According to the newly released 2025 Retail Returns Landscape, U.S. retailers project that nearly $850 billion in merchandise will be returned this year, equivalent to 15.8% of total sales.
The figure, while substantial, reflects a slight decline from last year’s 16.9% return rate and $890 billion in total returns.
“Returns are no longer the end point of a transaction,” said NRF Vice President of Industry and Consumer Insights Katherine Cullen. “They provide an opportunity for retailers to create a positive experience for customers and can translate to brand loyalty. Retailers are constantly evolving and working to meet customer expectations, and they recognize the importance the returns process plays.”
While overall return rates remain steady, online sales continue to drive higher volumes, with an estimated 19.3% of e-commerce purchases expected to be returned in 2025.
Generational shifts are amplifying these trends, particularly among Gen Z shoppers (age 18-30) who averaged 7.7 online returns over the past 12 months, more than any age group.
Consumer demands for seamless returns are intensifying as 82% of shoppers now cite free returns as a major factor in their purchasing decisions, up from 76% last year. Additionally, 76% of shoppers are more likely to choose the return method offering instant refunds or exchanges.
However, a negative returns experience carries significant consequences: 71% of consumers report they are less likely to shop with a retailer again following a poor encounter, rising from 67% in 2024. Four out of five consumers say they are likely to share their bad experience with friends and family, potentially magnifying reputational damage.
Retailers are navigating these expectations while contending with escalating operational costs and external pressures. Surveyed merchants identified increasing online sales and reducing return rates as their top priorities in 2026.
Key drivers for charging return fees include:
Processing costs (40%)
Higher carrier shipping expense (40%)
Economic uncertainty tied to tariffs (33%)
Return fraud remains another persistent challenge, accounting for 9% of all returns. Among retailers tracking fraud, 71% reported an increase in overstated return quantities, 65% noted “empty box” or “box of rocks” incidents, and 64% saw rises in decoy returns involving counterfeit items. To combat return fraud, 85% of retailers have begun to use AI to detect or prevent fraud from happening.
Notably, 45% of consumers—particularly when dissatisfied— believe that “bending the truth” is acceptable during a return.
David Sobie, co-founder and CEO of Happy Returns, said, “Return policies and their overall process have transformed into a strategic touchpoint for retailers, influencing how younger consumers shop from the outset. To stay competitive amid rising return rates and behaviors like bracketing, retailers must modernize their reverse logistics to enhance customer satisfaction, reduce fraud, and safeguard their operations in today’s high-pressure retail landscape.”
Looking into the holiday season, retailers anticipate 17% of holiday sales will be returned, consistent with prior years. To manage this surge, 49% plan to lean on third-party logistics partners, 43% will hire seasonal staff, and 37% intend to extend return windows.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
Arizona education leaders want their students to be ready for the dawning age of artificial intelligence (AI).
The state is now the leader in the nation for percentage of students using AI tools. State Superintendent Tom Horne announced this development on Thursday in a press release.
“I am a strong supporter of AI as a classroom tool to assist, but not replace, educators,” said Horne. “So far, about 4,000 educators statewide are using this system, and I encourage more teachers to sign up. It is an invaluable resource that helps educators do their jobs more effectively.”
Over 170,000 students — representing 16 percent of the state’s public school student population — are using AI-powered tutoring to improve their academic performance.
These students rely on the AI education system Khanmigo within Khan Academy. Horne called the sweeping adoption of the tools “tremendous.” The Arizona Department of Education invested $1.5 million for Khamingo access last year.
Horne said he selected Khanmigo for its tutoring approach: guiding students through the critical thought process, rather than merely providing answers.
“It engages students by asking questions that guide them to discover solutions on their own,” said Horne. “This approach delivers rigorous, individualized Socratic-style tutoring — a proven method for improving academic outcomes.”
The “Socratic” method referenced by Horne concerns arriving at answers through a series of open-ended questions structured to encourage critical thinking.
An example of Khanmigo’s phrasing provided in the press release (solving for “m” in the sample math problem, 3 – 2(9+2m) = m) showed how the tool prioritizes guiding the student to work through problems.
“Let’s work through it together! What do you think the first step should be to solve this equation?”
Khanmigo conversations are also recordable and viewable by teachers.
The over 4,000 Arizona educators mentioned by Horne rely on an online AI platform called the Arizona Digital Educators Library (ADEL). This platform assists educators with creating lesson plans and classroom materials that meet the state’s academic standards.
ADEL also has 50 ambassadors to increase educator usage throughout the state. There are over 57,000 educators in the state: over 47,000 in district schools and nearly 10,000 in charter schools.
