Màrius Montmany and Oriol Hernandez i Fajula, former workers at massive logistics firms, a number of years in the past discovered themselves pissed off with the issue of “reverse logistics” — tips on how to get product returns by means of the mail system in an environment friendly and cost-effective manner.
Dissatisfied with the present options on the market, the pair based Rever — now backed by Y Combinator — in 2022. Rever affords immediate money refunds by means of a purchase now, pay later-type (BNPL) mannequin (Rever funds the transactions), automating the processes of label era and refunds whereas offering analytics on buyer conduct and buying traits.
“Rever stands out as [an] all-in-one platform that mixes fintech, logistics, software program, and customer support particularly designed for e-commerce returns,” Montmany advised TechCrunch in an e mail interview. “Rever’s know-how gives concrete enterprise advantages, making it a invaluable funding for enterprises in search of to optimize their e-commerce operations and enhance their backside line.”
Is Rever really a “invaluable funding” that helps enhance backside strains? Maybe.
One latest examine discovered that roughly 10% of purchases are returned, including as much as billions of {dollars} a 12 months — with on-line returns predictably greater than in-store. And the issue is worsening. In 2021, the worth of merchandise returned to retailers hit $761 billion, up round 78% from 2020.
Montmany claims that Rever can reduce these prices by means of its differentiated function set. For instance, the platform gives instruments to streamline operations and automate numerous transport logistics processes (e.g. producing transport labels and monitoring shipped packages). And Rever’s procuring suggestions intention to maintain even consumers who in the end return gadgets on the retailer’s web site.
On the backend, Rever tracks the standing of every return, manages buyer complaints and delivers real-time information on return requests, refunds and exchanges.
Picture Credit: Rever
“We’re actively growing an AI-powered performance that implies different merchandise based mostly on prospects’ earlier purchases and preferences,” added Montmany. “This thrilling function is ready to launch later this 12 months, additional personalizing the procuring expertise.”
There’s one thing to be stated for the affect of a straightforward returns course of on model notion, definitely. In response to a 2022 Narvar survey, 96% of consumers would purchase once more from a enterprise that gives a “very straightforward” or “straightforward” return coverage — and 77% say that immediate refunds are their favourite profit.
Rever, which has round 25 workers at the moment, claims to have over 130 prospects and “optimistic unit economics.” Whereas that’s spectacular momentum in only a 12 months, the query is whether or not it will possibly beat again rivals in a sector that’s changing into more and more aggressive.
Rever sees Shopify and BNPL participant Klarna as its chief rivals in addition to return-focused startups Loop Returns, ReturnLogic and Sendcloud, a few of which additionally supply immediate money refunds. It’s a whole lot of distributors to fight. But when Montmany has issues, he didn’t share them, insisting that Barcelona-based Rever has a “sustainable enterprise mannequin with a protracted runway.”
To wit, Y Combinator-backed Rever just lately closed a €8.5 million (~$9.29 million) million funding spherical led by GFC and Oscar Pierre, which the corporate plans to place towards growth, hiring and finally increasing past product returns.
“The pandemic has had a optimistic affect on Rever’s enterprise,” he stated. “With ecommerce penetration growing by as much as 10x in some European international locations and return charges doubling, the marketplace for Rever’s companies has grown considerably. Furthermore, throughout financial downturns, fixing returns turns into a precedence for ecommerce manufacturers, resulting in elevated curiosity in Rever’s options worldwide, particularly throughout peak seasons like summer season gross sales or Black Friday.
