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Indian fashion startups using AI tools to reduce fashion returns

Startups in the 60-minute fashion delivery sector are implementing features such as AI-powered virtual try-ons and “try and buy” options to reduce high return rates.

These tools aim to enhance customer experience and improve conversion rates.

The company reported that partner brands face return rates of 20% on direct-to-consumer websites, while offline purchases have return rates below 1%.

Other startups, including Bengaluru-based Slikk, Mumbai-based Zilo, and Gurugram-based Zulu Club, are also testing similar innovations.

Slikk has launched an “instant returns” pilot, allowing users to process returns within an hour of their request.

The company asserts its return rate is 40-50% lower than traditional marketplaces and does not charge additional fees for returns.

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