Reverse logistics in the fashion industry can be successful but there are many things to consider. After the coronavirus is gone, many could find that going digital was not the best strategy.
Some digital channels are operating on a higher capacity due to the coronavirus outbreak, says Nick Fox, supply chain experts. As deliveries are still being made, the expert believes there is a chance for some retailers to grow.
‘Because of all the free deliveries and offers the reverse logistics supply chain could run out of capacity,’ Fox continues.
‘It is easy to sell online but you have to consider how much stock there is, how many returns are expected.’ Despite many people hoping that going digital could be profitable, they might be disappointed with the end result.
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How this could play out depends on the way consumers’ habits change after Covid-19 is gone.
‘It is important to understand how much sustainability is supported by the public,’ argues Fox.
If consumers are not as interested, then companies would not invest in it. It could also be argued that societies are not ready to take extra measures to limit negative environmental impacts.
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Currently fast fashion brands are experiencing growth and people are buying more clothes than they used to 20 years ago.
Different firms are investing in more sustainable clothing but so far it is either too expensive or hard to make. Until such items are produced for the mass market it would be hard to tell how much the public wants them.