Is reverse logistics necessary for smooth returns policy?

Editor | Sep 10, 2020

    Online retail is incomplete without an adequate return policy. Consumers feel they are at a disadvantage because they cannot closely examine online goods before purchase. This makes product returns a necessity. Six to eight percent of seller products are returned. For some sellers, this percentage can go as high as 25%. Alarming yes, but why do people return goods? Either because:

    • They received the wrong product
    • They don’t like the product or it doesn’t fit them (or their personality)
    • The product they received doesn’t match what they saw online
    • Poor product quality

    All very valid reasons, given the fact that they cannot try out the product or examine its quality before making a purchase! Allowing returns can be risky too, but by not providing the return option you risk losing a great deal of orders. Having reverse logistics is a necessity if you want to stay in the game and actually make significant sales!

    What is Reverse Logistics?

    In ecommerce reverse logistics refers to the product return process. Returning products is hectic, however if the seller offers to take care of product returns, consumers will jump to buy from you. Most marketplaces provide reverse pickups. Some even go as far as to provide 90 minute reverse pickups.

    Reverse logistics can get tricky because while you’re trying to meet consumer needs your costs may increase if you aren’t careful. Before you make your decision about reverse logistics you need a better understanding the facts.

    Why Do You Need Reverse Logistics?

    Returns are inevitable

      For certain categories product returns are unavoidable. Wearable items like clothes, shoes, accessories see the highest returns. Irrespective of whether they are sold online or offline! Since consumer taste and preferences vary and not all people are the same, product returns cannot be avoided completely. But you can boost consumer confidence in your products by giving them the option to return your products.

      You gain a strategic advantage

      You prevent product damage and wrong returns

      You retain consumers

      You could be losing out

      About Author



      Editor team is specialized in introducing the marketplace content targeting the Indian online sellers. They plan and coordinate to bring the appealing content for the small businesses on how to partner with the e-commerce sites like Amazon and Flipkart and strategies for improving their online business. 

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