Inretrn has developed a platform that automates the operational decisions behind returns, exchanges, complaints and repairs. The goal is to manage the entire post-purchase process from when the customer initiates a case until the refund is completed and the product is available for sale again.
Among the company's current customers are brands such as Stadium, Gina Tricot, Nelly, Björn Borg, Nudie Jeans and Svenskt Tenn.
Return management has become one of the most costly problems within e-commerce operations. Inretrn stands out with its product depth, domain knowledge and a customer base that proves they solve a real market need, says Martin Sjøhaug Eriksen, Investment Director at Viking Growth.
The Costs Behind the Post-Purchase Flow
Swedish e-commerce generates over 153 billion SEK annually. However, analyses show that deficient flows after purchase entail financial losses. Manual work, delayed refunds and incorrectly redirected products are estimated to cost Swedish retailers more than 7 billion SEK per year.
Inretrn's platform is designed to handle the complexity of these flows by directing each product to the destination where it is most profitable. This could be the market with the highest demand, a specific store with stock discrepancies, resale, repair or complaint handling.
With Viking Growth, we get the support needed to help more brands and retailers take full control of the post-purchase journey, says Fredrik Hedblom, CEO of Inretrn.
Industry Debate on Return Costs and Profitability
The issue of return management and hidden costs has been central within e-commerce for some time. At the industry event Stora Ehandelsdagen the problems surrounding unprofitable purchasing behavior were highlighted in a panel debate with, among others, Inretrn, Boozt and eComID participating.
Martin Kamphav, Chief Revenue Officer at Inretrn, pointed out during the debate that many e-commerce companies lack a complete picture of what a return actually costs the business.
It's not just shipping costs but operational costs in warehousing, in customer service, in finance and other places. You really need to understand that before you can take action. Another effect is that large amounts of goods are locked up in the return flow and then have to be sold at a reduced price after the season, said Martin Kamphav during the panel debate.
While some players in the industry have chosen to introduce differentiated return fees based on the customer's return history, or to temporarily pause customers with very high return rates, Inretrn advocates for a broader analysis method. According to the company, e-commerce companies should focus on total profitability per customer over time rather than just looking at the isolated return rate.
It doesn’t necessarily have to be that a higher return rate is less profitable than a slightly lower return rate on a single customer. There you need to work with understanding profitability per customer over time to build a long-term profitable business, argued Martin Kamphav.
With the new capital from Viking Growth, which has 25 years of experience in scaling Nordic SaaS companies and currently has 19 active portfolio companies, Inretrn is facing a phase of product development and broader European expansion.