Case Study: CUTS achieves industry-leading customer lifetime value with Happy Returns by PayPal

CUTS Clothing sees a significant lift in customer lifetime value (CLV) with Happy Returns by PayPal

CUTS is a DTC workleisure brand known for comfortable, office-ready apparel. As it scaled, manual returns processing became unsustainable and a brief switch to a cheaper returns vendor led to negative customer feedback and a drop in customer lifetime value of over 40%, prompting CUTS to prioritize a seamless, customer-first returns experience.

CUTS returned to Happy Returns and within 90 days regained a scalable, streamlined returns flow with robust reporting and Return Bar drop-off options. The change helped drive industry-leading results: NPS of 92, a repeat customer rate above 50%, 76% of shoppers using Return Bars, lower costs, and improved customer lifetime value.

CUTS

Carter Shae

Chief Financial Officer