Mobile Commerce: A Detailed Guide on Definition, Importance and How to Improve Mobile Shopping Experience in 5 Easy Ways in 2022

Mobile Commerce: A Detailed Guide on Definition, Importance and How to Improve Mobile Shopping Experience in 5 Easy Ways in 2022

Consumers of today are increasingly purchasing goods through their smartphones from online marketplaces. However, there is a noticeable rise in cart abandonment and lost sales if consumers encounter a non-responsive website, slow loading times and a challenging user interface. Fortunately, there are a number of strategies you can use to keep clients interested and improve the mobile shopping experience. You can boost your profitability and create a following of devoted clients by making a few straightforward modifications and optimizing your website. We'll talk about the value of mobile shopping in the eCommerce industry or mobile commerce in this blog. We'll also go through five ways you can improve the mobile shopping experience of your customers. Let's get going. What is Mobile Shopping?  Mobile shopping refers to the usage of smartphones by customers to browse and buy their required products. The emergence of mobile shopping has altered how consumers conduct their online shopping as the world moves toward mobile-mediated transactions. While eCommerce was previously done mainly through computers and tablets, the emergence of smartphones as the primary means of communication has ensured that websites and applications need to be optimized to improve the mobile shopping experience of customers. [contactus_gynoveda] Importance of Mobile Commerce in 2022 Mobile shopping is a significant factor in business growth and cannot be disregarded. With so many factors at play, let's go through a few: Increase in Mobile Sales The day when a mobile device was considered to be a luxury item belongs to the past. Mobile usage rates have increased in the current environment due to the fierce rivalry between mobile operators. A smartphone can cost just $100 and above. Users of mobile devices are growing rapidly in number, much more so than the online traffic it generates. Doorstep delivery becomes a very lucrative option for all shoppers which tempts every user to have hands-on with shopping online. Convenience of Using a Pocket-Friendly Device Any person can access a mobile device because it is portable and available around the clock. Instead of going through the effort of looking for and then using a laptop or desktop, a mobile device can satisfy any need for shopping at any time. Overall, an increase in mobile sales has a highly noticeable impact on online buying, which is good for the eCommerce industry. Use of Mobile Shopping by the Younger Audience The emphasis for young people attending college or living a carefree bachelor's life while still making a living is making a fashion statement or following a trend. The age range for this sector is often between 18 and 34 years old, and this group is most likely to use mobile internet and engage in mobile shopping. These young people represent a sizable and distinct segment of the eCommerce client base because they have the motivation, means and desire to research, test and purchase the best products. Larger Screens Improve the Mobile Shopping Experience Smartphone-related innovations, whether in software or hardware, are always evolving. Additionally, the competition is also increasing. The result is that most smartphones now have large screens and have drastically altered how people use their mobile devices. One of the key trends brought on by larger screens is online purchasing. Large screens are extremely comfortable and even elderly folks are willing to put on their glasses to experience the world of mobile shopping. Originality Brings Better Business Results The smartphone industry is one to keep an eye on for innovation and technological advancements. To control the market, each phone provider is organizing its own set of features. The previous strategy of competing with greater technology for any capability has now changed to one of giving something unusual and thinking outside the box. Everyone is competing to offer something novel, which will ultimately improve the mobile shopping experience of customers. These user experiences are now being strategically used by numerous brands as part of their marketing plans. Optimization of Websites Retail marketers have developed two distinct strategies for reaching the far-flung masses after absorbing the ups and downs of mobile marketing. One is through using mobile web pages and other mobile applications. eCommerce has advanced thanks to both of these. Most often, any new business will first develop a mobile web page. Technically speaking, developing and implementing a mobile web page is simple. A single web page can be used by all remote devices so there is no need to create different ones for each platform. It is also simple to roll out, saving time on development work. Use of Mobile Applications Nearly all eCommerce merchants use mobile apps, which appear next to online pages. The app's users are thought to be more devoted, making it comparatively more advantageous. They spend their free time and energy downloading and saving apps. There is a very high likelihood of getting a purchase from these users. Benefits of Social Media The eCommerce industry has been particularly quick to profit from the promotion of their business on social media. Instagram, Facebook and Twitter are just a few examples of the social media platforms that have permeated daily life. Share and like buttons from social media have been incorporated by all mobile app developers into their apps and internet portals. The updates from online websites can be quickly shared on social media. Even one like or share from a consumer can spread like wildfire and quickly reach large numbers of other customers. 5 Ways to Improve Mobile Shopping Experience for eCommerce Customers in 2022 We've listed five crucial areas you can modify if you're searching for ways to enhance your consumers' purchasing experiences through mobile shopping. Let's examine each one closely: Speed Up Your Site A quick website might entice visitors to browse longer and make a purchase. In fact, Deloitte research found that retail customers spent more money at a retailer even with a 0.1-second boost in site speed. Thankfully, there are a few measures you can do to prevent long loading times. To start, you can use an image compressor like TinyPNG to optimize the photos on your website. This utility minifies the code on your website to enhance the user experience. It also includes other capabilities like the capacity to preload particular requests and Google Fonts optimization to shorten loading times. Optimize the Design of Your Store Another crucial element of the mobile purchasing experience is making sure your website works properly on mobile devices. For smaller screens, you must adapt your material. For instance, pages ought to be simple to navigate. They ought to just include the data that is necessary. Visitors will be able to view and buy your products this way without any interruptions or hindrances.  You can also think about using accordion menus to navigate your website. A brief list of items (such as major pages and categories) that can be clicked to access more content is found in an accordion menu (e.g., subcategories). This feature, according to eCommerce platform Nosto, can significantly lower cart abandonment. Focus on Accessibility Another important factor to take into account is accessibility. You must make sure that individuals with hearing, vision and cognitive impairments can engage with your material. Including alt text in the product pictures is a simple method to accomplish this. In the event that a picture cannot be loaded, the browser will show this text. Additionally, screen readers employ alt text to describe an image for viewers who are blind. You can make your site more accessible by using a plugin like WP Accessibility. For example, it can assist you in enforcing alt characteristics throughout your website and addressing design accessibility difficulties. Additionally, it allows you to add skip connections with custom targets. This will make it simpler for site visitors who use a keyboard or screen reader to navigate your website. Provide Safe and Simple Payment Methods According to a recent study, 75% of shoppers claimed they would abandon their shopping carts if they lacked confidence in a website's security. As a result, you might want to provide customers with a selection of well-liked payment solutions, such as online wallets like PayPal and Google Pay. You can also include secure payments on your WordPress site using the WP Simple Pay plugin. In addition, you should make sure that your checkout procedure is swift and easy. If WooCommerce is installed on your website, it provides you with complete control over your checkout fields. Your checkout page can be exactly how you want it to be. However, we advise that you keep your forms straightforward and restrict user input to the most crucial information. To make the procedure simpler, you can utilize an addon like One Page Checkout. Add Search Functionality to Your Site Searchability should be taken into consideration for a pleasant mobile shopping experience. Making sure clients can find the things they're looking for is necessary. A search icon on every page will allow users to find the content they want easily. Having clever predictive search keywords is also beneficial. Long phrases can be typed more quickly as a result. Spelling errors should also be accommodated since this can assist in removing any roadblocks for customers. You can utilize Ivory Search, which is a strong tool. This plugin can improve your WordPress search settings. For instance, it makes it possible for visitors to search for WooCommerce goods. Additionally, it offers features like the ability to filter results by relevancy, date and other factors, as well as the choice to add word synonyms. Mobile Shopping Vs Regular Shopping: What’s the Difference? [table id=44 /] Top 3 Benefits of Having a Mobile Shopping Strategy for Mobile Commerce COVID-safe The COVID-19 epidemic has significantly altered consumer purchasing patterns. In a world where more consumers are concerned about safety and cleanliness, mobile shopping is leading the way. About 30% of customers conducted mobile wallet transactions for the first time during the first two months of the pandemic, when stores were forced to close and individuals were forced to turn to the internet. More drastic changes occurred in some nations than others. By 2020, 88.6% of all card payments in the UK were using contactless technology, an increase of 7% from the previous year. Despite the fact that shops are starting to open and people are returning to work, there is still some uncertainty about how secure in-store buying is. Mobile shopping is a low-risk activity. Offers Better Customer Experiences Did you know that 57% of clients won't give a company a recommendation if their mobile website is poorly designed? Even if they like the retailer and the things it carries, half of them will quit going there altogether. Furthermore, 15% of US adults only use mobile devices, which means that their only internet-connected device is a smartphone. Reaching them with a mobile shopping strategy will almost surely result in a better purchase experience than none at all. Capture Omnichannel Shoppers Shopping experiences today aren't sequential. The range of channels that retailers sell on includes social media, mobile apps, email, browsers, live chats, in-store visits and everything in between. Mobile users are most likely to combine a retail visit with a smartphone search. Nearly 75% of US shoppers use their phones to research a purchase they are going to make in a store. One in four people reports having a change of heart in the middle of the checkout line after researching something on their phone. Smart practices for merchants integrating physical commerce with pre-purchase mobile touchpoints include catering to multichannel shoppers and taking local searches into account. How Can WareIQ Assist You as a 3PL Partner to Enhance Mobile Shopping Experience? In today's commercial world, mobile shopping is the real deal. Consumers on a daily basis continue to switch to brands that offer them a comfortable purchasing experience. Being receptive to all forms of innovation and client input is essential if you want your internet business to succeed. As a business owner, you must make sure you're utilizing and improving the trends influencing mobile shopping for the highest level of customer involvement. Apart from improving the mobile shopping experience of customers, if you need help to provide the best delivery experience post purchase, you can partner with WareIQ. WareIQ is an eCommerce fulfillment company that provides a vast range of services to enable you to offer the best post-shipping experience to customers by utilizing advanced technology. We provide services such as an app store where apps to enhance different areas of productivity can be downloaded, branded tracking pages to be able to customize tracking pages with whatever information you want, ultra-fast delivery to ensure customers receive their orders on time, a customer feedback app to consolidate reviews that are made on multiple platforms, a WMS that can integrate with more than 12 online marketplaces and much more. Improve the Mobile Shopping Experience: FAQs  What is mobile commerce?eCommerce includes mobile commerce as a subcategory. M-commerce is the term used to describe virtually any sort of payment that is made via a mobile app or device. Using a mobile app to pay for something on a selling platform or the Amazon app to make an online purchase are two examples. What does mobile commerce hold for the future?In 2023, mobile commerce will grow faster than non-mobile commerce. More than half of all eCommerce sales in 2023 will be made through mobile devices. Researching products on mobile devices now influences one-third of purchasing decisions. A mobile app is already available from more than half of all merchants. How does mobile commerce boost productivity?With the help of mobile commerce, you can develop analytics at various levels of sophistication and obtain deeper insights than ever before, giving you the information you need to study virtually every client behaviour. What difficulties does mobile commerce face?Mobile commerce has the following challenges:1. Safety2. Screen Dimensions3. The future is secure4. Hosting and connectivity The need for speed and dependability in mobile commerce is another significant issue.5. Marketing

August 09, 2022

Contract Logistics Vs 3PL: 6 Key Differences and How to Choose The Right Outsourcing Option for Your Online Business in 2022

Contract Logistics Vs 3PL: 6 Key Differences and How to Choose The Right Outsourcing Option for Your Online Business in 2022

Due to the expansion of on-demand logistics, contract logistics have quickly developed. However, they are frequently mistaken for 3PLs, which provide a different range of services that focus on multiple aspects of eCommerce. Despite the fact that some people use these words interchangeably, they mean very distinct things in practice. A contract logistics firm could be an excellent option for your eCommerce store if you're seeking someone to manage a certain area of your supply chain while you handle the rest. On the other hand, you should take another alternative i.e., 3PLs into consideration, if you want to outsource a significantly larger portion of your shipping and fulfillment operations. In this blog, we will look at the differences between contract logistics vs 3PL and what suits your business the best. What is Contract Logistics? Contract logistics firms, also referred to as consultants or freight forwarding companies, have areas of expertise ranging from the manufacturing line to delivery management. The term "contract logistics company" is typically used to refer to a freight forwarder. They are just experts in transporting cargo. They will be in charge of things like shipping, finishing up the necessary paperwork and customs clearance. Contract Logistics Process Contract logistics often assist with the administration of domestic and international transportation rather than shipping, inventory management or fulfillment. For instance, they serve as a middleman between shipping firms and online retailers and guarantee that products are delivered to the appropriate locations across the supply chain. [contactus_lilgoodness] Contract Logistics in Today’s eCommerce Market Contract logistics is mainly used by big market players who already have a vast supply chain network serving hundreds of people in the eCommerce ecosystem. They use it mainly for bulk product transportation from one warehouse to another. In today's eCommerce environment, contract logistics companies operate by organizing, managing and planning transportation requirements. Since they maintain tight relationships with significant freight carriers, they are able to bargain for lower transportation costs which benefits merchants. Additionally, they assist in route planning that is optimized for better speed at a lower cost. According to Verified Market Research, the Contract Logistics Market was valued at USD 203.40 billion in 2018 and is anticipated to increase at a CAGR of 4.80 percent from 2019 to 2026 to reach USD 296.52 billion. 6 Key Differences Between Contract Logistics vs 3PL A 3PL company handles much more than just transportation; 3PLs offer a full range of logistics services from warehousing and order fulfillment to inventory management and automated shipping. While contract logistics companies typically help arrange transportation and routes, a 3PL company handles much more than just transportation management. Since many 3PLs run numerous distribution centers, sellers can: View current inventory levels in real-timeDistribute inventory among distribution facilitiesDistribute stock in accordance with demand In order to enable an end-to-end eCommerce solution, 3PLs offer flexibility, visibility into the eCommerce supply chain and technology connections with eCommerce solutions from inventory planning to freight delivery. While a 3PL normally provides transportation for orders after they are fulfilled through the carriers directly, a contract logistics business may help manage the transportation to get bulk inventory to a 3PL from a manufacturer. The comparison between contract logistics vs 3PL is shown in the table below: [table id=45 /] Contract Logistics vs 3PL: How to Choose the Right Outsourcing Option for Your Business in 2022? Contract Logistics A contract logistics agreement may be utilized for one-off services or for the precise step of the supply chain you need assistance with, depending on the specific services required, the size of your organization and your budget. If you are willing to handle everything else yourself, including picking and packaging orders, tracking them, keeping track of your own inventory and managing warehouse procedures, it can be beneficial to work with a contract logistics firm. A contract logistics company is the best option for you if you have the time to market your company and manage other processes involved with order fulfillment. 3PL You should use a 3PL company's order fulfillment services if you discover that managing your business and marketing takes up the majority of your time and you are not able to handle everything together. You don't have to worry as much about logistics operations which enables you to save time while growing your supply chain because 3PLs provide a wide range of solutions to help with supply chain efficiency. Additionally, 3PLs offer the infrastructure, technology, experience and support you need to maintain your position in the market and satisfy customer demand for quick and low-cost delivery, all of which contribute to your bottom line. Conclusion: Why Should You Choose WareIQ as Your 3PL Partner? Your capacity to handle logistics and provide excellent customer service varies depending on the choice of contract logistics vs 3PL. Giving someone access to critical data like sales, inventory and other statistics carries a big risk. Startups in the fields of on-demand and cloud-based warehousing are becoming more and more well-known as eCommerce takes off. Instead of signing long-term leases for a set location, businesses can use the storage space according to seasonal demand. For retailers that require more assistance in other parts of their eCommerce operations, they are better suited in partnering with a 3PL company like WareIQ.  WareIQ gives you many more facilities than contract logistics companies including order fulfillment, last-mile delivery, a custom WMS to manage orders and integrate with multiple eCommerce platforms, a nationwide network of fulfillment centers, choice of multiple shipping partners, ultra-fast delivery and much more. Online firms have a lot of space to expand with WareIQ since they get access to a strong fulfillment infrastructure, a team of logistics professionals and a dedicated customer support team. We also make it simple for you to get onboarded. Once you make use of our services, online orders are automatically dispatched to the closest fulfillment center to be picked up, packed and shipped as soon as they are placed which saves you time, resources and extra delivery changes. [signup] Contract Logistics vs 3PL: FAQs What is the difference between contract logistics and freight forwarding?A freight forwarder serves as an expert in the supply chain link rather than moving products whereas contract logistics are companies that can be contracted frequently to move products with shipping lines. What are 3PL & 4PL logistics?From warehouse to shipping, a 3PL (third-party logistics) company handles every element of fulfillment. A 4PL (fourth-party logistics) service provider oversees a 3PL on behalf of the client and other supply chain components. Is contract logistics the same as 3PL?A 3PL company handles much more than just transportation; 3PLs offer a full range of logistics services, from warehousing and order fulfillment to inventory management and automated shipping. While contract logistic companies typically help arrange transportation and routes, a 3PL company provides many more fulfillment services.

