Image: Pixabay



In 2021, retail sales of apparel and footwear worldwide amounted to over USD$1.5 trillion. This figure is forecast to increase to almost USD$2 trillion by 2026.1 For the same period, the global e-commerce fashion industry reached an overall market of USD$668 billion and is expected to reach a value of USD$1.2 trillion by 2025.2



The post-Covid-19 effect is clearly present in the projections with the global e-commerce apparel market expected to grow at a compound annual growth rate of 7.9% from 2022 to 2028.3



Covid-19 lockdowns, closure of brick-and-mortar stores, along with shoppers’ personal concerns for their safety and health fueled the evolving expectations of a modern consumer market. No longer able to visit stores and try on clothing, shoppers were forced to go online. Lenient returns policies, extensions in the window for returns, and free shipping for both delivery and returns all encouraged this change in consumer behavior. It was therefore inevitable that these behavioral changes combined with the sheer increase in online sales would lead to a significant increase in the volume of returns. The genie is out of the bottle.



Returns accounted for 16.6% of total US retail sales in 2021, up from 10.6% in 2020.4 Between 2020 and 2021, retailers in the UK also recorded a 39% increase in returns.5



Narrowing the focus, the fashion industry reports average return rates of 25% to 30% for online shoppers.6 In the US alone, clothing items made up 26% of all returned products during 2021, while in some online apparel markets the return rates can be as high as 50%.7



A simple extrapolation applying the lower bounded fashion industry return rate of 25% to the value of the global ecommerce apparel market value of USD$668 billion yields a staggering USD$168 billion in returns.



Returns are now the new normal and are central to the customer experience.



<h2>Motivations for returns in the size &amp; fit space</h2>



While the returns experience may vary across regions, and your business may fall above or below these averages, the chart below provides a benchmark against which you can evaluate the performance of your business.



<figure class="wp-block-image size-large"><a href="https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart.png"><img loading="lazy" width="1024" height="514" src="https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-1024x514.png" alt="" class="wp-image-4541" srcset="https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-1024x514.png 1024w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-300x151.png 300w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-768x385.png 768w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-600x301.png 600w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-1536x771.png 1536w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-2048x1028.png 2048w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-350x176.png 350w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-437x219.png 437w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-516x259.png 516w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-617x310.png 617w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-returns-chart-624x313.png 624w" sizes="(max-width: 1024px) 100vw, 1024px" /></a><figcaption>Data source: Statista8, PowerReviews9, Whistle10</figcaption></figure>



<div style="height:10px" aria-hidden="true" class="wp-block-spacer"></div>



Garments that failed to match the product description also featured prominently in the list of reasons online shoppers returned their purchase, scoring 14%9 and 49%10 across the US and UK markets respectively. Although not related directly to garment fit, the information contained in the product detail page is key to the online shopper making an informed product choice.



<h2>No such thing as a free return</h2>



Research as far back as 201211 found that customers having to pay for returns decreased their subsequent spending with the same retailer by 75% -100% by the end of two years, whereas customers who had free returns increased their spending by 158% &#8211; 457%.&nbsp;



More current research indicates that 70% of shoppers say that if a preferred retailer stopped offering free returns they might not shop with them, while 75% of shoppers agreed that free returns mean they will buy more from a retailer over time.12



<figure class="wp-block-image size-full"><a href="https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-free-returns.png"><img loading="lazy" width="431" height="180" src="https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-free-returns.png" alt="" class="wp-image-4542" srcset="https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-free-returns.png 431w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-free-returns-300x125.png 300w, https://eyefitu.ch/wp-content/uploads/2022/11/Copy-of-free-returns-350x146.png 350w" sizes="(max-width: 431px) 100vw, 431px" /></a><figcaption>Image: Klarna12</figcaption></figure>



<div style="height:10px" aria-hidden="true" class="wp-block-spacer"></div>



Clearly, the reluctance of online retailers to needlessly lose customers in the face of such research explains their willingness to cover the costs associated with free returns in a global industry characterized by intense competition and which generated USD$668 billion in revenue in 2021.2&nbsp;



However, such willingness comes at a price, both from a financial and environmental perspective. The tide may be turning. While they may not be the first to adopt such a policy, the decision taken by Zara and Boohoo to introduce a charge for returns13, if only nominally, may represent a tipping point in the fashion industry as more prominent brands follow suit.



As brands tentatively explore the impact charging for returns has upon their revenue and customer base there are other strategies that may be applied in tandem, and which may contribute to the mitigation of size and fit related returns.



<h2>Strategies to mitigate size &amp; fit related returns</h2>



There is no silver bullet that will solve the returns conundrum. Instead, a combination of strategies, deployed in conjunction with charging for returns presents themselves as online retailers attempt to mitigate the level of returns without losing customers.



◆ C-suite responsibility &#8211; In an earlier <a href="https://www.eyefitu.com/blog/the-best-return-is-no-return">post</a> I made the case for the Chief Returns Officer. A senior leader tasked with end-to-end responsibility for both processing as well as reducing the volume of returns. A dedicated returns executive is becoming an imperative in an industry that experiences average return rates of between 25% &#8211; 30% globally.



◆ Proven technology &#8211; The EyeFitU SizeEngineTM patented multi-parameter algorithm and the power of machine learning combine user-generated data, your size charts, and our proprietary global dataset of body measurements to help shoppers find their perfect size and fit.



◆ Product detail pages &#8211; Make product information accurate and easy to find. If the product arrives differently than expected, there&#8217;s a high chance of it being returned. Provide customers with a diverse selection of fit models showing clothing from different angles.



◆ Customer feedback &#8211; Encourage customers to leave honest feedback such as user-submitted reviews and photos about the fit and quality of the ordered items. 



◆ Know your customer &#8211; Ecommerce platforms capture a wealth of anthropometric and behavioral data about customers supporting targeted, personalized, and specific marketing messages, as opposed to those that are more generic and less effective in reducing the risk of an incorrect choice in so far as size and fit are concerned.



◆ Leverage returns data &#8211; Understand the root causes of returns. Data in the form of reason codes collected in-store and online create a feedback loop to inform product design and assortment planning.14



◆ Educate the consumer &#8211; In my recent <a href="https://www.eyefitu.com/blog/ceo-agenda-the-link-between-hurricane-and-the-fashion-industry">post</a>, I explored the challenge faced by the fashion industry and its contribution to climate change. It is an imperative that applies equally to the consumers of fashion. Only through developing a greater awareness amongst consumers about the impact their return choices have upon the environment will a change in behavior occur.



<h2>Cost of return vs benefit of a size and fit solution</h2>



According to a recent survey by a leading global shipping and mailing company online returns cost retailers an average of 21% of order value14. At a more granular level, return processing costs are estimated to fall within a range of £10 to £20 per item,13 alternatively $10 to $20 before the cost of shipping.



Looking at the problem of cost from a different angle EyeFitU modeled the financial benefits achieved from deploying the EyeFitU SizeEngineTM at our many customers. Using the following customer KPIs that are easily obtained from Google Analytics:



◆ 30% &#8211; Website Visitors who used the Size Widget.



◆ 55% &#8211; Reduction of sizing returns.



◆ 15% &#8211; Conversion rate improvement. 



◆ 45% &#8211; Increase in Average Order Value.



EyeFitU SizeEngine yielded a significant return on net sales (gross e-commerce sales less discount less returns) of 7,88% &#8211; USD$78 800 per USD$1 million in net sales.



<h2>Focus upon proven technology</h2>



From a returns perspective, retailers should therefore focus on the best-practice tools that are possible with existing technology instead of waiting for the many as-yet-unproven technologies that are still in the development phase.&nbsp;



EyeFitU SizeEngineTM is a proven technology.



