Why do returns spike after the holidays and how can e-commerce businesses effectively respond?

We buy with emotion, we return with reason

The spike in holiday returns is no coincidence. It’s driven by three core psychological mechanisms that shape purchase decisions. Understanding these helps online stores better prepare for the “high season.”

1. Unmet expectations

Every shopper enters the buying process influenced by ads, reviews, and product photos. When the real product doesn’t fully match that image, disappointment follows the most common psychological trigger for returns.

2. Post-purchase dissonance

During the holiday rush, buying decisions are often impulsive. Later, as emotions subside, doubt or regret sets in. Returning the product becomes a way to “regain control.”

3. The holiday effect

The holiday season amplifies all these mechanisms, expectations rise, emotions intensify, and tolerance for imperfections drops. Even small discrepancies (color, packaging, delivery timing) can trigger returns that wouldn’t occur at other times of the year.

Eye-tracking + personalized communication = higher sales

Read our article

How the holidays test e-commerce resilience?

During peak sales periods — especially around seasonal promotions and holiday campaigns — understanding the psychological side of consumer behavior becomes crucial. The operational and financial consequences can be significant.

Impact of the “Holiday Effect” on e-commerce

Area of Impact	Description	Key Data
Operational Costs	Increased return volume strains fulfillment centers and logistics networks.	Returns account for 20–30% of online orders, with +15–20% growth during holidays.
Customer Service	Higher expectations and demand for faster refunds.	21% of customers expect instant refunds; 33% within 24 hours.
Brand Reputation	Complex or delayed return processes reduce satisfaction and NPS.	32% of customers don’t return after a poor return experience.

How leading e-commerce brands manage returns effectively?

Top-performing online retailers approach returns as a customer experience opportunity, not just a cost center. Their strategies focus on data, process optimization, and communication.

1.   Returns are part of the customer journey — not an expense

A common mistake is to treat returns as a “necessary evil.” In reality, they represent a moment of truth in the customer relationship — one that often determines whether a shopper will buy again.

Automating the returns process helps:

• significantly reduce operational costs,
• free up customer support teams from manual processing,
• give shoppers a sense of control and confidence.

This turns returns into a natural part of a positive shopping experience, not a source of frustration.

Alsendo Insight

The Innoship Returns Module enables full digitalization — from customer request to shipping label and real-time status updates. A central management panel ensures full process visibility, while customers can easily generate and send return shipments using their preferred carrier.

2.   Preparing for the season means more than marketing — it’s about logistics

Studies show that returns can rise by 15–20% during the holiday season. Many sellers plan extensive marketing campaigns but neglect to prepare their logistics for the return surge. What many don’t realize is that shipments, including returns, can be automatically routed to the most efficient logistics partners in real time, without manual intervention. This results in:

• faster return processing,
• fewer shipping errors,
• reduced risk of overloading a single carrier during peak season.

Alsendo Insight

The Innoship Returns Module automates shipment and return handling by dynamically assigning them to the most efficient carriers. The system analyzes performance, cost, and delivery accuracy to optimize routing and minimize errors.

3.   Post-purchase communication reduces buyer’s remorse

Customers often doubt their choices after purchase and silence from the brand only reinforces that doubt. Post-purchase communication should reassure and confirm the buyer’s decision. To strengthen trust:

• Reinforce confidence – send a confirmation email highlighting product benefits and usage tips.
• Use social proof – include reviews or “Chosen by 1,200 customers” messages.
• Be transparent – clearly communicate return options.
• Stay in touch post-delivery – a simple follow-up can reduce return rates.
• Personalize communication – tailor tone and message based on purchase history.

Alsendo Insight

With Business Pro – Branded Notifications, stores can customize transactional emails with logos, educational content, or recommendations. This keeps positive emotions high and turns each message into part of the customer experience, not just a technical update.

4.   A return can be the start of a new sale

In modern e-commerce, a return doesn’t have to end the customer relationship, it can reignite engagement. Integrated logistics and marketing systems can trigger personalized follow-ups such as:

“Returned a product? Check out alternative models that better fit your needs.”

Combined with a free shipping offer on the next purchase, this can turn a negative experience into loyalty, making returns a retention strategy, not a loss.

Alsendo Insight

With Business Pro – On-Tracking Page Ads, retailers can use tracking pages as marketing channels. Personalized messages and offers (e.g., alternative products or discount codes after a return) enhance engagement and conversion.

5.   Return data is a goldmine

Every return tells a story about inaccurate product descriptions, sizing issues, overpromising visuals, or unclear marketing messages. For store owners, that’s invaluable insight. Analyzing return data helps pinpoint problematic products or campaigns, refine messaging, and improve listings before the next season. Over time, these insights drive better product communication, fewer returns, and higher margins.

Alsendo Insight

The Innoship Returns Module generates detailed reports on return reasons, processing times, costs, and carrier performance. This empowers e-commerce teams to identify pain points, optimize operations, and make data-driven decisions.

E-commerce maturity begins where the transaction ends

Automated returns, transparent communication, and quick resolution are today’s new currency of trust — and trust determines what stays in your customer’s cart for good.

Automated returns for your business

Discover our solutions

Alsendo Innoship Alsendo Business Pro

Sources:

1. https://ideas.repec.org/s/eee/joreco.html
2. https://www.richpanel.com/blog/ecommerce-return-rates
3. https://www.mailmodo.com/guides/ecommerce-return-statistics
4. https://www.pwc.com/us/en/services/consulting/business-transformation/library/customer-loyalty-survey.html

Michał Wójcik
Enterprise & Partnership Director

He has been working in the e-commerce industry for 13 years, gaining experience in building online sales strategies, implementing and managing marketing automation processes, and developing technological solutions. In recent years, he has managed e-commerce operations for major retail companies such as Leroy Merlin and Carrefour Poland, as well as advised clients in the consulting sector. At Alsendo, he is responsible for business development, working with the group’s largest clients, implementing tailored logistics technologies, and advising on last-mile strategy.