Sereact, Zalando, and CEVA deploy AI to automate fashion returns

German artificial intelligence pioneer Sereact, online fashion giant Zalando, and global logistics leader CEVA Logistics have officially launched AI-powered automated returns processing operations across key fulfilment facilities in Germany and Poland.

The dual-arm robotic systems have entered live operations at facilities in Greven, Germany, and Świebodzin, Poland. Powered by Cortex, Sereact’s flagship physical AI platform, the strategic deployment represents the initial phase of a broader initiative aimed at scaling intelligent returns automation across Europe.

Returns management remains one of the most complex operational bottlenecks in fashion e-commerce logistics. Returned items frequently arrive poorly packaged, crumpled, or dishevelled, creating an unpredictable state that defies conventional robotic pre-programming. Sereact’s Cortex platform solves this hurdle by grouping previously unseen objects, identifying, grasping, and sorting items dynamically without requiring article-specific training or pre-determined product libraries.

Delivered as a flexible Robotics-as-a-Service (RaaS) operational model, the deployment represents the first commercial milestone of a strategic collaboration between the three organisations. In July, Zalando joined Sereact’s Series B funding round as a strategic investor, with the venture raising $116 million in 2026. The partners are now actively collaborating to scale intelligent automation across their shared European logistics footprint.

Crucially, the physical AI technology is engineered to work alongside human warehouse employees rather than replace them. By taking on highly repetitive handling and manual sorting tasks, the robotic system reduces physical strain on personnel, allowing them to upskill into higher-value roles that require human expertise, adaptability, and judgment.

Highlighting the overarching vision behind the rollout, Masood Choudhry, SVP Logistics at Zalando, said: “At the heart of our collaboration with Sereact and CEVA is a fundamental belief: true innovation happens when technology and human potential advance together. By solving the most complex challenges in modern fulfilment today, we are actively shaping the future of e-commerce logistics for fashion and lifestyle.”

Addressing the core operational challenges facing fashion supply chains, Chris Walton, SVP Contract Logistics at CEVA Logistics, said: “One of the toughest challenges is returns handling, due to its extreme operational nature and scale, unpredictable volumes, manual quality checks, seasonality, value decay, and a disproportionately high cost per unit. Our Robotics-as-a-Service model classifies items faster, reduces manual touchpoints, and delivers consistent, predictable quality on a large scale. For our customers, this transforms returns from a cost driver into a controlled, high‑performance service.”

Emphasising the technical milestone achieved by the deployment, Dr. Ralf Gulde, CEO and Co-Founder of Sereact, said: “Returns are the hardest manipulation problem in fashion logistics. If a system only works on articles it has seen before, it does not work in a returns operation at all. Running this in production with CEVA at Zalando volumes is the strongest proof point we have.”