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DATA NEWS: 'Return to sender' costs businesses millions

Incorrect delivery addresses are costing online businesses more than £146m every year according to a recent survey.

The study revealed 5.8 million items ordered online fail to deliver first time and the fault mainly lies with businesses. Poorly put-together online forms lead to incorrect data capture and result in many online companies footing the bill.

According to the survey, from IT firm Postcode Anywhere, every delivery that fails due to an incorrect address costs on average £22.50 to put right.

Guy Mucklow, MD of Postcode Anywhere, warns companies of the repercussions. "It affects customer service levels it seems likely that even more customers will never go through with the order in the first place if they meet with a particularly troublesome form."

Mucklow advises businesses to employ a technology that auto fills an address from a UK postcode.