Merchandise returns are a challenge to eCommerce, yet a necessary part of the process. There is a lot to understand to keep up with customer expectations and the innovations in technology that can help to make the return process more manageable.
As the volume of shipments continues to rise, the rate of the merchandise being returned rises also. In 2021, the National Retail Federation reported that US shoppers are expected to return more than $761 billion worth of goods purchased in that year. This trend is reflected in the 2021 report from IMRG which found that a quarter of all consumers return between 5% and 15% of items they buy online.
There are a plethora of challenges facing eCommerce in regard to returns. Not only is the volume of returns rising, but customer expectations continue to evolve, and customers do not want to pay for returns. A 2021 eCommerce survey revealed that many shoppers check the returns policy before placing an order. 40% say they will not order a product unless the return period is at least 30 days. 74% of respondents also stated they would not order at an online store if they had to pay for the return themselves.
Another challenge facing eCommerce in regard to returns is sustainability. Longer return times and issues with storage and infrastructure combined with the fact that it makes no financial sense to return lower-value items are impacting negatively on the sustainability efforts of merchants.
Here is an outline of the return process where we can see the pain points for eCommerce:
Generation of return labels
Receipt of return and accurate sortation to enter it back into inventory
Update of order status
Issuance of refund
Notification of customer
So, what options do eCommerce merchants have for efficient returns?
Highlight your return policy upfront. Clearly state your expectations throughout the purchasing process to ensure that they are understood by the consumer
Automate your return label by either including a return label with the shipment or providing a digital option to print one out
Get the right technology to manage the receipt of the return and accurate return to inventory. Technology today can set shipping rules and automate processes that save time and money while diminishing costly errors with shipping and managing returns.
Automate the order status update with the issuance of the refund and notification of the customer.
ABCO Systems has years of expertise in streamlining reverse logistics with automation, sortation, and storage optimization. Click the ABCO box below to find out how we can help you handle your specific reverse logistics needs.
Customers can integrate ABCO’s storage optimization with Addverb’s hardware and software solutions to increase speed and accuracy while maximizing usable warehouse space.
Nashville, Tennessee – September 20, 2022 –
Today, Addverb, a leading automation solutions provider, announced its strategic partnership with ABCO Systems, a full-service distribution solutions provider that specializes in streamlining warehousing operations. This strategic alliance combines Addverb’s innovative automation technology with ABCO’s storage and material handling equipment systems to offer best-in-class solutions for warehouse and fulfillment operations in consumer goods industries, including e-commerce, grocery, fashion, and lifestyle.
Addverb will supply its advanced robotics technology to ABCO Systems’ clients with a focus on optimizing customers’ warehousing needs. The range and flexibility of Addverb product solutions will enable ABCO Systems’ customers to select the best structure for their specific needs, whether for a fully-automated operation or a system that will work in concert with existing manual processes. The expanded service for new and returning ABCO Systems customers will feature Addverb’s robots, including Quadron, Veloce, and Dynamo.
“Addverb has been leading the way in providing a solid suite of robotics and software to augment the supply chain technology space,” said Sriram Sridhar, Chief Revenue Officer, Americas at Addverb. “We are thrilled to start on this journey with ABCO to fuse our complementary strengths in solving the crippling labor and efficiency challenges that warehouses across the USA face.”
As the demand for faster delivery increases, with many customers desiring same-day or two-hour warehouse-to-door deliveries, companies are seeking micro fulfillment services that enable them to increase their speed and efficiency. By combining Addverb’s automation hardware (AMRs and AGVs) and software (WES, WMS, and FMS) with ABCO’s warehousing operations and material handling equipment systems, companies can maximize their storage capacity and increase pick speeds without compromising accuracy.
“We are thrilled to announce our partnership with Addverb,” said Seth Weisberg, CEO of ABCO Systems. “The partnership between ABCO and Addverb embodies the strategic growth of the industry of logistics and distribution through automation, and we look forward to incorporating Addverb’s technology into optimizing solutions for our customers.”
Addverb’s partnership with ABCO Systems is the latest in a series of alliances formed that expands the deployment of Addverb’s cutting-edge mobile robots and integrated software solutions to U.S. warehouses and fulfillment centers.
The companies will demonstrate their integrated solutions at the CSCMP EDGE event, in Nashville, Tennessee, on Sept. 18 – 21, 2022. Additionally, ABCO Systems will showcase Addverb’s automated product solutions at the company’s corporate office showroom in Carlstadt, New Jersey.
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About ABCO
ABCO Systems offers design and engineering solutions for automation and storage optimization. Partnering with the highest level of suppliers, ABCO Systems provides customized solutions to meet each customer’s unique needs, providing solutions for today’s challenges and tomorrow’s solutions. ABCO’s mission is to be the most trusted material handling solutions provider in the United States and over-deliver for clients, customers, and partners.
About Addverb
Addverb provides smart end-to-end warehouse and industrial automation and logistics solutions. Addverb’s fleet of automated robots, material handling technologies, in-house system integration services, and software solutions helps improve the performance and accuracy of warehouse and factory operations.
Addverb’s mission is to discover the right automation for a customer’s problem, design an appropriate customized solution, deliver the project, and provide dedicated after-sales support. Addverb’s headquarters, manufacturing, and R&D facilities are in India, with subsidiaries in Australia, Singapore, the Netherlands, and the United States. Addverb’s current 100+ customers include Reliance, Unilever, Flipkart, Coca-Cola, Pepsico, Johnson & Johnson, and PAR Pharmaceutical.
In this episode host Kevin Lawton is joined by Paul Short of Combilift at MODEX 2022. They discuss some of Combilift’s unique offerings and what customers are looking for in their warehouse automation journey.
Sign your business up for Veryable’s on demand labor platform here.
In her article, “How Contractors Deliver When Building E-Commerce Fulfillment Centers”, Emily Beyda sits down with Seth Weisberg to discuss the ever-changing world of e-commerce and ABCO System’s place in that world. Seth Weisberg has been the CEO of ABCO Systems since January of 2003. Weisberg studied at Northeastern University, attaining a Bachelor’s degree in Sociology as well as a Master’s Degree in Business Administration.
Weisberg discusses Amazon’s “expansion of the modern logistics industry” in the 1990s that has entirely revamped the world of e-commerce that the world is both acclimated to and dependent on in the modern day. Amazon’s focus centered around building out distribution centers, as Weisberg breaks down, as the company aptly realized that investing more money, in the long run, can be extremely beneficial.
Weisberg took this philosophy into ABCO systems explaining that the best way to operate in this industry is to “draw on the expertise of fulfillment experts who can create more expensive- but more effective solutions that save money over time”. Delving further into the ABCO way, Weisberg elaborated that there is “no established system” that he subscribes to. An ABCO project begins with the team evaluating a warehouse space to begin the design process, from which point actual distribution methodology is defined.
This process can be likened to “a puzzle […]” Weisberg continues in Beyda’s piece, it “depends largely on each individual’s distribution model […]”. Similarly, the world of logistics as a whole is dynamic, which aligns perfectly with ABCO’s flexible and ever-changing approach to space optimization. Much of the company’s work is done for third-party logistics (3PL) companies, which means that all of the customers of the 3PL have distinctive wants and needs within their space. Furthermore, as Weisberg entails, contracts with these 3PLs can be brief, compelling ABCO to create adaptable systems that can meet ever-changing client needs while abiding by local and state safety regulations- to ensure all customers of ABCO Systems are both safe and satisfied.
This article illustrates how the leadership of Seth Weisberg is embodied by the ABCO WolfPack and the complexity of the thought process that is infused into each project they undertake.