August 08, 2022

Why Should You Sell Products On Instagram? 10 Easy Steps to Sell on Instagram in 2022

Why Should You Sell Products On Instagram? 10 Easy Steps to Sell on Instagram in 2022

In June, Instagram surpassed one billion monthly users or about an eighth of the global population. It is a well-liked site, and its growth trajectory doesn't appear to be slowing down. The amount of money that companies are now spending on marketing their goods and services in the name of selling on Instagram is unfortunate for advertising. In Q2 of this year, ad spending increased by 177% from the previous quarter. The average cost per thousand impressions (CPMs) decreased by 10%, while impressions increased by 209%. The photo-sharing app's advertisers are spending more money than ever, and they're becoming better at it. There is the fierce rivalry. Despite this, just a tiny portion of Instagram's one billion users—roughly two million—are marketers. Even if not every Instagram user is interested in new goods and services, much alone your particular offering, there are still plenty of ways to utilize the site to promote and sell products on Instagram. Therefore, if you already use Instagram to promote your company but not to generate revenue, it's time to reconsider. This post will also demonstrate step by step process to sell on Instagram and launch a business; all you need is a marketing plan to connect with potential clients. Then let's get going! Why Should You Sell Products On Instagram? About 200 million of Instagram's 1 billion monthly users view at least one business profile daily. This indicates that a sizeable portion of Instagram users considers purchasing from a company on the app. One of the social media networks with the most brand-friendliness is Instagram. Recently, they have changed their attention to expanding their shopping capabilities and providing additional options for companies to succeed. For some people, selling on Instagram is the ideal option. But not every business needs it. Although it offers a distinctive product sales method, certain features have specialized use cases and can be challenging to expand.  Also, entrepreneurs that want to enhance their sales funnel and broaden their audience shouldn't ignore the advantages of selling on Instagram. It's not surprising that businesses are utilizing smartphone devices to target consumers, given the massive daily user base of the photo and video sharing platform. Some of the reasons to sell on Instagram are given below- Reach Out To New Demographics As many as 928.5 million individuals may be reached with Instagram advertising, claims HootSuite. Additionally, it's estimated that 90% of Instagram users follow at least one business account. Understanding demographics may help you create a more potent, successful marketing plan that generates leads and purchases while you sell on Instagram. Instagram has a varied user base; therefore, it is a must-have for any entrepreneur or company, regardless of its target age range. The percentage of the population who use Instagram by age group is shown in a report by Statista as follows-  Ages 13 to 17- 8.9%Ages 18 to 24- 30.2%Ages 25 to 34- 31.7%Ages 35 to 44- 15.8%Ages 45 to 54- 7.8%Ages 55 to 64- 3.7%Age 65 years and older- 2.1% Interact With Clients Maintaining audience interest in your Instagram posts and products requires engagement. Brand Watch reports that Instagram has 84x higher brand engagement than Twitter, 54x higher brand engagement than Pinterest and 10x higher brand engagement than Facebook. Remember that your business is defined more by the level of interaction you can generate than by the number of followers you have. Your uploaded photos, Instagram stories, and videos showcased on your profile and highlights reel may all be used for this. To capture the interest of your audience and keep them coming back for more, you must be consistent. Instagram's stories, customized hashtags, and photos all help you keep your audience interested. In addition, these methods effectively encourage interested customers to share your material, improving your potential to convert. Boost Consumer Familiarity and Brand Recognition Instagram is the best platform for showcasing a brand's objectives, aspirations, and successes while establishing a name and identifiable identity. According to a poll commissioned by Facebook IQ, 78% of Instagram users believe that companies on the platform are well-known. In comparison, 77% believe they are creative, 76% think they're entertaining, and 72% are committed to creating communities. In addition, 83 per cent of Instagram users use the app to find new goods and services, 81 per cent do some preliminary research, and 80 per cent make a purchase. Sure, the blog entries you create may make a significant difference in building your brand's online presence, but have you thought about the overwhelming power of adding appropriate captions to your Instagram pictures? Similar Items Are Pushed to Buyers via Instagram Algorithm Have you ever wondered why things you looked for or purchased constantly appear in your feed? It does this by pushing material related to the stuff you engage with. This implies that ten other recommendations will be made if a reel about scrunchies is liked. Since it stopped being merely a "photo-sharing app," Instagram has steadily gained popularity as a platform for selling over the past several years. Its algorithm has experienced significant changes due to the advent of other media forms, including tales, reels, etc. Every business owner is aware of the excellent chances for customer discovery. Sell For The Least Possible Investment The exhilaration of receiving something "free" is unmatched in the world. And that is the price for setting up a business and start selling on Instagram. No additional financial investment is necessary for you to operate your company on Instagram (apart from what you might want to spend to promote it). Additionally, you can access Instagram shopping, shoppable posts, and much more. So, in addition to their eCommerce site, company owners set up an Instagram storefront for their brand. Later, more on the subject. [contactus_uth] Ask Yourself These Questions Before You Start Selling On Instagram Is it possible to quickly demonstrate your goods using photographs or videos? Instagram is a platform for visual marketing. This means that things with a great visual appeal or aesthetic are much simpler to market. Physical objects such as clothing, accessories, cosmetic products, household goods, and outdoor/sporting goods are ideal. We're also witnessing the popularity of digital items like presets, custom fonts, and artwork on the platform. Do you already have an online presence and a website? If you already have a business, you should concentrate on increasing visitors to your online store. Instagram Shopping Tags, for example, are excellent for this. However, using Instagram as your primary storefront makes little sense if you already have many transactions through your website. You want to pick your sales channels carefully, and collecting orders on Instagram may generate too many channels for you to manage successfully. Do you have the infrastructure in place to track and fulfil orders that come in from sources other than Instagram? It does not have to be a whole website. However, you will still need to employ a programme to manage incoming Instagram orders and collect vital consumer information. This might be as basic as an Excel sheet or as complex as a spreadsheet programme such as Smartsheet. Suppose you've gone through the questions above and concluded that you're a good fit! You can sell on Instagram platform to generate sales, raise brand recognition, and get traction for your company before you're ready to establish a complete online store. By the end of this article, you'll know how to sell on Instagram without having a website too. What Does Selling on Instagram Look Like in Profession? The emergence of Instagram influencers — people who promote branded goods and services to their large followings — indicates that selling on Instagram may be a lucrative business. As a result, Instagram has huge sales and eCommerce potential. By the end of 2020, Instagram ad income accounted for 30% of the social media giant's revenue. So it's easy to see why many businesses use Instagram to attract new clients. So let's look at some primary strategies to help you produce a good profit and keep returning consumers. Product Images and Advertisements Both the customer and seller benefit from online purchasing. However, because Instagram lacks a tangible component, you must ensure that your photo game is on point if you want to convert social media window shoppers into consumers. Consistent posting builds trust, but only if the photographs are of poor quality. Invest in a good camera or employ a professional photographer to take product shots. Photographs of Clients and User-generated Content (UGC) Are you aware that nearly 90% of consumers trust UGC to influence their purchasing decisions? According to a Business Wire survey, 85 per cent of purchasers are more affected by user-generated content (UGC), which includes text, photographs, videos, and reviews, than they are after reading brand-created material. UGC is a powerful approach for increasing brand reputation and generating trust. In addition, it allows business owners to have original material developed on their behalf. Brands share this material through various marketing channels, but Instagram has emerged as the most popular site for posting UGC. Consumers are 2.4 times more likely to see user-generated content than brand-created material. This innovative strategy of recruiting new clients is making a significant difference. Instagram Shopping When the Shopping Checkout tool was implemented in 2019, the idea of selling on Instagram became highly apparent to companies worldwide. This enabled company owners to convert their feed into a shoppable eCommerce outlet. You may participate in Instagram Shopping by launching the app, going to your profile's settings area, and then clicking on business and shopping. Simply select a product catalogue and associate it with your professional account. Remember that the Instagram sale option is only available to individuals approved into the social media programme. Many firms also use this chance to collaborate with influencers who upload photographs of themselves operating, wearing, or testing a company's product. In addition, anyone interested in a product may make a quick purchase by clicking on the item tag highlighted in the sponsored content on the explore page. How To Create a Sales-Oriented Instagram Account and Start Selling on Instagram in 2022?  Since its inception, selling on Instagram has evolved by leaps and bounds, delivering many new features that contain everything you need to take your business to new heights. So, here's a step-by-step approach for how to sell on Instagram by establishing an online presence through visual branding and capitalizing on the user's purchasing attitude to help your business reach the furthest reaches of the globe. 10 simple steps to sell products on Instagram are as follows: Pick A Product And A Niche  Decide on your product niche even before you begin to sell on Instagram. Deciding on your product specialization can help you develop on Instagram. In addition, narrowing down your focus will help your selling on Instagram development in the long term. It will simplify for your audience to locate your account and items that will help them solve an issue they have been looking for for a long time. It will also increase the traffic to your account and the size of your audience. Make Sure That You Have an Instagram Business Account When creating your account for the first time, select Business Profile. If you're unsure where to look, Instagram will prompt you during the setup process. A business account grants access to features such as the option to add a phone number and email address to your bio, insight data, and the use of sponsored adverts to market your items. Insights, in particular, are pretty helpful in determining which content is driving the most purchases. Have you already made an account as a personal profile? Then, you may quickly switch to a business profile by login into your account, heading to "Settings," and selecting the "Switch to Business Profile" option. You're nearly there! After you've created your company account, you'll need to link a Facebook Business page and make a Business Manager account. Even if you don't currently have a website, you can still establish a catalogue that allows your consumers to purchase and checkout on Instagram (more on this below!) You're nearly there! After you've created your company account, you'll need to link a Facebook Business page and make a Business Manager account. Even if you don't currently have a website, you can still establish a catalogue that allows your consumers to purchase and checkout on Instagram (more on this below) Be sure to include your email address and phone number in your bio. Because your clients cannot reach you through your website, you must provide as many touch points as feasible. This also contributes to the development of trust, which is essential for any company when selling on Instagram. Construct A Killing Bio Follow the steps below to build a stunning Instagram bio without going over the limit of 150 characters. Define your value proposition in one sentence to describe your brand. Then, identify your expertise and demonstrate your authority.Make it easier for potential consumers to convert by having a clear call to action language.Provide your company contact number or email address so potential customers can contact you with product questions.Instagram only allows users to link to external websites through their bio. It is not possible to put links in captions. As a result, individuals frequently tag their posts with "link in bio." As a result, provide a link in your bio that will assist your brand in selling on Instagram To add credibility, immediately provide your viewers with all the information they need to know you're the real thing. Make sure you include your company name, a high-quality profile photo or logo, and a brief description of the things you sell on Instagram. You may also have your location in your bio. When it comes to selling on Instagram, the community is everything. People will be more inclined to assist you if they know where to locate you. Promote Products on Your Page Posting content that shows your items is the most basic way to promote them on Instagram. When you walk into a real business, you first ask the proprietor to tour you around. Similarly, prospective buyers would want to examine product photographs before making a purchase if you begin selling things online. Because Instagram is a visual tool, make the most of your feed by publishing appealing pictures with appealing captions. After you've set up Instagram Shop, you can begin tagging goods in posts by following the instructions below. Select the post where you want to tag a product, then click the three dots symbol in the upper right corner and choose edit.When you click 'tag product,' a list of goods in your shop will appear.Choose the product to tag and click on it. Then press the done button.You can tag up to 5 goods in a single picture post and 20 products in a multi-image post. Create a little lookbook with many goods tagged using this tool. You may also make a single multi-image post to exhibit the wide varieties of a single product to sell on Instagram. Create blog articles using Instagram's Guide function. For example, you can include product posts to highlight your most extraordinary things; also, you should highlight to publicize the release of new items or construct a gift guide. Create Payment Options It's time to move your audience from browsing to ordering and purchasing your stuff. You may take order information by posting a link to an order form in your bio. You may even urge your consumers to place an order immediately on WhatsApp. Locate your Instagram account, select "Edit Profile," and then paste the Whatsapp connection into the supplied website field. In the captions, tell your viewers to fill out the order form using the link in the bio or to place an order using WhatsApp. Because Instagram only permits one clickable link in the bio, you may make the most of it by using a connecting tool like Linktree. Widen Your Organic Reach With Hashtags Incorporating hashtags is an efficient way to expand your reach and expose your material to new audiences—monitor and assess how hashtags function. Then, attempt to alternate between relevant hashtags to see which one performs best for your brand. Consider what phrases your buyers will search for related to your product when choosing hashtags. You may also use a hashtag research tool to select the perfect hashtag for your product and target demographic. Then, simply enter an appropriate tag, and you will receive many tag options. However, don't overburden your content with hashtags. Though Instagram permits up to 30 hashtags per post, using 15+ hashtags appears spammy and desperate and will not provide significant results for your company. Instead, use 4 or 5 relevant hashtags for each post. This way, you may increase engagement without making your content appear cluttered with hashtags. Use hashtags wisely to increase your reach and engagement. Do not copy and paste any brand's hashtag into your post.Conduct thorough research to determine which hashtags are hot to sell on Instagram in your niche.Use hashtags with caution. Avoid hashtags that have millions of postings. This will merely cause your post to be lost in a sea of similar postings, resulting in a slight reach. Create Compelling Content For Selling on Instagram  This one should go without saying. Because Instagram is primarily a visual network, you must generate aesthetically engaging content that presents your items in exciting and unique ways. These are broken down further down. Use eye-catching material to highlight your items. Make sure that your material highlights your items. While it is sometimes beneficial to spice things up and include a graphic or a non-product shot, your items are the star of your account and should be treated as such. To raise awareness, use Instagram Reels and Instagram Live. Reels  Reels are one of the most effective strategies to increase brand recognition in 2021. So don't pass up this opportunity! Since introducing Instagram Reels in response to TikTok's success, Instagram has been heavily promoting the tool and rewarding accounts that utilize it. Instagram's CEO has even stated that the network is shifting from solely a photo-sharing platform to a greater emphasis on video content. Reels prioritizes keeping users on the app, showing them more material they enjoy and boosting the likelihood of your work becoming viral. This is a fantastic opportunity for entrepreneurs. You're getting more eyeballs on your fabric, which means more prospective buyers will find you and view your stuff. Instagram Live Video Instagram Live is one of the app's most rapidly expanding services. When you start a video, the platform sends notifications to your fans, keeping you front of mind. It also generates a sense of urgency because these films usually vanish after you stop filming. This raises the likelihood that individuals will tune in to avoid missing anything crucial. Use your imagination! Share client testimonials, show people how the product is manufactured behind the scenes, or perform a Reddit-style "Ask Me Anything" where you invite your audience to ask questions about your business. With Instagram's introduction of Live Shopping, you can earn sales while broadcasting! Businesses and producers may now tag things when they broadcast live, allowing viewers to buy or save items from the shopping video. Keep in mind that only Instagram-approved goods can be added to live recordings. Make Instagram posts that are shoppable. Did you know selling on Instagram includes built-in tools for making your posts shoppable? With 130 million visitors tapping on shoppable posts each month, you're wasting money if you don't use these features. Here are two methods for making your content shoppable: Product Labels Product Tags enable you to highlight goods from your catalogue in your content so readers can quickly tap to learn more. These can also link directly to your shop for in-app purchases using Instagram checkout. Instagram Product Launches  Instagram businesses checkout can now reveal forthcoming exclusive releases. This enables your audience to examine details and create purchase reminders when new goods become available. Post, Communicate and Repeat If you are consistent with your content, the Instagram algorithm will favour your brand. A steady Instagram posting pace will rapidly develop your account. In addition, engagements will help you better understand your community and determine what they want to see more of in your feed. Avoid sharing on Instagram at random. To sell on Instagram, you must develop content relevant to your company goals. To turn your audience into consumers, you must design a content strategy and stick to it. To stand out from the crowd, you need to figure out what material your audience likes to see on your feed. Your strategy should be both realistic and practical. Instagram Marketing You may advertise your Instagram profile organically, which means you can build an audience without sponsored advertising. This choice is free and demonstrates greater long-term participation. However, sponsored marketing can be the way to go if you need more followers or orders quickly. Instagram advertises in the following ways: Ads with photographs- A static image ad works well when you want to complete the purchase by giving a discount. Photos can be square or landscape in orientation. Video advertisements are excellent for introducing new customers to your product and its benefits. Videos of up to 120 seconds can be shared in landscape or square format. Ads for stories- These dynamic advertising services to enhance the client interaction you've previously had. Carousel advertisements- Users may swipe through the ads to see more photographs or videos. This advertising style showcases all of the product's features/benefits. Collection advertisements- Use them to visually excite your audience and assist them in discovering, browsing, and purchasing things. You can use either video or photos or a combination of the two. Advertisements in Explore- Users use the Explore area to find new material, view videos, and shop. Each user's Explore tab has selected information tailored to their specific interests. Each ad might have a separate call-to-action. To demonstrate a product's benefits to a new audience, utilize CTAs like "Learn More." Use "Shop Now" as your CTA if you're giving the last discount to complete a purchase. How can you create an Instagram "Shop Now" ad? According to Retail Touchpoints, 72 per cent of Instagram users have purchased a product after seeing it on the platform, which is ideal for generating engagement and revenues. Now to create an ad with a "Shop Now" or other CTA, you must first have a Facebook Page and an Instagram business profile. Once you have these, you may run and track advertising within the app or through Ads Manager. How to Create an Instagram Ad- Select a post you've already shared on Instagram and press "Promote" within the app. Next, select your ad purpose, target audience, and ad format inside Ads Manager.Determine the length of time your adverts will run and your budget.Press the Publish button. You will be notified when your advertisements have been authorized and are ready to run. Conclusion Whatever technique you pick for marketing on Instagram, there are several ways to use the network and turn your followers into paying clients. Many companies have found success selling on Instagram. Likewise, the platform's eCommerce companies have a bright future. Experiment with various options until you find what works best for you! Of course, there is no one-size-fits-all approach, but as long as you keep your clients in mind and make the purchasing procedure as simple as possible, you'll be OK. How WareIQ as a 3PL Fulfillment Partner Can Help You Advance in Selling On Instagram? Customers have acquired certain technological benefits when completing online purchases as technology has advanced. They search for products by typing, clicking, and swiping. However, if you operate an eCommerce firm for online selling on Instagram, your success will be determined by the quality of your products and the quality of your order fulfilment service. Now here, WareIQ comes into the picture. To stay competitive and provide a great client shopping experience, it's critical to work with a reputable order fulfilment provider like WareIQ. One that converts your eCommerce shop into a source of passive money rather than a cause of anguish. Here are some other advantages to working with WareIQ as your fulfilment and logistics partner for your selling on Instagram: Get The Most Advanced Technologies and Inventory Management An order fulfilment partner like WareIQ offers the technology, experience, and industry leadership to help your eCommerce selling on Instagram to function smoothly. This includes seamless interaction with your sales channels and other management solutions that improve inventory efficiency and carrier selection. Reduces Your Operational Costs It is expensive to ship packages, buy packing supplies, hire personnel, maintain quality control, and rent space. However, you may eliminate these overhead expenses by partnering with WareIQ, your order fulfilment partner, and beginning to share resources and play with other vendors. Efficient Distribution and Storage     WareIQ's fulfilment network helps you to arrange, store more efficiently, and distribute your e-commerce business orders. It will manage, store, and receive your items for you, providing quick access to track your current stock levels. Having an order fulfilment partner removes the possibility of shipping mistakes. Furthermore, WareIQ has inventory technology, streamlined pick and pack techniques, automated processes, and improved return and receiving procedures, which will assure speedy and precise fulfilment processing. Quicker Delivery If you perform order fulfilment in-house, it is done from a location that is handy for you. However, chances are your business isn't in a position that provides your customers with the best prices and travel times. Working with WareIQ will allow you to save money on shipping and deliver orders to your consumers faster. Best In Fulfilment Experience Remember that you are not aiming to become a fulfilment specialist but to run your e-commerce firm. By outsourcing your packing, shipping, and storage, you will benefit from the equipment, software, and employees of a credible and experienced fulfilment partner, such as WareIQ. WareIQ, as an order fulfilment partner, is well-versed in your industry. As a result, collaborating with WareIQ will expedite the fulfilment process. [signup] Frequently Asked Questions Is selling on Instagram free?It costs you nothing to sell online using Instagram! You simply need some free time to get everything in order. Instagram is a free marketing platform that may help you reach a wider audience. With two billion users, you should put up your Instagram buying page as soon as possible. Is it possible to receive money while you sell on Instagram?Instagram now allows you to save payment information and buy things directly from the app. The payment function is found in the app's Settings, where you can enter debit or credit card information, log prior purchases, and establish a pin for further protection. What is the cost of selling on Instagram?Instagram's transaction fees may be a source of concern for some. The cost to sell on Instagram is 5% per shipment or a flat price of $0.40 for sales of $8.00 or less, according to their Business Help Center. Should you sell on Instagram or Etsy?Etsy is a marketplace for sellers. When it comes to shopping, people are far more inclined to visit Etsy than Instagram. Selling on Instagram, your greatest hope with a regular account (not a store account) is to catch people's attention and keep yourself top of mind for the next time they want to buy something similar to what you sell. How many followers do you need to sell on Instagram?To use Instagram's immensely handy 'Swipe-Up' function, you must have a business account with at least 10,000 followers. Don't be concerned if you don't have many followers right now; consistent blogging will address that problem. Can you sell on Instagram if you don't have a website?You do not require a website: You may sell on Instagram without a website if you sell directly from the comments. This might be beneficial for vendors who are just starting out. You encourage a direct connection: If you manually complete every order, you'll have to talk with your consumer to acquire their information. Can I use PayPal to collect money for selling on Instagram?Add a 'Buy' button to your Instagram page to take consumers to a PayPal payment page. PayPal enables your customers to safely checkout using either their PayPal account or a credit card. Create separate PayPal connections for each of your items or services to manage ordering, pricing, shipping, and other aspects. Is selling on Instagram profitable?Selling on Instagram is undoubtedly a successful option because you can get started for free, with no startup fees.However, it is not a long-term answer for building your firm. Most of its eCommerce features are better suited to well-known businesses. What is the best way to sell products on Instagram?To sell products on Instagram, you must have a business account. For maximum profitability, you may sell directly on the platform or combine your eCommerce store with your company account.

