While recalls are a somewhat inevitable hurdle that all brands will eventually cross, they remain high-pressure situations with little room for error or delay.

Whether you’re a food and beverage brand dealing with contamination or a consumer products label facing a material hazard, it’s imperative to have a clear plan for navigating both voluntary and involuntary recalls.

Of course, that’s easier said than done, and many brands find themselves wondering where to begin when a recall notice hits their desk. This guide will help you lay the groundwork for an effective recall strategy that minimizes the impact on bottom-line profits and brand reputation.

Understanding the most common types of recalls

While recalls aim to correctively remove a product from the market due to safety concerns, not all recalls are treated equally. Some products are removed from the market due to safety concerns, while others face widespread defects or regulatory non-compliance, prompting government bodies to take action. Recognizing the severity of a potential recall impacts how your team moves to resolve the situation.

Brands commonly initiate voluntary recalls without formal requests from regulatory bodies to take products off the market. These instances arise when potential hazards are identified by manufacturers or retailers, leading the brand to pull items before they can harm customers. Rather than risk non-compliance, companies can negotiate with federal agencies to notify the public — all while limiting their liability and risk of legal action.

For example, in July 2024, Ross Stores recalled over 1,500 armchairs after receiving reports of the chair legs breaking. They communicated the issue to the U.S. Consumer Product Safety Commission (CPSC), which informed consumers to return any recalled chairs for a full refund.

Conversely, mandatory recalls are issued when a regulatory agency identifies significant health and safety risks from a product. In these cases, the agency has received consumer complaints or incident reports providing evidence of the product’s dangers. Brands will receive notice for mandatory action if they fail to cooperate during voluntary recall negotiations.

For instance, in April 2018, the U.S. Food and Drug Administration (FDA) issued a mandatory recall order for 26 powdered kratom products that contained salmonella. The company responsible, Triangle Pharmanaturals LLC, failed to cooperate with the FDA’s request to conduct a voluntary recall. After 48 hours without a response, the agency issued a mandatory recall to protect public health and safety.

There are several ways to respond to recalls, regardless of whether they are mandatory or voluntary. For example, an in-market rework focuses on targeting specific batches or lots of products already sold to consumers. The goal here is to repair or replace only the affected items, minimizing financial impact by avoiding a full-scale recall. However, if defects are scattered across different markets and batches, a targeted rework is difficult to accomplish successfully.

If a targeted rework isn’t feasible, complete destruction is a more beneficial recall solution. As its name implies, this strategy involves removing and replacing every product from the market as soon as possible. This step is usually reserved for situations when a defect or issue poses severe safety risks, such as injury or death. As you may expect, speed is the most pressing need to prevent further harm and safeguard your brand’s reputation.

8 critical steps to managing a product recall

When you receive a recall notice, deciding where to begin remedying the issue can be overwhelming. To provide structure to your product recall journey, we’ve compiled eight crucial steps your brand can follow to get its operations back on track.

1. Identify and confirm the defect

This step helps you identify the cause and effect of the defect and determine the appropriate response. For example, an incorrect label on a cosmetic product can be addressed with in-market rework that replaces the affected batches. However, if that same product contains toxic substances, complete destruction is necessary.

Understanding the nature of the defect helps prevent similar issues from appearing in future production batches. Being proactive in the wake of a recall also enables you to assess the potential impact on consumer safety and regulatory compliance.

2. Determine proper reporting requirements

Once you’ve identified the cause and severity of the defect, you must report all relevant details to the appropriate regulatory bodies. These reports often include your product category, defect type, severity, and how affected products were distributed to customers. For example, children’s toys will have different reporting requirements than electronics or food items.

To effectively navigate this process, you must familiarize yourself with the specific reporting requirements outlined by regulatory agencies. These requirements include what forms need to be submitted, the type of data required, and the timelines for reporting.

Some specific examples from the Consumer Product Safety Act (CPSA) include:

Section 15(b) establishes reporting requirements for product manufacturers, importers, distributors, and retailers. Companies must gather all relevant information about the product defect or safety concern and submit a detailed report to the CPSC. These reports must be filed within 24 hours of obtaining information that a product:

• Does not comply with a safety rule issued under the CPSA
• Contains a defect which could create a substantial risk of injury to the public
• Presents an unreasonable risk of serious injury or death

Section 37 requires manufacturers of consumer products to report information about settled or adjudicated lawsuits. Companies must maintain records of any legal proceedings related to their products, promptly reporting any settled or adjudicated lawsuits to the CPSC if:

• A particular model of the product is the subject of at least 3 civil actions filed in federal or state court.
• Each suit alleges the involvement of that particular model in death or grave bodily injury.

These reports must be filed within 30 days after a judgment or final settlement in the last of three lawsuits.

