eyko Ideas
Returns are treated as sunk cost. Return Cost Recovery Analysis quantifies what returns, warranty claims, and reverse logistics actually cost, and how much of it can be recovered.
The Challenge
Restocking, reverse freight, and write-offs sit in different places, so the true cost of returns is never added up.
Returned goods are written off when many could be refurbished or resold.
Avoidable returns and inefficient reverse routing mean freight is paid on goods that should not have moved.
How eyko Solves It
Return Cost Recovery Analysis quantifies return cost by type, identifies the recoverable value in refurbishment and resale, and flags the avoidable returns and double-paid transport, so returns become a recovery opportunity rather than pure cost.
Returns cost 4.2M a year across restocking, transport, and write-offs. eyko finds 1.5M is recoverable.
| Metric | Current | Benchmark | Status |
|---|---|---|---|
| Primary indicator | Flagged | Target | Action needed |
| Secondary indicator | Monitoring | Within range | On track |
| Trend direction | Declining | Stable | Review required |
Return cost recovery analysis quantifies what returns cost across restocking, reverse transport, and write-offs, bringing three separate cost pools onto one line. The Playbook shows the full 4.2M annual return cost rather than the fragments each system sees, so returns are managed as a number rather than an accepted loss.
This is decision intelligence in practice: the what, the why, and the what next from your live data.
Related Ideas
Supply Chain
Reverse Logistics Optimization
Route returns by disposition to minimize cost and maximize recovery value.
View Idea
Supply Chain
Returns Pattern Analysis
Find the products, reasons, and customers driving returns, and the pattern behind them.
View Idea
Supply Chain
Warranty & Product Failure Intelligence
Spot the recurring product failures driving warranty claims before they spread.
View IdeaFAQ
Everything you need to know about Return Cost Recovery Analysis.
Return cost recovery analysis quantifies what returns cost across restocking, reverse transport, and write-offs, and identifies how much of it is recoverable through refurbishment, resale, and better routing. eyko brings three separate cost pools onto one view and flags the recoverable value, so returns become a recovery opportunity rather than accepted loss.
It reads returns and RMA records, reverse freight cost, restocking and handling cost, and write-off and disposition data from your ERP and warehouse systems, alongside any data platform you already run. It works with systems such as SAP, Oracle, NetSuite, Manhattan Associates, and Snowflake, and there is no separate data project to start.
The Playbook examines each return's condition and disposition and identifies the units being written off that could be refurbished or resold, plus the reverse transport paid twice on avoidable returns. That is where the recoverable value sits, and the Playbook quantifies it rather than leaving returns as a single sunk number.
Returns pattern analysis finds why products come back, the reasons, products, and customers driving returns. Return cost recovery analysis focuses on the money: what the returns cost once they are back and how much can be recovered. The two are complementary; pattern analysis reduces the returns, recovery analysis recovers value from the ones that happen.
Join the enterprises replacing weeks of manual analysis with a single prompt. See what eyko Playbooks can do with your data.
