Home / Knowledge / News / Information Technology / “Returns can displace stated apparel sales” – Fits.me
“Returns can displace stated apparel sales” – Fits.me
10
Dec '13
The higher rates of returns associated with online sales, combined with a probable – but unknown – record proportion of online sales, will put retailers at risk of providing misleading estimates of their ‘net Christmas’.

Heikki Haldre, co-founder and chief executive of virtual fitting room provider Fits.me, said: “There is always a rush in January to proclaim Christmas a success or a failure – even official bodies like the ONS publish provisional December figures by mid-January. 

"This strikes me as simply too soon to guarantee any kind of accuracy; in borderline cases there is a risk that shareholders may be led to believe Christmas sales were up, when in fact net Christmas sales were down.”

“Why?  Because, in every sector, the return rates associated with online sales are higher than return rates for offline sales.  For clothing, the rate is an average of five times higher – 25% online versus 5%. 

This means that even an average retailer, now seeing online sales accounting for 22.5% of sales compared with 19.7% last year, will need to sell 0.62% more garments in order to ensure the same net – that is to say post-returns – sales,” he explained.

In January 2013, the ONS estimated that, compared with December 2011, the quantity of goods bought (all retailing seasonally adjusted sales volumes) in December 2012 had increased by 0.3%. 

So, while 0.62% may seem a small percentage, it would be more than enough to turn an apparent increase in retail sales into a damaging decrease if similar trading conditions are experienced in December 2013.

Fits.me provides virtual fitting room solutions for clothing retailers that help to deliver an online buying experience similar to the offline experience – specifically by enabling shoppers to try on clothes “virtually” before they buy. 

This largely eliminates the biggest single reason (“fit”) why shoppers later return garments bought online, contributing to a significant reduction in overall garment return rates.

Fits.me


Must ReadView All

Pic: Shutterstock

Textiles | On 25th Feb 2020

US surpasses China as India's biggest trading partner

The United States has surpassed China to become India's top trading...

Pic: Shutterstock

Textiles | On 25th Feb 2020

Coronavirus may shift buyers to Turkey, fuel cotton growth

The coronavirus outbreak will cause a possible shrinking of China's...

Pic: Shutterstock

Apparel/Garments | On 25th Feb 2020

Tough for Vietnamese firms to follow EVFTA rules of origin

Though Vietnamese textile and garment firms are aware of the...

Interviews View All

Amardeep Singh, Orient Craft

Amardeep Singh
Orient Craft

'In export markets, the trend in terms of embroidery, is towards matte...

Jurgen Gauger, Spreadshirt

Jurgen Gauger
Spreadshirt

‘Buying crowdsourced or creative designs are much more appealing to the...

Abhishek Ganguly, Puma India

Abhishek Ganguly
Puma India

‘As a brand, Puma is always looking for new and innovative ways to inspire ...

Lucilla Booyzen,

Lucilla Booyzen

South African Fashion Week (SAFW) is a B2B marketing platform for fashion, ...

Valter De Carli,

Valter De Carli

Savio Macchine Tessili is at the head of a group that holds a know-how of...

Henk-Jan Rohaan,

Henk-Jan Rohaan

The custom-built machineries of Brugman Holland are known for reliability, ...

Justin Gutierrez, INDA

Justin Gutierrez
INDA

The Association of the Nonwoven Fabrics Industry (INDA) has created a new...

Luis Quijano, Liberty University

Luis Quijano
Liberty University

Focusing on bold patterns and colour palettes, Luis Quijano, a student at...

Suresh Patel, Sidwin Fabric

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Sonam & Paras Modi, SVA

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Sanjukta Dutta, Sanjukta's Studio

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Tony Ward, Tony Ward

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


February 2020

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Advanced Search