Posts written by

Aman Sandilya

Aman Sandilya is a Product Marketing Manager at WareIQ, with over 5 years of experience across Product Marketing, Brand Marketing, Marketing Communications, Event Marketing, etc. He has previously worked with Cognizant, Capgemini, and Merilytics focusing on marketing initiatives for clients from eCommerce, CPG, Retail, Logistics, and Operations domains.

Scaling eCommerce Fulfillment for Personal Care & Cosmetic Products: Insights from mCaffeine’s Journey

In the ever-evolving world of eCommerce, the ability to efficiently scale fulfillment operations is crucial, especially for personal care and cosmetic brands. mCaffeine, a leading skincare brand in India, has successfully navigated this path, growing from a startup to a company with ₹250 crore in annual revenue. In a recent webinar hosted by WareIQ, Saurabh Singhal, co-founder and head of supply chain at mCaffeine, shared invaluable insights on how to streamline and manage end-to-end operations for new-age consumer products.Early Beginnings of mCaffeineSaurabh began by sharing mCaffeine's humble beginnings in Mumbai. The initial stages involved making critical supply chain decisions that would lay the foundation for future growth. The focus was on creating a strong demand planning strategy and establishing a reliable fulfillment infrastructure. These early decisions were instrumental in positioning mCaffeine as a competitive player in the market.https://www.youtube.com/watch?v=hcsHGmNucCo&t WareIq Webinar with mCaffeineStrategic Supply Chain DecisionsOne of the key strategies Saurabh emphasized was the importance of having a dual-channel approach—leveraging both marketplaces and their own website. This approach allowed mCaffeine to reach a wider audience while maintaining control over the brand experience on their direct-to-consumer (D2C) platform. The website served as an asset where customers could fully engage with the brand, whereas marketplaces provided the volume and visibility needed to scale rapidly.Scaling Up: Challenges and SolutionsScaling up posed several challenges, particularly in maintaining personalization and operational efficiency. Saurabh noted that while it’s easy to personalize experiences for a small customer base, it becomes increasingly difficult as the business grows. For instance, sending personalized thank-you notes is feasible at a small scale but challenging when catering to thousands of customers.To address these challenges, mCaffeine invested in robust demand planning systems and fulfillment infrastructure. They implemented strategic planning to ensure that inventory levels met customer demand without overstocking, which could lead to increased costs and wastage. This careful balance helped maintain operational efficiency while supporting growth.The Importance of Team and SupervisionSaurabh highlighted the critical role of building a strong team and having effective supervision in place. Scaling operations requires more than just good systems; it requires people who understand the brand’s vision and can execute plans effectively. mCaffeine’s success can be attributed to its dedicated team that manages production planning, demand forecasting, and distribution seamlessly.According to Saurabh, having these three departments—team, projects, and supervision—working in sync is essential for scalability. When these elements align, the supply chain can handle increased volumes without compromising on quality or customer satisfaction.Managing Customer ExpectationsIn the realm of eCommerce, managing customer expectations is paramount. Saurabh shared that one of the key triggers for scaling operations was the need to meet customer demands for faster deliveries. Customers expect quick, reliable service, and any delay can lead to dissatisfaction and loss of trust.To address this, mCaffeine expanded its operations geographically to ensure products were closer to customers, thereby reducing delivery times. This strategic move not only enhanced customer satisfaction but also positioned mCaffeine as a reliable brand in the competitive personal care market.Leveraging Partnerships for Efficient OperationsAnother significant insight from the webinar was the importance of leveraging partnerships. Saurabh explained that partnering with experts in the field can greatly enhance operational efficiency. For instance, collaborating with third-party logistics providers allowed mCaffeine to scale operations without the burden of building infrastructure from scratch.These partnerships provided access to advanced technologies and logistics expertise, enabling mCaffeine to focus on its core competencies while ensuring that fulfillment operations were handled efficiently. This approach not only accelerated growth but also allowed the brand to offer superior customer experiences.Addressing Operational EfficiencyOperational efficiency is a constant challenge in scaling eCommerce businesses. Saurabh discussed various strategies mCaffeine employed to maintain efficiency. One critical aspect was managing cash on delivery (COD) orders and reducing return-to-origin (RTO) rates. This involved careful monitoring of marketing strategies to ensure that they targeted the right audience, thereby reducing the risk of high RTO rates.Additionally, mCaffeine implemented a robust inventory management system. By maintaining optimal inventory levels and using data-driven insights, they could predict demand accurately and adjust stock levels accordingly. This not only minimized costs associated with excess inventory but also ensured that products were always available when customers needed them.ConclusionmCaffeine's journey from a startup to a ₹250 crore revenue brand offers valuable lessons for any eCommerce business looking to scale its fulfillment operations. The key takeaways from Saurabh Singhal's insights include the importance of strategic supply chain decisions, robust demand planning, effective team and supervision, managing customer expectations, and leveraging partnerships for operational efficiency. Thus eCommerce Fulfillment for Personal Care & Cosmetic Products byAs mCaffeine continues to grow, these strategies will undoubtedly help them achieve their goal of reaching ₹1000 crore by FY2024. For other personal care and cosmetic brands, adopting similar approaches can pave the way for successful scaling and sustainable growth in the competitive eCommerce landscape.Related read : Efficient eCommerce Fulfillment for Furniture & Large Items: Insights from WareIQ and Pepperfry

July 02, 2024

Efficient eCommerce Fulfillment for Furniture & Large Items: Insights from WareIQ and Pepperfry

