Retail

Returned Merchandise Now Faces Quarantine

Returned Merchandise Now Faces Quarantine

People who travel to other states during the COVID-19 pandemic are not alone in facing quarantine.

Manny Chirico, the CEO of PVH, one of the largest apparel companies in the world, said customer returns will be quarantined for a few days.

“We’ve closed our fitting rooms for now, and we’ve extended our return policy and we’ve made it more generous,” Chirico told CNBC’s “Squawk on the Street” on Wednesday (May 20). “When goods are returned, we basically put goods in quarantine for 48 to 72 hours. We provide a cleaning to those goods before they go back onto the floor.”

PVH makes some of fashion’s best-known brands, including Tommy Hilfiger, Calvin Klein, IZOD and Geoffrey Beene.

Chirico told the network its stores have reduced hours, instituted thorough nightly cleanings and installed Plexiglass shields at registers to protect shoppers and workers. 

For now, the shops are limiting capacity to 25 percent for social distancing, Chirico said. In addition, employees must wear masks and gloves, while shoppers are encouraged to do so, he added.

PVH has opened 180 stores, or about a third of its locations, across North America, Chirico told the network. In Europe, about 60 percent of its stores are open, while in Asia around 90 percent are back in business. Chirico said that once a store opens, traffic and sales build over time.

Some U.S. states are reopening portions of the economy, while others are planning to do so in phases.

“We think the consumers that are entering the stores are ... more dedicated shoppers,” Chirico told CNBC. “They’re really there on a mission. It looks like the consumers really want to come back and shop, and we have to just manage this whole process.” 

As PYMNTS has reported, retail reopenings have brought light foot traffic, as evidenced by customers’ reactions to opening stores in Texas and Florida.

Sales and returns pose another challenge as stores reopen. Narvar and Forrester found that 42 percent of retailers have put their pick up in-store and return in-store services on hold.

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NEW PYMNTS DATA: HOW WE SHOP – SEPTEMBER 2020 

The How We Shop Report, a PYMNTS collaboration with PayPal, aims to understand how consumers of all ages and incomes are shifting to shopping and paying online in the midst of the COVID-19 pandemic. Our research builds on a series of studies conducted since March, surveying more than 16,000 consumers on how their shopping habits and payments preferences are changing as the crisis continues. This report focuses on our latest survey of 2,163 respondents and examines how their increased appetite for online commerce and digital touchless methods, such as QR codes, contactless cards and digital wallets, is poised to shape the post-pandemic economy.

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