<div style="height:10px" aria-hidden="true" class="wp-block-spacer"></div>



<hr class="wp-block-separator has-alpha-channel-opacity"/>



1 Statista &#8211; The Statistics Portal. (n.d.). Statista. Retrieved October 2022, from <a href="https://www.statista.com/markets/415/topic/466/apparel-shoes/">https://www.statista.com/markets/415/topic/466/apparel-shoes/</a>



2 Global fashion e-commerce market size 2021-2025. (2022, March 28). Statista. <a href="https://www.statista.com/statistics/1298198/market-value-fashion-ecommerce-global/">https://www.statista.com/statistics/1298198/market-value-fashion-ecommerce-global/</a>



&nbsp;3 E-commerce Apparel Market Size &amp; Share Report, 2028. (n.d.). Retrieved October&nbsp; 2022, from <a href="https://www.grandviewresearch.com/industry-analysis/e-commerce-apparel-market-report">https://www.grandviewresearch.com/industry-analysis/e-commerce-apparel-market-report</a>



4 Inman, D. (2022, January 25). Retail Returns Increased to $761 Billion in 2021 as a Result of Overall Sales Growth. NRF. <a href="https://nrf.com/media-center/press-releases/retail-returns-increased-761-billion-2021-result-overall-sales-growth">https://nrf.com/media-center/press-releases/retail-returns-increased-761-billion-2021-result-overall-sales-growth</a>



5 The UK’s 2021 Serial Refunder Report. (2021, December 10). Paymentsense. <a href="https://www.paymentsense.com/uk/blog/uk-serial-refund-hotspots-2021/">https://www.paymentsense.com/uk/blog/uk-serial-refund-hotspots-2021/</a>



6 How To Reduce Returns in E-Commerce Fashion | Avensia. (n.d.). Retrieved October 2022, from <a href="https://www.avensia.com/knowledge-hub/blog/posts/reduce-returns-in-fashion-with-pim">https://www.avensia.com/knowledge-hub/blog/posts/reduce-returns-in-fashion-with-pim</a>



7 Latest Returns Statistics That May Surprise You. (2022, October 11). Meteor Space &#8211; Warehousing &amp; Order Fulfillment Services in Ireland &amp; Europe: Meteor Space. <a href="https://www.meteorspace.com/2022/08/25/latest-returns-statistics-that-may-surprise-you/">https://www.meteorspace.com/2022/08/25/latest-returns-statistics-that-may-surprise-you/</a>



8 Statista. (2022, April 8). Global consumers reasons for returning clothes bought online 2021. <a href="https://www.statista.com/statistics/1300981/main-reasons-return-clothes-bought-online/">https://www.statista.com/statistics/1300981/main-reasons-return-clothes-bought-online/</a>



9 Team, P. (2022, July 27). The State of Apparel &amp; Footwear Shopping in 2022. PowerReviews. <a href="https://www.powerreviews.com/research/apparel-footwear-shopping-survey-2022/">https://www.powerreviews.com/research/apparel-footwear-shopping-survey-2022/</a>



&nbsp;10 eCommerce Returns. (2022, May). Whistl. <a href="https://www.whistl.co.uk/research/ecommerce-returns">https://www.whistl.co.uk/research/ecommerce-returns</a>



11 Bower, A. B., &amp; Maxham, J. G. (2012). Return Shipping Policies of Online Retailers: Normative Assumptions and the Long-Term Consequences of Fee and Free Returns. Journal of Marketing, 76(5), 110–124. <a href="https://doi.org/10.1509/jm.10.0419">https://doi.org/10.1509/jm.10.0419</a>



12 The state of returns in 2021: insights from our latest report. – Klarna UK. (2021, June 8). <a href="https://www.klarna.com/uk/blog/the-state-of-returns-in-2021/">https://www.klarna.com/uk/blog/the-state-of-returns-in-2021/</a>



13 Eley, J. (2022, July 23). Fast fashion retailers end ‘real pain’ of free returns. Financial Times. <a href="https://www.ft.com/content/792c2893-4108-4faf-abf7-128b1aeda6c2">https://www.ft.com/content/792c2893-4108-4faf-abf7-128b1aeda6c2</a>



&nbsp;14 Introducing: Returnament 2022. (2022, June 23). Pitney Bowes. <a href="https://www.pitneybowes.com/us/blog/returnament-2022.html">https://www.pitneybowes.com/us/blog/returnament-2022.html</a>



17 Mull, A. (2021, October 13). Free Returns Are Complicated, Laborious, and Gross. The Atlantic. <a href="https://www.theatlantic.com/magazine/archive/2021/11/free-returns-online-shopping/620169/">https://www.theatlantic.com/magazine/archive/2021/11/free-returns-online-shopping/620169/</a>



16 Returning to order: Improving returns management for apparel companies. (2021, May 25). McKinsey &amp; Company. <a href="https://www.mckinsey.com/industries/retail/our-insights/returning-to-order-improving-returns-management-for-apparel-companies">https://www.mckinsey.com/industries/retail/our-insights/returning-to-order-improving-returns-management-for-apparel-companies</a>

Ecommerce Apparel Returns. A USD $168bn Problem

Image:newsgaffer.com



The devastation left behind in the wake of Hurricane Ian as it rampaged through Florida and the Carolinas is a harsh reminder that our climate is changing.&nbsp;



If Hurricane Ian is not enough of a reminder, on the other side of the globe the Philippines, Vietnam, and Thailand are reeling under the impact of Typhoon Noru, while the early arrival of the monsoon season in Pakistan has led to widespread rain and flooding.



In this first of a series of posts, I invite you to share my journey as I unravel the complexity of the climate change debate, develop my understanding and that of the organization I lead, and identify how we can play a role in reducing the impact the fashion industry has upon our environment.



It is all our responsibility. And EyeFitU along with the major players in the virtual fitting, size finder, and fit finder space has an important role to play, whether by reducing our own emissions or that of the value chain we operate in.



<h2>Global Warming versus Climate Change</h2>



The terms “global warming” and “climate change” are sometimes used interchangeably, but global warming is only one aspect of climate change.&nbsp;



“Global warming” refers to the long-term warming of the planet. Since the 1880’s the average surface temperature of the planet has risen by approximately 10C, with most of this warming occurring in the last 40 years.1



“Climate change”, which encompasses global warming, refers to the increasing changes in the measures of climate over an extended period of time. The more obvious of these measures would include precipitation (rain, snow, sleet, and hail), temperature, and wind patterns.2



Whatever label we choose to append to these events, the science describing the development of a hurricane (also described as a typhoon or tropical cyclone in other parts of the world) is well known.



The connection between the warming of the Earth’s surface, specifically the surface temperature of the sea, and the impact this warming has upon the development of a hurricane such as Ian is a relationship we must confront.



Global warming, leading to higher average temperatures, leads to warmer ocean waters which in turn causes more evaporation. As hurricanes pass over, they absorb more moisture, leading to heavier rainfall. Warmer waters increase the storms’ wind speed and can cause hurricanes to undergo so-called “rapid intensification” more often.3



<h2>Making the connection &#8211; greenhouse effect and greenhouse gasses</h2>



Natural processes such as cyclical ocean patterns, volcanic activity, changes in the Sun’s energy output, and variations in the Earth’s orbit can contribute to climate change.&nbsp;



Empirical evidence drawing upon surface temperature measurements, sea surface temperature measurements, and temperature profile measurements in boreholes all indicate that the temperature of the Earth’s surface is increasing.&nbsp;4



The observable consequences of our warming planet are there for all to see &#8211; changes in rainfall levels and seasonality; increased frequency of severe weather events such as droughts, floods, and hurricanes; sea level rise; melting of polar ice and glaciers are only a few of the consequences that can be expected. Desertification, loss of tropical forests and coral reefs, decreases in agricultural production, extinction of species, water scarcity, increasing natural disaster losses, and the spread of tropical diseases are likely to be among the ecological and human effects of these changes.4&nbsp;



<figure class="wp-block-image size-large"><a href="https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1.jpg"><img loading="lazy" width="1024" height="576" src="https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1-1024x576.jpg" alt="" class="wp-image-4451" srcset="https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1-1024x576.jpg 1024w, https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1-300x169.jpg 300w, https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1-768x432.jpg 768w, https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1-600x338.jpg 600w, https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1-350x197.jpg 350w, https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1-437x246.jpg 437w, https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1-516x290.jpg 516w, https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1-617x347.jpg 617w, https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1-624x351.jpg 624w, https://eyefitu.ch/wp-content/uploads/2022/10/power-plant-1280x720-1.jpg 1280w" sizes="(max-width: 1024px) 100vw, 1024px" /></a><figcaption>Image: Pixabay &#8211; Catazul </figcaption></figure>



<h3>Greenhouse effect</h3>



In the face of such overwhelming evidence, there is no denying that our planet is getting hotter. Natural processes aside, the debate would appear to be centered around the role human activity plays in the process of global warming, specifically our contribution to the “greenhouse effect”.



