Omnichannel retail is more than just fulfilling orders; it should also be about easy returns if you want to increase brand loyalty and profit margins. Unfortunately, this is easier said than done.
Below are some returns management strategies to make your omnichannel retail operations more efficient.
Always Try to Improve Your Reverse Logistics Program
Time isn’t on your side when it comes to processing returns. The longer you let a returned item sit in your warehouse, the less value you could recover. The extra cost could be more significant when you consider the potential for doubled transportation and labor costs. To remedy this, you need a more data-driven approach starting out with standardized processes and the establishment of baseline KPIs (key performance indicators) for all processes.
ReverseLogix, a company that offers returns management services, notes that this could help you identify areas that you could improve on. The approach will also allow you to implement projects to reduce the resources required for recovering value from returns.
Seamless Collaboration Between Supply Chain Management and In-Store Operations is Key
Your store personnel should be properly educated and trained about your returns processes and the effect on your stocks and sales. They must know how to determine slow-moving and fast-moving products. They should know which ones are recyclable so they could come up with a better sales strategy. This way, only items that need to be restocked, returned to the supplier, and refurbished would be shipped back to your warehouse.
Working with Your Suppliers
Implementing evaluative procedures, including returns reporting and damage research could greatly help when working with suppliers to reduce your return rate. You could then share your results from these activities with your suppliers to resolve potential problems whatever they may be. This way, your supplier’s marketing and product development teams would be better informed and could take steps to improve their items to meet customer expectations.
Handling returns management could be a challenge, particularly with omnichannel retail operations that come with potential complications across the supply chain. The factors discussed here are important to remove unnecessary processes and maximize the recovered value of returned products.