Returns
The end-to-end process of accepting returns of goods. For example, a fashion ecommerce company that allows customers to try on clothes at home and return them within a week if they don't fit.Recalls
The process of recalling goods that are found to be defective in some way. For example, a bicycle helmet manufacturer that recalls a dangerous helmet due to a design flaw that allows a strap to easily come off in an accident.Repairs
The handling of repairs that occur under warranty may involve reverse logistics whereby an item is returned to the manufacturer.Unsold Goods
Distribution partners may have a contractual right to return goods if they are unsold. For example, goods that are on consignment can generally be returned by a retailer.Damaged Goods
Goods may be returned if distribution partners or consumers determine that they have been damaged.Excess Inventory
The process of reclaiming inventory simply because it hasn't sold in a timely fashion. For example, a luxury fashion retailer that doesn't discount may return unsold product when it goes out of season.Disposal
The process of disposing of goods in a safe and environmentally friendly way including reuse, recycling and waste disposal best practices.Extended Producer Responsibility
Laws, regulations and standards that call on a producer to accept goods at end of life to ensure they are properly reused, recycled and disposed. For example, an electric car manufacturer that is required to recycle batteries in a responsible manner when consumers are done with them.Compliance
In many cases, reverse distribution is subject to a variety of laws that ensure that returned goods don't become a problem to society. As such, reverse distribution often requires careful accounting, controls and reporting.Refurbishing & Reconditioning
The process of restoring and testing the quality of goods so that they can be resold. For example, a mobile phone manufacturer that tests, repairs and repackages phones that have been returned so that they can be sold.Reuse
Goods may be repaired, reconditioned and resold after being returned at end of life. For example, a clothing retailer that accepts clothes when consumers are done with them for resale in the second hand market.Resale & Liquidation
The process of selling refurbished and reconditioned product. For example, an ecommerce site that auctions returned product to resellers and/or directly to consumers.| Overview: Reverse Distribution | ||
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Definition | The process of accepting and processing goods that have been returned from a consumer or distribution partner. | |
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