Post-Christmas returns dip despite £1.41 billion worth of items being returned

Post-Christmas returns for the first working day of the year - also known as 'Takeback Tuesday' - were down 6% on the same day last year, according to ParcelHero.

Despite this, around £1.41 billion worth of items are now heading back to retailers. This compares to last year, which saw around £1.5 billion of unwanted gifts and goods returned in the first week after the Christmas and New Year break.

The number of courier bookings for returned items peaked at 10am on 2 January 2024 as people returned to the post-Christmas daily grind. In addition, Takeback Tuesday returns were up around 52% on a typical day last month.

However, ParcelHero cautioned that the fall in returns against the same day last year is likely due to lower Christmas spending rather than a change in customer habits.

David Jinks, Head of Consumer Research at ParcelHero, said: "We’ve looked at our own returns volumes and spoken to people in the courier and retail industries and it looks like there was a small but distinct drop in the volume and value of returns on Takeback Tuesday yesterday, compared to record returns last year.

"We would love to say that the slight drop in the number of Takeback Tuesday returns is because shoppers are becoming more aware of the environmental impact of returns and the financial strains they place on many much-loved, smaller, specialist retailers.

"However, it’s more likely the fall reflects a relatively lacklustre Christmas period for retailers, with online and in-store sales looking relatively flat. Fewer gifts equals fewer returns.

"Online businesses face a no-win choice between reluctantly swallowing returns costs or risking negative online reviews from those customers with returns issues. Some online retailers have told us that they deal with return rates as high as 60% after Christmas, with most being accepted unconditionally in order to maintain their all-important five-star ratings."

It comes after annual UK high street footfall rose 11.5% between 10-16 December, driven by ‘Panic Weekend’ as shoppers geared up for Christmas. It marked the most significant rise observed since the third week of July 2023.