Apparel & Fashion · Reverse Logistics Automation · Case Study

Fixing the Returns Bottleneck at a Designer Fashion Brand

Trusted handyman services

How JNBY Group turned a choking returns operation into a 5,000-pieces-per-hour, 99.9%-accurate reverse-logistics engine using 56 autonomous case-handling robots.

AT A GLANCE

Industry Apparel — Designer Fashion (multi-brand retail group)
End Customer JNBY Group (Jiangnanbuyi), founded 1994, headquartered in Hangzhou, China
Scope Dedicated returns warehouse handling B2B quarter-end store returns, daily store returns and post-promotion e-commerce returns.
Technology Deployed 56 Autonomous Case-handling Robots (ACR-L long-tote variant), 19 charging stations, 14 high-speed inbound/outbound workstations (7 loaders + 7 unloaders), 2,780 mm shelving, custom totes (600 × 440 × 280 mm).
Footprint  16,000 m² total · 12,400 m² active storage · 88,000+ storage locations

Headline Results

0+
Pieces per hour processed
0X
Throughput vs. manual baseline
0%
Picking accuracy
0+
Storage locations

Before automation, the manual returns warehouse processed roughly 50 pieces per hour. After ACR deployment, sustained throughput exceeds 5,000 pieces per hour.

Executive Summary

A leading Chinese designer fashion group, JNBY (founded 1994), was buckling under the weight of multi-channel returns. Returns volume swung violently between quarter-end B2B store transfers, daily store returns and post-promotion e-commerce surges, and every garment had to be sorted by brand, style, size, colour and condition before it could be regraded, resold or transferred.

The fix was a purpose-built returns warehouse — not a shared forward-logistics facility — anchored on a fleet of 56 ACR-L (long-tote) Autonomous Case-handling Robots, 14 dedicated loader/unloader workstations and 88,000+ storage locations across 12,400 m².

The result: throughput rose from ~50 to 5,000+ pieces per hour (a 100× improvement), picking accuracy reached 99.9%, and the returns cycle shortened enough to free up working capital and put still-sellable garments back on the B2C site faster.

The Challenge — Why Designer-Fashion Returns Were Choking the Operation

JNBY Group operates a portfolio of designer apparel brands across physical retail and e-commerce. As online channels grew, returns became the operation’s choke point. Three pain points compounded each other:

  • 1

    Violent, uneven returns volume A trickle most days, with sharp peaks at B2B quarter-end store returns, daily store returns and again after every e-commerce promotion. Manual labour cannot economically be staffed for the peak.

  • 2

    Enormous SKU mix requiring multi-level sortation Every returned garment had to be sorted by brand, style, size, colour and condition before it could be graded for resale, transferred between channels, or discounted.

  • 3

    Slow inventory cycle on returns Garments sat in the reverse-logistics warehouse for weeks, tying up working capital, blocking new seasonal flow, and delaying re-listing of still-sellable inventory on the B2C site — directly hurting sales.

The manual warehouse was simply not built for the volume or the mix. Without intervention, returns would continue to drag down the margin gains the group was making on the outbound side.

The Solution — A Built-for-Returns Automation Blueprint

Allied Automation partners deployed a dedicated returns warehouse built around a fleet of long-tote Autonomous Case-handling Robots (ACR), paired with high-throughput loader and unloader stations.

  • 56 ACR-L robots (long-tote variant) Move totes across 2,780 mm shelving optimised for hanging and folded garments — the form factor designer apparel actually arrives in.

  • 14 specialised workstations — split inbound from outbound Seven dedicated loader stations receive inbound returns; seven dedicated unloader stations push outbound re-listing and transfer. Inbound and outbound flows never interfere with each other — a deliberate departure from forward-logistics design.

  • 19 charging stations Sized to keep the 56-robot fleet running through peak-return days without throughput degradation.

  • Custom tote sizing — 600 × 440 × 280 mm Engineered for mid-priced designer apparel to maximise storage density without crushing garments.

