Study: Costly electronics product returns on the rise

Consumers are returning lots of electronics products, and it's costing the U.S. consumer electronics industry a bundle, says a study by Accenture. According to the management consulting firm, product returns cost U.S. consumer electronics retailers and manufacturers nearly $17 billion this year, an increase of 21% since 2007. Included in the $17 billion are costs associated with "receiving, assessing, repairing, reboxing, restocking and reselling returned products," Accenture reports. Product return rates over the past three to five years have increased for 57% of the retailers and 43% of the manufacturers surveyed by Accenture. If there's any positive news for the industry, it's that just 5% of returns are related to actual product defects, Accenture says. Indeed, 27% of returns reflect "buyer's remorse" and 68% of returns are characterized as "No Trouble Found." Accenture calculates that just a 1% reduction in the number of "No Trouble Found" cases could save a typical large manufacturer about $21 million in return and repair costs or $16 million for an average consumer electronics retailer.

Comments (0)

This post does not have any comments. Be the first to leave a comment below.


Post A Comment

You must be logged in before you can post a comment. Login now.

Featured Product

GreenPeak’s GP565 – ZigBee for smart Remote Controls

GreenPeak's GP565 - ZigBee for smart Remote Controls

The GP565 Smart Home RF chip for remote controls supports voice control, motion sensing and the new ZRC 2.0 protocol. The GP565 is optimized for advanced & low cost ZigBee RF4CE remote controls. • 120k or 248k Flash (8k or 16k RAM) memory • 40-pin footprint to support a keyboard scanner interface or other IO interfaces required for remote controls. • Reduced current consumption and improved receiver sensitivity and output power • Patented Antenna Diversity technology enables superior range and WiFi/Bluetooth interference rejection