In our series of articles “5 scenarios when FULFILLMENT becomes the perfect solution” we share the experience of our clients and our observations on how the service of order completion and shipping by an external company such as ours brings tangible benefits to the owner online store.
Part One – Dynamic Company Growth
We wish everyone increased sales – everyone is counting on it. However, sometimes too rapid an increase in the number of orders causes a “harvest crisis”. In such a situation, the e-commerce owner must face challenges that directly or indirectly create problems without eliminating the risk.
- more orders
- greater processing capacity for packaging and shipping
- the need for employment growth
- the need to increase storage space
These are just some of the challenges that a company that experiences significant sales faces. Of course, we cannot forget about the factors that can worsen the situation:
- the increase in orders is only temporary
- incapacity for work of one or more warehouse workers
- the need to train new staff
- haste and lack of experience cause more mistakes and mistakes
- a significant increase in costs related to employment and warehouse space
Why is fulfillment the ideal solution?
Fulfillment allows the entrepreneur to hand over all or part of the logistics to specialists. The fulfillment operator takes over:
- product storage,
- completing orders,
- packing parcels,
- handling shipments and returns.
This allows the company to scale sales without investing in its own infrastructure and without hiring additional packaging workers.
Key benefits include:
- speed – most orders are processed on the same day,
- professional packaging – minimizing damage during transport,
- real-time stock update,
- full scalability – the operator copes with sudden increases in orders.
An example from our client's life: an online cosmetics store
Company A started with retail sales in a brick-and-mortar store and through their own online store. Initially, they fulfilled a few orders per week. As the number of orders grew, they expanded to sales platforms and wholesale orders.
The company was not prepared and did not have implemented software supporting warehouse work and order handling. Employees did not keep up with packaging, errors occurred in shipments, and dissatisfied customers left negative reviews.
Actions we took together:
- we moved the handling of bestsellers to fulfillment to relieve the stationary store and gain time to transfer the entire assortment to fulfillment without generating sales drops - after this procedure approx. 70% orders were shipped as declared
- after a dozen or so days we received the entire assortment in smaller quantities - to fulfill more complex orders - 90% orders shipped in accordance with the declaration
- separation of sales service - fulfillment processed wholesale and marketplace orders. Sales from the online store remained in the stationary store - 98% orders shipped in accordance with the declaration
After implementing fulfillment:
- order processing time has been shortened from 3-5 days to 24 hours,
- the number of incorrect shipments has dropped to almost zero,
- customer service could focus on building relationships rather than resolving complaints.
When is the best time to implement fulfillment?
It is worth thinking about this when:
- the number of orders begins to exceed 100-200 per month,
- the company lacks storage space,
- order fulfillment times are getting longer,
- the number of complaints and negative opinions is increasing,
- there are not enough resources to employ more people.
The sooner you implement fulfillment, the smoother the transition will be and the fewer logistical problems will occur at peak sales times.
Summary
Dynamic sales growth is a huge opportunity, but also a logistical challenge.
Using fulfillment services allows companies to grow without chaos, improve the quality of customer service and increase their competitiveness.
This allows entrepreneurs to focus on what really grows their business – sales, marketing and branding.
How much is it?
The answer is always the same - it depends. Cosmetic packaging is priced differently, where the complexity of orders is different, than furniture. The price will also depend on the method of packaging and the number of monthly orders. Use our form or simply call and we will prepare an individual offer.
Remember – we are here to help you. We approach each order individually and focus on the characteristics of the industry in which the client operates.
Use our form to learn more about your industry and prepare an offer tailored to your needs!
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