Returns Processing & Reverse Logistics

Returns processing services handle returned products including inspection, refurbishment, restocking, and disposal for e-commerce and retail.

With e-commerce returns at $200B+ annually and 20-30% return rates, reverse logistics generates revenue of $130,000-$430,000 with 45-60% margins.

The business requires processing facility, inspection stations, testing equipment, inventory management, and disposal partnerships.

Services include returns receiving, product inspection and grading, refurbishment and repackaging, restocking, liquidation coordination, and data analytics.

Pricing typically $3-$10 per return.

Success factors include quality grading expertise, refurbishment capabilities, liquidation channels for unsellable items, data reporting, and targeting high-return categories like apparel or electronics.

Marketing focuses on e-commerce retailers, apparel brands, and electronics sellers.

With returns costly in 2025, processing services offer opportunities helping retailers recoup value.