In the dynamic world of eCommerce, the fulfillment of furniture and large items presents unique challenges. These challenges are significantly different from those faced in the supply chain of smaller goods. Recently, WareIQ hosted a webinar with Pepperfry, India’s largest furniture and home décor brand, to discuss these complexities. This blog delves into the key insights shared during the webinar, focusing on strategies for efficient eCommerce fulfillment for furniture and large items.https://www.youtube.com/watch?v=KK9OOmziKAw WareIq Webinar with PepperfryThe Unique Challenges of eCommerce Fulfillment for Furniture & Large ItemsSpace Optimization and Inventory ManagementOne of the primary challenges in eCommerce fulfillment for furniture is space optimization. Unlike smaller items, furniture and bulky products require significant storage space. Effective inventory management is crucial in this context. Pepperfry employs advanced racking systems, often customized to handle bulky items. They use G+8 and G+9 racking to maximize storage efficiency, despite the large size of the products.In addition to space optimization, inventory segmentation plays a critical role. By categorizing inventory based on demand patterns using the ABC analysis, Pepperfry can prioritize the storage of fast-moving items (A-class) while using a make-to-order strategy for slower-moving items (B and C-class). This approach helps in managing the extensive range of SKUs without overburdening the storage facilities.Efficient Shipping and HandlingShipping and handling large items require specialized strategies. Bulky items are prone to damage, and their volumetric weight necessitates the use of appropriate vehicles. Pepperfry uses 32 ft or 40 ft single-axle containers for mid-mile and last-mile deliveries to optimize the space within the trucks. Choosing the right vehicles and network optimization are crucial to minimize shipping costs and reduce the damage rate.Moreover, the handling of these items involves using customized pallets and trucks designed to transport bulky products safely. This careful consideration in shipping and handling processes helps in maintaining the integrity of the products throughout the supply chain.Reducing Damage Rate Employing Quality Control CheckpointsQuality control is paramount in reducing the damage rate of large and bulky items. Given the high value and fragility of furniture, any minor damage can result in significant customer dissatisfaction. Pepperfry has implemented a systematic approach to quality checks at multiple points in the supply chain. This includes detailed inspections during loading and unloading, as well as during transit.Value Recovery Through Repair and RefurbishmentPepperfry emphasizes value recovery by repairing and refurbishing damaged parts to minimize losses. When minor defects, such as scratches or dents, are found, the damaged components are either repaired or replaced, making the items sellable again. This approach not only reduces waste but also ensures that customers receive products in pristine condition, thereby enhancing customer satisfaction.Protective Padding in Courier VehiclesAnother crucial aspect of reducing damage is the use of protective padding in courier vehicles. By installing padding in delivery vehicles, Pepperfry minimizes the risk of damage during transit. This additional protective measure ensures that bulky items, which are more prone to damage, are transported safely, further reducing the damage rate.The Importance of Training and TechnologyA well-trained workforce is essential for handling bulky items efficiently. Pepperfry invests in regular training programs for their staff, focusing on the proper techniques for handling, storing, and transporting large items. These training sessions are not one-time events but are conducted periodically to ensure that the staff is up-to-date with the latest best practices.Technology also plays a crucial role in streamlining the fulfillment process. Pepperfry uses advanced inventory management systems to track the movement of products from the warehouse to the customer. This automated system helps in reducing human errors and ensures that the entire process is efficient and transparent.Customer Interaction and Delivery TimelinesEffective customer interaction is vital in the delivery of large items. Unlike smaller packages that can be left at the doorstep, furniture deliveries often require coordination with the customer to ensure they are available to receive the product. Pepperfry places a high emphasis on scheduling deliveries at the convenience of the customer, which helps in reducing failed delivery attempts and associated costs.Understanding that furniture is not an urgent need, Pepperfry manages customer expectations by clearly communicating the delivery timelines. While the timelines can be as long as 20 days, customers are generally receptive to this, given the nature of the product. This careful planning and communication help in maintaining high customer satisfaction levels.ConclusionThe eCommerce fulfillment for furniture and large items involves navigating a complex set of challenges, from space optimization and inventory management to shipping, handling, and customer interaction. By implementing robust quality control measures, investing in training and technology, and maintaining clear communication with customers, companies like Pepperfry are able to provide a seamless and satisfying shopping experience.The insights shared in the WareIQ webinar highlight the importance of a well-coordinated supply chain strategy tailored to the unique needs of bulky items. As eCommerce continues to grow, these strategies will be essential in ensuring that furniture and large items are delivered efficiently, safely, and to the satisfaction of the customer.\You may also like to check : eCommerce Fulfillment for Innerwear: Insights from Modenik Lifestyle

