AI-powered sizing solution reducing fashion eCommerce returns through body-mapping technology and predictive analytics. Targets mid-market retailers with 20%+ return rates.
ReturnRadar tackles the €3.2B EU returns management market with AI-driven sizing accuracy for fashion retailers. By analyzing body metrics and purchase history, the platform reduces return rates through personalized fit predictions, directly boosting retailer profitability while addressing sustainability concerns in eCommerce logistics.
Core functionality
AI sizing recommendation engine analyzing customer body metrics, purchase history, and fit feedback. Provides real-time size predictions through eCommerce platform integration, featuring visual body-mapping technology that personalizes fit analytics to reduce return rates.
Target user and segment
Mid-market fashion retailers ($10M-$500M revenue) experiencing >20% return rates. Focus segments: premium apparel brands, sustainable fashion marketplaces, and size-inclusive retailers targeting 25-45yo demographics.
Recommended tech stack
- Machine Learning: Python/TensorFlow
- Backend: Node.js
- Frontend: React dashboard
- Database: PostgreSQL + Redis
- Cloud: AWS SageMaker for training
- Integrations: Shopify/Magento APIs
- Computer vision libraries for body mapping
Estimated MVP hours and costs
- AI model development: 350h (€35,000)
- API & platform integration: 200h (€20,000)
- Customer dashboard UI: 150h (€15,000)
- Testing & deployment: 100h (€10,000)
- Total MVP cost: €80,000 (800h)
SWOT-analysis
- Strengths: Direct ROI through return reduction, proprietary algorithms, seamless integration
- Weaknesses: Initial data requirements, clothing size standardization challenges
- Opportunities: Expansion into furniture/electronics, body scan app integration
- Threats: Privacy regulations, competition from TrueFit and Rakuten
First 1000 customers strategy
- Channels: Shopify App Store (40% acquisition), LinkedIn outreach to eCommerce directors, co-marketing with returns platforms, Shoptalk/IRCE conferences
- Customer acquisition cost: €120-€180 per client
- Conversion target: 5-7% from qualified leads
- Pilot program: Free implementation for 3 major brands for case studies
Monetization
- Model: SaaS tiered pricing by order volume
- Pricing: Starter €299/mo (<5k orders), Growth €799/mo (5k-20k orders), Enterprise custom
- Break-even: 270 Growth-tier clients (€215k ARR)
- Core team: 3 FTEs (AI engineer, developer, CX/sales) + fractional data scientist
Market positioning and competitors
- Market size: €3.2B EU returns management (2025 projection, 15.7% CAGR)
- Competitors: TrueFit (US), Rakuten Fits Me (Asia/EU), Sizebay, Virtusize
- Differentiation: EU regulatory compliance, sustainability focus, no hardware
- Micro-niches: Plus-size specialists, sustainable sneaker brands, luxury knitwear
- Sales strategy: Revenue-share with logistics providers, ROI-based pricing
