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    Returns & CX Mar 7, 2027 5 min read

    How Much Do Returns Cost Your Shopify Store?

    Each return costs more than just shipping. Total: $15-30 per return for typical apparel. Multiplied across 25% return rate = significant margin impact.

    The Chart

    CostPer ReturnNotes
    Return shipping label$5-15Usually you pay
    Inbound handling$3-5Receive, inspect, restock
    Restocking labor$1-3Sort, fold, photograph if damaged
    Refund processing$0.30-2Payment processor fees
    Customer service$2-5Email handling time
    Quality re-check$1-2Damage/missing-tag inspection
    Lost margin if discounted$5-15Returned items often go to liquidation
    Total$15-30+Per single return

    FAQs

    Free returns hide costs?

    Yes. 'Free' return = customer doesn't pay shipping; you do. Plus all internal processing costs. Typical free-return store loses $15-25 per return.

    How to calculate ROI of size chart investment?

    Per-return cost × current return count − new return count = savings. If size chart cuts returns 20%, savings = 20% × $20 × monthly returns. Often 10-50x ROI on app cost.

    Need this on your store?

    Tailor Size Guide ships pre-built size charts for Shopify.