Editorial: Artificial intelligence (AI) technology can help apparel brands to tackle the returns crisis

Editorial: Artificial intelligence (AI) technology can help apparel brands to tackle the returns crisis

The growing popularity of online shopping via websites and apps has caused a surge in the amounts of apparel being returned by customers to brands and retailers in what is being described as a "returns crisis". Returns of apparel items purchased by customers online in the USA in 2023 alone are predicted to cost a total of US$38.0 bn - indicating the need for apparel brands and retailers to urgently implement loss minimising solutions. Some apparel brands and retailers have amended their policies and withdrawn their offerings of free online returns in a bid to deter customers from returning items. Other apparel brands and retailers, however, are turning to new technologies, including artificial intelligence (AI) software which is capable of providing size and fit recommendations for customers when making online purchases. According to a survey carried out in the UK, the size and/or fit of an item is the most common reason for customers returning the item because it is often difficult for customers to visualise the appearance, fit and size of clothing or footwear when they are shopping online. However, Bold Metrics based in San Francisco, California, USA, has developed a digital twin technology in order to help customers find the correct size clothing when they are shopping online. Similarly, Mody.ai, based in Lucca, Italy, has developed size recommendation software for online apparel brands and retailers, and True Fit - based in Boston, Massachusetts, USA - has developed an AI platform that provides size and fit recommendations to customers when they are shopping online.