G2 Reverse Logistics has received $9.6 million in seed funding led by Dell Technologies Capital. The company utilizes machine learning to predict and optimize the process of returns.
“We’re using the investment to really ramp up the sales and marketing and also the headcount,” Tom Perry, G2 Reverse Logistics CEO, said.
By utilizing predictive analytics the company expects to save customers 20% across the return ecosystem on average.
“Returns management is rather complex to begin with, and then when you add the element of speed to it, it makes it more complex,” Perry said. “The predictive analytics that we are bringing to the market enables people to know what is the optimum disposition before it even starts to flow so you can steer it in the right path.”
The system is capable of being overlayed over existing systems or functioning as a stand alone. It is designed for retailers, manufacturers, brands and third-party logistics providers.
Examples Perry gave of efficient paths provided by the system included donating products, recycling electronic products for parts or upgrading electronic components for resale.
“Unlike other logistics providers in the market, G2RL stands out as being the only end-to-end platform that eliminates human error, minimizes risk and helps make well-informed, cost-effective decisions,” Gregg Adkin, Dell Technologies Capital managing director, said in a prepared statement.
In addition to saving companies money and resources, Perry believes the application of this software could have a positive effect on the environment.
“Companies are increasingly measuring themself and their customers are expecting from them an ability to favorably affect the environment,” Perry said. “Not only are we actually able to help them achieve lowering their carbon footprint and keep things out of landfills, we are able to help them further track it and report it.”
As G2RL expands its headcount, Perry indicated that despite the possibility of remote options the company would like to hire within the Pittsburgh area.
"To the extent that we can we will be hiring people from Pittsburgh," Perry said. "Right now we are actively recruiting and even though we can hire from anywhere now especially since the pandemic people can really be remote we have a serious bias for Pittsburgh resources."
The company was founded in 2020 by veterans of GENCO, a logistics company that was acquired by FedEx in 2015.
“We were the first ones to develop software that was specifically built for returns management and reverse logistics,” Perry said. “Now that we are at G2RL we were inspired by some of the thoughts that were started back in those days.”
The artificial intelligence being utilized by G2RL is a proprietary platform.
“There is a lot written about [artificial intelligence] and in some ways it is like a lot of other products that emerge from research and development in that there is a certain skill in applying emerging technology to specific use cases,” Perry said. “Some of those arguments and controversies around [artificial intelligence] are all about the application of the technology. ‘Can it be applied for good? Can it be applied for not so good?’ We’re certain that how we’re applying it is for good.”