The greenhouse effect is the natural warming of the earth that results when gasses in the atmosphere, generally referred to as “greenhouse gasses”, trap heat from the sun that would otherwise escape into space.&nbsp;5



The greenhouse effect is essential to life on Earth, warming the planet to a comfortable and liveable temperature. Without the natural greenhouse effect, heat emitted by the Earth would simply pass outwards from the Earth’s surface into space leaving behind an inhospitable environment with an average temperature of about -20°C.6



<h3>Greenhouse gasses</h3>



The greenhouse gasses that contribute most to the greenhouse effect are naturally occurring gasses &#8211;&nbsp; water vapor, carbon dioxide, nitrous oxide7, and methane; and fluorinated gasses which are synthetic.5



While water vapor is the most abundant greenhouse gas overall, the amount of water vapor in the atmosphere is a consequence of warming rather than a driving force because warmer air holds more water. To reduce water vapor in the atmosphere, we must lower global temperatures by reducing other greenhouse gasses.8



Although methane and other greenhouse gasses are capable of trapping more heat than carbon dioxide, scientists consider carbon dioxide to be the dominant greenhouse gas because its warming effect outlives the others&#8217; effects by centuries.7 Carbon dioxide stays in the atmosphere for up to 1,000 years, methane for around a decade, and nitrous oxide for approximately 120 years.9



<h2>Why the focus on CO2 emissions?</h2>



The level of carbon dioxide (CO2) in the atmosphere is at its highest level than at any time in human history. During the 20,000-year period before the Industrial Revolution, atmospheric carbon dioxide fluctuated between 180 parts per million (ppm) during ice ages and 280 ppm during interglacial warm periods.7 However, since the beginning of the Industrial Revolution in the mid-18th century, the amount of carbon dioxide in the atmosphere has risen nearly 50%.10



<figure class="wp-block-image size-large"><a href="https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1.jpg"><img loading="lazy" width="1024" height="576" src="https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1-1024x576.jpg" alt="" class="wp-image-4452" srcset="https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1-1024x576.jpg 1024w, https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1-300x169.jpg 300w, https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1-768x432.jpg 768w, https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1-600x338.jpg 600w, https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1-350x197.jpg 350w, https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1-437x246.jpg 437w, https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1-516x290.jpg 516w, https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1-617x347.jpg 617w, https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1-624x351.jpg 624w, https://eyefitu.ch/wp-content/uploads/2022/10/keeling-curve-1280x720-1.jpg 1280w" sizes="(max-width: 1024px) 100vw, 1024px" /></a></figure>



The source of the increase in atmospheric carbon dioxide levels can be identified by the isotopic (atoms of the same element that have a different number of neutrons) fingerprints of the different sources of carbon dioxide, whether man-made or occurring naturally, found in the atmosphere.11 Human activity since the mid-20th century, particularly fossil fuel burning which increases heat-trapping greenhouse gas levels in Earth’s atmosphere, has driven the raising of Earth’s average surface temperature.12



To put it in perspective, the latest carbon dioxide reading taken from the Keeling Curve13, a daily record of global atmospheric carbon dioxide concentration, is 415 ppm. Atmospheric carbon dioxide levels of between 280 and 350 parts per million created the climate that let humanity build and feed the modern world.14



If the rise in global temperature is to be halted, the accumulation of carbon dioxide in the air needs not just to end, but go into reverse.&nbsp; Alternatively, if emissions are not stopped completely, there needs to be an enhanced removal of carbon dioxide from the atmosphere so that the overall effect is neutral in order to achieve “net-zero” (a state in which the greenhouse gasses going into the atmosphere are balanced by removal out of the atmosphere) emissions.15



<h2>Hurricane Ian is a Call To Action for All of us</h2>



Depending upon the source, the fashion industry contributes between 4%16 and 10%17 of greenhouse gas emissions.



Reinforcing the observations made in my previous blog on returns. I share the following commonly available statics in so far as they pertain to greenhouse gas emissions:



 ◆ A single item using a courier emits 181g of CO2, when being returned.



 ◆ Worldwide, approximately 17 billion items are being returned every year. This totals to 4.7 million metric tons of CO2 emitted yearly.



 ◆ In the EU, total packaging waste in 2016 amounted to nearly 87 million tonnes or about 170 kg per person.



 ◆ Subsequently, less than half of returns go back on sale, as it&#8217;s cheaper and less hassle for retailers to send them to an incinerator or landfill.



<div style="height:18px" aria-hidden="true" class="wp-block-spacer"></div>



Launched in 2018 and signed by 130 brands, the United Nations Fashion Industry Charter For Climate Action recently revised the fashion industry’s target of reducing greenhouse gas emissions from 30% to 50%.18



If a recent report benchmarking 47 luxury, sportswear, outdoor, fast fashion, and casual wear companies on their efforts to reduce climate emissions is anything to go by, expressions of intent carry little weight in the absence of action.&nbsp;



The report found that while some progress had been made by a handful of brands in transitioning away from fossil fuels in their operations, most brands had made little to no progress eliminating coal and other fossil fuels from their supply chain where the vast majority of their emissions lie. Some were even more dependent on coal than when they first signed the charter.19



If ever there was a call to action, Hurricane Ian may be such a moment.&nbsp;



Humans, however, are emotional beings. Playing exclusively on fear and guilt, or to the rational mind will not reach people&#8217;s hearts and not give people a story that comes with a sense of community that we are in this together.20



<hr class="wp-block-separator has-alpha-channel-opacity"/>



In my next post I’ll map the global environmental governance structures within which the fashion industry is located. It is here that we will find the forward-looking stories of individuals and organizations on the path towards a more sustainable planet.



<hr class="wp-block-separator has-alpha-channel-opacity"/>



1 Climate Change Evidence: How Do We Know? (n.d.). Climate Change: Vital Signs of the Planet. <a href="https://climate.nasa.gov/evidence/">https://climate.nasa.gov/evidence/</a>



2 What is the difference between global warming and climate change? (n.d.). USGS. <a href="https://www.usgs.gov/faqs/what-difference-between-global-warming-and-climate-change">https://www.usgs.gov/faqs/what-difference-between-global-warming-and-climate-change</a>



3 Garza, A. (2022, September 29). Yes, Climate Change Is Making Storms Like Hurricane Ian Worse. Time. <a href="https://time.com/6218075/hurricane-ian-climate-change-impact/">https://time.com/6218075/hurricane-ian-climate-change-impact/</a>



4 Chophel, Y. (2022, March 9). Global Warming and Climate Change (GWCC) Realities. The Nature, Causes, Effects and Mitigation of Climate Change on the Environment. <a href="https://doi.org/10.5772/intechopen.97820">https://doi.org/10.5772/intechopen.97820</a>



5 Denchak, M. (n.d.). Greenhouse Effect 101. NRDC. <a href="https://www.nrdc.org/stories/greenhouse-effect-101">https://www.nrdc.org/stories/greenhouse-effect-101</a>



6 British Geological Survey. (2021, June 4). The greenhouse effect. <a href="https://www.bgs.ac.uk/discovering-geology/climate-change/how-does-the-greenhouse-effect-work/">https://www.bgs.ac.uk/discovering-geology/climate-change/how-does-the-greenhouse-effect-work/</a>



7 Lallanilla, M., &amp; Means, T. (2021, June 9). Greenhouse gases: Causes, sources and environmental effects. livescience.com. <a href="https://www.livescience.com/37821-greenhouse-gases.html">https://www.livescience.com/37821-greenhouse-gases.html</a>



8 Fecht, S. (2021, March 17). How Exactly Does Carbon Dioxide Cause Global Warming? State of the Planet. <a href="https://news.climate.columbia.edu/2021/02/25/carbon-dioxide-cause-global-warming/">https://news.climate.columbia.edu/2021/02/25/carbon-dioxide-cause-global-warming/</a>