August 08, 2022

Retail Logistics: Definition, Functions, Challenges and Methods to Improve Retail and Logistics Management in eCommerce in 2022

Retail Logistics: Definition, Functions, Challenges and Methods to Improve Retail and Logistics Management in eCommerce in 2022

Buyers these days expect a quick and good experience with any brand. They expect a customizable products with similar delivery options that use advanced automation of logistics processes. Technology has made this possible. Nowadays, there are many different products on the market and this calls for a planned strategy from the point of receiving an order to the point of delivery. By using effective retail logistics and added value, you can make sure that everything is in place to provide better delivery and service at  reduced costs. In this blog, we will take a look at retail logistics, its advantages and how retail and logistics management can be improved. What is Retail Logistics? Retail logistics is the systematic process of controlling the movement of goods from the point of supply to the buyer. By using effective retail and logistics management, you can make sure everything is set up to provide better delivery and service at reduced costs. The warehouse receiving, inventory management, fulfillment and shipping phases are parts of the retail logistics process. In order to achieve customer expectations for quick, economical delivery, every step of the logistics process should be streamlined. This means that an efficient retail logistics operation frequently needs both manpower (warehouse personnel as well as upper-level management positions, such as a logistics director) and slick software solutions, which can dramatically raise logistics expenses. [contactus_uth] 6 Functions of Retail Logistics in eCommerce Inventory Handling To fulfill orders, your products must be received and processed from the supplier. Incoming eCommerce goods are unloaded and formally checked in, after which it is properly documented and stored. Receiving and processing inventory is crucial. It not only promotes effectiveness and expedites the fulfillment process but it also guarantees that what is received corresponds to what was purchased. A lack of clear protocols can easily result in loss, which has an effect on both your customers and your bottom line. Examples of such operations include unloading, receiving and allocating SKUs. Inventory Distribution Distributed inventory is a method of allocating inventory where stock is distributed among several warehouses or fulfillment locations as opposed to just one. This system's basic premise is that it brings your goods closer to your clients, making it one of the best ways to speed up delivery times and lower transportation costs. The price of satisfying retail orders depends on delivery zones so thus, the closer a shipment is to the buyer, the less the retail logistics will cost them. An example would be an Uber ride, where distance corresponds with increasing costs. Distributing inventory throughout many retail warehouses can help your business grow by enabling you to provide low-cost 2-day shipping which is a benefit that many customers have come to expect as a result of online retailers like Amazon. In an economy that depends on quick fulfillment. Many rapidly expanding firms outsource fulfillment to a 3PL like WareIQ, which runs a vast network of fulfillment centers because they lack the time or resources to manage several warehouses. Order Fulfillment Don't undervalue the importance of quick and economical delivery to customers. It is essential to have a strategy in place for cost-effective and efficient retail logistics. A variety of coordinated procedures begin as soon as your customer confirms their order, ensuring that their information is verified and the appropriate products are selected and packaged as soon as possible. The procedure is referred to as "order-to-cash" (O2C). In order to complete the order and collect payments from the client, inventory management and accounting procedures must be completed within the O2C cycle. To track orders and save historical order data, which is later used to evaluate O2C performance, a healthy O2C cycle also needs an order management system. The order processing and fulfillment process can be automated if you work with a 3PL like WareIQ. Orders are routed from the closest fulfillment facility to the shipping destination once your online store is connected to WareIQ's fulfillment platform. Shipping An order is dispatched as soon as it has been picked, packed and labelled. If your retail logistics network includes numerous warehouses, the shipment is transported from the one that is closest to the destination. eCommerce shipping entails setting up orders to be delivered to the customer in the most dependable, economical manner possible. Shipping incentives, such as free shipping and same-day and next-day delivery can effectively be employed as marketing strategies. You can leverage product bundles, provide minimum spending requirements, partner with 3PLs that handle shipping and offer negotiated bulk shipping rates and pass on the savings to your consumers to help cover the cost of shipping (including free delivery). Product Tracking It is important to have real-time retail logistics tracking in place across the whole eCommerce supply chain. Maintaining ideal inventory levels and determining when to replace inventory to fulfill demand without overstocking and raising holding costs can be difficult without real-time tracking of product levels. You can track orders and shipments using digital order tracking and you can also give your customers tracking details. For example, using the WareIQ app that integrates with your choice of eCommerce platform, you can automatically send each customer a confirmation email and provide them with the tracking number and related details. You can view the order's status in real-time as it goes through each stage, from processing to shipment and everything in between. Returns Management If not effectively handled, the returns management process can include additional receiving, packaging, evaluation, reprocessing and even replacements. Returns can be seen as a chance to improve the client experience even more. A fantastic method to improve the customer experience is to train your customer support employees to initiate returns while simultaneously soliciting client feedback. Overall, implementing retail logistics solutions that speed up returns can significantly affect the expansion of your organization. Common Challenges in Retail Logistics Rising Consumer Expectations The conveniences that the modern customer has grown accustomed to, particularly when it comes to shipping, have a direct impact on their shopping decisions. According to National Retail Federation research, 3/4ths of consumers want delivery to be free but in another survey, 77% of consumers showed that they are willing to pay more for next-day or same-day delivery. Two-day shipping was originally offered by eCommerce giant Amazon more than 15 years ago and it swiftly became the norm. Since then, Amazon has narrowed the time frame for its deliveries, obliging all other sellers to do the same. Lack of Inventory Visibility Even the most effective retail fulfillment strategy can be hampered by a lack of inventory visibility, both in terms of the overall number of SKUs and where inventory is situated. Fortunately, this problem with retail logistics has two rather simple remedies: First, companies must keep an eye on inventory numbers. There are a variety of measures you may use to obtain visibility into your inventory, including inventory carrying costs, successful order percentages, percentages of orders filled from ideal inventory locations and inventory turnover rates. For the best return on investment (ROI), make sure that any metrics or key performance indicators (KPIs) you track are in line with the strategic, financial and customer goals of your business.Second, create a WMS-based retail fulfillment process that is effective. WMS technology has many advantages, such as improved workflow and process design, interaction with purchase order systems and tracking SKU levels at the lot and much more. It can even enable inventory metrics through KPI generation and customized reporting. To provide your customers with seamless omnichannel experiences and want to attain inventory visibility, you can use it as an accurate forecast of future demand and manage your supply-chain activities accordingly. Complex Disruptions in the Supply Chain Global and local supply chains are very complex. While expanding retail logistics operations across the country has helped many businesses cut expenses, diversify their product lines, increase production efficiency and more, it has also increased the danger of supply chain interruptions, casued due to a variety of factors such as manufacturing issues, transport issues, unforeseen delays and much more. Impact of Retail Logistics in eCommerce In changing times a lot of changes have been seen in eCommerce due to Retail Logistics. A few of them are: Growth of Mobile Commerce It comes as no surprise that there has been a considerable shift to mobile commerce given the broad adoption of smartphones. More people are now purchasing online due to the temporary closure of brick and mortar stores worldwide to stop the spread of COVID-19 and the avoidance of those stores by many customers who chose to adopt social distancing. EMarketer reports that 43% of online retailers experienced an increase in sales during the pandemic. Electronics, home goods and office supplies, which boost comfort and allow individuals to achieve more while at home, saw a dramatic increase in demand, whilst non-essentials like jewellery and consulting services saw a decline in demand as consumers decreased spending on non-essential needs. Enhanced Consumer Expectations A seamless and uniform experience across channels, including online, mobile and in-person, is what savvy customers are starting to demand from their favourite companies as they move toward omnichannel retail logistics experiences. The omnichannel strategy, for instance, allows customers to return items they have purchased online to any brick-and-mortar store, regardless of where they originally bought them. Retail logistics can become very challenging for businesses that segregate their online inventory from their in-store goods, especially if their distribution hubs are spread out throughout the country. Technological Integration Another significant trend that is having an impact on retail logistics is embedded integration technology, as logistics providers are realizing the necessity for reliable and seamless data sharing with customers. For example, Delivery windows can be optimized using real-time position tracking and real-time traffic information. Embedded data platforms enable the connection and integration of data by utilizing features that are already included in the solution. RFID technology is yet another illustration. RFID can provide real-time location and amount data when coupled with other systems, such as inventory management software, leading to fewer backorders and more precise estimations of delivery timelines and shipping costs. Adopting embedded integration technologies enables merchants to more effectively track inventory, communicate with customers in meaningful ways and share data throughout their supply chains. Increased Automation The retail logistics sector is already changing thanks to robotics. Particularly, the collaborative robot is making great strides in streamlining and optimizing warehouse, order fulfillment and delivery processes. Given that the retail sector undergoes large seasonal peak periods, collaborative robots are particularly appealing for distribution and fulfillment in the retail sector. Warehouse operators can rent more robots to meet seasonal demands and return them after peak time because collaborative robots don't need new infrastructure. Robotization has come to be associated with automated warehouses and improved order fulfillment and distribution processes, whether it is through collaborative or multipurpose robots, driverless cars or wearable technologies. The use of robots in retail and logistics management will increase as technology gets more precise, adaptable and affordable. 3 Ways to Improve Your Retail and Logistics Management Every product you offer will face intense competition in the online market. Traditional logistics systems can't keep up with client demand for efficiency and labour cost savings. You need the appropriate partners and technology on your side in order to build a strong retail logistics business. Here are 3 ways that can help: Enabling Digitalization The capacity to transform retail logistics into the digital world is necessary for supply chain optimization in order to maintain competitiveness and satisfy demand. Traditional supply chain management methods are improved by digital supply chain transformation using the most recent advancements in logistics including automation, data and analytics, robotics and AI learning. The objective is to build a quicker, more durable and sustainable supply chain. Digital inventory solutions may assist multichannel shopping, enabling firms to grow across channels while maintaining complete visibility of their supply chain. Increased order accuracy, quicker fulfillment and the capacity to trace inventory across distribution centers are all benefits of integrating a digital inventory system with a warehouse automation system or 3PL software. Choosing Third-Party Retail Logistics Providers Online merchants frequently resort to contemporary logistics partners when they want to expand for a number of reasons: In-house fulfillment gets time-consuming and expensive as a brand expands.Brands eventually run out of room or can't keep up with demand because of a manpower shortage.There isn't enough time for business owners and their staff to concentrate on direct-revenue efforts.Offloading retail logistics to outside parties who put a priority on lowering costs and accelerating efficiency can provide your company with a significant competitive edge. Streamlining Your Technical Stack Online sellers can expand most effectively when their operations are automated to function as effectively as possible. Your company's operations can be maintained by improving the integration of your retail logistics tech stack. WareIQ collaborates with top end-to-end eCommerce providers, including platforms for returns and marketing tools, to develop a unique retail logistics solution that fits your business. Conclusion: Enhance Your Retail Logistics With WareIQ Retail logistics are extremely important for an eCommerce business as it ensures the smooth transportation of goods from the manufacturer to the fulfillment center and ultimately, to the customer. However, it can be very complex for businesses to manage it on their own. We recommend outsourcing your retail logistics to a 3PL company like WareIQ. WareIQ is designed to make your retail logistics procedures easy and cost-efficient. You as a seller can offer services such as same-day or next-day delivery, a nationwide network of fulfillment centers and dark stores to store your products closer to your customers, choice of more than 20 shipping aggregators that are automatically assigned to each order based on their delivery speed and cost and much more. Furthermore, WareIQ's B2B and BSC fulfillment suite and WMS capabilities enable sellers to sell throughout the entire eCommerce ecosystem, powering retail logistics and assisting in the fulfillment of website orders. Unlock your successful eCommerce journey with WareIQ by cutting down expenses on product procurement and fulfillment. We will provide you with everything you need to maintain a robust supply chain while also freeing up your time to concentrate on expanding your business. Retail Logistics: FAQs Why is logistics important for the retail industry?A successful retail business depends on its logistics and supply chain. Everything revolves around giving people what they want, when they want and at their convenience. The key to success is winning over customers' confidence and helping businesses grow their operations daily. What are the five elements of retail logistics?The elements of retail logistics are:a) Storage, warehousing and materials handlingb) Packaging and unitisationc) Inventoryd) Transporte) Information and control What are the different types of retail logistics?Industry-wise logistics can be divided into five categories:a) Procurement Logisticsb) Sales Logisticsc) Manufacturing Logisticsd) Recovery Logisticse) Recycling Logistics What is a logistics cycle?The logistics management cycle includes important tasks including product selection, quantification, procurement, inventory management, storage and distribution. Organizing and staffing, finance, supervision, and assessment are other tasks that contribute to and are fundamental to the logistics cycle.

