MW&S provides flexible, affordable storage for surge in returns

The Backstory

Reverse logistics has become an important focus within retailers’ supply chains as they look to recover costs lost on returned goods and operational inefficiencies. Aiming to revolutionize the reverse logistics industry, goTRG offers the first fully-managed reverse logistics solution connecting e-commerce and supply chain to refine the process of determining if returned goods should be:

1. Returned to stock
2. Returned to manufacturer
3. Liquidated
4. Donated
5. Recycled
6. Destroyed

This best-in-class software platform from goTRG enables its clients to replace costly delays, human error, and legacy systems with profit-driven solutions that streamline their returns process to recover lost revenue and prevent items from ending up in landfills.

The Challenge

In early 2020, one leading international home improvement retailer chose goTRG to meet its reverse logistics challenges and opened three warehouses strategically located across the U.S. to enable goTRG to seamlessly process returned product for their vendors and liquidate their returns and excess inventory.
As the pandemic continued through the summer and consumers focused on home improvement projects due to stay-at-home orders, the retailer experienced an unprecedented surge in returns. This required goTRG to seek additional warehouse space to support the high volume of goods and effectively manage the returns process.

The explosive growth in e-commerce and corresponding returns during the pandemic heightened an already critical warehouse shortage, which presented an obstacle for housing this additional flow of product.
Since 2015, warehouse demand has outpaced new warehouse builds by 169 million square feet, while the limited existing warehouse space available is often in the wrong size or location, or expensive as rents have increased nearly 20% during this period.

These factors made it challenging for goTRG to find affordable and available warehouse space when and where they needed for their client. In addition, goTRG also did not want to make a long-term commitment to permanent warehouse space given the uncertainty of the storage needs for their client caused by the ongoing pandemic, which could become a huge financial burden if return volumes decreased.

The Milestone Solution

While searching for warehouse space to meet their storage challenges, goTRG discovered Milestone’s unique Mobile Warehousing & Storage (MW&S) solution. MW&S is the use of trailers to provide flexible, affordable mobile storage as an alternative to traditional warehouse space, and Milestone is the only national transportation equipment lessor with dedicated mobile storage trailers.
As one of the largest and fastest-growing providers in the U.S., Milestone has a nationwide network of 29 branches across the US. This enabled Milestone to conveniently deliver MW&S trailers where and when goTRG required them, and quickly return or add trailers as needed.
“When we first started working with Milestone, we had no idea the scope of our partnership would grow so drastically. Our initial trailer requirement quickly increased fivefold as the volume and size of returns continued to swell. Milestone was always there when we needed them. They quickly pivoted and were able to continuously offer solutions, no matter how large our need became,” said goTRG Chief Supply Officer Manny Cueto.

MW&S also is a more affordable storage option as it typically costs 50% less than traditional warehouse space 
while the flexible, short-term leasing options from Milestone offers financial as well as operational flexibility compared to long-term leases required for traditional warehousing. Finally, Milestone delivers its MW&S solution with exceptional, personalized service from industry experts.

“From the beginning of our relationship with Milestone, 
they have gone above and beyond with communication. We were continuously provided updates on the trailers 
we stored in their yards. Additionally, Milestone’s nationwide network, competitive pricing and 
excellent customer service resulted in a mutually 
beneficial partnership,” said goTRG Chief 
Supply Officer Manny Cueto.