Vicky Brock: what is costing retailers $400bn in revenue each year?
Long the bane of makers and sellers of goods of every kind, ecommerce returns have become an increasing burden for retailers.
Perhaps it comes down to our lowered tolerance of imperfection, or shoppers successfully being duped by unlimited free returns, but ultimately the question is an interesting one: Who is to blame? Retailers or customers?
What’s certain, is that with $400bn lost every year through returned goods, the same size as the entire United Arab Emirates GDP, it’s an area that retailers need to be paying closer attention to.
The process commonly referred to as reverse logistics shouldn’t be viewed as an expensive addition to operational costs. Rather, the process should be seen as a means of gaining a competitive advantage. Because, of that $400bn lost, $200bn is reclaimable.
Vicky Brock decided something had to be done.
Coming from an illustrious data analytics career which includes 4 years as director emeritus of the US based Digital Analytics Association, Brock decided sat down to “mathematically prove whether or not it was possible to predict which products were going to be returned,” via an algorithm.
The result would be Clear Returns.
A cloud based software that helps retailers understand the true costs of ecommerce returns and take action to increase the number of products their customers keep.
Based in the emerging Scottish tech hub of Glasgow, the software flags up early warnings of products that frequently get returned and serves the potential to save retailers millions every year.
This episode of the Hot Topics podcast will focus on how retailers can utilize data to improve efficiency, the current state of the data science space, as well as a discussion around knowing the differences between being a startup and a scale up. And the effect this has on your company.
To learn about ecommerce returns and data science, see above for this week’s episode of the Hot Topics podcast.