Marketplace Morning Report – "Rise of the Return Fee"

Date: December 26, 2025
Host: Novasafo (for David Brancaccio)
Runtime: ~8 minutes

Episode Overview

This brisk, business-focused episode addresses the rising trend of return fees for holiday shoppers, explores how consumer boycotts impact shoppers themselves emotionally, and briefly discusses how big tech is responding to the new political environment under "Trump 2.0." The episode provides a snapshot of business news with a focus on consumer behavior, psychology, and corporate strategies in a shifting economic and political landscape.

1. Rise of Retail Return Fees

[00:55–02:32]

Key Discussion Points:

• Post-Holiday Returns: As shoppers start returning gifts after Christmas, many will face new return fees.
• Prevalence: According to the National Retail Federation, "72% [of retailers] will do so this holiday" (Novasafo, 00:59).
• Bracketing Phenomenon:
  Edgar Dworski (ConsumerWorld.org) explains,

  "They will get, let's say, pants—three different sizes and colors of pants—not knowing which one they're going to want to keep. They'll keep one item and return the other two."
  (Henry Epp quoting Edgar Dworski, 01:29)

• Costs to Retailers: Returns via mail incur significant postage and processing expenses.
• Retailer Strategy:
  • Many companies are now introducing return fees (especially for mail returns) to offset these costs.
  • "You begin to see some companies saying enough. And they're slapping a fee on returns, especially returns by mail," (Henry Epp, 01:39).
• Customer Pushback & Risks:
  David Sobey (CEO, Happy Returns) notes,

  "It may turn shoppers off altogether and have them say, gosh, you know, I'm just not willing to buy from this merchant anymore."
  (01:49)

• Alternatives:
  • Returning in-store often remains free.
  • It's less expensive for retailers, and shoppers may make additional purchases during the visit.

2. The Psychology of Consumer Boycotts

[02:32–05:29]

Key Discussion Points:

• Boycott Campaigns: Reference to the "We Ain't Buying It" boycott targeting Amazon, Home Depot, and Target.
• Impact on Shoppers:
  Host Rima Krais discusses how boycotts emotionally affect individual consumers, not just company revenues.
• Street Interviews:
  • Commonly boycotted brands: McDonald's, Target, Amazon, Chick-fil-A, Hobby Lobby, Starbucks.
  • Reasons include political influence, business practices, and prices.
  • Notable quote:

    "Because I don't like the way that they use their money to influence our politics."
    (Anonymous Portland shopper, 03:29)

  • Debate about individual impact:

    "I want to boycott, but sometimes I feel like if only I'm contributing to it, then what change will happen? But I guess that's a sheep mentality."
    (Suyash Pazi, 03:49)

• Emotional Repercussions:
  Lindsey Brian Podvin (financial therapist) discusses anxiety and second-guessing:

  "This anxiety around how do I boycott the right way, how do I do it right? How do I not mess up?"
  (04:00)

• Decision Fatigue:
  Everyday purchases feel like moral decisions, causing emotional strain.

  "Like, what do I do if the only diapers I can buy that don't give my baby a rash come from Target? And I'm trying to avoid it, but I can't put my child in something that they have a reaction to."
  (Lindsey Brian Podvin, 04:29)

• Guilt vs. Shame:

  "Guilt is external. I did something bad. I made a mistake. Shame is internal. I'm bad. I'm not good at this. I don't understand."
  (Lindsey Brian Podvin, 04:53)

• Systemic vs. Individual Responsibility: Boycotts place a heavy burden on individuals for systemic issues.
• Potential Positives:
  • Participating in boycotts can be empowering:

    "You can just feel better about the way that you're using your dollars."
    (Lindsey Brian Podvin, 05:16)

  • Meaningful spending can offer psychological benefits, especially in times of uncertainty.

3. Tech Industry and the Political Climate

[06:22–08:22]

Key Discussion Points:

• Tech Leaders and 'Trump 2.0':
  Business leaders, especially in tech, are making efforts to align with the current administration.
• Strategic Engagement:
  Suyash Pazi (Human Rights Research Center) observes,

  "The tech leaders sort of need to be more agreeable to the government, to the federal government than ever than they have been in the past."
  (07:19)

• Recent Examples:
  • Bill Gates and other leaders dining with Trump to influence issues like US Aid.
• Motivations:

  "A lot of tech leaders, I think, recognize the only way they can get something out of the administration, it seems like at the moment, is to placate the administration."
  (Suyash Pazi, 07:36)

• Deregulation Benefits for AI Companies:
  • Noted immediate advantages from deregulatory moves.
  • The current dynamic is more about aligning with the administration than in the past.

  "But the broader culture, I think, is more about agreeing with what the administration is saying more so than administrations in the past."
  (Suyash Pazi, 08:03)

4. Notable Quotes & Memorable Moments

• On bracketing and its costs:

  “Not knowing which one they're going to want to keep, they'll keep one item and return the other two. Nice for the customer, but for the retailer, those returns add up.”
  (Henry Epp, 01:29)

• On consumer guilt and boycotts:

  “Guilt is external. I did something bad. I made a mistake. Shame is internal. I'm bad. I'm not good at this. I don't understand.”
  (Lindsey Brian Podvin, 04:53)

• On tech and politics:

  "The only way they can get something out of the administration, it seems like at the moment, is to placate the administration."
  (Suyash Pazi, 07:36)

5. Timestamps for Key Segments

• Return Fees and Bracketing:
  00:55–02:32
• New Boycott Movement and Emotional Impact:
  03:15–05:29
• Tech’s Shift Toward Washington:
  06:22–08:22

Tone & Language

• Informative, concise, and accessible business reporting
• Conversational Interjections (shopper quotes, street interviews)
• Empathetic when discussing the psychological toll on consumers

Summary

In under 10 minutes, this episode shines a light on the consumer challenges and business realities facing Americans post-holiday: new return fees altering shopping habits, the emotional complexity of participating in retail boycotts, and big tech’s adaptive strategies in an evolving political climate. Each report employs expert voices and shopper perspectives, delivering thoughtful, up-to-date insights into how personal decisions connect to broader economic and corporate trends.