Returns Shipping Calculator
Estimate your monthly and annual return shipping costs. See how much to build into your product pricing to protect your margins.
Industry avg: 10-15% general, 25-40% apparel
Used to calculate return cost as % of revenue
Zone = distance from origin to destination. Find your zone →
What Is a Good Return Rate?
Return rates vary significantly by category. General e-commerce averages 10-15%. Apparel and shoes run 25-40%, especially with online-only brands. Electronics average 15-20%. Anything perishable or consumable is typically 2-5%. If your return rate is above category average, packaging, product descriptions, and sizing guides are usually the first places to investigate.
Prepaid Labels vs. Customer-Paid Returns
Prepaid return labels improve customer experience and conversion rates - studies show free returns increase purchase likelihood by 15-30%. The tradeoff is cost. A middle-ground approach that many sellers use: include a prepaid return label in the box only for orders above a certain value, or offer a restocking fee that offsets part of the label cost.
How to Reduce Return Shipping Costs
- Use a multi-carrier platform (ShipStation, Pirateship, EasyPost) for discounted label rates
- Set a return window and only accept returns within 30 days
- Improve product photography and descriptions to reduce buyer regret returns
- For apparel, detailed size guides and fit information reduce size-related returns significantly
- Negotiate return label rates directly with carriers once you hit volume thresholds
Frequently Asked Questions
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