By making sure return orders are right, a proficient reverse logistic system helps to reduce transportation, administrative and aftermarket costs. With reverse logistics in place, supply chain companies can help to refund or reimburse the products as quickly as possible. It also speeds up the production process.
It also helps with customer retention. If your company can help amend its mistakes quickly and properly, customers are more than likely to have return purchases instead of just one-time purchases. It is also stated that 95% of consumers are more likely to be loyal to a company because of their positive return experiences.
Lastly, reverse logistics is valuable in extending the life cycles of products. When a product is returned from the customer, it is typically discarded. However, with reverse logistics, these products can either be improved, recycled, and repurposed after inspection checks. You will be able to maximize the value of these products.