Damaged deliveries costing UK retailers millions and eroding customer trust, DS Smith research finds

Core Insights - Retailers in the UK are preparing for record Black Friday sales, but damaged deliveries are negatively impacting customer confidence and retailer profits [1] - A significant portion of UK shoppers (54%) plan to participate in Black Friday, yet 23% have received damaged items in the past year, affecting over 12 million people [2] Impact on Customer Perception - Among those who received damaged items, 51% are less likely to order from the same retailer again, and 49% would have a negative perception of the company, despite 81% understanding that such damages are often beyond the retailer's control [3] - Over 81% of retailers acknowledge that damaged deliveries are a customer issue, with 32% reporting a negative impact on brand reputation and 30% noting that it has led to customer attrition [4] Retailer Responses and Solutions - Nearly half (47%) of retailers believe stronger materials are necessary to reduce damage, while over a third support enhanced impact resistance (36%) and better structural design (34%) [4] - DS Smith has developed an innovative testing process for e-commerce packaging called DISCS, which simulates the stresses of the e-commerce supply chain to improve packaging reliability [5] Financial Implications - Consumers estimate the average value of a damaged item at £82.30, leading to a total damages bill exceeding £2.5 billion, an increase from £2.3 billion the previous year [8] - A third (32%) of retailers report that rising return rates have increased operational costs, with British retailers spending an average of £7,646 monthly on damaged parcels [8]