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~ Descartes pixi ~

5. Speed up the returns process is to touch the returned product as few times as possible.
When the vendor receives a return shipment, it is impor- Using workflow solutions to automate returns process-
tant to make the item available for sale again as soon as ing quickly means goods are made available in inventory
possible, once it has been faster. The sooner they
evaluated that there is no are approved for sale,
“E-COMMERCE VENDORS
damage. The inventory the sooner they generate
can be updated imme- revenue again.
diately via a warehouse
NEED TO MODERNISE AND
management system and Closing thoughts
made available again to Today, returns are much
all sales channels. more complicated, with
AUTOMATE THEIR WHOLE many merchants selling
Creating a return process online from multiple
that separates reim- marketplaces to a wide
RETURN PROCESS – FROM
bursement and inven- range of geographic
tory management helps areas. Simple, low-cost
retailers speed up both returns are expected by
received, evaluated and CUSTOMER INITIATION TO the customer, yet they
parts of the returns
process. The item is
are changing online
buying behaviour and
as appropriate. Some GETTING PRODUCTS BACK increasing the number
then the customer is
of intentional returns.
automatically reimbursed
An increasing number of
fore a product is received INTO THE SALES CYCLE sales channels and mar-
companies are even will-
kets continue to add to
ing to give refunds be-
the complexity of deal-
to keep customers happy ing with holiday returns.
and increase the speed of WHEN THEY STILL HOLD Since less than half
processing refunds. of returned goods are
re-sold at full price, old-
THE MOST VALUE.”
6. Efficient classifi- fashioned return man-
cation of returns for agement is considered to
faster processing be a “ticking time bomb
It is helpful to classify turning into a major cash
3
returns immediately upon reception via simple mobile hole” . During the holiday season, to help protect profits,
solutions with bar code scanning. The item is appropriately e-commerce vendors need to modernise and automate their
classified (e.g., needs repackaging, discount it, send it back whole return process – from customer initiation to getting
to new inventory, recycle or trash), which can save time products back into the sales cycle when they still hold the
and money because it limits the energy spent on products most value.
that no longer have value.

Including photos of returned items with the customer’s Would you like to know more about how to counter the costs of
return record also speeds up the product classification e-commerce returns? Download the Descartes pixi whitepaper:
process. Modern technology makes this very easy, as ware- https://ecommerce.descartes.com/resources/
house associates can conveniently take pictures with their
smartphones. While some merchants photograph every
return, others only take photos if something is defective or
damaged. Classification helps separate the small number of
returns that do need special treatment or customer service
attention. Sources:
1. Erica E. Phillips, The Wall Street Journal, https://www.wsj.com/articles/what-stores-
7. Rapidly return merchandise to the sales cycle do-with-90-billion-in-merchandise-returns-1518777000; Oct 30, 2019
2. Aaron Orendorff, Shopify, https://www.shopify.com/enterprise/ecommerce-returns;
The faster the returned items are checked for integrity and
Oct 30, 2019
re-introduced into the inventory, the more value most re-
3. Courtney Reagan, CNBC, https://www.cnbc.com/2016/12/16/a-260-billion-ticking-
turned items retain. Processes and workflow must be as au-
time-bomb-the-costly-business-of-retail-returns.html; Oct 30, 2019
tomated as possible: The goal of the reverse logistics team

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