As Horne explained in his State of Education speech in January, educators can use Khanmigo to strengthen student weaknesses revealed through testing.
“Today, when a teacher gives a test, some students get 90 percent, others get 70 percent. Those with 70 percent are moved to the next grade, missing 30 percent of the knowledge they need for continuing their studies. They are lost,” said Horne. “With Khanmigo, the teacher can say ‘here is what you did not learn, use Khanmigo to tutor you on that subject.’”
State Senator Jake Hoffman, founder of the Arizona Freedom Caucus, expressed support for the implementation of AI tools in schools. Hoffman said AI posed a greater threat to the American worker than Russia, China, and nuclear war.
“If K-12 public schools and public universities are not aggressively retooling every aspect of their operation to equip students with the skills to survive in this new AI age, they’ve already failed,” said Hoffman.
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Representative Andy Biggs (AZ-05) has introduced the Deportation Disclosure Act, legislation designed to enhance transparency in the nation’s immigration enforcement system by requiring the Department of Homeland Security (DHS) to publicly disclose key details of individuals with final orders of removal.
The bill amends Section 240 of the Immigration and Nationality Act (8 U.S.C. 1229a) to mandate that DHS publish on its official website, for every individual issued a final order of removal after the date of enactment: the individual’s name, a photograph, any known aliases, and the last known state of residence.
This measure follows the September 2025 arrest by ICE of Ian Roberts, a Guyanese national who had been serving as superintendent of Des Moines Public Schools despite a standing final order of deportation.
Roberts, who has an extensive criminal history, allegedly falsified claims of U.S. citizenship and work authorization to secure his position.
“At the end of 2024, more than a million illegal aliens, including Ian Roberts, had final orders of removal against them, but were roaming freely in the United States,” said Congressman Biggs. “Instead of enforcing our immigration laws and deporting illegal aliens who had due process in our immigration courts, the Biden administration focused on making it as easy as possible for illegal aliens of any and every criminal background to enter and stay in our nation. Making final orders of removal readily accessible to the public will only increase public safety and ensure incidents like this one don’t happen again.”
Grant Newman, Director of Government Relations at the Immigration Accountability Project, added, “The Deportation Disclosure Act would bring much-needed transparency and accountability to our immigration enforcement process. By making final orders of removal accessible, this bill would empower communities and law enforcement, ensuring that individuals who have already received due process in our courts cannot hide in plain sight.”
Congressman Biggs emphasized that the Trump administration is actively working to reverse the border security lapses of the Biden-Harris-Mayorkas era, thus protecting American communities and restoring integrity to the immigration system.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
U.S. Rep. Eli Crane (R-AZ02) led a bipartisan group of Arizona lawmakers in sending a letter to the National Park Service (NPS) last week, requesting $28.36 million to upgrade aging water infrastructure serving Page and surrounding communities.
The funding, sought under the Great American Outdoors Act (GAOA), would rehabilitate systems managed by Page Utility Enterprises (PUE) that supply water to Page, nearby Navajo Nation areas, and the Glen Canyon National Recreation Area. Cosigners on the letter addressed to Acting NPS Director Jessica Bowron included Reps. Andy Biggs (R-AZ), Paul Gosar (R-AZ), and Greg Stanton (D-AZ).
Despite the ongoing shutdown, my team and I remain focused on #AZ02.
Yesterday, we urged @NatlParkService to help upgrade the water delivery system serving Page and nearby communities that serve as a gateway to the North Rim of the Grand Canyon. pic.twitter.com/pw60wHJBmW
In a post to X, Crane wrote, “Despite the ongoing shutdown, my team and I remain focused on #AZ02. Yesterday, we urged @NatlParkService to help upgrade the water delivery system serving Page and nearby communities that serve as a gateway to the North Rim of the Grand Canyon.”
The current aging infrastructure, over 60 years old, includes a 12-inch intake pipeline through Glen Canyon Dam that is undersized and vulnerable to fluctuations in Lake Powell’s water levels, according to the letter. Peak seasonal demand often exceeds capacity, and if lake levels drop below the intake level, PUE could lose the ability to deliver water to customers.
Recent wildfires, including the Dragon Bravo and White Sage fires, have burned thousands of acres in northern Arizona, further straining the drought-impacted region and highlighting the need for long-term solutions, the lawmakers wrote.
The proposed project would involve installing a new water intake and pump station on the south side of Lake Powell, along with an 18-inch replacement pipeline. This would double daily delivery capacity from 3.3 million gallons to 6.6 million gallons.