9 5 things you should know about the greenhouse gases warming the planet. (2022, January 11). UN News. <a href="https://news.un.org/en/story/2022/01/1109322">https://news.un.org/en/story/2022/01/1109322</a>



10 The Causes of Climate Change. (n.d.). Climate Change: Vital Signs of the Planet. <a href="https://climate.nasa.gov/causes/">https://climate.nasa.gov/causes/</a>



11 The Technical Details: Chemistry. (n.d.). Global Monitoring Laboratory. <a href="about:blank">https://https://gml.noaa.gov/ccgg/isotopes/chemistry.html</a>



12 Shaftel, H. (n.d.). Overview: Weather, Global Warming and Climate Change. Climate Change: Vital Signs of the Planet. <a href="https://climate.nasa.gov/global-warming-vs-climate-change/">https://climate.nasa.gov/global-warming-vs-climate-change/</a>



13 The Keeling Curve. (n.d.). Scripps Institution of Oceanography, UC San Diego. <a href="https://keelingcurve.ucsd.edu/">https://keelingcurve.ucsd.edu/</a>



&nbsp;14 What is the ideal level of carbon dioxide in the atmosphere for human life? (n.d.). MIT Climate Portal. <a href="https://climate.mit.edu/ask-mit/what-ideal-level-carbon-dioxide-atmosphere-human-life">https://climate.mit.edu/ask-mit/what-ideal-level-carbon-dioxide-atmosphere-human-life</a>



15 Daniel, R. (2022, March 9). Guest post: How the Keeling Curve will need to bend to limit global warming to 1.5C. Carbon Brief. <a href="https://www.carbonbrief.org/guest-post-how-the-keeling-curve-will-need-to-bend-to-limit-global-warming-to-1-5c/">https://www.carbonbrief.org/guest-post-how-the-keeling-curve-will-need-to-bend-to-limit-global-warming-to-1-5c/</a>



16 Berg, A., Granskog, A., Lee, L., &amp; Magnus, K. (2020, December 14). Fashion on climate. McKinsey &amp; Company. Retrieved October 3, 2022, from <a href="https://www.mckinsey.com/industries/retail/our-insights/fashion-on-climate">https://www.mckinsey.com/industries/retail/our-insights/fashion-on-climate</a>



17 World Bank Group. (2019, October 8). How Much Do Our Wardrobes Cost to the Environment? World Bank. Retrieved October 3, 2022, from <a href="https://www.worldbank.org/en/news/feature/2019/09/23/costo-moda-medio-ambiente">https://www.worldbank.org/en/news/feature/2019/09/23/costo-moda-medio-ambiente</a>



18 Ortiz, S. E. D. (2021, November 29). The Fashion Industry After COP26 — Good Start But A Long Way To Go. TSC the Stakeholder Company. <a href="https://tsc.ai/news/2021/11/29/fashion-industry-after-cop26/">https://tsc.ai/news/2021/11/29/fashion-industry-after-cop26/</a>



19 Are fashion brands on track to meet the 1.5C emissions pathway? (2021, October 28). Stand.earth. <a href="https://www.stand.earth/blog/markets-vs-climate/fossil-free-fashion/are-fashion-emissions-on-pathway-meeting-paris-agreement">https://www.stand.earth/blog/markets-vs-climate/fossil-free-fashion/are-fashion-emissions-on-pathway-meeting-paris-agreement</a>



20 Deutsche Welle (www.dw.com). (n.d.). Psychology behind climate inaction: How to beat the “doom barrier.” DW Learn German. <a href="https://learngerman.dw.com/en/psychology-behind-climate-inaction-how-to-beat-the-doom-barrier/a-48730230">https://learngerman.dw.com/en/psychology-behind-climate-inaction-how-to-beat-the-doom-barrier/a-48730230</a>

CEO Agenda. The Link between Hurricane Ian and the Fashion Industry

Image: Martin Bernetti/AFP



The CEO’s Agenda, like a moveable feast, is renewed every year. Themes and priorities may change, but sustainability, whatever the industry, remains at the top of the list.



An agenda in its own right, sustainability begins with making a commitment to incorporating social, environmental, and governance (ESG) goals into an organization’s strategic decision-making.



The skepticism that first greeted the incorporation of sustainability into the core of one’s business strategy would appear to no longer hold sway. An alliance of investors, consumers, industry peers, and governments has driven this change in sustainability mindset in the c-suite.



Whatever the motivation &#8211; extreme weather conditions, environmental degradation, global income inequality &#8211; sustainability, in an environmental, social, and ethical sense, is now a management imperative. The corporate focus is shifting toward achieving tangible long-term viability alongside organizational return on investment.1



<h2>Sustainability and the fashion industry</h2>



Quantifying the financial impact of a failure to address sustainability at a corporate level will always be controversial. Credible estimates envisage a decline in EBIT margins of more than 3 percent by 2030 if fashion brands continue along a linear &#8211; take, make and waste trajectory. This adds up to approximately €45 billion per year of profit reduction for the industry as a whole.2



Business as usual is therefore not an option.



Beyond financial measures there is no shortage of data illustrating the impact the fashion industry has upon the environment.



To highlight but a few of the data points, it is estimated that:&nbsp;



◆ 4%3 of global greenhouse gas emissions can be attributed to the fashion industry due to its long supply chains and energy-intensive production.4



◆ 20% of industrial water pollution globally is attributable to the dyeing and treatment of textiles.6



◆ 35% of the microplastics found in oceans can be traced to textiles, making them the largest source of microplastic pollution in the world’s oceans.8



◆ 87% of material used for clothing production is landfilled or incinerated after its final use.9



Yet the reluctance to act remains. The complexity of the challenge is clearly overwhelming. Disagreement amongst the various role players as to the nature, timing and extent of the challenge merely delays the move forward beyond expressions of commitment to action.



A past Governor of California, Arnold Schwarzenegger, summed it up best when speaking about global warming at the United Nations World Environment Day conference in San Francisco in 2005:10



<blockquote class="wp-block-quote">“I say the debate is over. We know the science, we see the threat, and the time for action is now.”</blockquote>



<h2>Renew the focus upon returns management</h2>



No matter the size, and wherever located in the fashion industry value chain it is incumbent upon all stakeholders to identify opportunities within their sphere of influence and to lead the required change.



Technology leaders in the size and fit recommendation space have a significant role to play in retail operations, specifically returns management. Again, there is a wealth of data illustrating the extent of the challenge in the returns space:



◆ 26% of ecommerce returns in the US were clothing items, compared to an average 18% across all ecommerce returns.11 ◆ 70% of consumers say incorrect fit is the primary reason they return clothing.12



◆ 25% of items returned to fashion retailers end up in landfills annually.13



A recent report14 authored by McKinsey &amp; Company in partnership with Global Fashion Agenda identified the minimization of returns as one of a number of potential decarbonization levers available to the fashion industry to reduce the industry’s greenhouse gas emissions.



Technology leaders in the size and fit recommendation space are therefore well positioned to make a significant contribution to the estimated saving of 12 million tonnes of greenhouse gas emissions that could be achieved through a combination of technological improvements on predicting size and fit, and consumer behavioral change to reduce purchases with an intent to return.



To put the challenge in perspective, the 2015 Paris Agreement15 on climate change calls for holding eventual warming “well below” 2 degrees celsius, and for the pursuit of efforts to limit the increase even further, to 1.5 degrees. The year 2030 is the target date.&nbsp;



<figure class="wp-block-image size-large"><a href="https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59.png"><img loading="lazy" width="1024" height="620" src="https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-1024x620.png" alt="" class="wp-image-4435" srcset="https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-1024x620.png 1024w, https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-300x182.png 300w, https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-768x465.png 768w, https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-600x363.png 600w, https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-1536x930.png 1536w, https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-2048x1240.png 2048w, https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-350x212.png 350w, https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-437x265.png 437w, https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-516x312.png 516w, https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-617x373.png 617w, https://eyefitu.ch/wp-content/uploads/2022/09/Screenshot-2022-09-28-at-19.47.59-624x378.png 624w" sizes="(max-width: 1024px) 100vw, 1024px" /></a><figcaption>Data: McKinsey and Company </figcaption></figure>



For the fashion industry to carry its share of the load under its current growth and emissions savings trajectory, it will be required to deliver total savings of 1.6 billion tonnes of greenhouse gas emissions by 2030, confining its emissions to 1.1 billion tonnes.



