Reverse logistics is currently one of the most important challenges that ecommerces face. Correctly managing this dimension of the supply chain is vital to maintain a loyal audience in a very competitive market.

The plan vs the no plan

As in all areas of a strong business, having a sound strategy can mean the difference between success and failure. A reverse logistics plan is necessary to efficiently manage the return of products with which our customers are not satisfied.

The lack of a reverse logistics strategy can cause a company to lose potential income due to the slow return of the product to the sale or due to the loss of loyalty from dissatisfied customers. Around 40% of buyers made a return in 2020 according to the Online Shopping in Spain 2021 report, from the National Observatory of Technology and Society (ONTSI). A good plan can increase the effectiveness of our returns system, reducing refund or replacement times, which has a direct impact on our customers’ shopping experience, their loyalty to our brand and the cultivation of prescribers.

Benefits of having a plan

A well-structured plan can generate very significant impacts on our operations:

• Reduce administrative, transportation and customer support costs.
• Increase productivity times, since the flow of operations grows.
• It directly impacts customer satisfaction, with the consequent growth of the market and retention rates.
• Improve other supply chain operations based on the diagnosis made.

Strategies of a good plan

There are several factors that must be taken into account for the proper functioning of reverse logistics:

• Profitability: the first thing is to consider whether it is worthwhile to implement a reverse logistics service. This is determined by the price of the product and the cost of shipping.
• Efficiency: using different transport operators has proven to be one of the most efficient strategies when it comes to reducing costs. In this sense, it is important to choose the appropriate carrier based on factors such as the geographical area of the market or our type of product. The carriers that we use for shipments do not necessarily have to be the same to manage our returns, which can be carried out by others that are more competitive in reverse logistics.
• Versatility: facilitating the return to the customer improves the shopping experience. It is convenient to offer different methods, such as home collection or collection point. For this type of service, there are transport operators that are better positioned than others.
• Automation: there are currently technological solutions that allow you to optimize your reverse logistics. These types of tools are configurable based on quality and cost parameters and automatically assign the transport operator that best suits your interests. Outsourcing reverse logistics to a third party that has the necessary technology and expertise guarantees the provision of a good service at an affordable cost. All the time and resources earned can be devoted to other parts of the business.

If you need advice for managing your returns, at Deliverea we have the technology and the human team to transform all aspects of your reverse logistics. Contact us at com@deliverea.com