The GAOA, enacted in 2020, provides up to $1.3 billion annually through 2025 for public lands infrastructure and recreation access. The representatives noted that the Page project aligns with the program’s goals and should be prioritized if remaining funds are available or if the act is reauthorized.
“I’m proud to lead this bipartisan letter to ensure Page and surrounding communities have reliable water delivery infrastructure,” Crane said in a statement.
“With the Dragon Bravo and White Sage fires devastating the region, we must do more for what is a critical gateway to the North Rim of the Grand Canyon. I’m grateful to Reps. Stanton, Gosar, and Biggs for joining this effort, and we will continue pushing for a positive outcome.”
The bipartisan letter from the Arizona congressmen emphasized the project’s role in supporting public health, economic stability, and tourism in the region, which relies heavily on the national recreation area.
An elementary school student testified that his former teacher harassed him over his family’s conservative beliefs.
The young boy brought his complaints to the attention of the Scottsdale Unified School District (SUSD) at their most recent board meeting.
The little boy accused SUSD teacher Donna Javinett (Anasazi Elementary School) of coordinating with one of his neighbors to target himself and his family for their “extremist” beliefs in recent years.
The boy referenced a court case that resulted in a restraining order against his neighbor; during a hearing, the neighbor disclosed email correspondence with Javinett documenting their collusion against the boy.
“This teacher created a hostile school environment for kids like me when she didn’t like their parents. She would yell at me in the hallway and hurry me along. I also caught her filming me one day. She claimed she was filming for field day but the event was over and her phone was pointing right at me. At the same time, a neighbor on my street was also filming me while I was outside my home. It was creepy and I felt unsafe. It became so bad that my family had to get a restraining order against my neighbor. At court is when the neighbor revealed a personal email from Mrs. Javinett to my teacher not to my neighbor thanking my neighbor for protecting teachers against extremists. This is when I found out that Mrs. Javinett and my neighbor were working together.”
Scottsdale Unites for Educational Integrity, an activist group of SUSD community members and parents, obtained the referenced email. Javinett wrote an email thanking the neighbor, a retired educator by the name of “Ellen,” to thank her for her actions.
“I want to thank you for defending Scottsdale teachers against extremists who have nothing better to do than harass teachers, administrators, board members, and the superintendent on social media. We have been called groomers, rapists, and people who want nothing more than to indoctrinate children. You have defended us every step of the way. I know you are a retired educator who is still involved with many of our wonderful students in Scottsdale and I hope you know how much your support is appreciated.”
The parents of the student featured in the video shared an email sent by the SUSD 3rd-grade teacher to her neighbor. This email – obtained through a legal proceeding involving Ms. Javinett – appears to confirm that she referred to parents and families who raise concerns about… pic.twitter.com/iC1dJ7VgSD
— Scottsdale Unites for Educational Integrity (@ScottsdaleUnite) October 13, 2025
Javinett first came into the public eye for her Facebook comments responding to the assassination of Turning Point CEO and president Charlie Kirk.
Javinett argued with community members and parents on social media over whether Kirk was partially at fault for his assassination.
“Yes hate leads to violence and unfortunately Charlie Kirk in sided [sic] violence. He was nothing more than an ugly bigot,” said Javinett. “Kirk’s hatred of trans, LGBTQ, black people, and women is out there. I don’t have to defend the fact that I don’t respect hatred and bigotry.”
Javinett also accused Kirk of being a white nationalist.
“He was disgusting. He was in [sic] white nationalist. He disparaged marginalized communities. He thought that men should control women. You should be embarrassed that you support him,” said Javinett. “It makes me sad that you all try to indoctrinate kids with this right wing Christian bulls**t.”
The little boy asked the SUSD governing board why Javinett was allowed to continue teaching given her comments and past behavior.
“She’s the reason why we and others left Anasazi,” said the boy.
Javinett previously sustained criticisms for supporting an all-encompassing social and emotional learning approach to education.
Scottsdale Unified 3rd grade teacher Donna Javinett said the quiet part out loud and confirmed that class time across all subjects is spent on Social Emotional Learning, i.e. feelings/emotions, racial awareness, gendered identities and distributive justice. (CASEL is the… https://t.co/bPaLjoZCmvpic.twitter.com/6IzJv7dEXe
— Scottsdale Unites for Educational Integrity (@ScottsdaleUnite) October 23, 2024
Last fall, Javinett donated nearly $1,000 to the campaign of progressive SUSD board member Donna Lewis.
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