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In the competitive world of retail sales, product assortment is a very important strategic marketing decision. Factoring returns into the equation has often been an afterthought - an operational decision simply to be dealt with. In online sales, where returns can be up to 35% of sales compared to 6% of sales in general, the impact of returns on profitability implies greater attention to the return-assortment dynamic. The author shows that return policy and product assortment have a greater relationship than previously thought, including when to carry "Eccentric" or less popular products.
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