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Allowing enough lead time from order to need, using back-up suppliers where necessary, developing strong inventory control/forecasting, and maintaining accurate and current stock information for the contact center team all play significant roles in managing cancellations due to backorders.
Customer return rates have an enormous impact on your bottom line. Not only is a return costly to process ($8 to $10), it can dramatically reduce your gross demand (and your revenue per catalog mailed). Return rates can range from a low of 1 percent to a high of 25 percent, depending on your type of business.
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- Lett Direct Inc.
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