Consumer research welcomes reverse logistics for e-tail

Additionally, 63% of consumers said they would be more inclined to buy more goods online if the retailer offered a collection service for returns. Again, the 55+ age demographic, suggested to be the fastest growing group of online shoppers, felt this most strongly with 67% in agreement, together with London based consumers at 64%.

"These findings are very interesting, especially considering the current difficult trading conditions faced by the retail sector and demonstrate how going the extra mile with innovative customer service policies could give them the edge they need," says James Hannay, Managing Director of Zetes Ltd.

As part of a wider multi-channel strategy, certain retailers like Next and Debenhams currently allow certain customers to drop off returns at their stores. But for some high street players, space is too much of an issue for this convenience to be a viable option. Zetes believes that implementing a "2-way ePOD" solution and in doing so, offering customers a convenient collection service is ultimately a better solution because the goods remain within the channel in which they were originally sold." Integrating both forward and reverse logistics processes, in which the flow of goods both out from and into the supply chain is tracked in real-time, has previously been considered a hugely complex issue. Since the advent of ePOD (electronic proof of delivery); a very affordable, real time track and trace technology, such integrated process refinements are becoming more widespread.

IKEA is one company which recently implemented ePOD to effectively manage its growing number of customer deliveries since the launch of its Internet shopping service. Implemented by Zetes, the solution provides constant, real- time visibility of IKEA's stock from the moment it leaves the Central Distribution Centre in Peterborough to when it arrives at the customer's house, and then tracks any returned goods movement in the reverse direction back into the main IKEA warehouse.

Don Marshall, Deputy Customer Distribution Manager, at IKEA Distribution Services Limited says: "Our stock data has never been more accurate and we are making significant cost savings from ordering less replacement stock."

IKEA is also reporting higher levels of customer satisfaction as a result of being able to deal with non-delivered or damaged goods more quickly and efficiently. Unlike the days or hours it would have previously taken, IKEA's customer service team can now contact customers within minutes of receiving their delivery in order to deal with any missing or damaged items.