July 01, 2024

eCommerce Fulfillment for Innerwear: Insights from Modenik Lifestyle

In today's fast-paced digital world, businesses must adapt to the evolving landscape of e-commerce. Modenik Lifestyle, a leading brand in India, has effectively integrated modern sales channels to enhance its market presence. In a recent webinar hosted by WareIQ, Ketan Chunchanur, Head of Modern Trade and eCommerce at Modenik Lifestyle, shared valuable insights on building a robust supply chain for modern sales channels. This blog delves into the key takeaways from the webinar, focusing on eCommerce fulfillment for innerwear, e-commerce growth strategies, supply chain management for essential wear, quick commerce, and managing the modern trade channel.https://www.youtube.com/watch?v=kEOkqyot4hI WareIq Webinar With ModenikOverview of Modenik LifestyleModenik Lifestyle is a prominent player in the Indian market, known for its esteemed brands Dixcy Scott and Enamor. The company also holds an exclusive distribution license for Levi's innerwear in India. Modenik operates across various market segments, from economy to premium, catering to both men’s and women’s essential wear. The merger of Dixcy Scott and Enamor, facilitated by Advent International, has created a house of brands that addresses diverse consumer needs.Ketan Chunchanur kicked off the webinar by providing a brief overview of Modenik's journey and its strategic focus on merging traditional and modern sales channels. He highlighted the importance of adapting to the digital age while maintaining a strong presence in offline markets.Supply Chain and Market SegmentationOne of the critical aspects of Modenik's success is its meticulous approach to supply chain management for essential wear. Ketan emphasized the significance of controlled distribution routes, particularly for semi-premium brands. This strategy ensures data visibility, allowing for better forecasting and planning. For instance, Modenik differentiates its brands internally, such as Enamor Everyday for regular use and Enamor Fashion for special occasions, ensuring a tailored approach to market segments.Key Strategies for Supply Chain Management:Controlled Distribution: By maintaining a controlled distribution network, Modenik ensures high data visibility, improving backend supply chain processes like forecasting and product planning.Segment-Specific Approach: Differentiating brands based on market segments helps in catering to specific consumer needs effectively. For example, economy brands might focus more on price sensitivity, while premium brands emphasize quality and exclusivity.Cross-Channel Integration: Integrating data from various sales channels, including offline, online, and quick commerce, enhances the overall efficiency of the supply chain.E-commerce Acceleration StrategiesIn the e-commerce landscape, accelerating growth requires a multifaceted approach. Modenik has identified six key pillars to drive e-commerce growth, each tailored to the unique demands of different platforms like Amazon, Flipkart, Myntra, and their direct-to-consumer (D2C) channels.Six Key Pillars for E-commerce Growth:Performance-Based Marketing: Leveraging digital marketing strategies to enhance visibility and drive sales. This includes targeted advertising and performance-based campaigns.Customer Acquisition and Retention: Focusing on acquiring new customers and retaining existing ones through personalized experiences and loyalty programs.Platform-Specific Strategies: Adapting strategies based on the platform, as consumer behavior varies across different e-commerce sites.Data-Driven Insights: Utilizing data analytics to understand consumer preferences and optimize marketing efforts.Operational Excellence: Ensuring seamless operations across the supply chain to meet customer expectations.Innovation and Adaptability: Continuously innovating and adapting to new trends in the e-commerce space to stay ahead of the competition.Inventory Management and ForecastingEffective inventory management and accurate forecasting are crucial for any business, especially in the e-commerce sector. Ketan stressed the importance of regional-level forecasting and managing inventory at a granular level, down to specific SKUs and PIN codes. This detailed approach helps in reducing potential sales losses and optimizing inventory levels.Best Practices for Inventory Management:Regional-Level Forecasting: Conducting demand planning at a regional level to cater to specific market needs accurately.SKU-Level Analysis: Analyzing demand for individual SKUs to ensure optimal stock levels.Cross-Channel Data Integration: Combining data from D2C, marketplace, and offline channels to improve forecasting accuracy.Continuous Improvement: Regularly reviewing and adjusting forecasts based on real-time data and market trends.Returns Management and Quick CommerceManaging returns efficiently is a vital aspect of customer satisfaction. Modenik has implemented a structured returns management system, offering a standard two-week window for returns, with case-by-case assessments for extended periods. Additionally, Modenik is exploring the quick commerce model, focusing on rapid delivery of defined product lines to meet the growing demand for speed and convenience.Quick Commerce Strategies:Defined Product Lines: Offering a curated selection of fast-moving, basic products for quick commerce to ensure rapid fulfillment.Efficient SLA Management: Adhering to stringent Service Level Agreements (SLAs) to meet delivery promises and enhance customer satisfaction.Dark Stores and Inventory Optimization: Utilizing dark stores and optimized inventory strategies to support quick commerce operations.ConclusionThe insights shared by Ketan Chunchanur during the WareIQ webinar provide a comprehensive understanding of building an effective supply chain for modern sales channels. By focusing on controlled distribution, tailored e-commerce growth strategies, detailed inventory management, and efficient returns management, Modenik Lifestyle has set a benchmark in the industry. As businesses navigate the complexities of the e-commerce landscape, these strategies offer a valuable roadmap for success.For those looking to excel in eCommerce fulfillment for innerwear, embracing these practices can lead to significant growth and enhanced customer satisfaction. By continuously innovating and adapting to market trends, businesses can thrive in the competitive world of e-commerce.You may also like to read: eCommerce Fulfillment for Personal Care & Cosmetic Products: Insights from mCaffeine’s Journey

