Product comes back to your distribution center in many forms, including individual customer returns and consolidations/recalls. While you have a process to complete the financial transaction, is it challenging to process all the merchandise with the fluctuating volumes? More to the point, are you getting the most revenue possible for this merchandise?
Leaving merchandise on the warehouse shelf is like leaving money on the table.
Merchandise from individual customer returns and consolidations/recalls is often stored (and forgotten) in warehouses, liquidated or sold to jobbers. Or these assets may be thrown away and literally written off. The fact of the matter is, your company loses revenue when goods sit in your warehouse or distribution center. Assets that are warehoused and forgotten, liquidated or cast aside represent lost opportunities in potential revenue.
Two steps in the reverse logistics process – repair and refurbishment – present opportunities to increase revenue.
When you partner with a US-based quality control and refurbishment company to recondition merchandise, you gain the ability to transform lost sales opportunities into increased revenue. The goal of every third-party refurbisher – such as my company, Darn It! – is to get merchandise into first-quality condition, whether it’s apparel, jewelry, backpacks, totes, ballcaps, dishware, computer parts, or shoes. (And the list goes on!)