PLT Reintroduces Free Returns as Founder Umar Kamani Makes Comeback

Umar Kamani, the founder of PrettyLittleThing.com (PLT), announced his return to the company, bringing back free returns for Royalty customers. This move aims to sharpen the retailer's competitive edge ahead of the holiday season. Rivals like ASOS have introduced fees for frequent returns, reflecting varied approaches to a common industry challenge.

Umar Kamani, the founder of PrettyLittleThing.com (PLT), has announced his return to the online fashion retailer, revealing that he is reintroducing free returns for Royalty customers. The move, aimed at boosting PLT’s market competitiveness, comes ahead of the critical holiday shopping season.

PLT had previously imposed a return fee of 1.99 pounds ($2.60) even for its Royalty scheme members, who pay 9.99 pounds annually for unlimited deliveries in the UK. Kamani's announcement follows PLT’s rival ASOS’s new policy, which charges frequent returners a fee of 3.95 pounds ($5.17) to send products back to warehouses.

Research analysts and industry insiders see these contrasting strategies as responses to the financial strain posed by high return rates. Adam Cochrane of Deutsche Bank Research notes that while ASOS's policy seeks to curb costs, Kamani believes the free returns policy will remove a significant barrier to customer purchases. E-commerce fraud protection platform Signifyd highlighted that 76% of European consumers consider return policies vital when choosing a retailer.