The Next Generation of Retail Return Technology: LiquiDonate and Loop Returns

We’re excited to announce the launch of a powerful new partnership between LiquiDonate and Loop Returns. It’s no secret that managing returns can be a logistical and financial burden, often resulting in excess inventory, increased shipping costs, and unsustainable losses. LiquiDonate and Loop are providing relief to retailers with an extensive reverse logistics system that can benefit the business’ bottom line, local communities, and the environment all at the same time.

For the past several months, both teams have been hard at work with the goal to revolutionize the way retailers manage product returns. The new software integration combines LiquiDonate’s leading donation-driven solution with Loop’s powerful returns management platform to create a seamless and cost-effective alternative to traditional returns.

Major Cost Savings and Benefits for Retailers 

Significantly Reduce Shipping Distances 

By automatically connecting returned items with nearby nonprofits, this integration drastically reduces the distance items travel. Instead of shipping products back to centralized warehouses or disposal facilities, items are donated locally - cutting down transportation distances by an average of 83%!* 

Slash Return Label Costs 

By routing products to local donation points rather than distant processing centers, this also means fewer shipping labels to print and pay for, directly lowering the cost of return labels by an average of 26%!* 

Get Tax Benefits

By choosing to donate unsellable inventory, retailers can earn tax benefits instead of increased reverse logistics costs. All recipients are verified 501c3 organizations, including schools, community orgs, and churches, making them eligible for donors to pursue the charitable tax benefit.

Increase Brand Loyalty

Today, customers don’t just desire sustainable brand practices, they demand it! According to a report from America’s Charities, 90% of businesses indicated that partnering with reputable nonprofits enhances their brands. Additionally, Sustainability Magazine found that 69% of organizations saw increased sales as a result of their climate initiatives. Customers feel better knowing their favorite retail brands are consciously reducing their carbon emissions. 

Eliminate "Keep It" Returns

In many cases, retailers tell customers to keep returned items rather than sending them back due to the high cost of processing the return because of distance or size. Additionally, this policy puts retailers at risk for fraudulent returns that can result in lost inventory.  It also misses an opportunity for positive social impact. With the LiquiDonate and Loop Returns integration, those items are automatically redirected to local charities - turning potential waste into community support.

How It Works

Using the Loop and LiquiDonate is completely seamless. Once requested, Loop unlocks the LiquiDonate integration for the retailer making it ready for immediate use. The customer will know no different, experiencing the same easy returns process while the magic happens in the background. 

1. Return Initiation: When a customer initiates a return through Loop, the system determines whether the item can be donated locally by determining if it is one of the preset SKUs chosen by the retailer as donation-friendly.
   
   
2. Smart Routing: LiquiDonate automatically routes the return to a nearby nonprofit partner, drastically cutting down on travel distance and helping the local community. The printable shipping label is sent to the customer with an anonymized addressee.
   
   
3. Financial and Social Impact: Retailers will receive receipts usable for tax benefits and can also get a report of their donation data to quantify their brand’s sustainability initiatives.
   

Pricing

LiquiDonate keeps fees affordable to ensure retailers are still getting significant cost savings across our platforms. These include:

• $1,000 setup fee (WAIVED for Loop customers)
• $1 - $4 average per-item fee for returns
• Low monthly subscription fee determined by volume

Customer Spotlight: Built Different

Built Different is a UK-based men’s apparel brand that serves the US & Europe. With operations spanning multiple countries, managing reverse logistics and minimizing waste was an ongoing challenge. US-based returns were often shipped thousands of miles back to a centralized warehouse. The additional costs for shipping, handling, and storage resulted in a net loss, even after a new sale. Additional costs came from inefficient routing back to a single warehouse and unsellable inventory went to waste.

Built Different executives looked for a way to turn around operational losses and improve their environmental impact. They chose Loop & LiquiDonate to test a new returns process: donation. 

In just a few short months, Built Different reduced shipping costs by 26% and shipping mileage by an average of 1,300 miles. 

For a more detailed cost savings breakdown, read the full case study here. 

The organization continues to see benefits from the software partnerships. Using Loop & LiquiDonate allows Built Different to maintain its customer-friendly return policy—critical for building brand loyalty—while minimizing financial losses and reducing its environmental footprint. 

A Win-Win-Win For Everyone

🌍 Sustainability By keeping items in circulation through local donations, retailers contribute to a circular economy and reduce waste in landfills.

🏷️ Tax Advantages Donating returned items may provide tax benefits, giving retailers an additional financial incentive to opt for sustainable solutions.

❤️ Community Impact Donations go directly to nonprofits that serve communities in need, fostering goodwill and strengthening corporate social responsibility.

Start Using Loop x LiquiDonate Today

Retailers who integrate LiquiDonate with Loop Returns can transform their returns process from a financial loss to a complete gain, reducing operational costs and the material waste that comes with it. By using this easy and fast integration, your business becomes part of a forward-thinking solution that benefits both the planet and people. 

Ready to make a difference with your returns? Email support@liquidonate.com or fill out our simple form.