26 July 2022
3 min read
Reverse Logistics: a game-changer for eCommerce
- The increase of pre-pandemic returns is set to continue growing in the future, specially in some verticals like apparel
- Returns-related data management and operational scale are two key drivers for developing competitive advantages
- A frictionless returns experience can increase customer loyalty and drive sales up by 29%
Why managing returns is so difficult
The increase that the eCommerce industry saw pre-pandemic in product returns, especially in some verticals like apparel, is set to continue growing in the future. Nonetheless, this uprise has not been followed by an increase in the efficiency management of such activities, which seems to be the next step for eCommerces willing to jump into the next level.
One of the main reasons that explains the attitude that eCommerces have shown towards returns, is the ungrateful following they have. An inefficient returns management policy is likely to disappoint customers whereas there is an attractive probability that an efficient one will be an advantage for customers to continually engage with a brand.
Many customers take it as a given, so in case eCommerces are not efficient at managing them, it can only be a significant downgrade for their image.
“Efficiently managing returns has become a must for eCommerces to reach their full potential, and a key driver for achieving market leadership”
Returns process inefficiencies are often the result of the incapacity of eCommerce teams to manage data and scale operations in order to gain advantage over their competitors. It is complicated to understand the different reasons that might result in a return for each product and the fragmentation of operations makes it a complex process to manage for retailers.
Having assumed that it is often better to avoid a problem rather than trying to solve it and doing so in a wrong way, it is not uncommon that certain retailers simply do not accept product returns or that they try and make it complicated for customers to return specific products. This way they turn their back to the issue, implying they neglect the capacity it can have to suppose a game-changer for their operations and activity. It is true that 33% of repeat consumers would choose to abandon a retailer if they had a “difficult” returns experience but on the other hand, an efficient returns experience can increase customer loyalty and drive sales up by 29%.
With this landscape in mind and the incapacity that eCommerces of all sizes have to develop an in-house solution for the management of returns, REVER has stepped up to become the leading one stop shop for both retailers and consumers in all return-related activities. We provide expertise in the logistics industry and strategic know-how to enable retailers to reach the next level. But first and foremost, we understand our customers; we know what they need and we have created a tailored product that solves all potential pains that create inefficiencies in the returns process for eCommerces.