How Does ECommerce Fulfillment Work?

You may have an epic website marketing the products in your niche.  Your sales funnel may also be on the spot, sliding clients and prospects into your checkout with ease. However, your web-based venture will turn into a white elephant or splash without cash if the eCommerce order fulfillment process isn’t working smoothly. An exemplary managed order fulfillment process is a critical step towards achieving short-term and long-term business goals. It’s a crucial mechanism of expanding your entity because you need to sell to grow. Your eCommerce venture can use one of the top Shopify return fulfillment centres to solve logistics issues.

A study conducted in 2018 revealed that shipping was a primary feature of online shopping. The shipping mechanism inspired at least 83% of online buyers that a business has put in place. According to the study, approximately 54% of online shoppers postponed or abandoned an order because of high fulfillment costs. Around 25% of shoppers stopped the orders because of slow shipping. Here is how the order fulfillment process works. 

1. Center Integration Fulfillment Channel

The first thing that probably pops into mind at the fulfillment warehouse is the presence of shelves stocked with an array of merchandise. However, order fulfillment centers are technology-based companies. Your eCommerce venture integrates with the chosen fulfillment center to connect your business with clients. The following are the primary features of an accomplished order fulfillment center. 

• Choose a 3PL with the ability to integrate with your selling platform. Your prospective fulfillment center should offer versatile services, including creating a customized app to take orders for sales channels that it currently doesn’t support.
• The prospective order fulfillment center should have a dynamic IT department.
• Settle for a responsive order fulfillment center with minimal downtime.

1. Receiving & Management Of Inventory

You’ll be shipping part of your merchandise to the chosen fulfillment warehouse. The center enters the merchandise in an inventory before placing them on shelves awaiting order fulfillment. 

Most warehouses fail in inventory management. Remember, products sitting on loading docks haven’t been logged into the inventory. You’re not going to sell your merchandise until the fulfillment center enters them into the inventory. Your prospective order fulfillment center should have these qualities to avoid delays in sales;

• It should log your merchandise into its inventory 48 hours after receiving it.
• The center should allow you to log into your inventory management system for real-time data to enable you to know whether you need to restock.
• A quality fulfillment service should use effective inventory forecasting methods. The fulfillment center should have a minimal shrinkage allowance by prioritizing your inventory management.
  

1. Fulfillment of the Order: Picking, Packing, & Shipping

Once the fulfillment warehouse receives an order, it will pick the requested items and pack them in a box. Floor workers within the warehouse are tasked with packing the products in perfect boxes ready for shipping. The fulfillment company will ship the products to the client’s requested location. 

Accuracy is a critical consideration when packing at this stage. It’s worth remembering that packing mistakes can cost clients, especially when they receive the wrong products. Your 3PL company will assist you in meeting client expectations in the following ways;

• Select an ecommerce fulfillment in Canada that offers same-day shipping or next-day turnaround.
• Choose centrally located 3PL companies to reduce the hassle and duration of shipping orders to clients.
• Ask for data to assess the prospective order fulfillment company’s error rates before banking on its services. Choose a 3PL with minimal past errors.

1. Reverse Logistics: Processing Returned Orders

Returns will ultimately occur no matter how much an eCommerce company tries to avoid them. It’s for this reason that the order fulfillment center should be careful to minimize any packing errors. The ease of returns is crucial for online shoppers. Having a simple return channel can be a significant factor in increasing sales because clients can trust you. 

The faster the order fulfillment company processes the return requests, the quicker your client receives a refund. It may seem like a sale loss, but the good thing is that the goods return to the shelf and are available for sale. Besides, you’re likely to get more referrals from such clients because they will trust your brand. The eCommerce order fulfillment company can simplify the return in the following ways;

• Choose a warehouse that puts returned goods back to the shelf in 48 hours.
• Settle for a fulfillment company that handles our client returns on your behalf and lets your focus on growing your business.
• Choose a 3PL that evaluates the returns goods and set a secondary site for dealing with damaged goods.

The efficiency of order fulfillment is crucial to the growth of your online venture. It’s vital to understand how order fulfillment works to enable you to choose a company that offers flawless order fulfillment services to increase your sales.