Contract Logistics

Maximizing e-Retailing Solutions with Reverse Logistics

Maximizing e-Retailing Solutions with Reverse Logistics
Phubet Boonrasri

The rapid growth of e-Commerce in domestic and international markets has driven e-Retailers to putting more emphasis on factors beyond just the quality of their goods. E-Retailers must now have a wide range of logistics processes, as well as increasingly-efficient delivery services. Having a competitive delivery service is key to retaining a loyal client base.

However, efficient and timely deliveries are not the only factors e-Retailers need to keep in mind. Beyond deliveries, return and exchange services that includes returning goods to their original manufacturers have becoming equally important. These reverse services have become especially critical for online retail shops success, and is partly why reverse logistics has taken on a bigger role in the logistics industry in supporting e-Retailers.

Reverse logistics is simply the process of planning, managing, and executing the return of goods to suppliers when they have sustained damage, are rejected or at the end of their seasonal shelf-life. Some goods are returned to their manufacturers to be repaired or re-manufactured. Additionally, goods are returned for proper disposition when found to be inefficient or expired.

warehouse e-retail logistics manager magazine
Amplify Customers’ Satisfaction

Many e-Retailers often act as a go-between in retail business, serving between manufacturers and consumers. Therefore, most retail goods are shipped directly from and to manufacturers in cases of insurance claims, repair, replacement or rejections.

The combination of highly competitive business and consumers’ tendencies to prefer faster, modernized, and convenient shopping environments have upscaled expectations on what e-Retailers must provide. This puts pressure on e-Retailers to be come up with new purchasing processes with a safe and convenient payment method, as well as reliable and timely delivery service. Besides the need for satisfactory forward logistics processes; reverse logistics is another aspect of logistics service e-Retailers now find impossible to ignore. In reality, online shopping does not allow customers a chance to test or try on their purchases before placing an order. Many times, purchased goods are not true to their sizes, colors, or simply falls short in quality. Sometimes, goods arrive damaged or faulty, and this is where a good reverse logistics process become vital in fast return and replacement. This requires efficient reverse logistics management to satisfy and assure consumers of high quality service that can lead to more purchase and brand loyalty to particular vendors.

Enhance Returns

Besides being an important element to Business-to-Consumer (B2C) businesses for satisfying consumers and creating reliability; a reverse logistics service also plays an important role in returning goods from retailers to manufacturers.

ThinkstockPhotos-61861_opt

For a Business-to-Business (B2B) case, reverse logistics services can manage the return of goods to their manufacturers when it comes to rejections, wrong deliveries, damaged goods, faulty products or replacements. e-Retailers should manage their reverse logistics service flow to maintain timely and efficient returns to manufacturers. However, one of the most common pitfalls among e-Retailers is the lack of expertise in reverse logistics management for manufacturer returns. This issue does not only delay and complicate the return process, but also add to vendors’ overhead in rejecting supplies, as well as stock mismanagement. Nevertheless, many logistics providers are beginning to offer expertise in reverse logistics services, which allows e-Retailers more options in managing their reverse logistics services more effectively. This helps ease e-Retailers’ burden in reverse logistics, and offer better cost management.

Minimize Overall Logistics Costs

Effective reverse logistics management can help e-Retailers by cutting down on their logistics costs. When goods are damaged, faulty or at the end of their shelf life; returning them to their sources can be carried out easily and efficiently. e-Retailers can save more on warehouse management, maintenance, and other relating costs while returned goods can be sent back for value-adding according to each vendor’s methods. Goods can be returned for repair, re-manufacturing, recycling or for repurposing parts for new products instead of goods being thrown out. Therefore, well managed returned goods can reduce industrial waste and cut down on manufacturing costs.

Returning goods for re-manufacturing, recycling or value-adding does not only increase material supply chain efficiency, but also allows e-Retailers to conduct business in a more environmental conscious manner by both repurposing and using correct disposal methods. Reverse logistics services can reduce industrial environmental effects, create a respected organizational image, and leave a lasting impression on clients.

shutterstock_350092247_opt

For breaking news sent to your LINE application, click on the button below to add us on LINE at @logisticsmanager (also include the ‘@’ symbol)

เพิ่มเพื่อน

Contract Logistics
Phubet Boonrasri

Phubet Boonrasri, or Chen, is an experienced writer with interests in many fields. As a one of the feature writers for Airfreight Logistics, Chen digs in deep to get his facts. Chen is an adventurer, an explorer of the world and spends a lot of his spare time with nature.

More in Contract Logistics

DSV Open New Logistics Facility in Istanbul

DSV Open New Logistics Facility in Istanbul

Logistics ManagerMay 13, 2019
Kerry Logistics Launch Kerry Cold Chain in China

Kerry Logistics Launch Kerry Cold Chain in China

Logistics ManagerMay 8, 2019

Aramex Inaugurates New e-Commerce Fulfillment Center in Dubai

Danny GillApril 24, 2019

DSV Announces Plans to Build a Gateway to Scandinavia

Danny GillApril 22, 2019
Rhenus Acquires Miami-based Freight Logistics Group

Rhenus Acquires Miami-based Freight Logistics Group

Logistics ManagerApril 18, 2019
KN Pledge Unveiled by Kuehne + Nagel

KN Pledge Unveiled by Kuehne + Nagel

Logistics ManagerApril 18, 2019
SEKO Logistics Omni-channel Solutions Boosts Sales of Canyon Bicycles in the US

SEKO Logistics Omni-channel Solutions Boosts Sales of Canyon Bicycles in the US

Logistics ManagerApril 11, 2019

Nippon Express Logistics Indonesia Completes Construction of Logistics Center

Danny GillApril 10, 2019
Panalpina Singapore Unveil Biodiesel Trucks

Panalpina Singapore Unveil Biodiesel Trucks

Logistics ManagerApril 5, 2019
LM is the leading source of logistics and cargo news within ASEAN and is regarded as one of the most authoritative sources of information. Our subscribers keep up to date with the latest logistics news, views, features and events within ASEAN and beyond.
AFL Real Logo

Airfreight Logistics is the air cargo professional’s number one provider of news and information in ASEAN and around the World. To keep abreast of all the latest news and for in-depth features visit our website www.airfreight-logistics.com

UpMedio

Subscribe to our newsletter!

© 2015 Logistics Manager | About Us | Advertise | Subscribe | Contact | thai Thai Version