Customers Confirm Convenient Returns is Key to Making Shopping from Home a Breeze; Newgistics' Survey Reveals People Will Be Taking Advantage of Ease of Purchasing Online.

AUSTIN, Texas -- The seasons are changing, but the high cost of fuel isn't, and that is impacting shoppers. A survey commissioned by Newgistics, Inc. and conducted by Harris Interactive(R) shows that nearly 40 percent(1) of U.S. adults plan to stay at home and shop online this fall, up from this time last year. The survey further reveals that 50 percent of all consumers cut back on discretionary spending this summer due to fuel prices, with one in four (25 percent) doing so by shopping from home (online, catalog or TV).

As the number of from-home shoppers continues to grow, it is imperative that retailers provide a convenient shopping experience from beginning to end to ensure that this emerging group of savvy shoppers keeps coming back. In fact, results show that given the option to return purchases directly from home with a pre-paid label, home shoppers are nearly five times as likely to shop with the retailer again as those who are restricted to a return process that requires travel to a mail center or drop box(2). Alternatively, if a return process requires consumers to travel to a mail center or drop box, only 13 percent of adults who shop from home would be very likely to shop with the retailer again.

"Most retailers have only gone halfway in providing consumers what they need to shop from home, focusing on delivery but not returns," said Jonathan Dampier, vice president of marketing and corporate strategy at Newgistics. "According to the survey, 96 percent of home shoppers confirmed that the ability to return merchandise from home is an important factor in deciding where to make a purchase; therefore, the time is now for retailers who want to foster customer loyalty through convenient returns."

"We've definitely seen an influx of shoppers going online to make purchases this season," said Magnus Gustafsson, vice president of direct marketing at Aerosoles. "We strive to make the online shopping experience as easy and worry-free as possible for our customers, and we truly understand that means providing a returns option that allows them to do everything from the home."

Additional findings show seasonal apparel is the number one item that online shoppers plan to purchase this fall (64 percent). Shoes are also on the list for 53 percent of online consumers, along with home improvement tools or supplies (42 percent) and home furnishings or decorative items (41 percent) coming in third and fourth, respectively. Surprisingly, only 38 percent of online shoppers plan to purchase school supplies this fall.

About the Survey

Harris Interactive(R) conducted the telephone survey on behalf of Newgistics, Inc. within the United States between July 7 and 10, 2006 among 1,122 adults (aged 18 and over). Figures for age, sex, race/ethnicity and region were weighted where necessary to bring them into line with their actual proportions in the population.

With a pure probability sample of 1,122, one could say with a ninety-five percent probability that the overall results have a sampling error of +/- 3 percentage points. However that does not take other sources of error into account. Sampling error for the sub-samples of adults who shop online, through catalogs, or via television shopping networks (n= 511), adults who shop online (n= 352), and adults who are spending less on non-essential items this summer due to current fuel prices (n= 582) is higher and varies.

About Newgistics

Newgistics, Inc. (www.newgistics.com) is the leader in returns management solutions. Newgistics' patent-pending Intelligent Returns Management(SM) solution delivers the most convenience for customers while maximizing control of the returns process. Newgistics' SmartLabel(R) drives customer loyalty and increases profitability for leading retailers like Neiman Marcus, J.Crew and Abercrombie & Fitch.

About Harris Interactive

Harris Interactive is the 12th largest and fastest-growing market research firm in the world. The company provides research-driven insights and strategic advice to help its clients make more confident decisions which lead to measurable and enduring improvements in performance. Harris Interactive is widely known for The Harris Poll, one of the longest running, independent opinion polls and for pioneering online market research methods. The company has built what could conceivably be the world's largest panel of survey respondents, the Harris Poll Online. Harris Interactive serves clients worldwide through its United States, Europe and Asia offices, its wholly-owned subsidiary Novatris in France and through a global network of independent market research firms. The service bureau, HISB, provides its market research industry clients with mixed-mode data collection, panel development services as well as syndicated and tracking research consultation. More information about Harris Interactive may be obtained at www.harrisinteractive.com.

To become a member of the Harris Poll Online, visit www.harrispollonline.com.

(1) 38% of U.S. adults

(2) 54% of U.S. adults who shop online, through catalogs or via television shopping networks ("home shoppers") would be very likely to shop again with a retailer that provides the option to return purchases directly from home with a prepaid label.