August 07, 2022

10 Techniques to Generate eCommerce Customer Feedback in 2022 to Enhance Customer Satisfaction and an Exclusive Look at WareIQ’s Customer Feedback App

10 Techniques to Generate eCommerce Customer Feedback in 2022 to Enhance Customer Satisfaction and an Exclusive Look at WareIQ’s Customer Feedback App

The primary objective of most eCommerce companies is to sell their products to as many customers as possible and ensure that they have a good experience in order to increase their chances of getting repeat purchases. Getting genuine eCommerce customer feedback has multiple advantages for a business. If customers have a good experience, retailers would want to highlight it in the form of testimonials, reviews on their website or listing platform and feedback on online forums. Customers generally take existing or prior customer feedback into consideration when trying to make a choice about which brand to purchase from. Positive customer feedback can mean the difference between customers choosing a particular firm as opposed to its competitors. Conversely, negative feedback can have similar implications but in reverse. However, it is important for retailers to take it sportingly and to try and solve the issues that customers have faced, either with their overall experience or granular aspects of their order. Abrupt resolution of issues can also lead to enhanced customer appreciation. Read along as we go into more detail about eCommerce customer feedback, why it is important, how it benefits your business, 10 ways to push for customer feedback in eCommerce and how WareIQ’s customer feedback app can help. What is Customer Feedback in eCommerce? Customer feedback in eCommerce refers to the expression of a customer’s experience with different aspects of a company's purchase and fulfillment processes, either directly to the company through telephone, message or email communication, indirectly through reviews on their website or the listing platform where the order was initiated, or externally through online forums and group chats. This feedback can either be positive, negative or in between, where customers may have liked certain aspects of the purchase experience but expectations may have fallen short during the delivery experience. This feedback is valuable for an eCommerce business as positive feedback can encourage other customers to make a purchase while negative feedback can be a roadblock to new customers’ willingness to give the business a try. It is also important how a business reacts to negative feedback. While some businesses make an effort to take customer feedback into consideration and try and correct any mishaps that occurred, other businesses either don’t respond or don’t make an effort to win over the customer, which can have dire consequences. [contactus_lilgoodness] Important Statistics in Regards to eCommerce Customer Feedback eCommerce is often regarded as a numbers game and it is important for retailers to keep track of various metrics of their business, including their successes and failures, which can be identified through customer feedback and user experience. We have compiled a list of important statistics that highlight the importance of eCommerce customer feedback. They are listed below: A study by Womply indicated that businesses that respond to at least 25% of eCommerce customer reviews can get an increase of 35% in their revenue.In a survey conducted by Podium, 93% of respondents indicate that reviews impact their purchasing decisions.In a poll by Broadly, 84% of respondents claimed that eCommerce customer reviews carried the same weight as recommendations from friends or family.According to ReviewTrackers, Facebook and Google are the online platforms where customer reviews get the most visibility.A study by Vonage found that businesses in the US lose an estimated $62 billion annually due to sub-par customer service.Research by KPMG shows that at least 30% of online shoppers have shared online feedback.A Zendesk study found that 97% of respondents said that poor customer service can lead to a change in their purchasing habits.According to a study conducted by Cone, 80% of respondents said that negative reviews impacted their decision to buy a product.A survey by Bazaarvoice indicated that 70% of those polled changed their perception of a company depending on how they responded to eCommerce customer reviews.According to the Spiegel Research Center, products with at least 5 reviews were 270% more likely to be purchased compared to products with 0 reviews. Additionally, expensive products that had reviews could increase their conversion rates by upwards of 380%. Benefits of Getting eCommerce Customer Reviews Enhances Customer Satisfaction By allowing customer feedback in eCommerce through the form of reviews or direct communication, retailers can get valuable insights into the experience and varying opinions of customers on different aspects of the business and can help them gauge what goes down well with customers and what doesn’t. This helps improve customer satisfaction for both customers that had their issues rectified and future customers who will benefit from the improvement in whichever processes that were causing dissatisfaction. Results in Loyal Customers Every business strives to generate enough satisfaction in the overall interactions that customers have with their business so that they will ultimately be loyal to the brand and not divert their business elsewhere when they need similar products. Paying attention to customer feedback in eCommerce will help companies accomplish just that by taking their suggestions and feedback into account and can show them that their words can make a difference and result in improvements. This makes customers feel special and they can often develop a bond with a business that goes deeper than just supply and demand. Streamlines Multiple Processes Because the success of a business and the happiness are directly proportional, it pays dividends to listen to customer feedback in eCommerce in order to make the necessary tweaks to make a bad product good or a good product even better. For example, if a business sells earphones and the feedback is generally positive but there are an overwhelming amount of reviews saying that they would be even better if they were louder or the bass was more extreme, the retailer could take that into consideration for the next iteration of the product so that it could be even more successful. Reduces the Cost of Customer Acquisition Research indicates that if a business is able to retain just 20% of its customers, its revenue can increase by up to 80%. Another plus point is that it is much cheaper and easier to maintain existing customers because retailers would have an idea of what they like and what they don’t and they can always release new products and run promotional campaigns to target existing customers which will help create hype and attract new customers. Generates Important Analytics It is important for businesses to measure every aspect of their eCommerce processes and this holds especially true for eCommerce customer feedback. Reviews from customers are a good KPI to measure the reception of a product in the real world. Retailers can understand whether the price is too high or low, if the product is being promoted to the right audience, if certain elements need to be added or removed and much more. This helps them measure their overall success and make future adjustments and strategies accordingly. 10 Techniques to Get eCommerce Customer Feedback for Your Business in 2022 Keep in Touch With Customers Post-Purchase By recording the contact information of prior customers and keeping in touch with them even after their product has been delivered, retailers can ask for feedback and find out which parts of the purchase and delivery experience they were satisfied with and which needed improvement. This will help customers get a positive impression about the business and it will linger in their mind, which will help when promoting a new product or running ad campaigns that target existing and prior customers. Encourage Customers to Provide Feedback Retailers can encourage customers to leave reviews by providing incentives such as vouchers, coupons, discounts, free shipping on future orders and much more. This will not only result in more reviews, feedback and customer satisfaction but will also create a situation where they would want to take advantage of the benefits provided on future orders such as free shipping because they left a review on a previous order. This will also coax them to leave reviews as many times as they can in order to receive even more advantages.  Make it Simple for Customers to Leave Reviews Retailers need to strike a balance between subtly encouraging customers to leave reviews and constantly popping up review pages when they are just trying to browse or checkout as it can be construed as spam and will ultimately discourage them from leaving feedback and may even have a negative impact on them visiting your page again. eCommerce customer feedback pages should be located in strategic locations such as after a payment has been made or after they have received their order. If they have had a noteworthy experience, they can mention it in the review. Publish Positive and Negative Reviews It may seem counterintuitive to include reviews that tarnish the name of a brand. However, it actually provides more credibility as customers might be weary if there are only a sea of positive reviews with no mention of any complaints or incidents as after all, everyone is human. Negative reviews can also have positive impacts in certain situations such as if a review highlights minor incidents that wouldn’t be a problem for more and attacks the brand, which garners sympathy towards the company from potential customers or if a review mentions something that may be seen as a negative to some people but a positive to others such as a phone having complex software features. Highlight Reviews That Contain Important Product Information When scrolling through eCommerce customer reviews, consumers generally want to find information relating to the product quality, pricing, delivery experience and durability, among others. Placing reviews that contain a detailed description about the product and overall user experience can give customers all the information they need to make a well-informed decision and be happy with their purchase. Provide Reviews Relating to Different Aspects of the Business eCommerce customer reviews that contain information not only about the product but also about the purchase, customer support and delivery experience, can help customers get a better idea about how easy it is to order and pay, how long it takes for the order to arrive and how helpful the customer care team were if and when any query or issue should arise. This will enable customers to decide whether that brand provides a more positive experience compared to its competitors. Respond and Engage With Existing Reviews As mentioned above, research suggests that 70% of customers change their perception of a brand depending on how they respond to eCommerce customer feedback. It makes less of a difference if businesses do not reply to positive reviews, even though showing appreciation to customers by saying a small thank you could only improve their reputation in the eyes of potential customers. However, not responding to negative reviews and addressing customer complaints can amplify the negative sentiments that are echoed by those customers, in the eyes of new customers. Conduct Mass Customer Surveys Sending out surveys to customers so that they can answer predetermined questions can be an easy way to get a large amount of eCommerce customer feedback in a relatively short period of time. Rather than prompting each customer to leave a review, surveys can reduce the amount of time and effort needed to accomplish a similar goal. Surveys can be segmented into 2 groups - prospective customer surveys and existing customer surveys. Each survey will highlight different facets of the business, depending on the stage that the customer is in. Invest in a Review Service If a retailer doesn’t have the time or the resources to push for eCommerce customer feedback, they can always opt for a specialised review service that takes care of generating customer reviews for them. For a specified fee, they can increase the amount of reviews that are submitted, organise reviews based on a number of factors and reduce the amount of time that the whole process takes. Provide a Rating Option on Various Pages Product ratings are like a summary of reviews. If it is not feasible to provide detailed reviews on every page, retailers can just highlight the ratings of a particular product or service to give prospective customers an idea of the overall feedback. It is also easier to get ratings from customers compared to reviews as it is just one click rather than them needing to write an entire sentence or paragraph. How WareIQ’s Customer Feedback App Can Collect eCommerce Customer Reviews to Analyse Brand Perception & Address Your Customer Grievances? Customer feedback in eCommerce is of enormous importance as it not only determines whether prior customers will return to a business, it also decides the kind of impression a company will make on new customers and whether they will choose to give their business to them or a competitor. It is imperative for eCommerce retailers to provide the best possible experience to every customer and push for feedback so that they can publicize positive reviews and use negative reviews as a learning curve to improve the aspects of their business that was responsible for the dissatisfaction. If you are an eCommerce retailer that needs assistance with generating and managing eCommerce customer reviews, WareIQ’s Customer Feedback app has got you covered. With WareIQ’s Customer Feedback app, we help users to streamline their eCommerce customer feedback processes to generate a larger number of reviews in a seamless and effortless manner. The app can simply be downloaded from our app store that also comes stocked with a whole host of other apps to enhance productivity in different areas of eCommerce. Anyone who has downloaded apps from the Google Play Store or Apple App Store will have an easy time downloading any app they need. A few of the unique features that our Customer Feedback app offers are listed below: Quantifies Customer Experience, Analyzes Brand Perception and Builds Brand Loyalty We will help you understand the overall customer sentiment towards your brand as well as help in identifying opportunities to enhance their user experience and increase their trust. Helps You Get a Detailed Understanding About What Your Customers Have to Say Using the Customer Feedback app, you can track and follow every customer’s feedback to instantly answer their queries, rectify any escalations and thank them for their business. Helps You Get a Better Understanding of Your Customers You can get access to a 360-degree dashboard that enables you to analyse and understand every aspect of the behaviour of your customers through specifically-curated data. Benefits of Using the Customer Feedback App Improves customer retentionEnhances customer satisfactionAnalyses customer behaviourIncreases brand perceptionPinpoints unsatisfied customers [signup] eCommerce Customer Feedback: FAQs What are the most common ways for customers to give feedback?Customers generally give feedback through website reviews, online forums and direct communication with the retailer. Why is it important to get customer feedback?Customer feedback enables retailers to understand the success of their operations and whether they need to make changes to any procedures to improve performance. Does WareIQ have other applications in the app store?Yes, WareIQ has multiple productivity apps other than the Customer Feedback app including Branded Tracking, Shipping Badges, RTO Shield, WareIQ Rush and much more. How can the Customer Feedback app improve the customer experience?The Customer Feedback app consolidates all your customer reviews and interactions in one place so that escalations can be instantly rectified and happy customers can be interacted with. Does WareIQ provide other eCommerce services?Yes, WareIQ provides a whole range of eCommerce-related services from storing inventory in a nationwide network of fulfillment centers, giving users access to a custom WMS, providing a choice of more than 20 shipping aggregators to always provide the fastest and most cost-effective delivery for every order, and much more.

August 06, 2022

25 Warehouse Management KPIs and Metrics to Monitor for Assessing and Enhancing Warehouse Performance in 2022 and Various Ways to Track Warehouse KPIs

25 Warehouse Management KPIs and Metrics to Monitor for Assessing and Enhancing Warehouse Performance in 2022 and Various Ways to Track Warehouse KPIs

