Returns Management for Ecommerce: How to Build an RMA Process Before January Returns Hit

October 23, 2026

7 min read

Ecommerce returns management decides whether a returned item becomes sellable stock again or a loss on your books. Online shoppers send back 19.3% of what they buy, according to the National Retail Federation (NRF), and retailers expect 17% of holiday sales to come back. With January returns on the way, now is the time to build a process that can handle them.

This guide covers the latest returns data, what an RMA is, and seven steps to build a returns process that keeps inventory accurate and customers coming back.

Ecommerce Returns by the Numbers

U.S. consumers were expected to return $849.9 billion in merchandise in 2025, and online orders come back at a higher rate than in-store sales.

Returns metric (2025)	Value
Total U.S. returns	$849.9 billion
Overall return rate	15.8% of sales
Online return rate	19.3% of online sales
Expected holiday return rate	17% of holiday sales
Returns that are fraudulent	9%
Shoppers who call free returns a major purchase factor	82%
Shoppers less likely to buy again after a poor returns experience	71%

Returns are part of the sale, not an afterthought. A slow or confusing process costs you the item’s value and the customer’s next order.

What Is an RMA?

An RMA (return merchandise authorization) is a record that approves a return and links it to the original order. It tracks which items are coming back, how many you expect, and what actually arrived. Without one, returned packages show up with no order attached, and your team has to work out what each one is before it can go back on the shelf.

How Do You Build an Ecommerce Returns Process?

You can build a returns process in seven steps:

Write a clear return policy.
Decide how customers get a return label.
Create an RMA for every return.
Receive and inspect returns against the RMA.
Decide what happens to each returned item.
Keep returns in sync with your sales channels.
Track return reasons and act on them.

1. Write a Clear Return Policy

Your policy sets every rule your warehouse will follow, so write it before the returns arrive. According to NRF, 37% of retailers plan to extend return windows over the holidays, and 40% now charge for returns because of rising processing costs.

Set the return window, and decide whether holiday orders get a longer one.
Define which items qualify and what condition they must be in.
State who pays return shipping and whether customers get a refund, an exchange or store credit.

2. Decide How Customers Get a Return Label

Generating labels by hand for each return eats up support time. Choose a label method that matches your return volume.

Label in the box: Include a return label with every shipment so customers can send items back without contacting you.
Label on request: Create a label only when a customer asks for a return.
Pay-on-use label: Include a label that you are only charged for if the customer actually uses it.

How SKULabs helps: SKULabs creates return labels directly from the order, and shipping rules can add a return label to every shipment automatically. SKULabs also supports pay-on-use return labels for USPS, UPS and FedEx.

3. Create an RMA for Every Return

Every return should have an RMA before the package reaches your dock. The RMA tells your receiving team which order the box belongs to and what should be inside.

Link each RMA to its original order.
Record the items and quantities you expect back.
Include the RMA form or a reference in the package so receiving can scan it on arrival.

How SKULabs helps: In SKULabs, you can create an RMA together with a return label, or create a return without a label. The RMA stays editable until it is marked received.

4. Receive and Inspect Returns Against the RMA

Receiving is where returns fraud gets caught. NRF reports that 9% of returns are fraudulent, so check what actually arrived against what the customer said they sent.

Scan the RMA or packing slip to pull up the return.
Count what actually arrived and compare it to what was expected.
Verify serial or lot numbers on items that carry them.
Batch returns into one bin and process them on a set schedule, daily or weekly, so they do not interrupt outbound orders.

How SKULabs helps: SKULabs lets you scan an RMA form or a packing slip to open the return, choose the warehouse the stock goes back to, and record the quantity actually returned against the quantity expected. Serial and lot numbers scanned at picking are linked to the order, which supports return verification.

5. Decide What Happens to Each Returned Item

Not every return goes back on the shelf. Set clear rules so your team does not have to make a judgment call on every item.

Restock: The item is unopened or like new and can be sold again.
Refurbish: The item needs cleaning, repackaging or a repair before it can be resold.
Write off: The item is damaged, incomplete or unsellable.

Only resellable items should go back into available inventory. Restocking a damaged item as sellable creates the next customer’s return.

How SKULabs helps: When you mark an RMA as received, SKULabs restores the returned quantity to inventory in the warehouse you selected. You can add notes to each item for your team.

6. Keep Returns in Sync With Your Sales Channels

A return that is processed in your store but never reaches your inventory system leaves your stock counts wrong. Decide where each step happens and stick to it.

Process refunds in your sales channel, then receive the stock in your inventory system.
Complete each return on the platform where it was started, so items are not restocked twice.
Link each store location to a warehouse so restocked items land in the right place.

How SKULabs helps: SKULabs can import returns from Shopify and Shopify POS as RMAs. Items restocked in Shopify are received into the SKULabs warehouse linked to that Shopify location.

7. Track Return Reasons and Act on Them

Return reasons show you what is wrong before it costs you more sales. A SKU that keeps coming back for “wrong size” or “not as described” points to a listing or product problem, not a warehouse problem.

Record a reason for every returned item.
Review your top return reasons by SKU every month.
Fix the cause, whether that means updating a size chart, product photos or packaging.

How SKULabs helps: SKULabs records a return reason and notes for each item on the RMA, so the data is there when you review it.

Ecommerce Returns Management FAQ

What is the average ecommerce return rate?

According to NRF, consumers return 19.3% of online sales, compared with 15.8% of total retail sales.

How much of holiday sales get returned?

Retailers expect 17% of holiday sales to be returned, according to NRF’s 2025 Retail Returns Landscape report.

What percentage of returns are fraudulent?

NRF reports that 9% of all returns are fraudulent. Checking every return against its RMA, and verifying serial or lot numbers where they exist, helps catch fraudulent returns.

Do free returns matter to shoppers?

Yes. 82% of consumers say free returns are a major factor in where they shop, and 71% are less likely to shop with a retailer again after a poor returns experience.

What does RMA stand for?

RMA stands for return merchandise authorization. It is the record that approves a return, links it to the original order and tracks what comes back.

How do you handle exchanges in SKULabs?

Receive the returned items on the original order with an RMA, then create a new order for the replacement items. You can set the replacement order’s value to $0.00 when needed.

Get Your Returns Process Ready for January

Holiday orders become January returns. If your process is still manual when they arrive, returned stock piles up unsorted and your inventory counts drift.

In a free walkthrough, our team will show you how SKULabs handles return labels, RMAs, receiving and channel sync, using your own order flow. You will leave knowing exactly how returns will move through your warehouse before the rush hits.

Schedule Your Free Returns Walkthrough