If you have been outsourcing returns, you might have kept the outsourced partner handling this aspect of the business while you open up your first FCs.

We recommend considering treating returns management separately from order fulfillment, and thus bringing returns in house only after much of the underlying infrastructure is in place to support it.

Reverse logistics is its own category of problems to solve. The key considerations, however, fall along the same themes throughout this guide: Focus on maturing the integration of frontend and backend systems to optimize operating expenses and improve customer experience.

For example, tie together website account management with the returns process so customers can file a return ticket, print labels, and track return statuses. Dynamically pick the cheapest shipping option for the return shipment the same way you decide a method for outbound delivery. Or make the delivery address the closest FC in order to reduce shipping costs. Ideas like that.