H&M is now charging for its returns

Mike Kemp | In Pictures | Getty Images | CNBC

Recently, H&M, one of the major players in the fast fashion industry, made a significant move by discontinuing free returns for online purchases in the UK. Now, customers will be charged £1.99 for parcel returns, except for members of H&M’s customer platform who will continue to enjoy this service at no additional cost. This decision comes as part of H&M's strategy to address rising costs and aligns with their CEO Helena Helmersson's previous statement about considering return charges to manage expenses more effectively.

In a landscape where online shopping has surged, retailers are struggling with the high costs of processing returns, particularly in the fashion industry. H&M's shift echoes a growing trend among retailers like Zara and Uniqlo, who are also revisiting their return policies due to escalating shipping costs worsened by the pandemic. This move towards implementing return fees signifies a direct and effective method to counterbalance/offset the increasing operational costs.