June 28, 2024

Minimize Marketplace Claims Rejections with WareIQ’s New Returns QC Solution

Now you can rescue your brand margins from the impact of rising marketplace claims rejections.We are thrilled to announce the general release of our Returns QC solution that will allow sellers to access all the required image/video proofs on our tech platform in a few clicks. No need to struggle with complex systems or wait endlessly for your warehouse operator to send you blurry CCTV footage that barely shows vital details like shipping labels and product attributes.What problem is this solving?1) High Marketplace Claims Rejection RateRejections on Marketplace claims have increased more than 2X since last year. Marketplaces need image and video proof which are conclusive.2) Unclaimed Rejections Lowering ProfitabilityUnclaimed return claims completely wipe away the brand margins every month!3) Complex Media Proof Capture & RetrievalGetting video/image proof from FCs is time-taking (2-5 days), and prone to error due to inconclusive image/video quality from CCTV footageOur Solution1) WareIQ Returns QC App for HD Footage CaptureWarehouse executives capture HD footage of returned items using our mobile app, reducing claims rejection due to low-quality footage used as proofs2) WareIQ Tech Platform as System of RecordOur platform logs real-time returns data and centralizes all media evidence from the QC app for easy access and retrieval during claims filing3) Scan-based Error-free Returns ProcessingHandheld scanning devices for real-time updates during processing returns, and reducing data errorsSee our Returns QC App in actionhttps://youtu.be/Sk5IwcqhcoY

August 23, 2023

New Feature Launch: End-to-End Returns & Exchanges Management

Are you struggling to manage returns & exchanges for your D2C eCommerce business?WareIQ smart fulfillment platform now offers a 360-degree returns management feature that can help you:Enable customers to raise returns and exchanges on your websiteProcess returns in an automated fashionReduce returns by screening out high-risk ordersCore Capabilities: Helps D2C Brands Provide a Seamless Returns and Exchanges Experience to their CustomersEnable Customers to Place Return & Exchange RequestsUse a branded return portal on the websiteMobile website version supported to make returns through mobile screen simplerSet returns processing window within which customers can raise return requestsReverse Pick-up Automation for Hassle-free Returns OperationsPartial return management to choose return eligible SKUs & process returns at the quantity levelSet return reasons to enable couriers to QC products during pick-upAutomatic rule-based courier allocation for reverse pick upAutomatically route returns to the right warehouse for split ordersUse a Central Returns Panel to Easily Manage All ReturnsTrack and review all customer return requestsGet to accept or reject return requestsView return reasons, return product images, and bank details shared by customers to initiate refundsIntegrated with Top D2C Platforms & Courier PartnersAdditional Capabilities to Enhance Returns ManagementGet Reverse Pickup ReportsKnow the reason for the return pick-up failuresAnalyze courier partners' performance across multiple parametersTrack returns percentage trendCustomer Notification at Every StageNotify customers about the return order status - approved or rejectedSend SMS & WhatsApp alerts to improve return pickup success rateIntelligently Reduce Reverse Logistics CostsUse RTO Shield App to intelligently identify orders with high-return riskDisable COD option for the high-risk order and save on losses due to RTOWatch this Short Walkthrough to Know How to Get Startedhttps://youtu.be/Gdqxl1Vb37E

