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Next time you order something from Amazon and want to return it, you may be hit with a $1 fee. The online retailer said it will begin charging the fee to customers who want to return items to a UPS store if there is a Whole Foods, Amazon Fresh grocery store, or Kohl's closer to their home.
"We offer convenient, easy returns to Amazon customers, with one or more options for label-free, box-free returns at no cost," Steve Kelly, an Amazon spokesperson, told USA Today in an email. "We always offer a free option for customers to return their item – if a customer would prefer to return their item at a UPS Store when there is a free option closer to their delivery address, a very small amount of customers may incur a $1 fee."
Amazon has been trying to reduce the number of returns it has to process in an effort to save money. The company recently started flagging "frequently returned" on its websites so customers may think twice before placing their order.
Returned products are a growing concern for retailers as consumers have become accustomed to easily returning unwanted items. According to the National Retail Federation, consumers returned more than $816 billion worth of retail merchandise in 2022.
"According to the retail survey, for every $1 billion in sales, the average retailer incurs $165 million in merchandise returns. Additionally, it found that for every $100 in returned merchandise accepted, retailers lose $10.40 to return fraud."