Case Study: a consumer electronics manufacturer cuts warranty costs and lead time with ModusLink

30% Reduction of Warranty Replacement Product Costs

A consumer electronics manufacturer worked with ModusLink to address high warranty fulfillment costs and slow returns processing. The company had been shipping more than 90% of warranty replacements from new stock because its forward and reverse logistics were split across two partners, creating long lead times and limited end-to-end visibility.

ModusLink set up a refurbishment partner in the same building as the forward stock and integrated forward logistics with reverse logistics services, including no-fault-found screening, cosmetic inspection, and cosmetic refurbishment. This reduced warranty replacement product costs and cut lead time by 5 days, enabling the manufacturer to replace 99% of B2C RMAs with refurbished products.