• Paul Fingleton

Irish Customers and Retailers to Benefit from new PayPal service for easier Returns

Online retailing has become a lucrative business, everyone likes a bargain, and as a retailer there are great possibilities to reach an audience much greater than possible in a traditional Bricks and Mortar shop.

However, recent research by online payment platform PayPal and Ipsos MORI has suggested that some online shoppers a being put off from making that final click to complete a purchase because they are worried about the cost of returning any items.

PayPal’s research shows that from a sample of 29 global markets, just over a third (35%) of online shoppers said the cost of return shipping deterred them from making more purchases on international websites.

PayPal is launching a new service, starting today, available in Ireland and internationally, that will cover return shipping costs for businesses and their customers, up to the value of €30.

What this means is that PayPal customers in the eligible markets can use the Refunded Return Service. Customers can use the option to claim back the cost of returning unwanted goods worldwide, providing they have completed the initial purchase with PayPal.

Louise Phelan, Vice President of PayPal’s Global Operations in Europe, Middle East and Africa said: “International online markets hold enormous potential for Irish businesses and retailers. However, the cost of return shipping acts as a real deterrent to prospective customers – and because of that, Irish businesses are losing out.


“Millions of people across the world shop on Irish sites every year. We now know that by taking away one of the biggest barriers to international online shopping, we can increase that even further. PayPal has more than 179 million active accounts around the world and can therefore help Irish online businesses reach an increased and lucrative global customer base.”


It is believed that the service will be a boost for Irish retailers, allowing them to focus more on international markets without the worry that customers will be put off by the potential costs of returning goods.

PayPal’s Refunded Return Service will also be a boon to Irish customers. Over a 12-month period, some 20% of Irish shoppers made purchases from sites outside Ireland have purchased an item on an international website that, when it arrived, wasn’t as described. However, just 9% returned a cross-border purchase for not matching the website’s description. 45% of Irish online shoppers said they would be more likely to buy from a website in another country if it had the option of refunded returns.