The 'staggering' cost of reverse logistics to supply chains

ID 166339515 © Andrei Gabriel Stanescu | Dreamstime.com

The scale of returns logistics in e-commerce is simply staggering, according to this article in Supply & Demand Chain Executive. Some $550bn worth of goods each year are returned to e-commerce retailers around the world, costing their supply chains an estimated $50bn. And it’s a trend that has worsened since the prevalence of social media platforms encouraging consumer “impulse buying” – some 63% of impulse buys are returned. But supply chains are expected to adapt: “In the coming years it is expected that there will be centralised warehouse centres dedicated to reverse logistics operations. Employees can be dedicated solely to returns, delivering benefits to companies.”