March 07, 2023

A Paradigm Shift? From Free Returns to a Fee for Returns

In recent years, there has been a noticeable shift among eCommerce brands towards charging a fee for returns. While many companies still offer free returns, an increasing number of brands are implementing policies that require customers to pay a fee when returning items. This change has been driven by a variety of factors, including rising costs associated with processing returns, the need to deter fraudulent or excessive returns, and the desire to offset the cost of offering free shipping to customers. This shift has been observed across a range of eCommerce sectors, including fashion, electronics, and home goods, and is likely to continue as brands seek to optimize their profitability and balance the needs of their customers.“In India, about 25%–40% of clothes sold online are returned where a seller pays for forward & reverse logistics with no revenue capture.”-Harsh Vaidya, CEO, WareIQlinkWhy do Brands Want to Charge for Returns?E-commerce brands may charge for returns for a variety of reasons, including:To cover the cost of processing and handling returns: Returns require additional labor and resources to process, such as restocking, repackaging, and shipping the item back to the warehouse. E-commerce brands may charge a fee to cover these costs.To deter excessive returns: Some customers may abuse the returns process by ordering items with no intention of keeping them, and then returning them after use or damage. Charging for returns can deter this behavior by making customers think twice before making a return.To offset the cost of free shipping: Many e-commerce brands offer free shipping to customers, but this can be costly for the company. By charging for returns, the brand can offset some of the cost of providing free shipping.To incentivize customers to keep their purchases: By charging for returns, e-commerce brands can incentivize customers to carefully consider their purchases before buying. This can lead to fewer returns and a more profitable business.Paradigm Shift Ripples From West to EastMany eCommerce fashion and lifestyle brands have varying policies when it comes to returns and fees. Some of these brands may charge for returns, while others offer free returns. Here are some examples of eCommerce brands that may charge for returns.In the United States and Canada, brands such as ASOS, Zara, H&M, Boohoo, TopShop etc. are charging a small fee for returns. The fee varies depending on the location and the type of item being returned.Some Indian eCommerce marketplaces, particularly those that sell high-value items like electronics and appliances, such as Flipkart, Croma etc. have been charging a fee for returns for quite a while now. These fees typically cover the cost of processing and restocking returned items, as well as any associated shipping costs.However, in recent years, many Indian fashion and lifestyle eCommerce brands have moved towards offering free returns as a way to attract and retain customers. This trend has been driven by intense competition in the eCommerce market, as well as rising customer expectations for convenience and flexibility.Recently a news article from The Rest of the World publication revealed how Myntra, the leading fashion and lifestyle marketplace in India, has devised a system to identify and assign scores to customers basis the frequency of their returns. If the score of a customer crosses a specific threshold, a fee will be applied to items they then wish to return.That said, some Indian eCommerce brands may still charge a fee for returns in certain circumstances, such as for items that are heavily discounted or for international orders. Ultimately, the decision to charge for returns will depend on a range of factors, including the company's business model, industry dynamics, and customer preferences. As eCommerce continues to grow and evolve in India, it is likely that the policies around returns and fees will continue to evolve as well.Bracketing: The Main Cause Behind the Rise of Return FeeFor years now, customers have been known to employ the tactic of bracketing their online purchases. Bracketing in online purchase refers to a practice where a customer purchases multiple variations or options of a product with the intention of returning some or all of them. For example, a customer might buy a shirt in three different sizes, with the intention of returning the two that do not fit properly.The practice of bracketing is often used by customers as a way to mitigate the uncertainty associated with online shopping, particularly when it comes to sizing and fit. By ordering multiple options, customers can try on the items in the comfort of their own homes and return those that do not fit or meet their expectations.While bracketing can be a useful strategy for customers, it can also pose challenges for eCommerce brands. When customers order multiple variations of a product with the intention of returning some or all of them, it can create additional costs and complexity for the brand in terms of processing returns and managing inventory. As a result, some eCommerce brands have implemented policies to discourage bracketing, such as charging a fee for returns or limiting the number of items that can be purchased in a single order.“Major international corporations such as Zara, H&M, and Uniqlo have begun to implement fees for returns in specific nations to combat the practice of "bracketing," where customers order multiple variations of size, color, or design without intending to keep all the items.”-Harsh Vaidya, CEO, WareIQlinkIs Charging a Return Fee Fair?The question of whether charging a return fee for online orders is fair is a complex one and depends on various factors, including the reason for the return, the cost of processing the return, and the overall value proposition offered by the eCommerce brand.On one hand, it can be argued that charging a return fee is fair because it allows eCommerce brands to recover some of the costs associated with processing returns, such as shipping, restocking, and quality control. If a customer is returning an item simply because they changed their mind or made an incorrect purchase, it could be argued that it is reasonable for them to cover some of these costs.On the other hand, it can also be argued that charging a return fee can discourage customers from making purchases in the first place or returning items that they are genuinely dissatisfied with. This can ultimately hurt the customer experience and damage the reputation of the eCommerce brand.“Any time you take away something from consumers or make them pay for something that used to be free, you’re gonna get some outcry over it.”Sky Canaves, senior analyst of retail and e-commerce at Insider IntelligencelinkThe Future of Paid ReturnsOn one hand, there are indications that eCommerce brands may continue to move away from charging fees for returns in order to remain competitive and meet customer expectations. As online shopping continues to grow in popularity, customers are becoming more accustomed to the convenience and flexibility of free returns and may be less willing to shop with brands that charge fees.At the same time, there are also factors that could lead eCommerce brands to continue or even increase their use of return fees. For example, rising costs associated with processing returns, particularly for large or heavy items, could make it more difficult for eCommerce brands to offer free returns on all products. In addition, the increasing prevalence of bracketing, where customers order multiple variations of a product with the intention of returning some or all of them, could create additional costs for eCommerce brands and incentivize them to implement fees to discourage the practice.Ultimately, the future of charging fees for returns in eCommerce is likely to be shaped by a complex interplay of factors and will depend on the strategies and priorities of individual brands and retailers.“From my perspective, the flat fee for returns is unjust to those customers who experience actual problems, such as incorrect size, subpar fabric quality, etc. Charging a returns fee to this base could have a negative impact on their eCommerce behavior.”-Harsh Vaidya, CEO, WareIQlink

March 05, 2023

Packaging Customization and Personalization: A Lesser-known Tactic to Boost Customer Delight in eCommerce

