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Reverse Logistics of the Retail Product

Reverse LogisticsResearch by the United Parcel Service (UPS,) Studies by eBay, retail specilists like MultichannelMetchant.com and many more are all identifying the importance of having a user-friendly process for product returns (i.e., reverse logistics.)

These studies are showing that a crucial component of the overall relationship between customer and retailer is the return policy. The National Retail Federation noted that that an estimated $260 billion in merchandise was returned last year; up 66% from five years ago. It makes sense that increased online shopping would also see an increase in return rates, resulting in additional supply chain complexities and costs.

During the holidays, this spike was especially noticeable as more people transitioned to online shopping. Today’s retailers must understand that their customers expect the entire sales process revolve around their needs, including a seamless and frictionless returns experience.

Read: 5 Things Retailers Must Understand About Product Returns