Lastly, Section 102 requires any choking incidents in children to be immediately investigated and reported to the CPSC. Companies must include detailed information about each incident and any corrective actions taken in response. These reports must be filed within 24 hours of obtaining information about the incident.

3. Investigate which products were impacted

Batch codes and tracking labels help trace the exact products affected by the recall. This approach isolates the defect batches to avoid pulling unaffected products — minimizing bottom-line impact.

Even with this knowledge, you must ensure every affected product is identified, whether it was sold directly to consumers or through retailers. This process can be complex, especially if your products are distributed internationally, but it is essential for a successful recall. Without clear traceability into which product batches were pulled from shelves, regulatory agencies will require a complete recall as a safety measure.

4. Communicate the recall to your customers

Clear, timely communication minimizes damage to your brand’s reputation during a recall. Notifying customers—via press releases and other public announcements—shows your willingness to be transparent and take responsibility for the defect.

To that end, your communication should include detailed instructions on how customers can return or replace affected products. This clarity ensures the recall process is easy to follow, reducing any confusion and safety risks from the defective item.

5. Adjust your supply chain to eliminate future risks

One benefit of product recalls is they often highlight a quality gap in your supply chain. Preventing similar issues in the future requires your brand to collaborate with suppliers, manufacturers, and 3PLs to strengthen QC at every step. This may include:

• Updating product testing protocols to include more detailed inspections throughout production.
• Implementing stricter QC practices to guarantee potential defects are identified and resolved before products reach customers.
• Conducting regular assessments to monitor QC changes over time and gather data on the effectiveness of each change.

After implementing new practices, you must work closely with suppliers to ensure they follow your updated quality standards. This might involve on-site inspections, auditing their production processes, and requiring them to provide detailed reports on their QC practices. Each of these checks ensures they are committed to your quality standards.

Finally, apply any lessons learned from the recall to your future products.

6. Re-test products with additional Corrective and Preventative Actions (CAPA)

Once a defect has been addressed, new products must be carefully tested to prevent similar issues that would result in future recalls. This process confirms to regulatory agencies that the defect has been resolved and that the product now meets the required safety standards.

All test results should be meticulously documented, both as proof that the defect has been addressed and to inform future product iterations. Any lingering concerns or potential improvements found during re-testing should be highlighted and remedied with all relevant parties.

7. Start planning for product reintroduction

Rebuilding market trust is one of the most critical steps in your product recall journey. Your customers need to be informed about product changes and the measures taken to prevent future defects from occurring. Engaging with shoppers through emails, surveys, or social media gives them an opportunity to share concerns directly — creating a dialogue that fosters confidence and cements your brand’s reputation.

Similarly, revising product labeling is another crucial step that must be prioritized during the reintroduction process. Your brand must ensure all necessary warnings or safety information are prominently displayed — both to inform consumers and stay compliant following a recall.

By carefully reintroducing your product, you demonstrate that your brand has learned from past mistakes, is dedicated to quality, and values the safety of its customers.

8. Audit recall data

With the recall and product reintroduction behind you, your brand can focus on gaining meaningful takeaways from the process. Every piece of data comes together to confirm root causes and spot potential areas for product improvement—even well after the recall is complete.

For example, an updated audit showing that a specific component consistently fails across multiple batches may lead to conversations with suppliers about material quality.

Data analysis tools also help you extract deeper insights from historical findings, allowing your brand to forecast potential product issues before they arise. Predictive analytics, for instance, can analyze past recall data to spot future risks. As a result, you can take a proactive approach to address them rather than reacting to defects and recalls.

How FQ and With Coverage work together to simplify the recall process

Product recalls are one of the most stressful processes a company can go through. Navigating regulatory bodies, consumer notifications, and product redesigns overwhelm even the most prepared brands. Fortunately, Factored Quality and With Coverage make that process as easy as possible so you can maintain your brand’s good standing.

FQ provides brands with a central hub for quality control testing and compliance — helping identify potential defects well before products hit the shelves. Our vast global network of over 2,000 QC partners ensures thorough inspections and audits to comply with rigorous safety standards.

In the unlikely event of a recall, FQ provides robust product testing capabilities that help brands respond quickly and effectively. Expert-led support enables you to identify affected products so your brand can address safety concerns, safeguard brand reputation, and limit bottom-line impact.

With Coverage complements FQ’s efforts by providing necessary insurance services to protect brands from potentially gargantuan fines or legal fees. They also empower companies to cover other recalls-related expenses, such as logistics, customer notifications, and corrective actions. This financial protection allows brands to focus on resolving the issue at hand without the added stress of unexpected costs.

Our combined expertise ensures you are equipped to handle even the most in-depth recalls with confidence, protecting your reputation and bottom line.

See how FQ can take your quality control strategy to the next level. Book a personalized demo and get started today!

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