Packaging customization personalization in eCommerce logistics can help delight customers and create a positive brand experience. An example of a popular real Indian D2C apparel eCommerce brand that has used packaging personalization and customization to their advantage is Chumbak. Chumbak is an Indian D2C brand that specializes in creating trendy and colorful apparel and accessories.Chumbak uses packaging personalization and customization to their advantage by:Using visually appealing and high-quality packaging that enhances the unboxing experienceIncorporating their brand's unique and colorful design elements into the packaging, making it instantly recognizable and memorable for customers.Offering a customization service where customers can have their own name or message printed on the packagingIncorporating eco-friendly materials for packaging and ensuring their packaging is sustainable and responsibleThis approach has helped Chumbak to create a unique and memorable customer experience, which has helped to increase customer satisfaction and loyalty.What Kind of Personalization and Customization Options are Available Usually?Here are a few ways to personalize and customize packaging for ecommerce logistics:Custom branding: Add your company's logo or branding elements to the packaging to make it easily recognizable. This can include custom printed boxes, bags or mailing envelopes.Personalized messaging: Include a personalized message or thank you note inside the package to make the customer feel valued. This can be done via a printed card or a handwritten note.Custom packaging inserts: Use custom packaging inserts to create a unique unboxing experience. This can include tissue paper, confetti, or other items that add a touch of elegance to the packaging.Product-specific packaging: Create packaging that is specific to the product being shipped. For example, if the product is a fragile item, use packaging that is specifically designed to protect it during transit.Eco-friendly packaging: Use eco-friendly packaging materials such as biodegradable or recycled materials to appeal to customers who are environmentally conscious.Gift wrapping: Offer gift wrapping as an option for customers who are buying the products as a gift. This can include custom gift wrapping paper or a gift box.By personalizing and customizing packaging, you can create a memorable brand experience for customers and increase the chances of repeat business. It's also important to consider the cost and feasibility of the customization before implementation.Impact of Customization and PackagingPersonalizing and customizing packaging in eCommerce logistics can have several positive impacts on your business, including:Brand awareness: Personalizing and customizing packaging with your company's branding can increase brand awareness and make your company more easily recognizable.Customer loyalty: Personalized messaging and unique packaging can make customers feel valued and appreciated, which can increase customer loyalty and repeat business.Unboxing experience: Customizing packaging can create a unique and memorable unboxing experience for customers, which can increase customer satisfaction and positive word-of-mouth marketing.Increased perceived value: Personalized and custom packaging can make the customer feel like they are receiving a premium product, which can increase the perceived value of the product.Environmental consciousness: Eco-friendly packaging options can appeal to customers who are environmentally conscious, which can have a positive impact on the company's reputation and social responsibility.Gift giving: Personalized and custom packaging can make it easy for customers to send the package as a gift which is a great way to reach new customers and increase sales.Overall, personalizing and customizing packaging in eCommerce logistics can help create a positive brand experience for customers, increase customer satisfaction, and ultimately drive sales and revenue for the business.Customization and personalization also impact key business metrics positively. An example of how delighting customers with custom and personalized packaging can help improve eCommerce business growth is as follows:Increased customer loyalty: By providing personalized and custom packaging, eCommerce companies can create a positive and memorable experience for customers, which can lead to increased customer loyalty and repeat business.Positive word-of-mouth: Customers who have a positive experience with a company's packaging are more likely to share their experience with friends and family, which can lead to increased brand awareness and new customers.Enhanced brand reputation: By providing high-quality and personalized packaging, eCommerce companies can enhance their brand reputation, which can lead to increased customer trust and loyalty.Increased revenue: By creating a positive and memorable customer experience through personalized and custom packaging, eCommerce companies can increase customer satisfaction, which can lead to increased revenue through repeat business and new customers.Cost savings: By reducing packaging costs and providing eco-friendly packaging solutions, eCommerce companies can save money and appeal to environmentally conscious customers.Overall, delighting customers with custom and personalized packaging can help eCommerce businesses to improve customer loyalty, increase brand awareness and reputation, and grow revenue.Importance of Order Personalization and Customization in 2023Order personalization and customization is important in 2023 for eCommerce brands because it helps to create a unique and memorable customer experience. With the rise of eCommerce competition, customers are increasingly looking for more personalized and tailored shopping experiences. By offering personalization and customization options, eCommerce brands can differentiate themselves from their competitors and build stronger relationships with their customers.Additionally, order personalization and customization can help to increase customer satisfaction and loyalty. When customers receive a product that is customized to their preferences, they are more likely to feel satisfied with their purchase and may be more likely to return to the brand in the future.Order personalization and customization can also help to drive sales and revenue growth. By offering personalized and customized products, eCommerce brands can increase the perceived value of their products, which can lead to higher prices and increased sales.How can WareIQ Help?WareIQ's full-stack fulfillment solution has enabled multiple leading brands across categories such as Blissclub, Setu Nutrition etc. create a delightful experience for their customers by utilizing custom packaging material, thank you notes, combo creation etc. This helps brands deliver a premium customer experience and makes the moment of truth - the unboxing experience- unforgettable for clients.In case a brand has a particular requirement for packaging material, we can be flexible about it and help brands fulfill the orders in the way they feel is the best for their customers.With our capable fulfillment operations team, brands can rest assured that their orders are being picked, packed, and shipped in an accurate fashion, without any delays or damages, leading to on-time deliveries which facilitate positive customer sentiment about the brand experience.To know more about our personalization and customization services, visit: WareIQ Order Customization and Personalization

February 25, 2023

eCommerce Packaging: What is its Significance and How to Optimize Costs?

