A charge for customers to return unwanted clothes has been introduced quietly by online retail giant Boohoo.
The Manchester-headquartered group has updated its returns policy in the small print of the shop's app and website which states that a £1.99 charge will be taken off any refund issued.
Many shoppers order multiple sizes, above or below their normal size, in order to get the correct fit, before returning the ones they don't need.
Those who have paid using buy now, pay later firm's like Klarna are left with the charge to pay on their accounts, reports The Mirror.
Boohoo's website states: "As per our policy, returns are chargeable therefore the outstanding £1.99 charge on your BNPL [buy now pay later] invoice would need to be covered by you."
One shopper took to social media, unhappy with the new charge. She said: "Well, that settles it. "No more shopping from @boohoo now they’ve started charging £1.99 for refunds.
"Maybe make clothing in the correct sizes? Because, you know, we can’t try it on first…"
And another added they had already deleted their app, claiming the "charge was unfair as the size of the clothes "is so hard to judge".
They added: "I always have to buy in two sizes as sometimes the cut is skimpy and the next time it drowns you. Think I'm sticking to Primark from now on, at least you can actually see what you are buying."
Shoppers are also being warned to return their items all at once as "You will be charged per parcel you return", Boohoo says.
The firm adds: "If multiple returns are made on the same order, additional fees will apply.
"To save on returns cost, it's best to return your items in one parcel."
The online-only retailer is the first of its kind to introduce such a charge, and follows Zara who brought in a £1.95 charge for online returns.
Zara had said the move was to encourage people back into its stores, where there is no fee for returns.
But without any bricks and mortar stores in the UK, Boohoo customers have no choice but to pay £1.99 if the clothes do not fit.
Last month Boohoo reported that its shares were down 14% after it reported an 8% dip in first-quarter sales that partly reflected higher returns.
Speaking previously to Bloomberg about the dip, Boohoo's chief executive officer John Lyttle said he was weighing up whether to introduce the returns charge.
He said retailers were trying to manage logistics costs, as returns were running 4 to 6% above pre-pandemic levels.
Boohoo chief financial officer Neil Catto added: “In the UK, the returns rate is a big factor and in international it’s taking us a lot longer to get parcels to customers.
“Those factors still continue and we’re not expecting those to improve this year.”
Fellow online only retailer Asos' chief executive Jose Antonio Ramos Calamonte said his company currently does not charge for returns and isn’t thinking of charging "right now".
Asos chief operating officer Mat Dunn said free returns was a "no regret" decision taken to optimise its customer proposition.
"We still believe that free returns are a core part of our offer."
A Boohoo group spokesman told The Mirror: "As the cost of shipping has increased, we’ve had to look at where we can adapt without compromising what our customers love most, the convenience of shopping with us and the great value that our brands offer.
"This has meant that we will be applying a charge of £1.99 to returns so that we can continue to offer great prices and products and do this in a more sustainable way."
READ NEXT:
