2. To identify, move and manage
returns, overstocks and obsolete
goods from the standard business
outlet to an alternative exit to
maximise value and reduce risk, all
at an optimised cost
3. Use of virtual fitting rooms to improve how
customers see garments, the result is ‘Fit
related garments returns have fallen by 77%”
(Fits.me client Pretty Green 2013)
Customer Service
John Lewis Partnership wins the Verdict
Customer Satisfaction Awards as a result of
the highest customer service, thus reducing
miss-selling and returns (April 2013)
4. UPS have invested in 3D printing technology
at certain sites to provide spare parts and
reduce clients stock holding and thus
potential overstocks and end of life
obsolescence
Product Design
• ‘Simple can be harder than complex’ – Steve
Jobs, the master of clean and simple designs,
three clicks and you can do anything.
Simplicity of design can reduce NFF
5. Best-in-Class:
Top 20% of aggregate performance scorers
• % of initial value reclaimed from returned products or parts = 64.3%
• Overall reverse logistics costs as a % of sales = 9%
• % of new products returned for repairs within warranty period = 5.7%
Average:
Middle 50% of aggregate performance scorers
• % of initial value reclaimed from returned products or parts = 12.5%
• Overall reverse logistics costs as a % of sales = 11.9%
• % of new products returned for repairs within warranty period = 10.2%
Laggard:
Bottom 30% of aggregate performance scorers
• % of initial value reclaimed from returned products or parts = 12.1%
• Overall reverse logistics costs as a % of sales = 93% of don’t know
• % of new products returned for repairs within warranty period = 11%
Aberdeen Group 2007