Returns at a Crossroads: The State of Reverse Logistics & Circularity
•February 25, 2026
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Why It Matters
As e‑commerce returns surge, effective reverse logistics directly influences profit margins, brand loyalty, and environmental stewardship, making it a strategic imperative for retailers.
Key Takeaways
- •E‑commerce growth drives costly returns, spotlighting reverse logistics
- •Retailers can boost loyalty by offering used‑product resale options
- •NRF amplifies reverse logistics voice, turning ‘dark side’ into priority
- •Sustainability initiatives succeed when tied to clear financial benefits
- •Industry collaboration shares best practices, accelerating circular economy adoption
Summary
Supply Chain Now’s latest episode tackles the growing importance of reverse logistics and circularity, framing returns management as a strategic lever for retailers and luxury brands. Hosted by Scott Luton and Deborah Dole, the discussion features NRF’s Vice President of Sustainability, Scott Case, and senior director Tony Sherroa, who explore how e‑commerce‑driven returns have become a costly, yet opportunity‑rich, segment of the supply chain.
Key insights include the financial urgency of returns: higher e‑commerce volumes generate waste and expense, but also open pathways for cost savings, consumer satisfaction, and environmental gains. NRF’s recent acquisition of the Reverse Logistics Association amplifies the issue, turning the historically “dark side” of returns into a visible priority. Despite an anti‑ESG narrative, 85‑88% of companies are increasing sustainability spend, underscoring that green initiatives must deliver clear ROI to win CFO and marketing support.
Notable moments feature Scott’s reminder that “sustainability is a nice‑to‑have, but you have to focus on the financial impacts,” Deborah’s data point on rising ESG investment, and Tony’s analogy of reverse logistics as the “Harry Potter under the stairs” of supply chains—small teams handling massive complexity. Consumer anecdotes, such as shoppers preferring lightly used luxury handbags, illustrate how resale options can secure lifelong loyalty.
The implications are clear: retailers must invest in robust returns infrastructure, integrate circular models, and leverage industry collaboration to share best practices. By aligning sustainability with profit, firms can transform returns from a cost center into a growth engine, enhancing brand reputation while advancing the circular economy.
Original Description
Returns are no longer just a headache, they’re a strategic opportunity. As the circular economy gains momentum, reverse logistics is quickly becoming one of the most important levers in modern supply chains.
In this episode of Supply Chain Now, Scott W. Luton and Deborah Dull are joined by Scot Case, Vice President of Sustainability at the National Retail Federation (NRF), and Tony Sciarrotta, Senior Director of Reverse Logistics and Circularity at NRF, to share key insights from the NRF Rev event and discuss why reverse logistics deserves a seat at the strategy table.
The conversation explores how resale, repair, and recycling are moving into the mainstream, and why returns should no longer be treated as a cost center. From the surge in e-commerce returns to increasing legislative pressure through extended producer responsibility, the group breaks down how these forces are changing retail and supply chain operations.
Deborah adds perspective on how technology improves visibility and accountability across the returns process. Together, the guests outline practical ways companies can turn reverse logistics into a competitive advantage while improving customer experience and advancing sustainability goals.
Jump into the conversation:
(00:00) Intro
(02:31) Meet the guests: Scot Case and Tony Sciarrotta
(06:31) NRF’s sustainability mission: Business value meets reverse logistics
(10:46) RLA + NRF: Bringing returns out of the “dark side”
(15:22) Macro trends shaping reverse logistics: Reuse, resale, repair & more
(20:40) Tariffs, EPR laws & the circular economy’s next push
(24:52) Inside NRF Rev: The reverse logistics & revenue “revolution” event
(26:05) NRF Rev: Bringing reverse logistics into the spotlight
(27:32) Why retailers are the center of the returns universe
(28:18) Refurbished products mindset shift: The ‘restaurant fork’ story
(29:24) Deborah’s practitioner lens: Why this conference matters
(31:00) Key takeaways: Collaboration, EPR, and no single silver bullet
(34:04) Urban mining & the resale economy (and why brands must engage)
(36:32) What’s next: NRF working groups, global scale, and policy influence
(40:16) Remade in America: A story-driven podcast on ‘where returns go’
Additional Links & Resources:
Connect with Scot Case: https://www.linkedin.com/in/scotcase/
Connect with Tony Sciarrotta: https://www.linkedin.com/in/tony-sciarrotta-235570/
Connect with Deborah Dull: https://www.linkedin.com/in/deborahdull/
Learn more about the National Retail Federation (NRF): https://nrf.com
Learn more about NRF Rev: https://nrfrev.com/
Learn more about Trillium Digital Services: https://trillium.digital/
Watch and listen to more Supply Chain Now episodes here: https://supplychainnow.com/program/supply-chain-now
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This episode was hosted by Scott Luton and Deborah Dull and produced by Trisha Cordes, Joshua Miranda, and Amanda Luton. For additional information, please visit our dedicated show page at: https://supplychainnow.com/returns-crossroads-state-reverse-logistics-circularity-1550
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