Successful e-commerce business owners know that part of the key to winning is an optimized logistics system. The role of logistics plays an important part in e-commerce. And there’s a huge potential for improving it, gaining an edge in a progressively crowded marketplace and satisfying savvy customers.
Here are a few ways to determine whether you need to improve your logistics plan.
1. Constantly Losing Inventory
Nothing is more unsettling than purchasing a product and finding it missing. This is often because of disorganization and can leave negative impressions of your online store.
To avoid this situation, you must check your stock regularly — checking in and out and keeping track of inventory with software. It’s also a good idea to assess the condition of your products.
Additionally, it helps to keep the difference between the quantity of your product and what you offer to customers at a minimum. In essence, it’s helpful to have more items in case of defective or damaged products. You’ll boost consumer confidence knowing that you have items available for purchase.
2. Inaccessible Product Return System
When customers buy from your online store, you will have at least one exchange or return—however, the process of returning or exchanging needs to be adequate to keep your customers satisfied.
The first thing you should have is a defined return and exchange policy to avoid the interruption of a seamless return process. A clear return policy can safeguard your company and reassure potential buyers.
Furthermore, you can take steps to ensure you’re automating the process. This makes it easier to accept and receive returns because it reduces the time to manage them, increasing productivity and saving you money in the long run. Plus, it can decrease your overall return rates and boost customer lifetime value.
3. Missing Delivery Deadlines
If you’re constantly missing delivery deadlines, this can be a significant problem for your business. That’s because it breaks the customers’ trust. After all, they buy from your store because the information you provide feels secure.
If you feel your customers are complaining left and right because of delays — you can make changes to your logistics plan. One way to avoid this issue is by setting the delivery terms one to two days more than the delivery deadline.
The good thing about using this tactic is that you’ll hit your delivery deadlines more often. As a result, you avoid disappointing your customers and delight them by ensuring the delivery is early or on time.
4. Shipping Is High-Cost
Expensive shipping is the primary contributor to shopping cart abandonment. Most customers expect to receive value throughout the entire journey of their purchase. This includes product quality, great prices, and cheap or fast shipping.
Since customers need your products, offering more than one shipping option is only fair. Doing so helps cater to their shipping preferences. Some customers want faster shipping while others are in no hurry but expect an excellent price in exchange.
Consider searching for carriers that offer the best value for money. Even though you’re using a third-party service to perform your shipping service, it’s still vital that you keep customer satisfaction high for every delivery.
One other thing to ensure is that you work with companies that provide tracking codes. This avoids customer eagerness and complaints and allows them to follow the shipping process.
Optimize Your Logistics Plan
Consider making improvements if your logistics plan lacks in any of the abovementioned areas. You can put these tips into practice and guarantee customer satisfaction. Once you gain their trust and loyalty, customers will speak highly of your e-commerce store, which pertains to your business growth.