<h2>Best practices for mitigating returns</h2>



Returns are inevitable, especially in clothing and footwear. Where size and fit is concerned there is no silver bullet that will eliminate returns in their entirety. A component of any strategy targeting apparel returns emanating from an ecommerce platform will include the adoption of an appropriate size and fit technology in combination with the best practices suggested below:



<ul><li>Product descriptions &#8211; At a minimum, sizing information shared on product detail pages should include multiple points of measurement, instructions on how to measure each point, and sizing guidance covering individual brands where multiple brands are stocked.16 </li><li>Videos and images &#8211; Visual content sets expectations. Research found average consumers want to see between 3 to 5 images of a product to better understand what the item has to offer before making a purchase.17 </li><li>Let shoppers ask questions &#8211; 55% of shoppers abandon an online purchase if they can’t find a quick answer to their product question.18 Whether call center support or FAQs, customers must be able to find answers to the questions they have easily. </li><li>Customer reviews &#8211; Today, 97% of consumers consult product reviews when making purchase decisions, up from 95% in 2014.19 Encourage shoppers to submit photos and videos as part of their reviews. Allowing reviewers to submit their own photos adds a level of authenticity and allows future shoppers to see what a product looks like “in real life.” </li><li>Education &#8211; Highlighting the environmental impact behind returns reminds customers that reducing returns isn’t just about cutting costs, but also about protecting the environment and reducing waste for future generations.</li></ul>



<h2>Chief Returns Officer</h2>



Global ecommerce retail sales are forecast to reach an estimated USD$5.5 trillion in 2022, growing by a further 35% to USD$7.4 trillion in 2025.20 US online retail industry sales for 2021 amounted to&nbsp; USD$1.050 trillion, while the value of merchandise returned is estimated to be USD$218 billion, a staggering 20.8% of sales.21


<div class="wp-block-image">
<figure class="alignleft size-large"><a href="https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart.jpg"><img loading="lazy" width="1024" height="617" src="https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart-1024x617.jpg" alt="" class="wp-image-4436" srcset="https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart-1024x617.jpg 1024w, https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart-300x181.jpg 300w, https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart-768x462.jpg 768w, https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart-600x361.jpg 600w, https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart-1536x925.jpg 1536w, https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart-350x211.jpg 350w, https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart-437x263.jpg 437w, https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart-516x311.jpg 516w, https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart-617x372.jpg 617w, https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart-624x376.jpg 624w, https://eyefitu.ch/wp-content/uploads/2022/09/4-ecommerce-growth-chart.jpg 1649w" sizes="(max-width: 1024px) 100vw, 1024px" /></a><figcaption>Data: eMarketer/Shopify </figcaption></figure></div>


Yet it is surprising to see that managing returns is not among the top five priorities for a third of retailers, with more than a quarter of the retailers surveyed of the opinion that they don’t manage returns efficiently and effectively.&nbsp;



&nbsp;A USD$218 billion problem accounting for 20.8% of online sales deserves a focus all of its own, a seat in the c-suite.&nbsp;



Returns affect multiple departments across the value chain with each department assuming responsibility only for their own role in the returns process. In the absence of assigning responsibility at a senior level, the response to the returns challenge will at best remain fragmented and inefficient.22



There is clearly a case to be made for the Chief Returns Officer, a senior leader tasked with end-to-end responsibility for both processing as well as reducing the volume of returns. In the fashion industry where online retailers can expect anywhere between 8 &#8211; 40% return rates23,&nbsp; a dedicated returns executive is becoming an imperative.



<h2>Time to revise the CEO’s agenda</h2>



Whatever the motivation &#8211; sustainability in its widest sense, climate change and global warming, or a focus upon cost and profitability &#8211; the top of the CEO’s agenda in the fashion industry requires immediate revision.&nbsp;



The deployment of size and fit technology in tandem with the return mitigation strategies identified above, represents an opportunity that can best be described as low hanging fruit. An effective solution, easily implemented, and one which delivers value way beyond its cost of implementation and maintenance.



In the words of John Holdren, former president of the American Association for the Advancement of Science and an energy and climate expert:



<blockquote class="wp-block-quote">“We basically have three choices: mitigation, adaptation, and suffering. We’re going to do some of each. The question is what the mix is going to be. The more mitigation we do, the less adaptation will be required and the less suffering there will be.”24</blockquote>



<hr class="wp-block-separator has-alpha-channel-opacity"/>



1 Eitelwein, O., &amp; Parquet, S. (2021, January). Why sustainability has become a corporate imperative. Retrieved from <a href="https://www.ey.com/en_mz/strategy/why-sustainability-has-become-a-corporate-imperative">https://www.ey.com/en_mz/strategy/why-sustainability-has-become-a-corporate-imperative</a>



2 Global Fashion Agenda &amp; Boston Consulting Group. (2017). Pulse of the fashion industry. Retrieved from <a href="https://www.greylockglass.com/wp-content/uploads/2021/08/Pulse-of-the-Fashion-Industry_2017.pdf">https://www.greylockglass.com/wp-content/uploads/2021/08/Pulse-of-the-Fashion-Industry_2017.pdf</a>



3 Fashion on Climate. (2020). Retrieved from <a href="http://www2.globalfashionagenda.com/INITIATIVES/FASHION-ON-CLIMATE/#/">http://www2.globalfashionagenda.com/INITIATIVES/FASHION-ON-CLIMATE/#/</a>



4 Everything You Wanted to Know About the Fashion Charter. (2022, May). Retrieved from <a href="https://unfccc.int/blog/everything-you-wanted-to-know-about-the-fashion-charter">https://unfccc.int/blog/everything-you-wanted-to-know-about-the-fashion-charter</a>



5 Kant, R. (2012). Textile dyeing industry an environmental hazard. Natural Science, 04(01), 22–26. <a href="https://doi.org/10.4236/ns.2012.41004">https://doi.org/10.4236/ns.2012.41004</a>



6 Ellen MacArthur Foundation. (2017). A new textiles economy: Redesigning fashion’s future. Author. Retrieved from <a href="http://www.ellenmacarthurfoundation.org/publication">http://www.ellenmacarthurfoundation.org/publication</a>



7 Julien Boucher &amp; Damien Friot. (2017). Primary Microplastics in the Oceans: a Global Evaluation of Sources. dx.doi.org/10.2305/IUCN.CH.2017.01.en. IUCN, Gland, Switzerland. Retrieved from <a href="https://portals.iucn.org/library/sites/library/files/documents/2017-002-En.pdf">https://portals.iucn.org/library/sites/library/files/documents/2017-002-En.pdf</a>



8 Dottle, R., &amp; Gu, J. (2022, February). The Global Glut of Clothing Is an Environmental Crisis. Retrieved from <a href="https://www.bloomberg.com/graphics/2022-fashion-industry-environmental-impact/">https://www.bloomberg.com/graphics/2022-fashion-industry-environmental-impact/</a>



9 Global Fashion Agenda &amp; Boston Consulting Group. (2017). Pulse of the fashion industry. Retrieved from <a href="https://www.greylockglass.com/wp-content/uploads/2021/08/Pulse-of-the-Fashion-Industry_2017.pdf">https://www.greylockglass.com/wp-content/uploads/2021/08/Pulse-of-the-Fashion-Industry_2017.pdf</a>



10 Bustillo, M. (2005, June 2). Gov. Vows Attack on Global Warming. Retrieved from <a href="about:blank">https://https://www.latimes.com/archives/la-xpm-2005-jun-02-me-greenhouse2-story.html</a>



11 25 Surprising Ecommerce Return Statistics (2022). (2022, August 26). Retrieved from <a href="https://www.soocial.com/ecommerce-return-statistics/">https://www.soocial.com/ecommerce-return-statistics/</a>



