Agentic AI and the $706B Returns Dilemma
Agentic AI and the $706B Returns Dilemma
Publish Date: 2026-05-15 00:50:00
Source Domain: www.supplychainbrain.com
- Retailers are exploring the use of agentic AI to enhance returns management and supply chain processes.
- Currently, returns and shrink are costing retailers up to $706 billion, with $100 billion lost due to fraud and abuse, making AI particularly significant in this area.
- A multi-layered approach involving data foundation, machine learning, and agentic AI is needed to turn these losses into profits by accelerating workflow.
- For AI to be effective, unified and omnichannel data must flow into one trusted view to support accurate decisions in returns management.
- Agentic AI will accelerate workflow automation by enabling analysts to handle cases more efficiently, including searching transactions, retrieving case details, and assigning work items.
- Success with AI relies heavily on data intelligence, and retailers need to streamline data for optimal performance.
- Consumer perception of AI must be managed; while AI can improve returns processes, transparency and guardrails are needed to address privacy concerns.
- Retailers are urged to incorporate agentic AI more extensively into their returns and logistics operations for real-time decision-making and loss reduction.
