Recently, Asos informed some customers via email about a new policy that affects those who the company describes as having a “frequently high return rate”. Under the new rule, customers who return items and keep less than £40 worth of their order will have £3.95 deducted from their refund. The company has not revealed what a high return rate is, but insists that the change will not affect the majority of their customers.
Asos claims that this adjustment is necessary to maintain the stability of their free return service for all customers. They explained that customers enrolled in the Asos Premier program can still enjoy free returns if they keep at least £15 of their purchase. The policy is part of a wider trend that has seen similar changes introduced in France, Germany and the US earlier this year.
Customer reactions
Reaction from Asos shoppers has been overwhelmingly negative. Many customers have expressed their displeasure, arguing that the new fee undermines the convenience of online shopping. Expressing her disappointment, 22-year-old Sowada from London said that £3.95 may seem nominal, but over time it can add up and put her off shopping from Asos. She also criticised the retailer for inconsistent sizing, which often leads her to return items multiple times.
Another customer, Charlotte, shared her frustration on social media, explaining that poor quality and ill-fitting clothes are the main reasons for returns. She mentioned that she would consider taking her business elsewhere due to the additional cost of returns.
Media analyst Kaylee Cornelius suggested that Asos’ new policy may be a response to the high volume of returns driven by social media trends. She said that influencers often showcase large purchases and later return a significant portion, which may have led to Asos implementing stricter return policies to prevent this practice.
Industry trends and challenges
Asos’ move reflects the wider challenges facing online-only clothing retailers. As return rates become more common and competition from ultra-fast fashion brands such as Shein increases, retailers are under pressure to adjust their return policies. Additionally, the rising cost of living has reduced customers’ budgets, prompting more careful purchasing decisions.
Asos is not the only one to face criticism over return policies. Earlier this year, PrettyLittleThing faced criticism after deactivating the accounts of customers with high return rates and imposing a £1.99 return fee. Similarly, H&M reversed a similar policy last year after facing significant backlash from customers.
In response to the criticism, Asos has claimed it has made progress in improving sizing accuracy and improving product displays on its website. These measures are aimed at reducing the likelihood of returns by providing customers with more reliable information before they make a purchase.
Strategic adjustments
Asos recently announced that it is selling a significant portion of its stake in the Topshop and Topman brands for £135 million. The move is part of a broader strategy to refocus and streamline operations amid ongoing financial challenges. The decision to introduce a return fee is in line with Asos’ efforts to improve profitability and address the operating costs associated with high return rates.
The company’s new policy is likely an attempt to maintain its competitive edge while also managing the financial impact of returns. By setting a limit to free returns, Asos aims to encourage customers to be more selective with their purchases and reduce the overall volume of returns.
Conclusion
Asos’ new £3.95 return fee has caused considerable discontent among its customer base. While the company argues that this policy is necessary to maintain its free returns service for the majority, many shoppers feel penalised by this change. Asos’ approach reflects a wider trend in the retail industry where companies are re-evaluating their returns policies in response to rising operating costs and increased competition.
The response highlights that retailers must maintain a delicate balance between customer satisfaction and financial stability. As Asos tackles these challenges, the effectiveness of its new policy in achieving its goals while maintaining customer loyalty will be closely moni