment has forced companies to rethink what they can absorb financially. “COVID began a reversal away from 'frictionless' free-shipping and free-return e-commerce,” he notes in an email to Money, citing supply chain disruptions, rising container prices and a surge in returns. “Pressure from tariffs, inflation and other costs is forcing companies to look at every piece of their operations to prioritize profitability and unit economics.” For many retailers, covering these costs is simply too big a hit — especially for companies that already operate on thin margins. Yoshimura points to examples like Warby Parker, which recently [announced](https://investors.warbyparker.com/news/news-details/2025/Warby-Parker-Announces-Second-Quarter-2025-Results/default.aspx) it would begin phasing out its [Home Try-On program](https://mashable.com/article/warby-parker-home-try-on-program-ending-2025) after 15 years, as evidence that retailers are rethinking costly customer conveniences. The eyewear company’s signature program allowed shoppers to order up to five frames to try on at home, with both shipping and returns completely free. “Over the long term, I think this will discourage costly consumer behaviors \[like\] buying multiple sizes but also reinforce the importance of physical retailing as a complement to online selling,” he says. ## How returns are changing the way we shop online For years, consumers have grown accustomed to over-ordering, [enabled by](https://www.jstor.org/stable/26967329) the conveniences of free and fast shipping — buying multiple sizes, colors or options knowing they could send most of it back for free. But now, those habits can come with a cost. As retailers rush to tack on fees, returns are becoming a bigger consideration in how people shop online. Free returns, instant refunds and simple drop-off options remain top priorities for consumers — and shoppers are willing to adjust their habits based on a retailer’s policy, according to the NRF report. More people are now checking return policies before making a purchase, and a bad experience can make or break brand loyalty. In fact, about 82% of consumers say free returns are an important factor when shopping online, up from 76% last year. And 71% say a poor return experience makes them less likely to shop with that retailer again. At the same time, consumers are finding ways to dodge fees. Some opt for in-store drop-offs or package-free returns, while others pay closer attention to return windows (as some retailers are making those shorter, too). Even as consumers continue to spend — [retail spending](https://www.census.gov/retail/sales.html?utm_source=chatgpt.com) reached $732 billion in August, up 5% from a year earlier, according to the Census Bureau — they’re becoming more intentional about what they buy and keep. The growing cost of returns may curb impulse purchases and shift habits, but experts say it doesn't spell the end of free returns altogether. “I don’t think there’s really been a paradigm shift as much as there has been more scrutiny and refinement,” Fehr says. “Many leading merchants continue to offer free returns — and I think many always will.” ![](https://s3.consumersadvocate.org/prd/image/image/29035/medium_031b14e8-19d0-4ec7-b6f0-04e29d54e75a.png) Protect yourself from the threat of Identity Theft with Aura [View Plans](https://money.com/pr/ce5c60e9ca63?ap_referrer=%2Fonline-shopping-free-return-policies%2F) ```json { "@context": "https://schema.org", "@graph": [ { "@type": "BreadcrumbList", "@id": "https://money.com/online-shopping-free-return-policies/#breadcrumb", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://money.com" }, { "@type": "ListItem", "position": 2, "name": "Shopping", "item": "https://money.com/shopping/" }, { "@type": "ListItem", "position": 3, "name": "Is the Era of Free Online Returns Over?" } ] }, { "@type": "WebSite", "@id": "https://money.com/#website", "url": "https://money.com", "name": "Money", "publisher": { "@id": "https://money.com/#organization" } }, { "@type": "WebPage", "@id": "https://money.com/online-shopping-free-return-policies/#webpage", "url": "https://money.com/online-shopping-free-return-policies/", "name": "Is the Era of Free Online Returns Over?", "isPartOf": { "@id": "https://money.com/#website" }, "datePublished": "2025-10-24T17:31:47.000Z", "mainEntity": { "@id": "https://money.com/online-shopping-free-return-policies/" }, "inLanguage": "en-US", "breadcrumb": { "@id": "https://money.com/online-shopping-free-return-policies/#breadcrumb" }, "dateModified": "2025-10-24T17:31:47.000Z" }, { "@type": "NewsArticle", "headline": "Is the Era of Free Online Returns Over?", "articleSection": "Shopping", "image": [ { "@type": "ImageObject", "url": "https://img.money.com/2025/10/News-End-Free-Returns-1.jpg", "width": 2880, "height": 1920, "caption": "News-End-Free-Returns" } ], "author": [ { "@type": "Person", "name": "Liliana Hall", "url": "https://money.com/author/liliana-hall/", "@id": "https://money.com/author/liliana-hall/#author", "description": "Liliana Hall joined Money in 2025. 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