Consumer Appliances

Samako

Return Rate 12% to 8% | OTIF 85% to 93%

8%
Return Rate
93%
OTIF Rate
-20%
Warranty Cost

The Situation

Samako is a European appliance brand selling consumer hardware products. The brand operates in a category with high return rates, warranty cost pressure, and quality consistency requirements driven by supplier variability.

The business model is e-commerce with multi-channel distribution. Inventory is held across multiple warehouse locations, with a supply chain running from overseas manufacturers through inbound logistics to regional distribution.

The business had a return rate and warranty cost problem that was being managed reactively rather than prevented systematically. Root causes were spread across three distinct layers: product defects from suppliers, shipping damage from inadequate packaging, and user error driven by unclear product communication.

  • Return rate at 12%
  • OTIF at 85%
  • High warranty replacement costs
  • Supplier QC inconsistency
  • No structured returns classification or root cause tracking

This is an active engagement. We continue to manage demand planning, PO management, supplier coordination, and quality oversight.

Our Role

Supply chain and quality operations. We own the returns reduction programme, supplier QC enforcement, and spare parts management system build.

  • Returns root cause categorisation (product defect vs. shipping damage vs. user error)
  • Supplier QC enforcement and defect tracking
  • Packaging redesign for transit resilience
  • Spare parts system build and inventory management
  • Demand planning and rolling forecast management
  • PO tracking and supplier communication

Engagement Phases

Phase 1 -- Root Cause Analysis

Initial Assessment

Categorised all returns into three buckets: product defects, shipping damage, user error. This segmentation was the foundation for every fix that followed -- each cause required a different intervention.

Phase 2 -- Fix

Ongoing

Addressed each root cause category with a targeted intervention.

  • Supplier QC enforcement: defect reporting, inspection checklists, supplier scorecards
  • Packaging redesign: engineered for transit, not just aesthetics
  • Spare parts system: classified, stocked, and integrated into demand planning
8%
Return Rate
from 12%
93%
OTIF
from 85%
-20%
Warranty Cost
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