UPS And Optoro Form Strategic Alliance
UPS has formed a strategic alliance with Optoro, providing a one-stop shop solution for retailers and manufacturers to optimize the transportation and disposition of returns and excess inventory. The companies’ joint reverse logistics solutions combine UPS’s operational and logistics expertise with Optoro’s software platform that maximizes recovery value and reduces environmental waste.
Founded in 2010, Optoro is a technology company that helps retailers and manufacturers manage, process and sell returned and excess inventory. Using comprehensive data analytics and multi-channel online marketing, Optoro’s software platform determines the best path for each item, maximizing recovery and reducing environmental waste. Optoro brings an innovative approach to the traditional liquidations model, simultaneously leveraging marketplaces to efficiently sell returned and excess goods across major digital platforms that include Amazon, eBay, and Optoro’s own BLINQ.com and BULQ.com retail websites.
“We’re here to help retailers and manufacturers simplify returns management and unlock the full value from their reverse logistics programs,” said Alan Gershenhorn, chief commercial officer at UPS. “Optoro is an excellent complement to UPS’s existing portfolio of retail services that optimize the flow of goods, information and funds.”
“Retailers are facing a growing number of challenges, with the rise of customer returns being one of the most prominent, totaling over $260 billion in value annually in the U.S.” added Tobin Moore, co-founder and CEO of Optoro.
The alliance was announced leading into UPS’s National Returns Day and post-holiday returns week. UPS’s busiest day of the year for returns will be Thursday, January 5, when holiday shoppers use UPS to return more than 1.3 million packages to retailers and manufacturers. More than 5.8 million packages will be returned with UPS during the first full week of January 2017. In 2016, shoppers returned more than one-million packages on UPS’s National Returns Day and more than five-million packages during the company’s peak returns week.
UPS recently invested in Optoro through the UPS Strategic Enterprise Fund. Investments made through the UPS Strategic Enterprise Fund help the company better understand new technologies and develop new business models in the rapidly changing retail business environment. One of the core goals of both UPS and Optoro is to minimize the impact that returns has on the environment.