12 Consumer Survey: Returns in Retail in 2021. (2022, March 9). Retrieved from <a href="https://www.powerreviews.com/insights/consumer-survey-retail-returns-2021/">https://www.powerreviews.com/insights/consumer-survey-retail-returns-2021/</a>



13 Reagan, C. (2019, January 12). That sweater you don’t like is a trillion-dollar problem for retailers. These companies want to fix it. Retrieved from <a href="https://www.cnbc.com/2019/01/10/growing-online-sales-means-more-returns-and-trash-for-landfills.html">https://www.cnbc.com/2019/01/10/growing-online-sales-means-more-returns-and-trash-for-landfills.html</a>



14 Berg, A., Granskog, A., Lee, L., &amp; Magnus, K. (2020, December 14). Fashion on climate. Retrieved from <a href="https://www.mckinsey.com/industries/retail/our-insights/fashion-on-climate">https://www.mckinsey.com/industries/retail/our-insights/fashion-on-climate</a>



15 The Paris Agreement. (n.d.). Retrieved from <a href="https://unfccc.int/process-and-meetings/the-paris-agreement/the-paris-agreement">https://unfccc.int/process-and-meetings/the-paris-agreement/the-paris-agreement</a>



16 Lohmann, H. (2021, November). 6 Common Retail Return Reasons (And Why You Should Care). Retrieved from <a href="https://corp.narvar.com/blog/common-reasons-for-retail-returns">https://corp.narvar.com/blog/common-reasons-for-retail-returns</a>



17 York, A. (2019, March 23). 7 Ways to Limit Product Returns for Good &amp; Keep Your Customers Happy. Retrieved from <a href="https://www.powerreviews.com/blog/product-returns/">https://www.powerreviews.com/blog/product-returns/</a>



18 Leggett, K. (2017, July 10). The Time Is Now To Invest In Knowledge Management. Retrieved from <a href="https://www.forrester.com/blogs/15-10-02-the_time_is_now_to_invest_in_knowledge_management/">https://www.forrester.com/blogs/15-10-02-the_time_is_now_to_invest_in_knowledge_management/</a>



19 The Growing Power of Reviews: Understanding Consumer Purchase Behaviors. (2020, October 16). Retrieved from <a href="https://www.powerreviews.com/insights/growing-power-of-reviews/">https://www.powerreviews.com/insights/growing-power-of-reviews/</a>



20 Bernhardt, G. (2022, April 26). Global Ecommerce Sales Growth Report for 2020-2025. Retrieved from <a href="https://www.shopify.com/za/blog/global-ecommerce-sales">https://www.shopify.com/za/blog/global-ecommerce-sales</a>



21 Consumer Returns in the Retail Industry 2021. (2022, January). National Retail Federation. Retrieved from <a href="https://cdn.nrf.com/sites/default/files/2022-01/Customer%20Returns%20in%20the%20Retail%20Industry%202021.pdf">https://cdn.nrf.com/sites/default/files/2022-01/Customer%20Returns%20in%20the%20Retail%20Industry%202021.pdf</a>



22 Ader, J., Adhi, P., Chai, J., Singer, M., Touse, S., &amp; Yankelevich, H. (2021, May 25). Returning to order: Improving returns management for apparel companies. Retrieved from <a href="https://www.mckinsey.com/industries/retail/our-insights/returning-to-order-improving-returns-management-for-apparel-companies">https://www.mckinsey.com/industries/retail/our-insights/returning-to-order-improving-returns-management-for-apparel-companies</a>



23 Fashion Retailers: Environmental and Business Sustainability Are Possible. (2020, January). Retrieved from <a href="https://www.newmine.com/blog/4-steps-to-make-your-company-more-sustainable">https://www.newmine.com/blog/4-steps-to-make-your-company-more-sustainable</a>



24 Kanter, J., &amp; Revkin, A. C. (2007, January 30). World Scientists Near Consensus on Warming. The New York Times. Retrieved from <a href="https://www.nytimes.com">https://www.nytimes.com</a>

The Best Return is No Return

<blockquote class="wp-block-quote is-style-default">Image by bartekhdd from Pixabay</blockquote>



It has been over 20 years since the publication of <a href="https://agilemanifesto.org/history.html">Manifesto for Agile Software Development</a> 1, a framework that describes how software developers work together to deliver code more quickly, with less waste, and in shorter cycles by enabling iterative and continuous delivery.



A <a href="https://assets.kpmg/content/dam/kpmg/be/pdf/2019/11/agile-transformation.pdf">2019 survey</a> indicated there had been a widespread adoption of Agile methodologies with 91% of respondents within the IT function in their organization taking the lead in Agile principles and approaches during this period.2 A more recent <a href="https://digital.ai/resource-center/analyst-reports/state-of-agile-report">2021 survey</a> reinforced these findings indicating there had been significant growth in Agile adoption within software development teams, increasing from 37% in 2020 to 86% in 2021.3



It is against this backdrop that the question &#8211; code freeze, risk mitigation or outdated practice? &#8211; is posed, and it is not surprising that in the face of such wide adoption many responsible for systems development see no place for freezing code in an Agile world.



<h2>What is a Code Freeze?</h2>



Code freeze, a term used in software development, refers to a window of time during which the codebase is locked down from changes (show stoppers aside) during the freeze period.



It is common for companies to start a code freeze prior to a period of known high traffic such as the “US holiday season” which may commence as early as Halloween and extend into the New Year sales period.&nbsp;



The main reason retailers implement a code freeze is to mitigate the risk of disruptions and outages caused by the introduction of bugs into the codebody during a period of high traffic.



<figure class="wp-block-image size-large"><a href="https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi.png"><img loading="lazy" width="1024" height="370" src="https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi-1024x370.png" alt="" class="wp-image-4400" srcset="https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi-1024x370.png 1024w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi-300x109.png 300w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi-768x278.png 768w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi-600x217.png 600w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi-350x127.png 350w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi-437x158.png 437w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi-516x187.png 516w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi-617x223.png 617w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi-624x226.png 624w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-authentication-failed-1200w-x-434h-72dpi.png 1200w" sizes="(max-width: 1024px) 100vw, 1024px" /></a><figcaption>Photo by Markus Spiske on Unsplash</figcaption></figure>



<h2>Online-First the New Shopping Normal</h2>



While stability of the system is clearly a priority, it begs the question as to whether it is necessary to lock down the system for the best part of a quarter of the year as in the case of the US holiday season. In our consumer-driven society, every month is a shopping season month. If it’s not Valentine’s Day in February, it’s Father’s Day in June. There is no respite, and business cannot afford to close shop, when every day has the potential to be a high traffic day.&nbsp;



Yet, if recent discussions are anything to go by, code freeze remains on the agenda of the Director of Ecommerce and their e-commerce team.



E-commerce platforms operate in an environment of ever increasing complexity driven by the demands and expectations of customers spoilt for choice. Forced to accelerate their digital presence to not only retain but grow revenues, retailers must design their platforms with resilience in mind. <a href="https://www.cisco.com/c/dam/global/assets/pdf/CiscoRetail-OSnap2_final.pdf">Research</a> published in 2020 identified the following capabilities required to succeed in this new retail dynamic:4



<div class="wp-container-3 wp-block-group"><div class="wp-block-group__inner-container">
<div class="wp-container-2 wp-block-columns">
<div class="wp-container-1 wp-block-column" style="flex-basis:100%">
<ul><li>Speed &#8211; Let retail ops and storefronts communicate information on inventory and customer preferences in real-time to address demands. </li></ul>



<div style="height:25px" aria-hidden="true" class="wp-block-spacer"></div>



<ul><li>Scale &#8211; Ensure infrastructure and supply chains can flex quickly to handle unplanned spikes and ebbs in site traffic and demand.&nbsp; </li></ul>



<div style="height:25px" aria-hidden="true" class="wp-block-spacer"></div>



<ul><li>Agility &#8211; Have the ability to modify workflows and data flows to enable customer-led innovations.</li></ul>
</div>
</div>
</div></div>



<figure class="wp-block-image size-large"><a href="https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi.png"><img loading="lazy" width="1024" height="572" src="https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi-1024x572.png" alt="" class="wp-image-4401" srcset="https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi-1024x572.png 1024w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi-300x168.png 300w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi-768x429.png 768w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi-600x335.png 600w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi-350x195.png 350w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi-437x244.png 437w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi-516x288.png 516w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi-617x344.png 617w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi-624x348.png 624w, https://eyefitu.ch/wp-content/uploads/2022/07/Copy-of-agile-wprkshop-1200w-x-670h-72dpi.png 1200w" sizes="(max-width: 1024px) 100vw, 1024px" /></a><figcaption>Photo by NEW DATA SERVICES on Unsplash </figcaption></figure>







<h2>The Case for Agile and No Code Freeze</h2>



<blockquote class="wp-block-quote">Retailers haven’t figured everything out, and in a Covid-19 world, there will always be new hurdles to overcome. The most successful businesses will be the most agile.5</blockquote>



<div style="height:8px" aria-hidden="true" class="wp-block-spacer"></div>



Freezing code and delaying the release of important changes to the codebase is perhaps the antithesis of what it means to be Agile, integral to which is the adoption of a “customer-centric approach to defining, building, and releasing a continuous flow of valuable products and services to customers and users”.6 Code freeze clearly interrupts the flow in the software development life cycle.



