Boost profits and efficiency with Loop’s new reverse logistics features
Carly Greenberg
·February 15, 2024
Retailers are well aware that product returns can eat away at their profit margins. The National Retail Federation estimates that 20.8% of all online purchases were returned in 2021 – costing those merchants 21% of total order value, as Pitney Bowes found.
Reverse shipping fees, processing costs, and the risk of returns fraud can all take a big bite out of your bottom line – but by adopting best-in-class returns management technology, you can boost efficiency, lower reverse logistics costs, and get insights to help you transform your returns process.
Here at Loop, we’ve just launched a suite of new features that can help merchants optimize their reverse logistics processes. Our new offerings include:
Third party logistics provider (3PL) integrations for faster returns processing
If you use a 3PL for order fulfillment, it’s crucial to ensure a smooth integration between your 3PL and your returns data so that you can get full visibility into your inventory status and returns processes. Loop offers integrations with over 35 unique 3PLs, and has just launched a new integration with Two Boxes, a data analytics solution that provides granular insights on 3PL returns data. Our Two Boxes integration makes it easier to track restock rates, predict return timelines, and identify returns fraud. With this partnership, we’re giving merchants access to insights they can use to improve their bottom line.
Improved data around item condition and disposition for a holistic view of returns
We’ve expanded the data fields available to warehouse partners assessing the condition of your brand’s returns – enabling them to include data around item condition and disposition, which then integrates with Loop for a centralized view for all of your returns data. You’ll be able to see indicators for returns abuse, improve your product lifecycle, and boost your operational efficiency by using data insights to optimize your returns process.
Dynamic Routing options to cut shipping costs and boost sustainability
Product returns generate around 6 billion tons of landfill waste each year. Loop solves for sustainability, using conditional logic to offer Dynamic Routing based on the product type and condition, which can help you extend the product lifecycle through resale and donations. Our Dynamic Routing feature enables you to ship returns that meet set criteria to the destination of your choice, such as a store, warehouse, resale partner, donation center, or manufacturer. By optimizing for the right destination for each return, you can reduce environmental waste and maximize the value of your returned products.
By bridging the returns data gap between merchants and their 3PLs, Loop helps merchants tap into insights they can use to monitor and assess returns data on a granular level. They’ll have the ability to proactively identify returns abuse or fraud; identify manufacturing defects; and optimize reverse shipping costs for the most sustainable solution. And by using automation to calculate the most efficient shipping route and destination for each product return, you’ll be able to enhance operational efficiency while reducing your brand’s carbon footprint.
Loop is committed to continually learning what our merchants value in the returns experience, and building features that help you maximize efficiency and revenue retention. With our new reverse logistics feature suite, we’re delivering countless new opportunities to unlock value from your returns process.
Want to learn more about how Loop can help you transform your returns process?
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