With the huge advances in technology, it has become as vital as oxygen. We cannot live without it and need it more so than before. Similarly, the internet has become ever-present in our lives. We depend on it because of our everyday work, socializing, and getting access to things that we need.
With online shopping, it has fast become the preferred method of shopping for many people. More businesses are leaving their brick and mortar existence and building their digital presence by starting their online stores and services.
But e-commerce is not just about setting up your website and putting up a few pictures of your products so that people can buy them. There is a lot more to it than meets the eye.
WHAT IS FULFILLMENT
Fulfillment, as the name suggests, points out to the part where the buyer has selected the product and has paid for it, and now the merchant has to fulfill that order. The customer must receive the product in the most efficient manner. Most businesses focus solely on their marketing campaigns and running their businesses. As a result, they ignore delivery fulfillment processes, which negatively impact the business. They have to ensure that their customers receive their products in time and in pristine condition; otherwise, they will lose the customer.
WHAT ARE FULFILLMENT SERVICES?
Fulfillment services refer to the end to end third party logistics solutions for online retailers. Every time a customer visits your website and orders something, the product needs to be picked up from the warehouse, or wherever you are storing it, it has to be properly packaged to make sure that it does not get damaged during the trip and then it has to be sent out to the customer. All of this has to be done quickly and efficiently so that the customer gets his product on time.
WHAT DOES A FULFILLMENT SERVICE provide?
There are third parties who take care of these things. They offer all the services mentioned above:
- Continuity orders
- Credit card processing
- Reverse logistics
- Warehouse storage, and more.
Here are five things you need to know about fulfillment services:
1. Offer Distributed Shipping Locations
So, let’s imagine that you are doing business somewhere in Texas, and a lot of your clients are in New York. That means that every time someone makes an order, you have to ship it from Texas all the way to New York. You have to do this every time. You want to offer free shipping to your customers to stay ahead of your competitors, but the shipping costs you a lot, and you can’t afford to do that.
Fulfillment service providers can solve this problem. They can help you find a warehouse in New York, where you can store your merchandise. When an order comes, it will take a fraction of the shipping cost, and it will save time. This way, not only do you get to offer quick and immediate delivery, but you can also offer your customers in New York free shipping and same-day delivery.
A lot of e-commerce retailers don’t pay attention to these subtle points and end up losing a lot of business to their competitors.
2. Reduce Operating Expenses
Warehousing and logistics can really increase your overall operating costs. You need to have your own warehouse that has a high maintenance cost. You need to install the latest equipment to keep it safe and away from harm’s way. As a result, it will generate bills that can go out of budget. If you work with a fulfillment service provider, you can greatly reduce your operating expenses.
You can get a lot of benefit from this kind of situation like:
- You don’t need to lease or rent a warehouse or a storage unit.
- You don’t need to hire staff to work in those warehouses or storage units.
- You don’t need to pay taxes for these facilities.
- You can greatly reduce your cost of packing materials.
- You can have your merchandise packed more quickly.
- Your shipping cost will be greatly reduced.
3. Focus on Other Areas
Not only do you get operating benefits from fulfillment service providers, but you also get financial benefits, and saving time is a plus.
If you are a small business, you often need to take care matters yourself, like maintaining your website, analyzing customer data, buying materials for the products, marketing, content creating, video marketing, social media posts, and a lot more.
Using a fulfillment service can enable you to focus solely on these tasks as they will take the burden of shipping and delivery on themselves.
With all the money that you save, you can invest it in marketing or research and development for your business. This can mean more cash in the future and a stable place for you in the competitive market.
4. It leads to more happy customers and less negative reviews
Every customer wants a speedy delivery regardless of who they are. They demand an undamaged product in return for the amount they are paying.
When you opt for fulfillment services, you can make sure that the delivery is seamless and that your customers will always receive their orders on time. This will lead to more satisfied customers and a lot less angry ones. As a result, the generation of positive reviews online will shed a positive light on your brand image as people will start recognizing you for a legitimate business that takes care of its clients.
5. AVOID MAKING MISTAKES
When it comes to fulfilling a promise of speedy delivery and efficient handling, a lot of e-commerce stores have a lot to learn. Unless you know all the elements involved, you can find yourself in deep trouble.
When you partner with a fulfillment service, you can hand over your troubles to them. They will ensure the safe delivery of your merchandise. This way, you can avoid making delivery mistakes by handing it over to the experts.
These are the major factors that you must know about fulfillment services and why you should start working with one. These are some of the most significant reasons why outsourcing to fulfillment service providers is so popular nowadays.