How Smart Retailers Are Tackling The $1 Trillion Returns Problem

In this episode of the Omni Talk Expert Series, hosts Chris Walton and Anne Mezzenga are joined by David Morin, VP of Customer Strategy at Narvar, for a deep dive into the massive returns crisis facing retailers today and the innovative solutions that are transforming this costly challenge into a competitive advantage.

David shares his extensive expertise from working with over 1,500 retailers globally, explaining how forward-thinking brands are using data-driven strategies, personalized policies, and advanced fraud detection to turn their returns programs from cost centers into loyalty-building profit drivers.

Key Moments:

[2:15] – Introduction to David Morin and Narvar’s work with 1,500+ global retailers
[7:31] – Why 55% of retailers now charge for returns and how they’re doing it strategically
[9:22] – The psychology behind return fees: what customers say vs. how they actually behave
[16:52] – The shocking true cost of returns: $30-$100 per item including all operational expenses
[18:11] – Why 56-67% of returns stem from operational issues, not customer intent
[22:07] – Operational strategies retailers use to reduce returns costs by 50%+ without alienating customers
[24:23] – How personalized return policies are replacing one-size-fits-all approaches
[27:35] – The returns fraud epidemic: 52% of consumers admit to committing return fraud
[29:01] – Creative fraud attempts retailers face, from empty CD cases to dark web services
[33:05] – Using AI and 42 billion data points to identify trusted customers and reward loyalty
[35:41] – How pre-purchase and post-purchase data integration drives revenue protection and growth

This conversation is essential listening for retail leaders looking to optimize their returns operations, reduce costs, and enhance customer experiences through modern returns management strategies.