In today’s competitive market, brands and retailers are focused on their bottom line. To most, that means acquiring new customers, increasing distribution networks, and preparing for next season. However, there is a way to increase profit quickly – by reducing the cost of poor product quality.
The effect of poor quality can lead to exponential costs, both internally and externally, and can hinder your long-term growth if not addressed. In addition to the direct cost of the defective product, you must consider the internal processes that directly or indirectly led to those errors, and how poor quality ultimately affects your consumer relationships and your brand’s name. For example, if you don’t have the proper systems and procedures in place for detecting a defect early in the production cycle, a product could get rejected once it reaches your customer. This results in a chargeback, or worse, it could be put on the shelf only to end in a return or bad review by a consumer.