Supply Chain Now From Processing to Prevention: The Critical Topic of Returns Management with Tom Enright of Gartner
Jul 21, 2025
In this engaging conversation, Tom Enright, Vice President of Retail Supply Chain at Gartner and a retail logistics expert, delves into the crucial topic of returns management. He emphasizes the shift from processing returns to prevention, leveraging analytics and technology. The discussion highlights the rise of returns fraud, the necessity of dedicated leadership in this area, and how effective returns strategies can enhance secondhand sales. Tom also touches on evolving consumer expectations and the growing influence of marketplaces on retail dynamics.
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Returns Management Awakens
- The industry has been largely asleep on returns management for two decades, just accepting increased returns as a byproduct of e-commerce growth.
- Companies are now starting to pivot from processing returns to preventing them using analytics and technology.
Treat Returns as Valuable Inventory
- Organizations must treat returned products with the same urgency and value as new inventory to maximize resale at original price.
- Speed in decision-making and processing returns reduces lost sales time and recaptures full product margin.
Returns Fraud Is Exploding
- Returns fraud constitutes about 17% of all returns and has quadrupled in cost in recent years, reaching $103 billion in the US.
- Most fraud occurs in physical store returns where vigilance and process adherence can help intercept fraudulent returns.