So, What Is Ecommerce Fulfilment?
What Exactly Is Ecommerce Fulfilment and When Might You Need It?
Ecommerce fulfilment refers to the process of receiving, processing and delivering customer orders for products purchased through an online store or platform. It involves all the steps necessary to fulfil an order: from the point of sale to the delivery of the product to the customer’s doorstep.
The key functions an ecommerce fulfilment partners provide include:
- Receiving: The fulfilment process begins with the receipt of products from suppliers or manufacturers. These products are typically stored in a warehouse or distribution centre until they are sold.
- Inventory Management: An important aspect of ecommerce fulfilment is managing inventory. This includes keeping track of stock levels, monitoring product availability and updating the online store to reflect accurate information about available products.
- Order Processing: When a customer places an order through the online store, the ecommerce system captures the order details, including the products, quantities & customer information. The order is then prepared for fulfilment.
- Pick & Pack: In this step, the ordered items are picked from the warehouse shelves based on the received order details. They are then packed securely & appropriately for shipment, ensuring that the items are protected during transit.
- Shipping: Once the order is packed, it is handed over to the shipping carrier or logistics provider for delivery. The chosen shipping method may vary based on factors such as customer location, shipping speed, and the nature of the products.
- Tracking & Delivery: The customer is provided with a tracking number or a means to monitor the progress of their shipment. The package is delivered to the customer’s address, either directly or through a designated pickup point, depending on the chosen delivery option.
- Returns and Customer Service: Ecommerce fulfilment also encompasses managing returns and handling customer inquiries or concerns. If a customer wishes to return a product, the necessary processes for handling returns and issuing refunds or exchanges are carried out.
When might you need it?
Well, efficient ecommerce fulfilment is crucial for providing a positive customer experience as it involves timely order processing, accurate inventory management, reliable shipping, and responsive customer service.
Many of our customers reached a point where they were growing at a rate that meant they were unable to manage the above processes themselves – either through lack of availability of space, manpower or both. Or, they were unable to expand without outsourcing their fulfilment which would then enable them to focus on marketing or other aspects of the business. Or, they wanted to take advantage of the expertise a fulfilment company would have and get access to fulfilment management systems (FMS) they would be unlikely to be able to invest in while still a small to medium sized operation.
In our next post, we explore why you might want to outsource your ecommerce fulfilment.