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Returns5 min read

Returns Are Inventory: Building a Reverse Logistics Process That Pays

Every return is stock you already paid for. The faster and more accurately you process it, the more of it you sell again.

Logxa Team

Logistics software insights

The pile in the corner

In many warehouses, returns arrive as unlabelled boxes, sit on a shelf waiting for someone to work out who sent them, and are restocked — or binned — based on a quick look. Good stock is lost, bad stock goes back on the shelf, and the brand doesn’t know what happened.

Start with the shopper

A branded returns page lets shoppers look up their order with the order number and their postcode or email, pick the items and a reason, and receive a return authorisation (RMA) number. Two rules prevent abuse: a return window, and never more units than were shipped.

Let the brand decide

The brand authorises or rejects each request. Authorised shoppers get the RMA number and the return address by email, so the box arrives labelled.

Receive into quarantine

Returned units shouldn’t be available for sale the moment they arrive. Receive them into a returns bin and hold them until they’re inspected.

Grade, then decide

  • A — like new: restock to a pick bin.
  • B — opened: restock as B-stock.
  • C — needs repair: hold.
  • D — unsellable: dispose, and record it in the stock ledger.

Close the loop

Record the refund when the return is closed, bill the brand for processing and inspection, and report on reasons — the brand will want to know why things come back.

How Logxa handles it

Logxa’s warehouse software gives every client a public returns page, RMA authorisation, receiving into quarantine, inspection grades with restock or disposal in the stock ledger, refunds and returns billing. See returns management software.

Put these ideas to work.

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