The implications of this interruption include:



<ul><li>Loss of project momentum &#8211; Recommencing a project after a period of time can be challenging and time consuming. </li></ul>



<div style="height:25px" aria-hidden="true" class="wp-block-spacer"></div>



<ul><li>Deploying risky code &#8211; Developers may rush to have their code included in the last release, cutting corners in the process and increasing the risk of introducing bugs. </li></ul>



<div style="height:25px" aria-hidden="true" class="wp-block-spacer"></div>



<ul><li>Larger backlog, greater risk &#8211; Each code change presents a risk. The longer the freeze the greater the risk as a large backlog of changes is included in the release after the freeze, adding to the complexity. </li></ul>



<div style="height:25px" aria-hidden="true" class="wp-block-spacer"></div>



<ul><li>Delay in the time to market &#8211; The market does not stand still, and digital natives expect a real-time response to their ever-changing needs.&nbsp; </li></ul>



With development broken down into smaller, incremental changes shortening the cycle time between development and release, along with the increasing automation in testing, integration, and deployment, it becomes more difficult to support the case for code freeze if one accepts that the evolution of Agile methodologies and tools have improved the level of confidence in code deployed to the live environment.



<h2>Perhaps the question is incorrectly phrased</h2>



To freeze or not to freeze may depend upon the context.&nbsp;



A hybrid approach is called for. Risks attached to large distributed software projects may be too great not to code freeze, while projects smaller in magnitude may not warrant a code freeze.&nbsp;



Responding to e-commerce development challenges with greater agility is the answer.&nbsp;



With the peaks and valleys of e-commerce no longer a once-a-year event, a commitment to Agile may mean retailers do not have to stop innovating and iterating at a time when incremental improvement may make all the difference.



<div style="height:25px" aria-hidden="true" class="wp-block-spacer"></div>



<hr class="wp-block-separator has-alpha-channel-opacity"/>



1 Beedle, M., van Bennekum, A., Cockburn, A., Cunningham, W., Fowler, M., Highsmith, J., Hunt, A., Jeffries, R., Kern, J., Marrick, B., Martin, R. C., Schwaber, K., Sutherland, J., &amp; Thomas, D. (2001). History: The Agile Manifesto. Manifesto for Agile Software Development. <a href="https://agilemanifesto.org/history.html">https://agilemanifesto.org/history.html</a>



2 KPMG Advisory N.V., de Koning, T., &amp; Koot, W. (2019). Agile Transformation. KPMG Advisory N.V. <a href="https://assets.kpmg/content/dam/kpmg/be/pdf/2019/11/agile-transformation.pdf">https://assets.kpmg/content/dam/kpmg/be/pdf/2019/11/agile-transformation.pdf</a>



3 Digital.ai Software Inc. (2021). 15th State of Agile Report. <a href="https://digital.ai/resource-center/analyst-reports/state-of-agile-report">https://digital.ai/resource-center/analyst-reports/state-of-agile-report</a>



4 Forrester Research, Inc. (2020, July). Are Today’s Retailers Ready For The New Normal? <a href="https://www.cisco.com/c/dam/global/assets/pdf/CiscoRetail-OSnap2_final.pdf">https://www.cisco.com/c/dam/global/assets/pdf/CiscoRetail-OSnap2_final.pdf</a>



5 Chen, C. (2022, January). The Myths and Realities of Retail’s New Normal. The Business of Fashion. <a href="https://www.businessoffashion.com/articles/retail/the-myths-and-realities-of-retails-new-normal/">https://www.businessoffashion.com/articles/retail/the-myths-and-realities-of-retails-new-normal/</a>



6 Berea, Y. (2021, September). Agile Product Delivery. Scaled Agile Framework. <a href="https://www.scaledagileframework.com/agile-product-delivery/">https://www.scaledagileframework.com/agile-product-delivery/</a>

Code Freeze — Risk Mitigation or Outdated Practice?

Photo by Jon Cellier on Unsplash
With inflation running at its highest level in 40 years and the Federal Reserve adopting an increasingly aggressive stance to tame consumer demand and prices, the risk of a global recession is on the rise.
With no end in sight to the disruption of the global supply chain caused by the COVID-19 pandemic and more recently the war in Ukraine, input costs will continue to escalate.
<h2>Decisiveness and action are called for</h2>
The time for deliberation is over.
The choice, preserve margin and pass the additional cost on to your customer in the form of higher selling prices. Alternatively, absorb the cost increase and maintain current selling prices. Whatever the choice, bottom-line profitability will be adversely affected. Revenue will be challenged as customers reject higher price tags while absorbing the increase in input costs will squeeze margins.
Incorporating a size and fit guidance solution in your product detail pages should be part of a strategy to maintain and grow sales while preserving margin in a global economy experiencing significant inflationary pressure and the prospect of a prolonged recession.
<h2>Choose a credible size and fit tech that works</h2>
While there is a competing array of size and fit recommendation technologies to choose from, now is not the time to experiment with technologies, the application of which is in their infancy in the size and fit guidance space.
Whether it is the metaverse or a combination of augmented reality and virtual reality, the promise of these technologies to deliver a convergence of the real and virtual worlds remains unfulfilled.
Tried and tested, question-based solutions combining both customer biometric and garment data deliver an extremely high accuracy of size and fit recommendations. Easily integrated into your product detail pages they provide an effective response to the current risk of a downturn in the global economy.
<h2>It’s not just about returns</h2>
Sizing and fit is undoubtedly the main reason for returning garments purchased online. The costs associated with the returns process are well documented, and cost savings derived from integrating a size and fit calculator into your product detail pages and the attendant reduction in returns are easily quantified.
The benefits of a size and fit solution, however, extend well beyond cost savings specific to the returns process. Size and fit technology is a key contributor to the “big data” that fuels the many predictive models upon which the fashion industry and the planning department are reliant.
<div id="attachment_4332" style="width: 395px" class="wp-caption aligncenter"><img aria-describedby="caption-attachment-4332" loading="lazy" class="wp-image-4332" src="https://eyefitu.ch/wp-content/uploads/2022/07/inflation-blog-secondary-image-1200w-x-770h-e1657899852537.png" alt="Photo by Dylan Calluy on Unsplash" width="385" height="247" />Photo by Dylan Calluy on Unsplash</div>
<h2>Grow revenue through greater personalization</h2>
Segmenting customers into audiences based on broad factors such as product interest, buyer types and their location in the purchase journey is now less than optimal given the volume of customer-specific data that is currently available on the larger e-commerce platforms.
Integrating size and fit technology into the online shopping experience facilitates the collection of data, feeding the pipeline that fuels the personalization expected by the online shopper.
Studies show the benefits of personalization include:
<li>Increased revenue as customers act on the recommendations offered by the platform.</li>
<li>Up-selling driven by recommendations relevant to the customer and their product search.</li>
<li>Improved customer experience tailored to the specific needs of the individual.</li>
<li>Increased brand loyalty as customers become repeat shoppers after a positive personalized online shopping experience.</li>
Personalizing the entire customer journey on a one-to-one basis simplifies the decision-making required of the online shopper faced with a bewildering array of products. Customer engagement is also enhanced by establishing an emotional connection between the brand and the customer as their unique characteristics, preferences, needs, and wants are recognized and acted upon.
<h2>Contain costs and preserve operating margins</h2>
The combination of higher interest rates and inflation is a double-edged sword.
Working capital invested in the supply chain, whether raw material, work-in-progress or finished goods, will increase in absolute terms as cost-push inflation leads to higher input prices, and interest rates rise to combat inflationary pressures.
The threat to profitability is clearly evident.
Size and fit technology will again contribute to supplying the data supply chain managers require if they are to optimize supply chain planning. If the challenges of overproduction, wrong production, and short production are to be addressed the real-time data delivered by size and fit solutions are fundamental to predicting consumer demand and the problem of unsold clothing and stock-outs.
And while size and fit solutions are not just about reducing returns and the associated cost, returns data feeds directly into the production process providing valuable information in respect of product quality, size, and fit that may be driving returns.
<h2>A window of opportunity</h2>
While integrating a size and fit solution into your e-commerce website will not prevent the predicted recession, neither does it pay to leave money on the table.
At a minimum, size and fit technology will improve your customer experience, maintain revenues, and preserve margin in what may turn out to be an unpredictable global economy.

