Third-party logistics companies help retailers with returns

During the pandemic, online sales grew significantly, but so did the number of returns. As a result, third-party logistics companies (3PLs) are helping retailers deal efficiently with these returns.

Speaking to SHD Logistics, Charlie Walker, the Head of Marketing at Walker Logistics, said:

“Consumers are inclined to shop more with retailers who make the returns process easier, so a good returns experience breeds loyal customers and drives sales.”

Walker added that some shoppers won’t make a purchase decision until they are satisfied that the retailer has a good, uncomplicated returns policy.

Between 30% and 50% of items bought online are returned, many of them in a saleable condition. This is far more than the return rate for retail stores. Online fashion retailers have particularly high return volumes from customers who don’t like the fit or style of the clothes they have ordered.

Many fashion retailers don’t have adequate systems to process returns quickly and accurately. Many sellable items become stuck in a queue waiting to be examined and returned to the shelves or heavy duty garment rails.

A solution is to use a 3PL, which will handle the processing of orders and deal with returns so that saleable items are available for sale again as soon as possible. Walker says that it’s important for retailers to choose a 3PL with a proven track record of delivering orders quickly and efficiently – one that processes returns as effectively as the initial orders.

Posted by Katrina
16th August 2021
Retail & Warehousing

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