More Online Retailers Offer Free Shipping for Returns

Dec. 24, 2011 — -- Free shipping is so last week.

The marching orders going forward include an additional shipping freebie that's becoming the latest consumer demand for folks who want to send back gifts or purchases: free reverse shipping.

Some retailers whose lifeblood is online sales, such as Zappos, have offered free return shipping for years. But joining them in 2011 with new or expanded holiday programs are other savvy Web and catalog retailers, including Saks Fifth Avenue, Nordstrom and Neiman Marcus. Plenty more are expected to join in by holiday 2012.

"Free returns is the next big thing, especially among apparel retailers," says Chad White, research director at Responsys, a marketing software company. "Shipping and returns are such a friction point that retailers are moving toward everyday programs."

It's all about keeping consumers — who increasingly shop online — happy. The world of online shopping continues to explode, with $31 million spent this season, an increase of 15%, reports the digital research firm ComScore.

Over the past two years, free shipping has become increasingly standard. For many consumers, it's been the single-most-powerful factor in determining if or where they purchase a holiday item. That's why 93% of retailers have offered free shipping at some point during the season vs. 85% last year, says the National Retail Federation.

But now, consumers want more. Some 73% recently surveyed by MarketLive named "free returns" as a top promotion in determining their online purchasing. By adopting perks such as free shipping and free returns, says Ken Burke, founder and chairman of MarketLive, "successful retailers can turn browsers into buyers."

Among those in the free-return mix:

•Saks Fifth Avenue. For the first time, Saks is offering free holiday returns for online purchases made by 4 p.m. ET Dec. 23. The deal is valid on domestic shipments. "We added free returns during the holidays as a special service to our customers and in order to remain competitive in the market place," says spokeswoman Julia Bentley.

•Nordstrom. In August, the department store chain rolled out a year-round free-shipping and free-returns policy. "Our hope is to give customers another reason to shop with us," says spokesman Colin Johnson. "If we're able to improve service, the results will follow.'

•Neiman Marcus. For the second-consecutive year, Neiman Marcus is offering free returns on orders placed between Thanksgiving and 11:59 p.m. CT Dec. 22. "The offer was so popular last year we decided to extend the offer again," says spokeswoman Ginger Reeder.