Margins
Returns punch a hole straight through the P&L. Retailers typically lose 60–70% of an item's value by the time a return is processed, marked down, or liquidated. Add in return fraud that is roughly $14 lost per $100 returned and the margin bleed becomes enormous.
In today’s high-cost logistics and capital environment, returns represent a hundreds-of-millions annual hit for large retailers. It's one of the most material drags on profitability.