Deploy Size and Fit Tech to Fight Inflation

The App Annie ’s <a href="http://files.appannie.com.s3.amazonaws.com/reports/1701_Report_2016_Retrospective_EN.pdf" target="_blank" rel="noopener noreferrer">Retrospective</a> indicated that 31% of all sales are made via the mobile phone. This shows how fast the world of online shopping is developing. Although e-commerce and m-commerce are becoming increasingly important to improve a brand&#8217;s sales performance, retailers are still facing a daunting global challenge &#8211; the epidemic of returns.
<h2 id="confusion-with-clothes-sizes">Confusion with clothes sizes</h2>
Sizing is a major challenge for the global fashion industry. Consumers are often dissatisfied with unsuitable orders. According to the Financial Times (&#8220;Clear Returns&#8221;, 2016), the fashion industry is at the top of the consumer goods industry for online returns. In addition, the Financial Times reported that UK retailers have taken unbelievable £60bn from postal returns, of which a third are directly attributable to online shopping. A common trend emerged: millions of customers bought multiple items in different sizes and returned those that did not fit.
The <a href="https://www.home.barclaycard/media-centre/press-releases/emergence-of-serial-returners-hinders-growth-of-UK-businesses.html" target="_blank" rel="noopener noreferrer">Barclaycard study</a> commented on the phenomenon &#8220;series returns&#8221; and reported that the management of returns had a negative impact on the fashion business: one in five retailers admitted that they had raised their prices to cover the return costs. The report states that customers feel safer when they buy multiple sizes and then return the ones that don’t fit. The report also mentions that shoppers wanted size standardization and that retailers should offer smart technologies to better visualize the online shopping of clothing.
<a href="https://www.bbc.com/news/business-36395719" target="_blank" rel="noopener noreferrer">BBC News</a> reported that 63% of consumers have returned online clothing purchases, again pointing to the lack of a global standard for the fashion industry.
This infographic visualises the non-existence of a sizing standard, with brands having their own size charts. A size 10 for women means something different for four well-known high street brands.
<img loading="lazy" class="alignleft size-full wp-image-4271" style="height: auto; display: block; margin: 0 auto;" title="EyeFitu Size Engine" src="https://eyefitu.ch/wp-content/uploads/2019/10/infographics-4-e1572258656839.png" alt="" width="797" height="2816" />
This discrepancy in the measurements creates different size charts, making customers confused when purchasing online. Shoppers often get disappointed with their fashion deliveries, resulting in them feeling frustrated and less confident when buying fashion online. Retailers see the negative effects on profit margins, in terms of returns and customer loyalty.
The infographic also shows how customers experience the stress of finding optimum sizes, reflected in the high number of returned clothes purchased online. The rising percentage of sales made online and the consequent rate of returns makes it clear that retailers need to deliver a higher quality shopping experience that mirrors the one they get in-store. The industry needs a seamless solution that focuses on personalisation and on smart data to create an improved relationship between brands and consumers.
Since body shapes and sizes are so different, one could argue that it is impossible to create a global standard anyway. However, this does not solve the problem of frustration and lack of trust that is now associated with shopping for clothes.
Rising returns rates also have another important dimension that many unintentionally turn a blind eye to. The carbon footprint of a brand is now more in focus. The higher the number of returns, the higher the carbon footprint for transport and processing.
The growing percentage of online sales and the resulting returns make it clear that retailers need to provide a higher value shopping experience. The industry needs a seamless solution that focuses on personalization and smart data to create a better relationship between brands and consumers.
<h2 id="lower-returns-rate">Lower returns rate</h2>
As more brands become aware of their impact on the environment and the circular Fashion industry becomes reality, garment manufacturers have to change at many levels. The first step should be to admit that sizing is a problem that seems to be the trend for brands. With free shipping, the best way to get fewer returns is to make sure a consumer buys the right size the first time they shop. As technology plays a role in problem solving, many companies are using unique approaches and technologies to find sizing solutions that are suitable for both the frustrated consumer and the retailer.
The worlds of fashion and technology need to work more closely together. In this way, the fashion industry will begin to find real, holistic solutions to solve the global problem of dress sizes and to invest in digital solutions, e.g. in personalization tools that are supported by machine learning and big data. It is a partnership between brand, manufacturer and sizing solution. With the right technology and approach, the way you shop today can change. Personalization is slowly but surely evolving from a buzzword to a number of effective ways of turning customers from traditional customer service to smart data usage. The sizing technology is an efficient method for selling and removing dead stock.
Brands need to be able to better understand and communicate their own sizes (from garment manufacturing to online sales), and then, together with a personalized size-determining solution, to provide the consumer with the best possible shopping experience.
Lowering the return rate leads to higher net sales, lower fulfillment costs and higher customer satisfaction. This, in turn, has a very positive effect on the average cart size and the shopping frequency of the customers.
In a world where online shopping is only increasing, we must all be more diligent. Lowering the returns rate is only part of the solution, but all brands and retailers should focus on it.

Returns in online clothing sales: effects and solutions

We are excited to announce the launch of our size recommendation widget — <a href="https://www.eyefitu.com/" target="_blank" rel="noopener">EyeFitU SizeEngine™</a> — for Shopify stores, that  allows consumers to get personalized size recommendations for apparel while collecting analytical and behavioral data.
Built for all fashion apparel brands, it helps <a href="https://www.eyefitu.com/" target="_blank" rel="noopener">reduce returns, increase conversion rates, optimize inventories and personalize marketing</a>.
EyeFitU’s solution matches customers’ size and fit preferences, using intuitive visualization and motivating them to shop with confidence.
<img loading="lazy" class="alignright wp-image-4247 size-full" style="width: 100%; height: auto;" title="EyeFitu Size Engine" src="https://eyefitu.ch/wp-content/uploads/2019/09/wolaco-gif.gif" alt="" width="1000" height="442" />
EyeFitU’s size recommendation widget provides the stores with all the necessary support and documentation, with an easy and intuitive way to add and manage size charts that connect to each garment type. Applicable for multi and single brand stores.
The EyeFitU widget offers access to new consumer data points around sizing and behavioral analytics. This enables the Shopify stores to drive customer centric personalization, for a more engaging shopping experience leading to an increase in conversion rates.
Get started fast:
1. <a href="https://apps.shopify.com/eyefitu-widget" target="_blank" rel="noopener">Install the app</a>
2. Upload size charts for your brand(s) using intuitive Google Spreadsheets
3. Add just few metafields to the products
4. Relate products with size charts in a few clicks
5. Copy and paste short code snippet into your theme
6. Publish EyeFitU widget!
&nbsp;
Follow <a href="https://apps.shopify.com/eyefitu-widget" target="_blank" rel="noopener">this link</a> to learn more about EyeFitU size recommendation widget.
&nbsp;

Latest posts