With more and more people choosing to shop online, the need for successful fulfillment has never been so vital to ecommerce stores. After all, this is the system that allows customers to stay updated on every step in the order process, from purchase to delivery completion. Most customers will now seek out brands that keep them informed on their orders’ status, as this study found.
Key Takeaways
- Free shipping can significantly boost revenue and reduce cart abandonment, especially when offered at specific order thresholds like $50 or more.
- Customer support excellence must extend throughout the entire shopping journey, from pre-purchase inventory accuracy to post-delivery service and returns handling.
- Outsourcing fulfillment to professional centers like Cart.com can streamline operations and free up resources for core business activities.
- Strategic warehouse locations impact fulfillment costs and shipping zones, directly affecting business profitability and customer satisfaction.
- Quick problem resolution, such as expedited replacements for incorrect orders, can transform dissatisfied customers into loyal repeat buyers.
Studies and statistics show how important this is to customers. However, to further enhance ecommerce fulfillment and meet customers’ expectations, businesses need to review their procedures and find ways to improve. These improvements could relate to the storing, packing, and shipping of products, so there are many aspects to choose from.
To help ecommerce business owners, this article outlines three of the most common ways to can enhance fulfillment and increase success.
Offer Free Shipping
Although not all businesses will be able to offer free shipping, this is one way to improve your fulfillment if your pricing model allows it. This is not a necessity for every order, though. You can offer free shipping if the customer’s basket meets a specific threshold, such as $50.00 or more. Not only will this meet customer expectations, it will also boost revenue generated per customer.
Businesses might question if free shipping is something they absolutely need; an easy way to decide this is to read through customer reviews or check the percentage of abandoned carts. Customers will often mention frustration or disappointment if they were not expecting shipping costs. If they don’t, then a high number of abandoned carts could highlight this.
Provide Fast Customer Support
Good customer service is essential throughout the entire shopping experience, which might surprise some. It is even a necessity well before an order is even placed. A good customer experience includes ensuring accurate inventory, checking all stock functions correctly, and many more unseen aspects.
But customer support continues even after the order has been accepted at delivery. There are issues that could appear, such as product exchanges, refunds, and returns. To keep customers happy with the service they receive, staff must process these problems as soon as they can. They must also think on their feet and make the situation as easy as they can on the customer.
An example of this could be if a customer receives the item in the wrong color. If this is a gift they need for the weekend, the business could ship a replacement to be delivered within 24 hours at no additional cost. This might result in the customer becoming a frequent shopper with this business.
Outsource Order Fulfillment
If your business struggles to improve its order fulfillment process, it might be worth outsourcing. This is a process that has many different parts, from packing up orders to handling returns, and it can be difficult to ensure everything works smoothly. Plus, this frees up more time for you and your workers to focus on other vital tasks.
Thankfully, there are professional businesses that deal with order fulfillment up and down the country. No matter where you are, you can find a reputable fulfillment center to accommodate your business needs. Cart.com has 14 fulfillment warehouses across the US to partner with various businesses.
The position of some warehouses, like the Cart.com Pennsylvania fulfillment center, provides easy connections to New York City and Philadelphia, which will ultimately boost your business. A fulfillment center’s location will impact things like fulfillment costs and shipping zones, and these will affect the profits the business accrues and customer satisfaction, so it is wise to select a partner that meets your business’ needs.
And there you have it! Although there are numerous ways to enhance your business’ fulfillment, the three mentioned in this article can benefit your ecommerce company greatly.
By focusing on offering free shipping, providing fast customer support, and outsourcing order fulfillment, your business will achieve greater success in no time.
Frequently Asked Questions
What is the average cost of ecommerce fulfillment per order?
The cost typically ranges from $3 to $15 per order, accounting for 15-20% of the total order value. This varies based on factors like order size, shipping method, and warehouse location.
How long does typical order fulfillment take?
Most retailers aim to process orders within 24–48 hours of receipt, as studies show 38% of online shoppers will abandon their purchase if delivery takes longer than a week.
What is the industry standard for order picking accuracy?
The average picking accuracy rate in ecommerce fulfillment is 96-98%, though top-performing fulfillment centers achieve 99.9% or higher accuracy rates.
How does peak season affect fulfillment operations?
During peak seasons like Black Friday and Cyber Monday, order volumes typically increase by 30-40%, requiring additional temporary workers and careful planning.
What percentage of ecommerce orders are fulfilled same-day?
Currently, 15-20% of ecommerce orders receive same-day fulfillment, with this percentage expected to grow as retailers invest in local fulfillment capabilities.
How much can order consolidation reduce shipping costs?
Combining multiple items into a single shipment can reduce shipping costs by 10-15% on average while improving the customer experience by minimizing separate deliveries.
What is the impact of AI on fulfillment accuracy?
AI-powered fulfillment systems can improve order accuracy to 99.9% while reducing processing times by 30-50% through enhanced demand forecasting and route planning.
How do returns affect fulfillment costs?
Reverse logistics, including processing returns and exchanges, typically costs 20-65% of the original item’s price, making it a significant factor in overall profitability.
What percentage of ecommerce orders are fulfilled from physical stores?
Approximately 30% of ecommerce orders are fulfilled from brick-and-mortar stores, reducing shipping costs by 25% and cutting delivery times by up to 50%.
How important is inventory accuracy in fulfillment?
While the average retail inventory accuracy is about 63%, top-performing companies maintain accuracy rates of 99.5% or higher, which can reduce out-of-stock instances by up to 50%.