Packaging is going to be very important in eCommerce logistics in 2023 for several reasons:Increased e-commerce sales: With the continued growth of e-commerce and online shopping, the demand for packaging materials and services will also increase. This is particularly true as more people are shopping online due to the pandemic, and this trend is likely to continue.Personalization: Customers expect a personalized and unique shopping experience, and packaging is an important part of that experience. Personalizing and customizing packaging can create a memorable brand experience and increase customer loyalty and repeat business.Brand differentiation: With more e-commerce companies vying for customers, packaging can be used as a way to differentiate a brand and make it stand out from the competition.Safety and security: As e-commerce logistics become more complex, the safety and security of packages during transit will become increasingly important to ensure that products arrive in good condition.Cost and efficiency: Packaging costs and efficiency are becoming increasingly important as e-commerce companies seek to control expenses and streamline logistics processes. Automation and new technologies are being developed to help companies reduce costs and improve efficiency.What are the Factors that Govern Packaging?When deciding on packaging options for logistics, several factors should be considered:The type of product being shippedThe distance and mode of transportationThe handling and storage conditions during transitThe cost and durability of the packagingThe packaging regulations and requirements of the destination countryIt is recommended to consult with a packaging expert or conduct testing to determine the most suitable packaging option for your specific product and logistics needs.Factors That Affect PackagingProduct type, mode of transportation, storage conditions, packaging durability, and packaging regulations all play a role in determining the most suitable packaging option for eCommerce logistics.Product type: The type of product being shipped can determine the necessary level of protection needed during transit. Different types of products may require different types of packaging for eCommerce logistics.Perishable items, like food or plants, may need temperature-controlled packaging and insulated liners to maintain freshness.Fragile items, such as glassware or electronics, may require extra cushioning and reinforcement to prevent damage during transit.Items with irregular shapes, such as furniture or artwork, may require custom-fit packaging or additional wrapping to protect them during transit.Clothing or other soft goods can be packaged in folded or rolled format and shipped in boxes or poly mailers.Hazardous materials, such as chemicals or batteries, may require special packaging and labeling to comply with regulations for safe transportation.It's important to consider the specific product requirements and regulations for packaging and shipping before making a final decision.Mode of transportation: The mode of transportation can affect the amount of shock and vibration that a product may be exposed to during transit. Packaging materials and designs may need to be adjusted accordingly to provide sufficient protection.Storage conditions: The storage conditions during transit can also affect the type of packaging required. For example, if a product is going to be stored in a cold or hot environment, packaging materials and designs may need to be adjusted accordingly to maintain the product freshness.Packaging durability: The durability of the packaging is another important factor to consider. When shipping a product repeatedly or for a long distance, durable and reusable packaging may be more cost-effective than disposable packaging.Packaging regulations: There are certain regulations and requirements for packaging that must be followed, depending on the destination country. These regulations can vary depending on the type of product being shipped, and it is important to ensure that the packaging used complies with these regulations to avoid any delays or fines.By considering all these factors, you can determine the most appropriate packaging option for your specific product and logistics needs. And it's always good to consult with a packaging expert to make sure that the packaging you choose is suitable for your product and the shipping conditionsExample:An example of how product type, mode of transportation, storage conditions, packaging durability, and packaging regulations can affect eCommerce logistics packaging is the shipment of fragile and expensive glassware from the United States to Germany.Product type: The glassware is fragile and requires extra protection to prevent damage during transit.Mode of transportation: The mode of transportation will be by air freight, which can expose the glassware to more shock and vibration than if it were shipped by ground.Storage conditions: The glassware will be stored in a warehouse before being shipped, and the warehouse has a controlled temperature and humidity.Packaging durability: The glassware is expensive, and the packaging needs to be durable enough to be reused for multiple shipments, this will decrease the packaging costs in the long run.Packaging regulations: The packaging must comply with the regulations set by authorities such as FSSAITo meet these requirements, the glassware will be wrapped in bubble wrap and placed in a durable and reusable wooden crate. The wooden crate will be able to withstand the shock and vibration of air transportation and provide extra protection for the glassware during storage.How to Calculate Packaging Cost?Calculating the price of packaging in logistics can be a complex process that depends on various factors such as the type of product, the volume of the shipment, the type of packaging, and the cost of materials and labor.One way to calculate the price of packaging is to use the following formula:Packaging cost = (Cost of materials + Cost of labor) x QuantityThe cost of materials includes things like boxes, tape, labels, cushioning materials, and any other materials used to package the product. The cost of labor includes the time and wages for the employees who are responsible for packaging the product.Another way to approach the calculation is to use a packaging cost per unit of product. This method is useful when you have a large number of items that are similar in size and weight. You can calculate the cost per unit by dividing the total packaging cost by the number of items.Packaging cost per unit = Total packaging cost / Number of itemsIt's also important to consider the cost of packaging for transportation, for example, if you're using a pallet, you need to consider the cost of stretch wrapping, shrink wrapping or strapping.When considering the cost of packaging, it's also important to take into account the cost of any potential damage or returns that may occur due to inadequate packaging. By investing in appropriate packaging, you can decrease the risk of damage and returns, which can ultimately save you money in the long run.It's always good to consult with a packaging expert or conduct testing to determine the most cost-effective packaging option for your specific product and logistics needs.Example:An example of how to calculate packaging cost in Indian Rupee (INR) in eCommerce logistics is for a small e-commerce company that ships 200 units of a single product per month. The product is a small electronic device that requires special packaging to prevent damage during transit.The company uses the following materials for packaging:Corrugated boxes: ₹5 per boxBubble wrap: ₹2 per footTapes: ₹1 per yardLabels: ₹0.50 per labelThe company pays its packaging employees ₹1000 per hour, and it takes them 30 minutes to package each unit.The cost of materials for packaging one unit is:Corrugated box: ₹5bubble wrap: ₹4 (2 feet are used per unit)Tapes: ₹1 (1 yard is used per unit)Labels: ₹0.50The cost of labor for packaging one unit is:(₹1000/60) * 30 minutes = ₹500The total cost of packaging one unit is:₹5 + ₹4 + ₹1 + ₹0.50 + ₹500 = ₹510.50The total cost of packaging 200 units is:₹510.50 x 200 = ₹102,100So the packaging cost per unit is:₹102,100 / 200 = ₹510.50This is just an example, in reality, the cost of packaging can vary greatly depending on the product, the volume of the shipment, and the cost of materials and labor. It's always good to consult with a packaging expert or conduct testing to determine the most cost-effective packaging option for your specific product and logistics needs.How to Optimize Packaging Cost?Optimizing packaging costs in eCommerce is important for several reasons:Cost savings: By reducing the cost of packaging, eCommerce companies can increase their profit margins and become more competitive in the market.Environmental sustainability: By using eco-friendly packaging materials and reducing waste, eCommerce companies can improve their environmental footprint and appeal to customers who are environmentally conscious.Brand reputation: eCommerce companies can create a positive brand reputation by providing high-quality packaging that is both protective and visually appealing. Additionally, by using eco-friendly packaging, companies can appeal to consumers who are environmentally conscious.Shipping cost reduction: By optimizing the packaging design and materials, eCommerce companies can reduce the size of the packages and the weight of the products which will result in reduced shipping costs.Customer satisfaction: By providing adequate protection for the products and creating a positive customer experience through personalized packaging, eCommerce companies can increase customer satisfaction and loyalty.Compliance: By staying up to date with packaging regulations and industry standards, eCommerce companies can avoid costly fines and penalties.Overall, optimizing packaging costs in eCommerce allows companies to increase their profits, improve their environmental footprint, and enhance the customer experience while staying compliant with industry standards.eCommerce companies can optimize packaging costs by implementing the following strategies:Conduct packaging assessmentsUtilize cost-effective packaging materialsOptimize packaging designUse automation and technologyOutsource packagingReuse and recycle packaging materialsNegotiate with suppliersHere is an example:Let’s take the example of an e-commerce company that sells clothing. They currently use branded boxes that cost ₹150 each, custom tissue paper at ₹2 per sheet, and custom labels at ₹1 each. They ship 500 units per month.Using the above tactics, here is what they do:Conduct packaging assessments: The company conducts regular assessments and evaluations of its packaging materials and methods. They find that the custom-branded boxes are costly and the tissue paper is not necessary for the product.Utilize cost-effective packaging materials: The company switches to using plain, unprinted corrugated boxes at ₹100 each. They also switch to using biodegradable bubble wrap at ₹2 per foot instead of traditional plastic bubble wrap at ₹5 per foot.Optimize packaging design: The company implements void-fill materials such as biodegradable loose-fill peanuts at ₹1 per 100g to take up less space in the box. This reduces the size of the boxes needed, resulting in cost savings.Use automation and technology: The company invests in an automated box-sealing machine to improve efficiency and reduce labor costs.Outsource packaging: The company outsources packaging to a third-party logistics provider that specializes in sustainable packaging solutions, which helps them to take advantage of economies of scale and specialized equipment.Reuse and recycle packaging materials: The company implements a recycling program for its packaging materials. They also use returnable packaging, such as crates, for multiple shipments.Negotiate with suppliers: The company negotiates with suppliers to get better prices for packaging materials and buys in bulk to take advantage of volume discounts.It's important to note that this is just an example, and the actual costs and savings will vary depending on the specific materials, methods, and logistics involved for each company.How can WareIQ help?WareIQ is a rapidly growing eCommerce fulfillment company that provides a vast amount of services to meet every requirement that online sellers can have.We support eCommerce brands by providing them with the exact packaging requirements needed to fulfill their orders safely and securely. At the same time, we ensure we adhere to the guidelines shared with us by brands and create a delightful unboxing experience for their end customers.We use a variety of packaging materials - air wraps, bubble wraps, foam sheets, heavy-weight kraft paper, etc. and can customize packaging as per the online seller's specifications in order to balance cost, safety, and experience.For brands across categories, we have curated kits and created combos by themes and specific use cases, which included thank you notes, cards, branded packaging etc. all aimed to excite and delight the customers.