  • 12,400 m² of active storage, 88,000+ locations Enough to absorb the full range of returned designer SKUs through the longest peak.

System Specifications

Parameter Value
Robot fleet 56 × ACR-L (Autonomous Case-handling Robots, long-tote variant)
Charging stations 19
Workstations 14 (7 inbound loaders + 7 outbound unloaders)
Shelving height 2,780 mm
Tote dimensions 600 × 440 × 280 mm (custom)
Total facility footprint 16,000 m²
Active storage area 12,400 m²
Storage locations 88,000+
Sustained throughput 5,000+ pieces / hour
Picking accuracy 99.9%
Workflows handled B2B quarter-end store returns; daily store returns; post-promotion e-commerce returns

The Results

The returns warehouse went from being JNBY’s biggest operational drag to one of the most productive reverse-logistics operations in the apparel industry.

  • Processing speed rose from 50 to 5,000+ pieces per hour — a 100× improvement.

  • 99.9% picking accuracy, dramatically reducing mis-graded or mis-routed returned garments.

  • 88,000+ storage locations in 12,400 m² — maximum density in an existing facility footprint.

  • Dramatically shorter returns cycle, getting sellable garments back on the B2C site faster and freeing working capital.

  • Volatile returns demand absorbed — quarter-end B2B, daily store returns and post-promotion B2C surges all run on the same platform.

Why It Matters For Apparel Brands With High Return Rates

Returns are the silent killer of fashion e-commerce margins. Return rates of 20–40% are normal in apparel. Every returned garment needs graded inspection and multi-level sortation, and slow returns processing ties up working capital and blocks the next season.

Most returns warehouses are still run the way they were a decade ago — rows of manual shelves, paper or handheld-driven sortation, and labour that scales linearly with volume.

This project shows what built-for-returns automation actually looks like:

  • Dense long-tote storage sized for apparel form factors.
  • A robot fleet sized for peaks, not averages.
  • Separate loader and unloader stations so inbound and outbound flows run in parallel.

The result is reverse logistics that can keep up with forward logistics. For any apparel brand or 3PL where return rates are eating into the bottom line, this blueprint is directly transferable.

Frequently Asked Questions

ACR stands for Autonomous Case-handling Robot. The “L” variant handles long totes, making it suitable for hanging and folded apparel. In the JNBY deployment, 56 ACR-L robots service 2,780 mm shelving across a 12,400 m² returns warehouse.

At JNBY, manual processing handled roughly 50 pieces per hour. After automation, sustained throughput exceeded 5,000 pieces per hour — a 100× improvement.

Returns flow is asymmetric: violent peaks at quarter-end and after promotions, plus multi-level sortation requirements (brand, style, size, colour, condition) that forward picking does not need. A purpose-built returns facility — with separate loader and unloader stations — lets reverse logistics run in parallel with forward logistics instead of competing for the same labour and aisles.

Apparel return rates of 20–40% are typical. At those volumes, manual labour scales linearly with returns and quickly becomes the largest cost in the reverse-logistics P&L. Automation pays back fastest where returns are both high-volume and highly variable.

88,000+ storage locations across 12,400 m² of active storage, using 2,780 mm shelving and 600 × 440 × 280 mm custom totes.

Three: B2B quarter-end store returns, daily store returns, and post-promotion e-commerce (B2C) returns — all running on the same robot fleet and workstation platform.

The JNBY deployment runs at 99.9% picking accuracy, materially reducing mis-graded or mis-routed garments versus manual handling.

Deployment timelines vary by site readiness, building height and SKU complexity. Allied Automation can scope a site assessment and deliver a phased rollout plan — contact us for a returns automation assessment.

Could Your Returns Operation Run At 5,000 Pieces Per Hour?

If returns are eating into your margin, a built-for-returns automation system can change that. Allied Automation runs returns-specific assessments — fleet sizing, workstation split, tote sizing and ROI modelling.