Proper warehouse management is the first step in quick fulfilment since it affects how quickly you can acquire, track, and store goods to fulfil client orders. However, how can you tell if a warehouse is operating efficiently? Warehouse management KPIs and metrics should be closely monitored by tracking warehouse and supply chain KPIs for receipt, inventory control, and fulfilment. Optimizing your warehouse and making changes will be challenging due to failing to monitor critical KPIs. This post will let you learn what and how to monitor warehouse KPIs. What Exactly do Warehouse Key Performance Indicators (KPIs) Signify? Warehouse KPIs are performance metrics that aid managers and executives in determining how well a team, project, or even an entire business performs. It is not the aim; instead, it is a means of measuring objectives as part of a larger plan or as a tool to bring everyone together behind an exact target. KPIs may concentrate on more general operations or be more targeted at specific measures or procedures. By analyzing the effectiveness of an eCommerce warehouse, warehouse KPIs simplify monitoring. They also help to identify possible issues, manage risks, and find ways to improve operations. Since many factors are involved in warehouse management, including inventory management and fulfilment, warehouse KPIs are frequently divided into many categories. Examples of Warehouse KPIs include-  Inventory KPIs - Inventory needs to be maintained in a delicate balance; too much or too little might result in too much money being linked to unsold inventory or a stockout risk. KPIs for inventory tracking might aid in maintaining the balance. Receiving KPIs is the first stage in the warehousing process since it ensures that companies get what they paid for and that it comes when required. However, if precautions are not taken, a lot can go wrong. Put-Away KPIs- These metrics measure how quickly and where items can be stored in a warehouse when they are received. This is crucial for perishable goods with shorter shelf life in particular. Order Management & Processing KPIs- When an order is placed, it is up to the picking and processing teams to choose the appropriate product quickly. Picking and processing KPIs may be monitored to identify possible obstacles in this process. Workforce and Safety KPIs- Measuring employee satisfaction, injury rates, types, overtime hours, the proportion of part-time workers in the workforce, yearly turnover rates, or labour expenses. Also, by keeping an eye on safety, firms may lessen the number of workplace accidents before they occur. [contactus_gynoveda] What Makes Monitoring Warehouse KPIs Important? Managing an effective supply chain requires careful attention to measuring warehouse KPIs. Additionally, it offers tips on what to look for while performing a warehouse audit. The significance of tracking warehouse KPIs are discussed down below- Warehouse KPIs Increase Its Productivity Monitoring warehouse KPIs enhances warehouse productivity. You can pinpoint areas to concentrate on, improve, and invest in by monitoring performance. Various elements influence a warehouse's efficiency; therefore, it's crucial to identify any weak points so you can enhance and optimize them. For instance, several developments in digital warehousing have made it possible to automate repetitive processes, which removes the need for time-consuming manual labour and saves thousands of man-hours. However, it's possible that your existing warehouse arrangement, rather than inefficiencies in how your team works, is the real culprit. The technology could assist you in improving your storage and simplifying orders if you're monitoring the correct warehouse KPIs. Overall, monitoring warehouse KPIs may help you figure out how to become more efficient by using technology or improving internal procedures. Retailers May Save Money by Monitoring Warehouse KPIs Along with increasing efficiency, addressing the parts of your warehouse operations that require improvement can reduce logistics expenses. Most e-commerce enterprises prioritize cost-cutting, but it's never been more crucial. Due to the increased demand for warehouse development and construction, logistics warehouse tenants have already seen a 10% rate increase in 2021 alone. As a result, the price of renting a warehouse alone might significantly reduce business margins. You can benefit from taking the time to figure out how to improve processes and efficiency; even better, determine how much warehouse space you require. This can also entail investigating ways to optimize inventory levels to satisfy demand while reducing holding expenses. Increases Client Satisfaction How your e-commerce warehouse runs influences customer happiness, enhancing workflows for accurate delivery or identifying methods to speed up the returns management process. Because of this, it's crucial to monitor specific e-commerce KPIs, including order accuracy and shipment timeframes, that show how your warehouse operation affects the consumer experience. To set up your warehouse or warehouses to satisfy client expectations, warehouse location is crucial. You could discover, for instance, that shifting your warehouse to a more central and accessible place to a more significant number of your clients will permit quicker and cheaper shipment. Improve Workplace Safety and Happiness. Your warehouse will run more efficiently if your crew feels engaged and protected. The US Bureau of Labor Statistics reports that in 2019, there were 4.4 injuries for every 100 full-time employees working in transportation and warehousing. Unfortunately, the incidence of fatalities and injuries in warehouses is going up. While efficiency is crucial, a dangerous workplace will make your team move more slowly. By looking at the safety KPIs, you can tell whether your internal procedures provide a safe atmosphere for your employees, increasing productivity. For instance, it's safe and simpler to manoeuvre a forklift if garbage or other items aren't left in the middle of the floor. Additionally, setting up warehouse workstations with a one-way workflow can be effective since it promotes safety and reduces congestion. 25 Warehouse KPIs and Management Metrics To Monitor For Assessing and Enhancing Performance  You must understand how important it is to gauge your warehouse's success as a manager. Measurement is the step that connects all of your other processes and enables you to monitor performance trends, assess how effectively you are working, identify possible issues, control risks, and do a lot more. You may assess your company's financial accounts, conduct performance evaluations, and utilize business metrics to analyze warehouse KPIs, among other methods. Nevertheless, one of the most often used approaches is to create warehouse KPIs (Key Performance Indicators), which assess how successfully your procedures are achieving their aims and objectives—sort of like a report card for your warehouse. Warehouse KPIs examine a particular operation or process and provide a result that illustrates how well that process performs by contrasting it with previous figures and standards. Even though every warehouse operates differently, most warehouse management KPIs may be used in most warehouses to achieve your company objectives. However, you might not need to employ every KPI. Instead, you might narrow your selection to those that you believe are most pertinent to your present objectives. How then can you locate the warehouse KPIs that you genuinely require? The following frequently used warehouse KPIs will be covered in this post, along with their benefits to you- INVENTORY KPIs The stock of goods you have on hand and kept in your warehouse is the focus of inventory KPIs. They are ideal if you want to track how your inventory is moving. Inventory accuracy, shrinkage, carrying cost of inventory, inventory turnover, and inventory to sales ratio are standard inventory KPIs. 1. Inventory Precision Goods accuracy is the agreement between the monitored quantity of inventory and the quantity present in a warehouse. The warehouse stock amount may not always match the amount usually tracked automatically by a warehouse or inventory management system. This may result from theft, damage, errors in judgement, shortages on the provider's part, etc. By dividing the stock monitored by the system by the stock present in the warehouse, the inventory accuracy KPI will demonstrate whether there is a discrepancy between the two figures.  Formula For Inventory Accuracy- Physically present inventory / System-tracked inventory 2. Shrinkage One type of inaccuracy in your inventory is shrinkage. This KPI will show you the value of inventory missing from your warehouse due to those circumstances. It is defined as excess inventory documented in accounting but no longer physically available owing to variables like theft, damage, or errors in computation. Use the formula for calculating shrinkage value- (Cost of recorded inventory - Cost of physically present inventory) / Cost of recorded inventory. 3. Inventory Carrying Cost The overall cost incurred by a company to own, store, and maintain inventory is known as the carrying cost of the stock. It shows the time your company can keep its goods in storage before it starts to lose money, and you have to find another way to deal with slow-moving inventory and dead stock. You may compute your carrying costs by dividing your overall expenses by the typical cost of your merchandise. Formula- Overall inventory expenses / total carrying costs 4. Inventory Turnover Inventory turnover measures how frequently your stock is sold. More robust sales are indicated by higher values, whereas lower values characterize poorer sales. Two methods may be used to determine inventory turnover: dividing the sales volume by the average inventory or dividing the cost of products sold by the average inventory.  To determine your inventory turnover ratio, use the formula-  The number of sales / the typical inventory or Product cost / Average Inventory 5. Ratio of Inventory to Sales The inventory to sales KPI provides you with the proportion of sales to the remaining list at the end of the month. Anyone in charge of a warehouse will find this value to be very helpful because it: You may anticipate future cash flow problems before they arise by demonstrating when increasing inventory levels and declining sales occur together. This ratio informs you how many things you've sold and how many are still in your warehouse at the end of the month. In addition, this might assist you in figuring out how much stock you need to buy to maintain your sales without experiencing any backorders comfortably. By dividing your leftover inventory at the end of the month by the sales you generated during that same month, you can establish your inventory to sales ratio. Formula- End of Month Inventory Balance / Sales for the month RECEIVING KPIs Receiving is the process through which a warehouse takes delivery of inventory, which it must subsequently process, sort, and ultimately store. The efficiency of the operations at this step is gauged using receiving KPIs such as receiving efficiency, cost of receiving per line and receiving cycle time. 6. Effective Receiving Receiving efficiency measures how productively your staff are working in your warehouse's receiving section. This will assist you in determining whether to introduce new training sessions or improved procedures. Formula- Volume of merchandise received / Hours worked by personnel. 7. Receiving Charges Per Line The overall cost for receiving a line of merchandise your suppliers have sent to your warehouse is the cost of receiving per line. This also covers the operations that occur upon receipts, such as handling and item accounting. With time, this cost should decrease due to more productive work. The total receiving expense is divided by the whole number of items in each receiving line. 8. Time For a Receiving Cycle Receiving cycle time is a measurement of the typical amount of time needed to handle incoming stock, which includes accounting for it, categorizing it, and storing it. Formula- Total amount of time spent sorting received inventory / Total quantity of things received Put-Away KPIs- Putaway is the process of storing a delivery of goods in your warehouse, typically in the most practical and acceptable area. You may gauge how well these procedures are working by using putaway KPIs like accuracy rate, cost per line, and cycle time. 9. Precision Rate Your accuracy rating determines the percentage of things appropriately arranged the first time. A rating of 1 denotes the absence of any faults or blunders. This rate is determined by dividing the amount of inventory that has been properly stored by the entire amount of inventory that has been stored. Formula- Total inventory put away / Correctly put away inventory. 10. Putaway Price For Each Line This KPI relates to the price associated with storing a whole line of goods. This indication can assist you in cutting costs related to your overall putaway procedures. You may figure it out by dividing the total putaway expense by the number of line items. Formula- Total line items / Total putaway costs 11. Putaway Cycle Time The average time needed to store one item from your inventory is the putaway cycle time. Better warehouse efficiency comes from shorter putaway cycle times. Rearranging things in your warehouse and raising worker productivity can reduce this time. Order Management & Processing KPIs- The operations between when your company receives a client order and when your customer receives their order are collectively referred to as order management. These include receiving the order, choosing the right items, selecting the proper packaging, sending the products to the appropriate delivery address, and managing post-sales procedures like returns and reimbursements. As a result, order management KPIs evaluate how well each process performs. 12. Accurate Product Selection To increase the overall warehouse efficiency of your order management procedures, this KPI shows you how correctly things are being chosen from your warehouse for client orders. Your picking accuracy should be as near to 1, which indicates no errors, as feasible. The formula for picking accuracy- (Total Number of orders - returned incorrect items) / Total Number of orders 13. Total Time for The Order Cycle Total order cycle time is the time it typically takes from when a client makes an order until it is dispatched. This comprises all intermediate steps, such as receiving the order, choosing the required products, packaging them, and preparing them for shipping. Therefore, increase your chances of keeping your consumers by shortening this period. 14. Order Lead Time Order lead time is the typical time it takes for a client to receive their order after they have placed it. Your order cycle time plus shipment time is essentially the order lead time. Similar to total order cycle time, shorter order lead times are preferable for your company. 15. Rate of Backorders Backorder rates relate how many backorders you've placed to how many orders you've placed overall. Therefore, if your backorder rate is significant, you should improve your forecasting, planning, and inventory tracking. Formula- Overall backorders / Overall orders 16. Accuracy of the fulfilment Rate Out of the total number of client orders received, this KPI determines the number of orders that have been entirely completed. This includes accurately filled orders, shipped on schedule, and containing the appropriate goods. You should review and update your order management procedure if this rate is low. Formula- Total orders received / Orders fulfilled without problems 17. Rate of Timely Shipping You may use this indicator to determine how effective your shipping procedures are. To keep customers happy, a high on-time shipment rate must be maintained. Formula- Total Number of orders shipped / number of orders dispatched on time or early. 18. Order Cost This KPI reveals the expenses associated with completing a client order from when it is placed until it reaches the consumer. By dividing the amount spent on order fulfilment by the total number of client orders you've received, you may calculate the cost per order. Formula- Total cost of orders filled / Total cost of fulfilment 19. Returns Percentage The rate of returns lets you know what proportion of consumers have returned their purchases due to things you could have prevented (such as broken goods, the wrong item being provided, or late delivery) or things you had no control over (such as fraud or problems with the product after delivery). Divide the number of products returned by the total number of items sold to obtain this rate, which you can then convert to a percentage. Formula- (Items Sold / Items Returned)*100 Workforce and Safety KPIs- Massive equipment is typically utilized in the operations of large warehouses. Even while equipments are helpful, there are hazards involved. To aid in their future prevention, monitoring warehouse KPIs connected to warehouse accidents is essential. 20. Annual Accidents This KPI measures the number of significant mishaps that cost people time and money in a given year. Ideally, the number should be zero, but even if it is not, it can still help determine the scope of the issue. 21. Time Since Last Accident- Despite the desire to avoid accidents, they occasionally occur for no apparent reason. But ideally, accidents happen seldom and after long gaps. 22. Accident Rate Despite the physical demands of warehouse work, skilled management may lower injury rates and improve warehouse safety. Examples of what not to do include Amazon fulfilment centres, notorious for imposing strict quotas and pressuring workers to work harder. It should be no surprise that Amazon has an injury rate 80% higher than the industry standard. 23. Employee Retention One important KPI for warehouses is turnover. Employees with more experience will be better able to handle issues as they develop and offer better fulfilling services. One of the critical reasons for providing such high-quality satisfaction is the knowledgeable team. One of the primary factors in employee retention is making warehouses enjoyable places to work. 24. Time Lost as a Result of Injuries- Time lost due to injuries: A company's first concern should always be employee safety. Even though it's not common knowledge that accidents are quantified in terms of time, keeping track of time missed due to injuries sheds more light on the influence of injuries on workplace productivity, employee happiness, and total expenses. 25. Total Recordable Incident Rate-  TRIR is the ratio of work-related accidents per 100 full-time employees over a year. This warehouse management statistic is used to evaluate a company's performance in terms of safety and to keep an eye on high-risk sectors. How Do You Track Warehouse Key Performance Indicators? It might be difficult to handle other aspects of your organization, such as product development, marketing, and customer support while keeping track of all these warehouse KPIs. But, again, automation and technology have a role in this. Due to the reduction in time, effort, and mistakes brought on by manual, variable operations, warehouse automation is a crucial component of supply chain optimization. Additionally, data is automatically collected and aggregated using warehouse technology, which makes it simple to monitor performance and make adjustments as necessary. However, automation and technology for warehouses may be expensive expenditures (on top of the high cost of leasing a warehouse or purchasing land). Tech-enabled Without having to manage your warehouse or spend money on expensive fulfilment systems, 3PLs provide the fulfilment infrastructure, technology, knowledge, and customer service required to build a successful online business. Warehouse Management System to Track Warehouse KPIs You need the appropriate technology in place to monitor and enhance warehouse KPIs. Brands with their warehouses who want assistance managing inventory in real-time, lowering picking, packaging, and shipping mistakes, and growing quickly have the finest possible warehouse management system (WMS). While retailers and brands may also use fulfilment services to enhance international shipping, save costs, and expedite delivery. 7 Best Practices While Monitoring Warehouse Management KPIs and Metrics 1- Concentrate On a Small Number of KPIs Choosing those that are vital to you or your company is more significant than selecting a list that could be useful to someone else. You may base your KPIs, for instance, on a certain section of your production or warehousing. Instead, monitor more high-level KPIs to assist you in identifying any flaws or areas of your operations that might use some improvement. Concentrating on a small number of critical warehouse KPIs will give you more value and be better able to take action to increase warehouse efficiency. 2- Set Goals for Each KPI and Be Specific About the Expected Result Find out why you are measuring them and what your goals are. KPIs are tactical. You should concentrate on what is necessary and quantifiable. For instance, are you carrying out this exercise to save costs, make the environment safer, or shorten the lead time for production? Getting in touch with coworkers or employees might assist you in choosing what to focus on. Do you need to confirm that your intuition is correct because you are worried about something? Or perhaps you want to calculate the ROI of new equipment you just bought? Whatever the motivation, keep track of what is pertinent to you. 3. Specify What Success Entails Define success for each KPI by setting your own goals or benchmarking your warehouse against industry best practices. Ask your peers or other attendees at an industry event what they measure in their warehouse the next time you are chatting with them. Be clear when describing your expected results and understand that a warehouse KPIs is an indicator rather than a goal. 4- List Your Warehouse KPIs and Choose Your Measurement Method Prepare your KPI dashboard for your warehouse and decide how you will monitor the intended result. For each, a single, brief statement will do. Due to the range of tools being utilized, the data extraction process may differ from company to firm, and what you have available will always impact how you measure. For instance, if you use a warehouse management system (WMS), specific data can already be available or built into your programme. You will have more control over the precise metrics you want to measure if you employ a manual system, but data entry will take more time on the warehouse floor. Automated technologies ought to make tracking your KPIs and gathering data simpler. For instance, automating inventory management will allow you to have a more accurate supply on hand. 5. Set a Time Limit You'll have a sharper perspective of your business if your objectives and warehouse KPIs are time-bound and have deadlines. Tracking your progress along the way, though, can help you determine how successful you were in creating the KPIs in the first place. So keep a close eye on your warehouse KPIs dashboard data in relation to your goals and make any required adjustments. 6. Choose How You Will Monitor Your KPIs  You might require assistance or struggle to get the data you need to create your indicators. For appropriate tracking in a warehouse operation, data acquisition is crucial. Utilizing technology in a warehouse will provide the essential information you require. A warehouse management system (WMS) delivers accurate information. It gives limitless reporting options for data collection and automation, including barcodes and scanning, voice technologies, mobile devices and computers, and radio frequency identification (RFID). An ERP is also regarded as serving as a hub for data. 7. Reporting and Analysis  Create stunning visualizations with spreadsheets. Once your measurements are complete, a visualization tool, like the one offered in this racking assets management software, may help you understand and convey the information you've gathered to your team or senior management. Data visualization may alter how we view the data and how quickly and efficiently we draw conclusions.  Conclusion Which of the 25 warehouses KPIs listed above are the most crucial? That relies entirely on where you think your warehouse may perform better and what you must demonstrate to management. Tracking pick accuracy and the number of things picked per hour can be more crucial if you need to support acquiring a new warehouse inventory management system. Get a grip on your rate of return and overall order cycle time if you are just starting. Whatever depends. Which metrics are the simplest to measure also matter? For example, measuring the backorder rate and inventory turnover will be simple if you have warehouse management software that keeps track of inventory levels automatically. Likewise, integrating your sales and ordering software and calculating your sales-to-inventory ratio can be as simple. Nevertheless, obtaining these warehouse KPIs will be more difficult if your programme doesn't have these measures or if you don't utilize any software. Utilize WareIQ to Outsource Your Warehouse and Fulfillment Operations Online merchants have a lot, from product development to attracting new clients. Fast-growing direct-to-consumer (DTC) brands do this by using WareIQ fulfilment services. You may maintain operational control by outsourcing fulfilment services to WareIQ, so you don't have to run your warehouse. In addition, WareIQ provides complete insight into your logistics operations, from receiving inventory to orders leaving the warehouse. The best-in-class technology is used throughout all of WareIQ's distribution networks, making it simple to monitor warehouse KPIs, real-time inventory levels, and fulfilment and shipping activities all in one location. Our data and analytics reports provide all the information you want to track warehouse KPIs more effectively and other supply chain analytics. [signup] Frequently Asked Questions What are warehouse KPIs?You may establish a standard for month-over-month improvements using warehouse KPIs. And assist in identifying areas that will directly impact overall business expenses as well as customer satisfaction when used in conjunction with a sound process and warehouse management system. What makes reliable warehouse KPIs?Orders that are flawless and error-free. The ultimate aim for warehouses is to flawlessly assemble items every single time, every single day. A reliable indicator of overall warehouse performance is the percentage of flawless orders. How do you assess the effectiveness of a warehouse?By monitoring key warehouse KPIs related to receiving, inventory management, warehouse safety, and fulfilment and shipping performance, you may assess warehouse performance. You can optimise workflows and procedures by keeping an eye on the various components of your warehouse. How are warehouse KPIs measured?Warehouse KPIs are calculated and measured using various formulae. To assist you in automatically tracking activity and compiling data in one place, it's always ideal to invest in a warehouse management system and inventory management tools because there is a lot of activity that takes place in a warehouse. What warehouse KPIs should be monitored?There are several different warehouse KPIs to track when managing your own warehouse. Carrying expenses, order accuracy, and inventory turnover rate are some of the most crucial indicators, but you should also consider receiving KPIs, put-away KPIs, picking KPIs, safety KPIs, and other data.

