Remember those days when we had to wait weeks until we received our orders from catalogs or TV? Now we can’t even stand waiting for a whole week! We want our orders to arrive only in a few days. And this puts a large pressure on ecommerce business owners. Because of the big ecommerce companies such as Amazon and their fast delivery systems customers expect the same service from other ecommerce companies as well regardless of their size and resources. Now you can find more about shipping for your ecommerce company.
Shipping will be a way to show how good you are as an eretailer. If the orders arrive late to customers most of the time, they will become frustrated, and you might lose those customers for life. As it is better to have loyal customers it is better that you provide a good and efficient shipping service.
From the time the package leaves your storage until it reaches the customer the package will go through many points such as vendors, service providers etc. During this time an ecommerce company would have to think of sales volume, handling costs, shipping preparation time and speed, tracking ability. With taking these into consideration you can find the best shipping vendor for your needs.
So how should you choose vendors that fit in with your needs? You may handle things with one of the large delivery companies. But as we mentioned at the beginning customers want speed. And when your business grows this company may not be fast and cheap enough for your deliveries. And if the company faces problems your business will face problems that may be critical.
Using different companies for different reasons will help you allocate your budget and time wisely. For example, for local shipments you can use local shipping services and for international shipments you can use FedEx. By doing so, you will cut down on expenses and shipping times. Or sometimes some companies might not deliver on weekends. But if that is necessary for your shipment it’s better to consider other companies.
Some ecommerce companies may have the option of using warehouses of other manufacturers, retailers or wholesalers in some particular areas so that it is faster to deliver to close by places. The company itself doesn’t own a warehouse but uses other retailers’ warehouses. And these manufacturers or wholesalers ship the products for the other company. This process is called drop shipping. This might be a good idea for those companies who cannot afford their own warehouses. If they choose the hubs smartly they can deliver as fast as possible with minimum expense.
Now that you’ve shipped your item, it would be better if you kept an eye on it. Since both the seller and the customer can track the shipment they can both see where the item is and the customer won’t need to contact the seller constantly. And as the seller you get the chance to show that it is not your fault if the item arrives late. The customer can see the issues, if there are any, and the causes of issues.
In addition to shipping and tracking you can also benefit from bar code system to track which exact product is shipped and where it is exactly at. And with this system you will have less problems, less complaints of receiving wrong products or not knowing where the product is. So it might be better if you could scan the item then package it and ship it. Also with packaging you must choose the best fitting box so that there is no damage. However, since delivery companies charge you for the size of boxes you will also try to minimize the box size. Finding the size for product not getting damaged and having the cost minimum will be your challenge to optimize.
Now you know how to do things and you must decide on which strategies or technologies you should adopt for your business. However, doing this does not mean that you can decide on one strategy, and continue doing business that way. You must frequently check and evaluate your performance on shipping. As the technology will continue to advance and companies will come up with better ideas for shipping you must be aware of these advancements and adopt them if you think they will be useful for you.
Shipping is a problem for ecommerce companies. It can be turned into a competitive advantage. Since companies can ship internationally and within a short time price also becomes a very important factor in competition.
Tracking competitors’ prices to understand where you stand in the market and what you can do to improve your business helps you gain competitive advantage. See how Prisync might help you as it already does for ecommerce companies with competitor price tracking from more than 30 countries.