As the hustle and bustle of the holiday season winds down in January, retail warehouses encounter a new hurdle - managing the surge in returns. The National Retail Federation estimates a staggering $148 billion in holiday merchandise is poised to be returned at a rate of 15.4%. This not only signifies a period for warehouses to recuperate from the holiday peak but underscores the critical role of efficient logistics and return management.
Returns in January are a common aftermath of the holiday peak, with Christmas purchases playing a significant role in the surge. Be it gifts that missed the mark or an attempt to recover from the holiday splurge, e-commerce brands witness the highest volume of returns throughout December, January, and February.
The upswing in returns during January can be attributed to various factors, with the aftermath of the holiday peak being a predominant influence. The surge is particularly fueled by the influx of Black Friday, Cyber Monday, and Christmas purchases. The increased volume of online shopping during the festive season amplifies the likelihood of logistical errors, shipping damages, and discrepancies between product expectations and reality.
Handling e-commerce returns involves costs such as transportation fees, staff time, and warehousing expenses for sorting items. Additionally, when a refund is requested, the original sale value is lost, negatively impacting overall revenue. To mitigate the financial impact, effective management of both stock and returns becomes imperative.
Warehouses can streamline the returns process by adopting best practices that ensure both speed and accuracy. Integrating technology, particularly Warehouse Management Systems (WMS), is a key strategy to achieve efficiency in managing returns.
Enter Fusefabric's Enterprise Connect suite, comprising WMS Connect, Stock Connect, Bundle Connect, ERP Connect, and Finance Connect - all designed to simplify and enhance enterprise operations.
Integrated analytics tools empower businesses to analyse patterns and trends in returned items, using insights to improve product quality and enhance customer satisfaction.
In conclusion, adopting Fusefabric's Enterprise Connect proves invaluable in navigating the challenges posed by January returns. The wide variety features of Enterprise Connect, such as integrated returns triggering refunds and communications, and real-time inventory updates, address the discussed challenges. Contact us to find out more about Enterprise Connect: https://fusefabric.com/contact/
As we settle into the new year, it is important to assess your eCommerce systems to meet upcoming demands. We will explore two aspects of this process: moving to Shopify as a leading eCommerce platform, and the importance of seamless integration with existing systems through fusefabric’s Enterprise Connect.
Swanky and fusefabric have today announced a strategic alliance to provide end-to-end Shopify expertise to enterprise retailers. The partnership brings together two of the…
We cover off various aspects of mobile payments such as benefits, drawbacks, trend, security, user adoption and acceptance, and the role of governments and regulators, and how mobile payments compare to online payments and how retailers can benefit from this trend.
Our team combines broad and deep experience with a collaborative, agile way of working.
We're ready to talk about how we can help put your e-commerce operations on the front foot.