August 05, 2022

10 Simple Ways to Utilize Eco Friendly Shipping for eCommerce Companies in 2022 to Go Green & Be Sustainable

10 Simple Ways to Utilize Eco Friendly Shipping for eCommerce Companies in 2022 to Go Green & Be Sustainable

Biodegradable materials are frequently used to make eco friendly shipping supplies. According to studies, shipping emissions may account for 17% of all global carbon emissions by 2050. Having a well-thought-out shipping process is one of the most crucial components of running a successful online business. However, eCommerce businesses now need to take into account a new aspect of shipping. Customers are starting to notice how their products are packaged and transported in light of how quickly the environment is being damaged and they are paying attention to companies who are making their deliveries green. This is where environmentally friendly shipping comes into play. Our environment can be severely impacted by how you package and ship your goods; if you can find ways to reduce this impact, you might even find that your customers become more devoted to you. This post will outline the value of eco friendly shipping options and how to go about implementing them. What is Eco Friendly Shipping? Eco friendly shipping refers to packaging that must be made of biodegradable materials that can be easily recycled, put to other uses, and break down quickly. It can also apply to tactics such as combining orders into a single shipment, adopting low-emission modes of transportation, and other strategies to reduce the environmental impact of shipping items. [contactus_gynoveda] Benefits of Using Eco Friendly Shipping Some online store owners are reluctant to make the following adjustments because they worry that raising costs to make up for more environmentally friendly operations will drive away their current clientele. However, it's crucial to highlight the statistics supporting it: More than two-thirds of consumers with a strong sense of purpose are willing to pay an additional premium of at least 35% when making sustainable purchases for recycled or eco friendly products.In addition, 73% of consumers said they would alter their buying patterns to lessen their environmental impact. Here are a few advantages of using environmentally friendly shipping supplies: Customers Have a Positive Response to Eco Delivery Brands that own and actively improve their operations to benefit the earth will succeed as retail patterns become increasingly digital. The trend toward internet buying is being driven by Millennials and Gen Z and the facts supporting it are fascinating: 67.1% of millennials said they occasionally or always research a company's ethics and sustainability policies before making a purchase.People take pride in their ability to balance potential environmental implications while purchasing, according to Business Insider.People have access to a wealth of information thanks to social media so therefore, it stands to reason that there is a movement to save the environment by choosing to purchase sustainable and environmentally friendly goods as well as goods that will have a positive social impact. Now more than ever, setting an example for a greener future is crucial. Cost Savings Can Result From Eco Friendly Shipping Once the changes have been made, eco delivery can help you save money, even though the initial expenditure may force you to reorganize your spending. The philosophy of eco friendly shipping is to only utilize what is necessary and to prevent waste at all costs. As a result, you will avoid paying for extra shipping supplies that you would otherwise need to buy for superfluous packaging. You Can Get Positive Brand Recognition You join the ranks of other businesses striving for a greener eCommerce landscape when your online store introduces greener solutions like biodegradable delivery options. You can flaunt your new, environmentally friendly packaging and highlight the ways in which you are reducing your carbon footprint. Even better, you can highlight your environmental awareness on social media. Due to your efforts to save the environment, you might become the next successful eCommerce brand. However, keep in mind that customers will not hesitate to criticize companies that use sustainability as a marketing gimmick. 8 Ways to Utilize Eco-Friendly Shipping in eCommerce and Be Sustainable Optimize and Reduce Your Packaging Making use of sustainable packaging is one technique to improve eco-friendly shipping. Additionally, compare the measurements of the product and the package to get more accurate delivery estimates. Be careful not to overpack items with extra packaging. It is not only economical but also environmentally friendly. Reusable shipping containers are provided by some businesses and they can be returned once the delivery has been completed. Reduce the size of the box and the materials used for packaging to ensure that your shipments are packed as tightly as possible, as long as this won't cause damage to your products). This helps you reduce waste while also lowering the dimensions, weight, and overall costs of a shipment.  Use Sustainable Materials You can make use of eco-friendly packaging from multiple different suppliers. Using materials such as recyclable air pillows rather than bubble wrap and packaging peanuts, which are more damaging to the environment, can help you provide eco delivery. FedEx is another carrier that makes use of green delivery trends. FedEx takes pleasure in using envelopes that include 93% or more recycled material on average. Additionally, the materials for their packages, white boxes, and brown boxes are recycled. Ship Orders in Bulk Group and ship tiny items together. Don't, for instance, sell makeup or little items like toothbrushes in individual pieces. Bulk shipping is less expensive than shipping little items individually. If online retailers need users to buy more things, their sales will increase. Additionally, it increases value for the customer. Customers must plan their purchases or split an order. The result for you is less shipping frequency, lower shipping costs, and potentially higher sales. Insulate Your Warehouses One of the greatest energy wasters in the storage process is the fact that warehouse walls are often built of thin metal components with low insulation. Thermal energy is lost during the winter due to ineffective warehouse heating. It is essential to spend money on the thinnest layer of insulation to prevent the need for too many air conditioning units to be installed in the warehouse. Additionally, a good ventilation system with large ceiling fans that evenly distribute warm and fresh air throughout the warehouse reduces the need for heating. Use Electronic Vehicles for Last-Mile Delivery It is well known that electronic vehicles have much lower pollution levels than conventional vehicles. Electronic scooters are becoming widely available so if you are really committed to eco friendly delivery, you can switch your last-mile delivery fleet completely to electric vehicles to reduce your carbon footprint. Use Thermal Printers Since no ink is used, choosing direct thermal labels is a more environmentally friendly label option and results in one less non-recyclable waste product. If earlier labels lacked an adhesive backing, thermal labels can replace them, saving both time and resources. A popular thermal label printer choice is the Zebra LP2844. Provide In-Store Pickup One benefit of in-store pickup is that the consumer has complete control over the time and place of the pickup. Customers can reroute and reschedule their packages to an access point location in conjunction with the delivery personnel. This enables the business to reduce their travel miles and thus, be more environmentally friendly. Partner With an Eco-Friendly 3PL Company There are many 3PL fulfillment companies that provide eco-friendly shipping services. Partnering with them will help your company achieve its goals of reducing its environmental impact. While they may charge more than conventional 3PL companies due to the added costs associated with providing eco delivery, it will be worth it. 10 Environment-Friendly Packaging Materials to Help Your Business Go Green Compostable Packaging The term compostable describes a substance's capacity to break down organically and return to the ground, ideally without leaving any harmful byproducts behind. Bio-poly mailers and plant-based materials (such as corn, sugar cane or bamboo) are typically used to make compostable packaging materials. It is crucial to remember that material must be able to decompose in a home compost within 180 days and in a commercial compost within 90 days in order to be regarded really biodegradable. Recycled Packaging Recycled packaging is another option for environmentally friendly packaging materials. These are products that give already-used plastics a second chance at being used. By reducing the need to gather raw materials, employing recycled materials helps you protect the environment and provide eco friendly shipping by reducing the quantity of waste that ends up in landfills. Corrugated Packaging Box fibers created primarily from trees and used in corrugated containers are referred to as corrugated packaging. They can be recycled seven to ten times to create new packaging materials. More corrugated packaging than any other type of packaging is also recovered for recycling. Numerous online retailers package and transport their products using corrugated packaging, which is commonly used in the business. Seaweed Packaging The gelatinous material agar, which is present in a range of seaweeds and algae, can be utilized as green packaging in a variety of industries, from corn to mushrooms to seaweed. Seaweed can be used as a thickener or as a vegetarian alternative to gelatin in the food business. Seaweed packaging might be the next big thing in eco friendly shipping because it is derived from a plentiful and renewable raw material. Cellulose Packaging Hemp, wood, and cotton are examples of natural materials used to make cellulose packaging. The substance is a sustainable replacement for plastic because it decomposes and can be composted. Because cellulose packaging resists moisture, food brands in particular favor it. Cornstarch Packaging As you might have guessed, items comprised of cornstarch are referred to as cornstarch packing. It is sustainable and biodegradable due to the fact that it is made from renewable resources and doesn't include toxic substances. Another wonderful substitute for bubble wrap and styrofoam is biodegradable packing peanuts, which are made from cornstarch. Recyclable Air Pillows Another excellent budget and eco friendly shipping package substitute for bubble wrap or styrofoam is inflatable air cushions. They come in a range of sizes and are perfect for padding packaged objects or filling gaps in boxes. Small bags that can be inflated, or "air pillows," are mostly made of air. Compared to alternative cushioning materials, this reduces the amount of plastic consumed in their manufacture and transportation. They are recyclable, reusable, and even biodegradable. Ensure you get air pillows that highlight biodegradability and are created entirely from recycled materials. Kraft Paper Wood pulp is used to make kraft paper. All varieties of wood, including resinous pine, are used to make kraft materials, unlike normal paper, which typically excludes this type of wood. Since almost all of the chemicals needed to create kraft paper can be utilized again, the production process is more environmentally friendly. Green Cell Foam A bio-based foam product created from cultivated corn cultivated is called green cell foam. You can get rid of it by putting it in water or by composting the substance at home or in commercial settings. As its name clearly says, green cell foam behaves very similarly to foam, making it the perfect choice for companies that need to transport their products with padding. Organic Fabrics You'll discover that there are many different types of organic fabrics available on the market, such as hemp, organic or recycled cotton, tapioca, palm leaves and many others. All of these materials are biodegradable and require only about 100 days to break down as opposed to a plastic bag's 10,000 years. These materials can be used for a wide range of other things besides bags, such as apparel. Conclusion To provide eco friendly shipping, every effort counts. Investing in the sustainability of your company now will benefit both the health of the environment and the future of your brand. To continue running a successful business while also taking care of the environment, keep in mind the advice provided above. If you assistance with eCommerce fulfillment, you can consider partnering with WareIQ. WareIQ is a leading eCommerce fulfillment company that provides multiple eco-friendly shipping facilities such as ultra-fast delivery, a nationwide network of fulfillment centers so that you can store products closer to customers, your choice of packaging materials and much more. Eco Friendly Shipping: FAQs How can delivery be done sustainably?Utilize more environmentally friendly solutions that minimize packaging waste to fit more things in each box, handle more deliveries with each vehicle, save money on packing and lower carbon emissions. Air pillows, compostable mailers and recyclable cardboard boxes are all examples of eco friendly packaging. What are the drawbacks of environmentally friendly packaging?Cost: Switching from conventional to eco friendly packaging can be rather expensive for many organizations, especially small ones.Contamination: The components of eco-friendly packaging are easily degradable but only when properly disposed of. What is eco friendly shipping?Eco friendly shipping is sometimes referred to as sustainable or green packaging. It employs manufacturing processes to cut down on energy use and lessen its negative impact on the environment. It is made of recycled materials, is safe for use around people and the environment and is simple to recycle. What substance is eco-friendly for eCommerce packaging?Generally speaking, natural materials like Tencel (produced from sustainable wood pulp) and organic cotton and linen (derived from plants) are more environmentally friendly than synthetic fabrics like Polyester and Nylon.

August 04, 2022

First Mile Delivery: A Detailed Guide Including Definition, Importance, Challenges and Tips for Optimising First Mile Logistics in 2022

First Mile Delivery: A Detailed Guide Including Definition, Importance, Challenges and Tips for Optimising First Mile Logistics in 2022

Many rapidly expanding online merchants struggle with the ongoing balancing act of providing clients with a great delivery experience. In the process of offering smooth and hassle-free deliveries, if a business is paying too much in shipping costs, it can majorly reduce profit margins. What if it was possible to enhance the delivery experience at a more early stage of the eCommerce supply chain? It turns out that your shipping experience is directly impacted by the first mile delivery stage and optimizing it will result in significant downstream gains. In the article, we will learn the advantages and challenges of first mile delivery, its importance and tactics to improve it. What is First Mile Delivery? First mile delivery refers to the transportation of goods from a merchant’s premises or warehouse in the supply chain to the next location where the goods are stored and distributed from there. But for various supply chains and businesses, the first mile delivery could signify different things. For a retailer, this can entail shipping goods from a local distribution center or storefronts to a regional warehouse. For logistics companies, this could be a service of picking up goods. First mile delivery is used by eCommerce businesses where products are picked up from a merchant and then passed to third-party logistics or courier service to be delivered to the end-user(Buyer). [contactus_gynoveda] Importance of First Mile Logistics in eCommerce First mile delivery, which is the first step in the supply chain, has a significant influence on how a company handles retail fulfillment. Ineffective first mile delivery can slow down last-mile delivery by affecting the supply chain throughout the fulfillment stage. Some of these inefficiencies frequently have their origins in incorrect purchase order decisions. If production is delayed or an incorrect amount of inventory is delivered, it is enough to throw off the remainder of your supply chain, especially if you are receiving orders that depend on the arrival of the upcoming shipment of stock. By identifying ways to increase visibility, diversify your supplier network and implement a robust warehouse receiving process, many problems that arise during first mile logistics can be resolved. Tactics to Optimise First Mile Delivery Processes Choose a Tech-Enabled Fulfillment Company There is always the option of handling first mile logistics on your own but if you're ordering a lot of products and handling a lot of orders, you're going to need the room and the assistance of a professional. You can choose which parts of a 3PL's warehouse network to keep products in when you first begin working with them. You can request direct delivery of merchandise from your supplier to the fulfillment center, where logistics professionals will carry out a careful inventory check to make sure the purchased items match the paperwork. WMS software is built to make sure you have the information you need so everything is accounted for and correctly stored, in order to guarantee the completion of flawless first mile delivery. After receiving inventory, you can monitor the flow of it in real-time on the dashboard. You can access inventory records, calculate the best time to replenish inventory and create automation reorder notifications when inventory is running low because all inventory and order data is consolidated in one location. Analyze the Supply Chain Process Making a map of your supply chain starting with first mile delivery is a good method to improve it. You may find the inefficiencies in your current supply chain and the measures required to optimize and improve processes by carefully looking over each step of it. The manual process is labour-intensive and subject to human mistakes. If you are at this stage, you should think about automation and other supply chain technologies to lessen the human factor involved in reordering goods and also to reduce errors. Make a Warehousing Strategy Creating a thorough warehouse receiving process is another first mile delivery must. This process specifies how you or your warehouse team will receive inventory shipments delivered by your supplier and is crucial for proper inventory tracking. Before that, you should establish the quantity of each item that will be transported in each container as well as the packaging specifications for every product. Then meet with the shipper, unload the required cargo and double-check the received inventory against your records. Organise the Data You must have a system in place to gather data and present critical distribution metrics in order to properly enhance your first mile delivery process. Data and information on the supply chain can be recorded in a variety of ways. You can assess the effectiveness of the first mile logistics process using different metrics like shipping timing, purchase accuracy, manufacturing cost, number of days your supplier needs to supply stock after receiving an order, the time period needed to disassemble pallet loads and stock ready-to-ship merchandise and the proportion of your supplier's items that are harmed while being transported. By using inventory management software or a warehouse management system, much of this can be monitored or you can also just outsource fulfillment to increase your visibility of these metrics.  Create a Packaging Process with a Scanning and Labeling System The majority of your products will be damaged regardless of how quickly it gets to your warehouse if it is not wrapped properly for transportation. The quality of the packaging used for your inventory is one factor to consider when choosing a supplier for your company. There needs to be a proper scanning and labelling process in place to ensure that the right products are packaged and in the appropriate manner. Challenges of First Mile Delivery First mile delivery is a complex supply-chain process. There are several difficulties, but we will concentrate on the top four first mile delivery challenges: Lack of Visibility Poor visibility is a major challenge of first mile logistics that ultimately impacts not just mid-mile operations but also last-mile processes along with the experience of the end-buyer. Poor handling, en-route delays and ineffective tracking of freight movement from a warehouse to a hub, among other things are important impact areas of poor visibility. Lack of Focus on First Mile Experience For the past several years, businesses have come to understand the value of last-mile delivery in terms of offering a better customer experience. Due to the fact that this process has fewer stakeholders and is not customer-facing, first mile delivery has been conveniently overlooked as a result. First mile operations should be given the same attention as other aspects of the supply chain, such as the requirement to give customers complete transparency of the delivery process and to reduce logistics costs. Due to this, businesses must use reliable first mile tracking systems that reduce expenses and guarantee complete visibility of delivery operations. Improper Packaging Packaging frequently suffers as a result of the rush to supply quickly. Regardless of the type of item, businesses frequently employ standard packaging materials. This delays the entire freight transportation procedure and frequently results in material damage during first mile delivery. Branded packaging is the most sophisticated packaging method. It not only saves money and better safeguards products but also helps in marketing your brand. Ineffective Labeling Methods Labeling is a small but crucial component of first mile delivery. Many companies still manually label packages to this day. As a result, not all the required fields are mentioned in packages, which causes dispatching to be ineffective and prone to delays. This problem is rapidly solved by automating dispatching, a crucial component of last-mile tracking technology. Top 4 Differences Between First Mile Delivery and Last Mile Delivery [table id=43 /] Conclusion: Integrating First Mile Delivery with WareIQ Now it is clear that good last-mile delivery has a direct impact on customer satisfaction and profitability. Customer satisfaction can be drastically decreased if a shipment is delayed or a customer receives an incorrect item. The first mile delivery procedure is largely manual for many logistics service providers, if not entirely. Moving all operations and supply chain data online is the first step to cutting costs and improving efficiency. Remember that you need applications that provide visibility and control to all parties involved including dispatchers, drivers, operations managers and shippers. Using WareIQ’s smart technology, businesses can customize logistics management systems to better suit their requirements and make smarter automation decisions. WareIQ, a complete logistics management system, guarantees a decrease in delivery costs and time. The end-to-end visibility and tracking capabilities that results from moving the entire delivery process to a digital platform are increased. Companies can use the best transport management system with optimal route management by partnering with WareIQ. Features like real-time intercity tracking, dynamic detention and delay alerts, route planning and route optimization can improve linehaul tracking. Together, these capabilities greatly simplify the processes involved in first mile delivery. Customer satisfaction can be considerably raised by an effective tracking system and a prompt delivery system. WareIQ takes care of the following guidelines while sending freight: To appropriately spread the weight of your shipments when they are piled one on top of the other, we use top and bottom load protectors.Stretch wrapping is used to support the shipment during transit and avoid load movement.Enough bubble wrap is included in each box in the shipment to guard against breakage.As you develop connections with suppliers, we make sure to hold them accountable for their output and delivery quality.We increase vertical stacking strength, avoid damage to corner edges and balance the load by using corner/edge boards. First Mile Delivery: FAQs What is mid-mile delivery?Middle-mile delivery refers to the delivery of goods from a warehouse or distribution center to fulfillment facilities, where consumers buy their items. It is also known as second-mile delivery. The movement of finished goods from the fulfillment center to the customer is known as last-mile delivery. What is last mile in the supply chain?Last mile delivery, used in supply chain management, refers to the challenging final leg of moving people and packages from storage hubs to their ultimate destinations. Why is last mile delivery so expensive?Last mile delivery necessitates more frequent stops, fast-accumulating delays, and inefficiencies lead to increased driving and idle times, higher fuel and labour costs and unmanageable complexity. Minimizing costs, maintaining transparency, raising efficiency and enhancing infrastructure are a few issues with last mile delivery.

