Track how many subscription shipments are returned and estimate the cost impact. Use this calculator to spot quality, packaging, or expectation problems.
Enter total shipments, returned shipments, handling cost per return, and product cost per returned item.
Return rate measures the percentage of shipments that come back. High return cost can reduce subscription margin and signal product-market mismatch.
Return rate should be tracked with refund rate because a return can become a full refund, replacement, or partial credit.
If 120 out of 3,000 shipments are returned, the return rate is 4%. With $30 total cost per return, total return cost is $3,600.
Divide returned shipments by total shipments and multiply by 100.
A high return rate depends on the product category, but any rate that materially reduces margin needs investigation.
Returns create handling cost, product loss, replacement cost, and possible refunds, reducing contribution margin.
Common reasons include wrong expectations, damaged items, poor fit, low perceived value, and quality problems.
Improve descriptions, product matching, packaging, quality control, and customer preference collection.
| Module | Details |
|---|---|
| Main Result | Subscription product return rate |
| Cost Impact | Total return cost and cost per shipment |
| Health Score | Return risk rating |
| Recommendation | Quality and expectation control guidance |