The e-commerce landscape in Germany, Austria, and Switzerland (the DACH region) is currently undergoing a structural transformation regarding how retailers handle the reverse logistics of online shopping. According to the latest comprehensive study by the EHI Retail Institute, titled "Shipping, Packaging and Returns Management in E-Commerce 2026," the industry is moving away from reactive cost-cutting toward a more sophisticated, data-driven approach to consumer behavior and operational efficiency.
The report, which synthesized data from 108 prominent online retailers, highlights a paradoxical trend: while high-volume return rates are slowly trending downward, retailers are increasingly willing to absorb the costs of these returns to secure customer loyalty.
Main Facts: A Shift in Return Dynamics
As of the summer of 2026, the data suggests that the majority of DACH-based retailers have managed to keep their return rates under control. A significant 66.7 percent of surveyed merchants reported that their item-related return rates remain at a maximum of 10 percent.
Perhaps more importantly, the "danger zone"—retailers experiencing return rates exceeding 20 percent—has seen a slight contraction. In 2025, one-quarter of retailers reported such high levels of returns; by 2026, this figure had dipped to 23.6 percent. However, this positive macro trend is tempered by a counter-movement: the percentage of sellers reporting that their return rates are on an upward trajectory rose from 14.7 percent in 2025 to 18.7 percent this year.
This data indicates that while the "average" retailer is becoming more efficient at managing returns, there is a growing segment of the market struggling with increasing consumer propensity to send goods back.
Chronology: The Evolution of Reverse Logistics (2025–2026)
To understand the current state of the DACH e-commerce market, one must look at the rapid shifts that occurred between 2025 and 2026.
- Early 2025: Retailers were largely focused on aggressive cost-mitigation strategies. Following years of post-pandemic inflation, many merchants moved to end "free returns" policies, passing shipping costs to the consumer to protect margins.
- Late 2025: Data showed that nearly 18 percent of retailers had fully shifted return shipping costs to the customer, while the percentage of those offering free returns had dipped below 50 percent.
- Early 2026: Market pressure began to mount. As competition for customer lifetime value (CLV) intensified, retailers began reconsidering their policies.
- Summer 2026: The EHI study reveals a "Great Reversal." Free returns have made a significant comeback, with over 60 percent of retailers now covering shipping costs. The focus has moved from "how do we stop returns?" to "how do we analyze the root cause of these returns?"
Supporting Data: Industry-Specific Vulnerabilities
The EHI report provides a granular look at how different sectors are faring in the battle against return rates.
The Fashion Dilemma
The fashion industry remains the most significant outlier in reverse logistics. In 2026, 67.5 percent of fashion retailers reported return rates higher than 20 percent, an increase from 65.3 percent in the previous year. While the "extreme" end of the spectrum—those with return rates over 50 percent—has seen a decline, there has been a notable shift of retailers into the "moderate-high" bracket (35 to 50 percent). This suggests that while fewer fashion items are being returned in total, the habit of "bracketing" (ordering multiple sizes or colors to choose one) remains deeply ingrained in fashion consumer behavior.
The Electronics Success Story
Conversely, the consumer electronics sector has seen a remarkable turnaround. Through improved product descriptions, better compatibility guides, and enhanced digital support, the percentage of electronics retailers with return rates of 10 percent or less surged from 85.7 percent to 94.5 percent. Even more impressive is that the segment of electronics retailers reporting return rates over 20 percent has effectively vanished, falling from 4.8 percent to 0 percent.
Official Responses and Strategic Pivot
Niklas Stanislawski, Logistics Project Manager at EHI, notes that the industry is experiencing a fundamental change in philosophy. "Higher return rates are declining this year, leading to a slight shift towards lower values," Stanislawski explains. "Overall, the focus of returns management is shifting from a general cost issue to targeted root cause analysis and differentiated control."
The Return of "Free"
One of the most eye-opening findings is the resurgence of free return shipping. In 2025, only 49.2 percent of retailers covered return shipping costs. By 2026, this had climbed to 60.6 percent. Concurrently, the number of retailers charging the customer for all return shipping costs plummeted from 18 percent to 10.6 percent.
Retailers are citing two primary drivers for this policy shift:
- Customer Satisfaction and Loyalty: This was cited as the primary reason by 76.2 percent of respondents, a massive jump from 54.5 percent in 2025.
- Competitive Advantage: 64.3 percent of sellers believe that offering free returns is a necessity to remain competitive in a crowded market, compared to 60.6 percent the previous year.
Implications: The Cost of Doing Business
While the shift toward free returns is a boon for consumers, it remains a significant financial burden for retailers. The EHI study breaks down the cost structure of processing these returns, identifying return shipping as the primary cost driver, accounting for 70.6 percent of the total expense.
The Financial Breakdown per Return:
- Up to 5 euros: 33 percent of sellers.
- 5 to 10 euros: Nearly 20 percent of sellers.
- 10 to 20 euros: 15 percent of sellers.
- Over 20 euros: Just under 6 percent of sellers.
Furthermore, the secondary costs associated with returns—inspection, refurbishment, and restocking—are becoming more manageable. The percentage of retailers identifying these processes as their "biggest cost driver" fell from 63.1 percent to 52.9 percent. This suggests that retailers are becoming significantly more efficient at the physical processing of returned goods, perhaps through increased automation and streamlined warehouse workflows.
The Strategic Conclusion
The 2026 data paints a clear picture: the DACH e-commerce market is maturing. Retailers have moved past the panic phase of high inflation and supply chain volatility that characterized 2024 and 2025. Instead, they are adopting a more nuanced strategy.
The industry has accepted that returns are a structural element of online retail, particularly in fashion. Rather than trying to eliminate them through restrictive policies that alienate customers, retailers are now investing in "root cause analysis"—leveraging data to understand why a customer returns a product. Is it a sizing issue? A misrepresentation in the product imagery? A shipping delay?
By addressing these specific pain points, retailers are finding that they can offer the convenience of free returns while simultaneously reducing the actual frequency of those returns. As we look toward the remainder of 2026 and into 2027, the winners in the DACH market will likely be those who successfully balance the high cost of reverse logistics with the high rewards of elevated customer trust and brand loyalty.
For the average consumer in the DACH region, this means the era of the "frictionless return" is not only alive and well—it is becoming the standard for competitive, high-end e-commerce. Retailers who fail to adapt to this shift, or who continue to rely on blunt-force cost-cutting, risk losing market share to more agile competitors who view returns not as a loss, but as an opportunity to refine the customer journey.