August 04, 2022

What is Demand Forecasting? Definition, Types, Benefits of Forecasting Customer Demands for Ecommerce in 2022

What is Demand Forecasting? Definition, Types, Benefits of Forecasting Customer Demands for Ecommerce in 2022

Running an eCommerce logistics business is filled with challenges. These challenges are aggravated when businesses operate in a cutthroat environment where new competitions emerge daily. Organizations, therefore, try to forecast the upcoming market conditions, trends and requirement patterns to achieve sustainable growth.  As a business owner, you might have pondered on some or all of the questions below: What are the products you should produce to mitigate market demand?How many products do you need to store in distribution centres?What should be the exact closing inventory level to run the business successfully?What strategies do you need to adapt to deliver products in the shortest time? The best way to get the answers to these questions is to understand demand forecasting.  This is the technique to understand future requirements and utilize them to improve your customer deliveries without compromising profit margins. Demand forecasting uses different factors to analyze customer behaviours, current and future trends, product acceptance, etc., to provide the best possible visibility for the future.  This article will walk you through the in-depth definition of demand planning & forecasting, the different types of demand forecasting and the reasons you should use it. What is Demand Forecasting? Demand forecasting is the process of making close-to-perfect predictions of the future requirements of all customers. This could be related to existing products you have been selling for years or any new item you plan to launch. Businesses usually deal with stock-keeping units (SKUs), which may vary from hundreds to lakhs, depending on the type of business. The number of customers can also vary at a similar level.  Combining all the SKUs and customer demand for any short or long-term period creates a massive combination. Moreover, many more variables like the geographic location, specific time period and even specific projects make it more complicated. Demand forecasting combines all these variables and projects the best possible understanding of the demand pattern in the supply chain. Demand forecasting, also known as sales forecasting, has different factors such as quarterly forecasts, monthly demand planning, weekly sales forecasts and even daily demand plans. In the case of highly perishable goods like food items, you can even see hourly supply and demand planning. The more accurate your demand planning & analysis is, the more it helps to boost your supply chain efficiency. This is because your overall supply-chain planning depends on the accuracy of your demand analysis.  Based on the demand pattern, the supply team plans the inventory strategy and estimates the in-house capacity, materials, ordering pattern, stocking policy, etc. These are the critical factors of an efficient supply chain. [contactus_uth] 6 Types of Demand Forecasting Based on different business models, experts have created different demand forecasting techniques: Passive Demand Forecasting The passive demand forecast model is one of the simplest forms of demand analysis in the supply chain. Here, the historical data is analyzed and used to predict the future requirements of customers.  In the case of seasonal demand, this forecasting method is useful. For instance, an umbrella manufacturing company can assume whether the same quantity of products will be required in the next year as the previous year.  In this scenario, some thumb rules are used along with the past sales data. For example, simply assuming a 10% increase from last year's sales will be the forecast for the following year.  It is that simple. But in this planning methodology, you need to have in-depth historical data for a more extended period to reach a higher level of forecast accuracy.  Active Demand Forecasting The active model is more scientific and data-driven. It not only relies on historical data but also considers external factors to conduct demand forecasting.  For example, deep market research, marketing campaigns, economic growth, government notifications, budget plans and local and global political conditions all are considered during the demand analysis.  In most cases, startups and organizations entering a new market perform this type of demand analysis. However, there is very little historical data available in these cases and demand planners rely on market surveys and research to generate sales forecasting in the supply chain.  Therefore, this type of demand planning needs more analysis to avoid any assumptions. Nowadays, organizations use advanced software to perform qualitative and quantitative analyses to get accurate information about every product.  Short-Term Demand Forecasting Demand forecasting is also done based on the time horizon. Short-term demand analysis usually considers a time frame of the next three to twelve months. This enables a more accurate percentage.  Usually, the demand analysis is made based on short-term predictions of future demand. This benefits the organization by reducing the required inventory, improving turn-around time, lessening lead time and enhancing flexibility in response to any fluctuations.  Even during the in-house capacity planning, considering the short-term requirement forecast is the smartest method. It helps avoid unnecessary change over time and provides better visibility on your short-term decision making.  Long-Term Demand Forecasting Long-term demand forecasting is more like a strategic plan for business growth and development. Usually, organizations consider a five-year horizon for this type of planning.  When the marketing team considers penetrating new geographical areas to expand the business, they need to try to capture new customers, frame plans to launch new products, etc., the long-term demand analysis captures all the reports and data to populate the forecast. Using this technique, you can plan your future roadmap and budget for different verticals. For example, based on the five-year plan, you can consider a significant capital investment, increase your marketing budget, create a robust plan to enhance your supply chain performance, etc. This long-term demand forecasting allows you to prepare your business for the future.  External Macro Level Forecasting In this type of forecasting, the broader economic aspects are considered. For example, future economic trends may affect your business growth or give you a new opportunity.  Your organization may think of leveraging low commodity prices and rethink developing with a new supplier. In any case, you need a forecast on which you can rely and make decisions. This is the importance of external macro-level forecasting.  Internal Business Level Forecasting Your internal demand forecast is used to identify the operation's bottleneck and for you to take necessary action to remove it. Do you have enough in-house capacity to mitigate the high demand? Or do you need to enhance your production capacity?  Do you have a robust upstream (supplier side) that can meet timely requirements? You will get the answers to all these questions once you perform the internal business level forecasting. Suggested Read: How to handle stock-outs? Suggested Read: What is Inventory replenishment? What are the Benefits of Sales/Demand Forecasting for eCommerce? Sales forecasting has much broader advantages than just managing optimum inventory or how much to order. Though the advantages are diverse, we have mentioned the most significant ones below: Reduces Financial Risks If robust data backs up financial decision-making, there is little chance of slippage. Demand forecasting provides evidence to craft an accurate budget. When you get a better idea of the demand of your customer base, it helps you improve your financial budgeting decisions. For instance, when demand analysis tells you that the demand curve of any specific product is in a declining trend, you can decide to reduce the inventory levels of that SKU and its components.  This helps to reduce the risk of high amounts of obsolete and ending inventory. Similarly, if the forecast of a new product shows that its sales figures will take some time to shoot up, you can better manage your resource allocation.  Improves On-Time Delivery Modern customers are highly demanding. They know their choices, and there are a wide array of options available. Oftentimes, buyers want the product right away. And if you fail to deliver, there are dozens of competitors who will do the same.  With the increase in customers' expectations, businesses face a massive challenge in delivering products on time. Sales forecasting offers you the opportunity to reduce the lead time.  If you know the market demand of the specific product well ahead of time, you get the time to prepare your supply chain and thus, increase the shipping speed.  Increasing inventory levels, allocating in-house production capacity and keeping your distribution centres (DCs) ready with products, are key strategic actions to improve on-time delivery. This is not possible without smart demand planning & demand analysis. Reduces Inventory Expenses Inventory is the function of variation and is often called a necessary evil. An optimum inventory level helps the business capture competitive advantages by offering quick deliveries.  On the other hand, excess and obsolete inventory can drastically consume your profit. Accurate demand forecasting supports your inventory reduction approach. Your warehouse only has the required materials, which means less money is blocked.  Moreover, do not forget the inventory carrying cost. It comprises almost 25-30% of your total inventory. In-depth demand analysis helps the warehouse and fulfillment centers run efficiently by optimizing the space, resources, and utility charges.  Helps to Create a Pricing Strategy Demand planning greatly supports you in strategically framing the pricing of your products. For instance, customers are ready to pay a reasonable price for products that are in high demand. Then, following the trends, you can tweak the pricing strategy of in-demand products.  Enables Better Negotiation A demand pattern allows you to save a lot of money by helping in negotiation with suppliers and service providers. For example, you can manage to get a good discount on bulk purchases if you know that the demand will rise.  Moreover, for commodities that have fluctuating price trends and high forecasts, you can negotiate with the vendor to keep safety stock with them. This will help you get a better price and avoid inventory carrying costs.  Examples of Demand Forecasting Projecting Trends Imagine that there is a business operated by 2 partners that sell toys, clothes and other items for kids and they have been operating for around 10 years. They have reached their goals in terms of revenue and profitability and are comfortable with operating at this pace instead of expanding. To project trends for next year, they take the average of the last 3 years of historical sales data. This data shows them that they are the most successful in July and October and that they perform at their lowest levels in January and February. They can utilize these analytics to project future trends so that they can accurately place orders, hire temporary staff in seasons of high demand and create plans for promotions during slower months to generate more hype. Conducting Market Research Suppose that a new company has researched and developed advanced wireless headphones and the brand was launched through the crowdfunding platform Kickstarter. While they were able to get decent exposure, they have the objective of expanding their target audience in order to meet their targets. They encourage customers to take part in a survey and using the responses and details such as age, income, location, etc. they identify the current customer base of the company and realise that their product is most popular amongst people who commute via public transport. Based on this information, they create a marketing plan that focuses on ad campaigns targeting at people who ride on buses and trains. They highlight how their product would be helpful in these situations and are able to forecast the upcoming future demand. Using Sales Force Composite Imagine that a brand sells high-quality office chairs targeted at both B2B and B2C customers. In the past, they have primarily had high demand from the B2B sector and have received huge orders from other organizations but for the past quarter, business has been slow. The members of the sales team share the feedback that they have received from customers which helps them identify a market trend. Because more people are working from home and businesses no longer require large office spaces, they have no requirement for office furnishings. The company then forecasted demand for the next quarter with reduced sales and also decreased its production capacity. This gave them time to restructure its marketing strategies to meet the change in demand. How Does Demand Forecasting Affect Your Supply Chain and Fulfillment? In this modern era, eCommerce fulfillment businesses can only sustain themselves if they have an agile and resilient supply chain. If they don't have visibility on customer requirements, all the business processes will run on assumptions.  You may have products that are not required, a pile of stationery inventory that will become obsolete soon, a production line with frequent changes and much more. All these activities trigger inefficiency in fulfillment centers.  Poor demand forecasting will affect the internal business operations and your upstream (vendors and service providers) will also face colossal disruption. Due to the bullwhip effect, suppliers will face high volatility in ordering patterns, inventory planning, stocking policy and other SLA items in the supply chain. These unwanted disruptions will hamper your long-term business relationship. There will be overstocking at every stage, even at the supplier's end.  The most impacted area will be your downstream (the customers' side). The disruption in the supply chain will increase the lead time. As a result, customers will need to wait longer for deliveries which will make them move to competitors and never recommend your products to others. This is definitely not good for your brand reputation. Latest Trends of Demand Planning & Forecasting in 2022 Seasonality of Demand Seasonality is a factor where the demand and supply increase or decrease due to a particular event or time of the year. For instance, during holidays like Christmas or New Year, the sale of household products and gift items increases. Similarly, you can observe increased sales of umbrellas or raincoats during the rainy season.  Dependency on Global Phenomenons The global economy is more interconnected than ever before. This has been made more apparent by the onset of the global pandemic and the ongoing war in Ukraine, which have had a severe impact on manufacturing, transportation of products and materials and the supply chain as a whole. You may think that events that happen in distant countries have no effect on you receiving your orders on time, if at all, but alas, they definitely do because most manufacturers import at least some of their materials from countries like China. This is why demand planning is important because it can preemptively determine whether these global events will have any impact on your business or not and can easily ascertain what those impacts could be. Requirements to Increase Sustainability Companies the world over are succumbing to growing awareness about the environmental impact that certain manufacturing and supply chain processes have on the planet. Companies are under increased pressure to use sustainable materials in their packaging and to reduce their carbon footprint as much as possible. However, these factors can have a drastic increase in logistics costs so companies need to find the right balance between being environmentally friendly and maintaining their bottom line and this is where demand forecasting can help them get to that balance. Multi-Functioning of Demand Forecasting In the past, demand forecasting, while still an important business process, was usually contained within certain departments. However, this is becoming the exception because most companies now understand the value of sales forecasting and how it can have a positive effect on the entire business. Teams are now striving to find ways to integrate the process of demand analysis with every sector of the business to achieve the best results. Diminishing Importance of Spreadsheets While spreadsheets will always have their importance for maintaining data and an easy-to-understand way, many companies are adopting more advanced methods to demand planning by relying on automation, software solutions and AI to be able to predict varying demand levels for different products in various markets for a specified time period in the future. This helps in mitigating any manual errors or confusion that could occur due to maintaining hundreds of different spreadsheets Conclusion Businesses need to understand their customers and the best way is to use demand forecasting. It helps make smart decisions based on future visibility. Many organizations have realized its benefits and have already implemented this process.  Demand analysis cannot always be 100% accurate but a proper demand analysis and market research can come close. It considers historical data, sales data, market research and economic factors to perform permutation combinations to keep your business strong, agile and prepared for the future. WareIQ is an eCommerce fulfillment company that effectively predicts demand beforehand for its eCommerce partners using its superior WMS (Warehouse Management Software) platform & enables efficient inventory planning & placement. How WareIQ Helps in Forecasting Demand For Its Partners Supply Chain Management Systems (SCMS) is used by WareIQ to forecast supply chains. Our supply chain managers are also educated to predict demand using various approaches. A variety of things can have an impact on a firm and no two sectors are alike. While some of these demand forecasting methods do not require SCMS, the majority of them work well with it to provide an effective supply chain from top to bottom. You can also Read : Inventory Forecasting in Supply Chain Buyer Trend Analysis Everything goes out of style and it frequently happens without warning. Buyer trends are tough to follow but doing so may be quite profitable. To fulfill consumers' fluctuating wants, your supply chain must be adaptable enough to add large quantities of an item in a short period of time. At the same time, being aware of buyer trends may save you from having static inventory and keep your supply chain's operating expenses low. Fortunately, logistics allows for achieving the required amount of inventory. Demand Forecasting Management Demand forecasting wouldn't be necessary if trends were similar year after year. All demand fluctuations, like any other metric, include exceptions. When a projected shift in demand does not occur, having an effective demand exception management strategy could help you manage inventory more effectively. WareIQ identifies and tracks any deviations in projected demand in this sales forecasting model. If it seems that an exception may arise, the supply chain will be prepared to respond immediately, avoiding hidden costs or missed opportunities. Intuitive Planning When you suspect that anything is threatening your supply chain, the best solution is to rely on your D2C fulfillment partner's statistics and instincts. Trust WareIQ as your retail fulfillment partner since we forecast based on our own experiences. By sensing prospective fluctuations in customer demand, our seasoned supply chain specialists can identify them. This is known as intuitive planning. Intuitive planning considers everything you cannot comprehend manually. For example, an eCommerce business may intend to acquire a competitor in the future. Of course, you were unaware of this news at the beginning. However, our popular wisdom suggests that this will result in more consumers, implying increased buyer demand. Intuitive planning is not as sophisticated as the other demand forecasting approaches, yet it is still effective. [signup] Demand Forecasting & Planning FAQs What are the goals of demand forecasting in supply chain?In a nutshell, the goal of demand forecasting is to create better projections. However, in a larger sense, the goal is to improve organisational performance - more revenue, profit, and customer pleasure. What are the three demand forecasting methods?Qualitative approaches, time series analysis and projection and causal models are the three fundamental categories. What are the forecasted levels of demand?Demand forecasting may be done at three different levels: macro, industry, and company. Forecasts for broad economic circumstances, such as industrial production and national income allocation, are made at the macro level. Can partnering with a 3PL company like WareIQ help with demand forecasting?Yes. 3PL companies like WareIQ have advanced software solutions and techniques that can effectively forecast demand and help you plan ahead to mitigate any discrepancies in storage and inventory.