February 18, 2023

WareIQ | Up to Speed | Latest Product Updates & News | Newsletter Issue #6

Welcome to the 6th issue of Up to Speed - WareIQ's newsletter outlining the latest releases.This time we have a big release lined up for you. This is going to change the game, especially if you are a marketplace or house of brands.New Release: WareIQ Seller PanelWe understand how difficult it is for marketplaces and house of brands to manage their portfolio of sellers/merchants/brands. Everything, right from onboarding to performance management to payments and reconciliations, and all the things that fall in between these, are full of hassle, eating away productivity and efficiency crucial for optimum performance.Our latest release is focused on WareIQ Seller Panel - the 360-degree solution for marketplaces and house of brands. It is a powerhouse of smart features that simplifies seller management, automating a significant chunk of usually broken or inefficient processes, leading to cost-saving and time-saving.Here's a brief look at what WareIQ Seller Panel can do for you.Manage your Marketplace with EaseEfficient Inventory ManagementConsolidate inventory across sellers through real-time inventory sync across various WMS platforms and manage listings on marketplaces efficiently.Catalog Management for MarketplacesEnable sellers to seamlessly manage their catalog of products and pricing on your marketplace with WareIQ Seller Panel.Built-in Order Management CapabilitiesSellers on your marketplace can utilize WareIQ Seller Panel as an OMS to route orders and split invoices, as needed.Simplify Returns and CancellationsOur seller panel allows marketplaces to manage returns and cancellations directly from the platform, including partial cancellations and partial returns.Automated Seller PaymentsLeverage WareIQ Seller Panel as an end-to-end hassle-free payment solution to process payments for sellers on your marketplace in an automated fashion.Aggregated & Individual Performance OverviewOur seller panel allows marketplaces to understand the performance of sellers and sellers to understand the performance of their individual brands.Run Operations for your House of Brands EfficientlyOrder Processing for Multiple BrandsRoute and allocate orders for multiple brands in a seamless fashion, with each order automatically mapped to the right brand.Sync Inventory Across BrandsUse a common inventory pool to capture orders from across the online stores/websites of all the brands under your portfolio.Analyze the Performance of BrandsGet a brand portfolio-level performance overview, along with individual performance assessment for each brand to devise data-backed business strategies for future growth.Automated Branded CommunicationsEngage customers with automated communications (Tracking Page, Email, SMS, WhatsApp etc.) with brand guidelines of the right brand in your portfolio.