Ecommerce businesses come with a number of upsides, including a decrease in overhead and a simplified business model that doesn’t require the commitment to presentation a brick and mortar storefront demands. However, this doesn’t mean that operating an ecommerce company is without its challenges. When your business begins to expand, it can become a struggle to keep up with processing orders on time whilst continuing to uphold quality. Inventory management can quickly become overwhelming, especially for those who have a large inventory with limited storage space or fulfillment capabilities.
This is where ecommerce fulfilment comes in. Saving you time on packing orders, outsourcing ecommerce fulfilment is especially useful for new and growing businesses, allowing business owners to focus on more important day-to-day tasks instead of shouldering the burden alone. Here’s how outsourcing ecommerce fulfillment can help your business get ahead.
Reduction in Warehousing and Logistics Costs
Warehousing can be extremely expensive, especially for those without extensive storage solutions in place. Outsourcing allows you to continue forward without sinking thousands into a warehouse lease, utility bills, software to manage inventory, or any of the other hefty costs that come with acquiring your own warehouse. Third party providers with mass fulfillment operations are often able to negotiate better rates as well, offering a cheaper deal than you could secure alone.
More Effective Business Practices
It’s hard to stay on top of accounting, payroll, site management, and customer queries when you’re also trying to organise a warehouse and prep products for shipment. Putting a few of these enormous tasks into the hands of a third-party can lighten your load significantly, freeing up time in your day for the business activities that matter most. Further, you can keep your payroll costs lower by letting someone else do the kinds of tasks that would require additional employees – and associated hiring costs – to handle.
Less Time Spent on Storage and Distribution
If you sell a lot of goods and require a lot of warehouse space, you’re probably also aware of the shortcomings that can come with operating your own facilities. Handling storage, organisation and distribution of goods can be tedious and time-consuming, costing you hours as you chase inventory, pack boxes, and print shipping labels. Passing the reins to someone else can alleviate the stress in the shipping process, ensuring your inventory makes it from point A to point B in next to no time.
Outsourcers Have Insider Knowledge
Have you ever operated a warehouse or run a large-scale fulfillment process? If the answer is no, you’re not alone. While it’s certainly possible to master the basics, you can skip the learning curve by working with an outsourced solution. Outsourcers already understand the ins and outs of the business, offering insider knowledge you can’t get anywhere else. Instead of struggling through trial and error, your company can provide streamlined, efficient services from day one.
More Time for Customer Service
When you’re busy organising boxes, creating mailing labels, and arranging pickups with the postal service, you’re taking time away from one vital aspect of your business: your customers. When you take the tedious tasks off the table, you are in a better position to invest in customer service, increasing availability for phone calls, emails, chat sessions, and marketing campaigns that can help you build a loyal customer base.
Faster Opportunities for Growth
As an ecommerce business, your warehouse and storage space dictate a lot about your how you operate. Too much means unnecessarily high costs, while too little can hamper growth. An outsourcer lifts these restrictions, allowing you to grow your business without worrying about physical location or space requirements, all while saving you money that you can then reinvest into your developing company.
When you have your sights set on success, the right partners can make all the difference. By outsourcing your ecommerce fulfillment to a logistics expert, you can rest easy knowing that your shipping needs are always in good hands.
Greg Zontanos is the Co-founder and CEO of Weengs, a UK startup innovating the shipping industry.