August 04, 2022

5 Different Trust Badges to Increase eCommerce Sales. How Do Amazon Prime’s Tags & WareIQ’s Post Ship Badges Enhance Customer Experience and Boost eCommerce Conversions?

5 Different Trust Badges to Increase eCommerce Sales. How Do Amazon Prime’s Tags & WareIQ’s Post Ship Badges Enhance Customer Experience and Boost eCommerce Conversions?

According to studies, more than 60% of customers do not end up purchasing items because no trust badges are visible on the website. Trust badges are a simple symbol that reassures customers that they are on the right track and instils trust in them & lowers cart abandonment. The lower the average shopping cart abandonment rate, the greater the increase in sales. Let's get started with how you can use trust badges to increase eCommerce sales, the various types, how to place them on your website, and much more. What are Trust Badges in eCommerce? A trust badge is a symbol that is displayed on a website to inform visitors that the brand is genuine and trustworthy. They are also known as site seals, shipping tags, or fast delivery tags. They're essential for sites that collect personal or financial information, such as eCommerce or membership websites. Retailers also use trust badges to increase eCommerce sales. Customers are easily put off by shady websites that do not indicate that their data is secure. Many trust badges are created by third parties-providers. Once you've met their requirements, you can use their services which could include anything from purchasing an SSL certificate to having your business practices reviewed. [contactus_gynoveda] Why Does Your Website Need Trust Badges to Increase eCommerce Sales? Trust badges persuade customers that they can entrust their personal and financial information to your website. Shopping cart abandonment can have a detrimental impact on eCommerce sites. 17% of people abandon their shopping carts because they do not trust the website with their credit card information. A few factors of trust badges are listed below: A bar graph titled "Reasons for Checkout Abandonment" specifies that 49% of people surveyed said that they abandoned their cart due to extra costs being too high.A trust badge or shipping tag displayed at the appropriate point in the checkout process indicates that customers' information is secure.The same payment-related trust issues will also apply to membership websites. Even if you have a free version or a free trial, you may still need to ensure that users can enter their personal information safely during registration. You can have strategically placed trust badges to increase eCommerce sales.  We've learned a few things about trust in our years of experience — what customers want, how to best earn their trust, and so on. It all comes down to three key points: Consumers Prefer to Buy From Brands They Trust Almost anyone can now start an eCommerce business. As a result, modern customers are inundated with offers, emails and websites with which they are unfamiliar. At the same time, the world's largest corporations are frequently involved in widely publicized data breaches involving the personal information of their customers. It's no surprise that 40% of shoppers say they no longer buy from brands they like because of trust issues. However, trust today is about more than just the brand and a potential customer's familiarity with it. It is also about the visitor's experience and viewpoint. Take, for example, Burt's Bees, a large, well-known brand that saw a significant increase in conversions when trust badges were displayed. This is because brands typically speak to the level of product trust rather than the online purchasing experience on their eCommerce store. Thus, it is not only useful to provide trust badges to increase eCommerce sales but they are also essential for customers who want to ensure that a website and online transactions on it are safe and secure. Trust is About More Than Online Security and Personal Information The risks of modern shopping have shifted. Concerns that used to revolve solely around website security have now expanded to include eCommerce performance, scam avoidance, business practices, shipping fulfillment, and customer data protection, to name a few. Based on this (and the test results), there is still a significant need for trust badges to increase eCommerce sales, particularly those that address multiple aspects of business trust in addition to security. The Trusted Site system, for example, addresses both security (scans for malware, viruses, and valid SSL certificates) and trust concerns (verified business information, shopper identity protection, and issue-free orders). A comprehensive trust mark like this one puts customers at ease throughout the entire online shopping process. Trust Badges Regularly Increase Conversion Rates  Even if security isn't at the top of customers' minds as they prepare to enter their credit card information on the checkout page, it's not at the very bottom. Hence, security badges enhance conversions to a great extent when the customer is in the last leg of the sales funnel, i.e., making payments on the eCommerce site. Guarantee Badges like free shipping guarantee, same-day delivery or next-day delivery badges also drive more sales & cart conversions by showcasing fast Shipping Tags – dynamic 1, and 2-day delivery promises based on the location of the customer. A few points to note in this regard are: Conversion rates were lower in control tests conducted on eCommerce sites that did not display a trust badge.Conversion rates can be reduced by trust badges from lesser-known online security brands.Conversions are most likely to increase when trust badges from well-known brands are used. 8 Benefits of Fast Delivery Tags Such as Amazon Prime Badges to eCommerce Brands Provides Enhanced Visibility The products that have fast delivery tags such as Amazon Prime badges are automatically favoured by search engines and are constantly promoted by eCommerce marketplaces like Amazon due to the goods that are eligible for Prime shipping being provenly more successful and profitable to the selling platform and the retailer, alike. This increases their visibility to a wider range of customers. Enables a Competitive Advantage Over Rivals Companies and platforms that make use of fast delivery tags can gain a significant competitive advantage over their rivals due to the indication that orders will be shipped more rapidly. Due to the prominence of Prime badges and the instant association of them with fast shipping, customers perceive that they will get their orders faster and will tend to gravitate towards brands that can meet their delivery requirements. Expands Your Customer Base Customers these days are often in a hurry to receive their orders in the shortest amount of time possible due to them diverting their time to so many different activities. Thus, consumers often prioritize fast delivery over everything else and will look for brands that have an easy indication that they provide this service. Fast delivery tags do just that and can attract new customers, specifically for the promise of fast delivery. Leads to an Increase in Conversions When customers see that the product they want to buy has fast shipping tags, they instantly lose any apprehension they might have had because they are now aware that their product will reach them, either within the same day or the next day, depending on the delivery speed promised by the badge. This will instantly lead to an increase in the number of customers that make purchases as opposed to abandoning their carts midway. Provides More Trust to Consumers Fast shipping tags often act as a verification that a brand and its products a legitimate. In a similar manner to a blue checkmark on Twitter or a verification logo on Instagram, customers will automatically gain the perception that they are dealing with a professional service and are more likely to purchase a product that has this stamp of approval than one that doesn't. Reduces Returns Since fast shipping tags help make customers aware that they will receive their orders in the foreseeable future, they tend to be less aggravated and perplexed about when their order will arrive. This reduces the chances of them losing faith in the delivery process or the company itself, and initiating a return and asking for a refund. Lowers Costs and Increases Profit As mentioned above, fast shipping tags provide more encouragement to customers to go through with their purchases, which leads to more sales and less shopping cart abandonment and also reduces the rates of return initiations, which reduces the logistics costs that retailers have to incur in order to transport goods back to their warehouses. Helps to Consolidate Inventory When a bunch of products qualify for fast delivery and have shipping tags that convey the message to both customers and retailers, they can be stored in a designated area that is only for products that have this delivery advantage. This makes it easier to instantly locate, package and ship products so that they can be delivered faster and meet the required ETA. Products on Amazon.in that are represented by Prime Badges Where Do Trust Badges Go on Websites? An intriguing aspect of research conducted by Baymard is the discovery that, depending on the design of the website, users perceived certain parts of a page to be more secure than others. It is important where you place your trust badge to increase eCommerce sales. A trust badge can be placed anywhere on your website. Still, it will most likely have the greatest impact in places where the buyer questions the site's security, such as a checkout or registration page, in order to reassure them that it is secure. Let's take a look at some popular placement options: Homepage A trust badge or fast delivery tag on your homepage immediately begins to build user trust. Many businesses have a trust badge above the fold on their homepage but it could also detract from the design. Trust badges or shipping tags on the homepage should be visible but not overpowering. If you don't think your site seal fits with the design of your page, there are plenty of other places you can put one. Site Footer One of the simplest ways to spread trust is to place a trust badge in your site's footer. When you add it to your website's footer, it will appear on all pages, including the homepage. However, that should not be the only location you consider. Many customers never look at the footer, especially when deciding whether to enter their credit card information into a checkout form. You also don't want the footer to become overly cluttered with site seals, social media icons, and other information. Just add trust badges to increase eCommerce sales. Product Pages A common location for trust seals on a product page is right next to the "Add to cart" option. It helps customers to achieve more trust in the business while checking out. Checkout Page For most businesses, the checkout page or form is the most important place to include a trust badge or a fast delivery tag. You want users to see that trust seal right when they're wondering if it's safe to enter sensitive payment information. Types of Trust Badges A trust badge is any website icon that provides visitors with a sense of security. Some of the most common ones are listed below: SSL Certificate Badge SSL is an abbreviation for Secure Sockets Layer. It is a protocol for encrypting and authenticating data sent between two applications, such as a browser and a web server. TLS, or Transport Layer Security, is a newer, more up-to-date version of SSL, but SSL remains the more commonly used term. While some service providers use SSL/TLS certificates, others use SSL to refer to both protocols. You've probably seen the little padlock next to a URL in your browser that indicates a secure connection (or a warning message that your connection isn't secure). Those are predicated on the presence of a valid SSL certificate. Many SSL certificate providers also provide a trust badge that you can place on your website. Security Badge SSL site seals are not the only trust badges that you can obtain to demonstrate the trustworthiness of your website. Some providers specify the security features required to obtain a badge. TRUSTe, for example, awards businesses a trust badge based on their adherence to international privacy standards such as GDPR. Accepted Payment Badge You'll notice that 7% of respondents in the Baymard Institute study abandoned their shopping carts due to a lack of payment options. Consumers prefer payment options with well-known brands such as Visa, MasterCard or PayPal. When a shopper can use their preferred method of payment, the site feels more secure and legitimate. An accepted payment trust badge informs your site visitors that you accept those payment methods and adhere to the stringent security requirements of those payment providers. These badges are typically free and simple to obtain from payment cards or online payment companies. You can learn more about them by visiting their websites. This is one method that delivery companies use trust badges to increase eCommerce sales. Third-Party Endorsement Badge There are a few trust badges available that endorse your company as a whole. The Better Business Bureau offers an impressive but difficult-to-obtain badge (BBB). After receiving BBB accreditation, you can display this badge on your website. It will cost you $75 to apply for accreditation. Assume the BBB investigates your business practices and determines you meet its standards. In that case, depending on the size of your company, you'll have to pay at least a few hundred dollars per year to maintain accreditation. You can also get a free endorsement badge from Google Reviews. This badge displays your seller rating if you have received at least 100 reviews in the last year. All you have to do is follow the Google Reviews guidelines. Your older customers will be impressed by the BBB badge. Google, on the other hand, will have more brand recognition if your site's audience consists primarily of Millenial and Gen Z shoppers. If you are a SaaS company, you can also include badges from crowd-sourced review sites such as G2 Crowd. This use of trust badges to increase eCommerce sales will also increase your credibility with potential customers. Guarantee Badge Guarantee badges differ from the other types of trust seals that we have discussed. They are typically not provided by a third party and are not subject to a certification process. They are simply an image that represents a promise made by your company to its customers. Among the most common guarantee badges are: Shipping is always freeReturns are freeGuaranteed money back These badges are necessary because customer concerns about eCommerce are not limited to data security. They also want evidence that you will provide a pleasant shopping experience. Ensure that the badges work. Simple 30-day money-back guarantee trust badges to increase eCommerce sales did so by 32.57% on a website that used it. How to Add Trust Badges to Your Website Adding trust badges to increase eCommerce sales on your website does not require much technical knowledge. Many of them are easily added using the basic WordPress editor or other simple methods. A few of them are listed below: WooCommerce Checkout Templates The default WooCommerce checkout form already includes accepted payment icons, which serve the same function as trust badges to increase eCommerce sales. However, it may be beneficial to include additional trust seals on your checkout page. If you know how to code, you can add elements to the page yourself by using action hooks. You'll need the following: woocommerce_before_checkout_formwoocommerce_checkout_before_customer_detailswoocommerce_checkout_billingwoocommerce_checkout_shippingwoocommerce_checkout_after_customer_detailswoocommerce_checkout_before_order_reviewwoocommerce_checkout_order_reviewwoocommerce_checkout_after_order_reviewWoocommerce_after_checkout_form Browse the many available WooCommerce themes for one that allows you to add images to your trust badge location of choice for a more basic customization method. It does not provide as much flexibility as custom coding, but it is straightforward. WordPress plugins are also available that allow you to display badges on your checkout page and elsewhere. WordPress Plugins Using WordPress plugins, you have a plethora of options for adding trust badges to increase eCommerce sales. We've already mentioned Google Reviews and Customer Reviews for WooCommerce as badges for customer reviews. Review plugins are an excellent way to increase trust in your website. Some even provide additional badges based on reviews, such as Widget for Yelp Reviews. Other plugins, such as YITH WooCommerce Badge Management, allow you to create badges in a variety of styles for your product catalogue. This type of badge plugin is ideal for shipping tags or fast delivery tags that say "free shipping" or "free returns." Finally, if you use the SiteLock plugin, some WordPress security programs, such as SiteLock, provide site seals. TrustedSite is a plugin that allows you to earn certifications and trust badges. Images Your trust badge could be as simple as an image placed on a WordPress page. Simply upload the image file and strategically place it on the page of your choice. HTML or JavaScript Some trust badges to increase eCommerce sales include a source code for embedding the badge on your website. It's common for badges to include links or pop-ups with certificate information. You can place these badges in your WordPress theme's header or footer. Conclusion: Using WareIQ’s Shipping Tags (Now Live on Shopify) to Increase Sales Conversions As we have discussed all of the benefits and requirements of using trust badges to increase eCommerce sales on your website, it can help you build trust among your visitors while also increasing your sales conversion. And if you have an online store, you should opt for using trust badges to increase eCommerce sales. It is beneficial to use trust badges because if your visitors find your website safe and secure, they will undoubtedly convert into potential customers, assisting you in increasing your sales. Using a Trust Badge on your website can significantly increase your conversion rates and ROI, allowing you to generate more revenue from your website. An easy way to implement trust badges is by partnering with a 3PL company like WareIQ, which will implement trust badges on your website, on your behalf. WareIQ's trust badges that are displayed on your website and product pages assist customers in finding out serviceable pin codes and estimated delivery dates for products listed on the site. You can make quick and transparent delivery timelines your competitive advantage with our custom engine which identifies if products are available in inventory, smartly chooses the closest warehouses, and identifies the fastest possible route to enable the fastest and smoothest delivery experience to customers. Speed Up the Sales Conversion Rates of Your Business Through WareIQ's Well-Communicated Shipping Timelines Provides reassurance to customers by adding Prime-like badges to your websiteHelps you utilize our fast delivery tags on your product pagesEnhances your add-to-cart conversion rate by displaying estimated timeframes for every product Why Should You Use WareIQ’s Post Shipping Badges? Assists in gaining knowledge about serviceable pin codes and estimated delivery dates for productsHelps to enhance the trustability of your company in the eyes of customers Benefits of Using WareIQ’s Fast Delivery Badges Assists in using trust badges to increase eCommerce sales of your productsSpecifies the tentative delivery time for each orderGains the trust of customers by providing prime-like shipping tags on your web page How do WareIQ Shipping Tags Work? Checks the availability of products in the inventory in real-timeShortlists the closest warehouseIdentifies the quickest delivery timeline throughout our entire logistics network Shipping Badges on Shopify Shopify store owners that use WareIQ can make use of shipping badges on their productsThere are currently 3 badges - Same Day Delivery, Next Day Delivery and Standard DeliveryIt provides an instant look at the product's delivery speed to customersWith this Fast Badge program, WareIQ + Shopify sellers would be able to improve sales by 20-40% on average and increase conversion rates by 40%With this release, sellers would also be able to charge a premium for expedited deliveryMake it live on your Shopify store with a few clicks Trust Badges to Increase eCommerce Sales: FAQs How do I add trust badges to a WooCommerce product page?1. Create a seal in TrustLock or find an image to place beneath your purchase button on Woocommerce Product Pages.2. Copy the iFrame code or the HTML code for the Free Trust Badge.3. The Hooks plugin make it simple to insert the code.4. Insert your code into WordPress without using Hooks. Where can I get trust badges?If you are looking for a trust badges and shipping tags provider in India, WareIQ can be of assistance. We help users to avail of trust badges and shipping tags through our Shipping Badges App. Why are trust seals important?Numerous studies have demonstrated that trust seals have a significant impact on consumer behavior. According to a study conducted by Actual Insights, trust logos increased the perceived trustworthiness of a brand in 75% of respondents. How can WareIQ shipping tags benefit your business?Our shipping tags help in instantly checking if a product is available in stores, ascertain the closest warehouse, and identify the quickest possible routes to assist in providing the fastest and most efficient delivery experience.

August 04, 2022