Australia Post has acquired a 25% stake in fulfillment and returns management startup Shiperoo to help make the process of returning purchases easier and more efficient, and improve environmental sustainability.
The acquisition comes as the continued growth in e-commerce gives rise to more returned items. According to Australia Post’s Inside Australian Online Shopping e-commerce industry report, the average rate for returns is 17% across all retail, but for fashion/apparel online purchases – on which Australians spent A$9.6bn (US$6bn) in 2023 – the returns rate rises to 30%.
“Returns are a retail pain point on a number of fronts,” said Shiperoo founding partner Nishan Wijemanne. “Difficult returns are a clear barrier to purchase for modern consumers, who often need to access a selection of similar items before deciding what will suit their needs.
“Shiperoo was born from the desire to turn the pipe dream of efficient, cost-effective returns management into a reality, utilizing automated multichannel fulfillment facilities that are powered by market-leading robotic technology and AI.
“This includes rapid fulfillment execution for same-day shipping readiness, seamless returns for consumers through Australia Post’s network, efficient returns processing for retailers, and the integration of managed returns into the circular economy through re-commerce opportunities.”
Gary Starr, Australia Post‘s executive general manager, parcel, post and e-commerce services, added, “Australia Post has decided to invest in Shiperoo as part of our focus on e-commerce services for Australian retailers and customers as competition grows.
“We recognize the importance of supporting state-of-the-art, contemporary fulfillment services to meet the changing needs of customers. We’re also deeply passionate about sustainability. Our partnership will aim to help reduce waste caused by pre-owned goods ending up in landfill through their returns and re-commerce expertise and ambition.”