Reverse Logistics Market Size Analysis – An Infiniti Research Success Story
Reverse Logistics Market Size Analysis
With the ever-quickening pace and increasing volume of commerce around the world, it’s no surprise that effective reverse logistics practices have never been more critical to a business’s survival and success. Nowadays, it’s not only a product’s quality, features, or price that captures and retains customers, but the velocity and flexibility with which that customer obtains the product. Driven by e-commerce, generous return policies, and new consumer expectations, retailers and manufacturers in the reverse logistics industry are receiving more reverse logistics/returned merchandise than ever. While reverse logistics rate/returns have historically been a necessary cost of business, the growth in volume has encouraged more players in the reverse logistics industry to improve the speed, efficiency, and cost of their reverse logistics process.
Moreover, over the past few years, the reverse logistics industry has witnessed robust challenges in terms of low margins, high operation costs, and a shortage of talent. As a result, firms in the reverse logistics industry are planning to streamline their service capabilities to enhance delivery performance and increase customer satisfaction levels. Additionally, with the rising demand for one-stop solutions, firms in the reverse logistics industry space are entering mergers and acquisitions to tap potential markets and enhance their functional capabilities. Moreover, the need to leverage a market size estimation engagement is becoming a necessity.
As reverse logistics is a complex process, organizations should diligently make it a point to be vigilant in tracking the movement of goods sent back to the warehouses and third-party dealers. Also, upgrading the reverse logistics software being used for the reverse logistics process will have a huge impact on reimbursement claims, customer satisfaction, and financial planning of the organization.
Forecasting the Global Market Size Using Infiniti’s Market Size Analysis Engagement
The client is one of the leading firms in the logistics industry, established in the US, with over 10,000 associates and $27 billion in revenues.
The Business Challenge: The client, a renowned company in the reverse logistics industry, approached Infiniti to conduct a market size analysis to assess potential market opportunities for its services in various geographical areas. As the return rates of their products were increasing, the client wanted to employ market size estimation to figure out the customers’ requirements and assess potential market opportunities. In a way, by leveraging Infiniti’s market size estimation engagement, the client was looking to target the right audience, lower the product return rate and improve customer satisfaction.
Additionally, by leveraging a market size analysis solution, the client wanted to forecast the global market size for its products and services. They realized that market size estimation would enable them to validate market size using a uniform methodology, analyze different market scenarios, and identify areas of opportunities quickly. Furthermore, the client was also facing segment classification incompatibilities between the company and the general market because of insufficient market knowledge about specific segments.
For goods that can’t be “returned to the vendor,” what facility do you have to redistribute or auction the goods off to the public or to flash sale sites? If you lack the best strategies for your reverse management process, Request a FREE proposal!
Solutions Delivered: The market size estimation engagement provided by Infiniti helped the client develop a robust marketing campaign that resonated with the target audience. With Infiniti’s market size analysis, the client also gained insights into ways to position the product in the marketplace and generate a better ROI. The market size analysis engagement also helped the client devise a marketing mix to differentiate the offerings with that of the competitors within the logistics industry space. The market size analysis solution presented by Infiniti helped the client to estimate their revenue generating capacity by analyzing historical and future data, add values to their data, minimize risks, and find profitable market niches.
This market size analysis solution provided benefits that helped the client to:
- Identify a scalable approach to discover new market opportunities
- Break down revenue and service tendencies into geographical components
- Analyzing different market scenarios and identifying areas of opportunity quickly.
- Forecasting the global market size for its products and services and building a global market size forecast tool
Putting your business in reverse doesn’t mean taking a step backwards. It affirms the growing reality that effectively managing returns spells new revenue opportunities, improved profitability, and better customer service. Request a Proposal below!
How Can Market Size Analysis Help Reverse Logistics Market?
Market size analysis template helps companies in the reverse logistics industry to gain insights into revenue generating capacity by covering both the historical growth of the market and forecasting the future growth prospect. A market size analysis solution also helps companies in the reverse logistics industry to add values to their data, find new market niches, operate more efficiently, and minimize risks across geographies.
As organizations seek new ways to gain competitive advantage, the often-overlooked returns function can be a potential source for not only cutting costs but also enhancing both brand reputation and profitability. Thus, businesses that leverage market size and share analysis engagement and pay more attention to reverse logistics process/returns management is expected to obtain the benefits of delivering a more efficient, consistent, and responsive customer experience and operate in a way as to cut costs and enhance service and profitability, while simultaneously mitigating operational and reputation risks.
With the increase in consumer purchases online, the volume of returns has increased. It is likely that firms will need to address the growing number of returns by finding “channels” where they can resell returned and slow-moving product. Contact us today!