eCommerce Fulfillment

Shiprocket vs Shyplite vs Wareiq:  Detailed Comparison on 16 Parameters to Help You Choose the Best Fulfillment Partner in 2024

Shiprocket vs Shyplite vs Wareiq: Detailed Comparison on 16 Parameters to Help You Choose the Best Fulfillment Partner in 2024

Choosing an eCommerce fulfillment company for your business is one of the most important decisions you will need to make as an eCommerce retailer. 3PL fulfillment companies bridge the gap between small, local firms and large, multinational behemoths by making the latest technologies and feature sets easily available to a wider audience for competitive prices. Firms need to provide these services to ensure that their customers have a good experience and that they do not fall behind the competition. However, it is not only retailers that have to adapt to changing situations. As eCommerce grows, there are many new and emerging 3PL fulfillment companies that are bursting onto the scene. The 3 companies that we are featuring in this blog are some of the best options. We will delve deeper into the main differences between Shiprocket vs Shyplite vs WareIQ and help you select the best option for your eCommerce business. Shiprocket vs Shyplite vs WareIQ: Top 5 Reasons eCommerce Retailers Seek to Partner With 3PL Fulfillment Companies Reduce Costs eCommerce is filled to the brim with various costs and expenses that retailers have to incur. Whether it is eCommerce logistics, operations, marketing, fulfillment for eCommerce, or any other department, retailers have to constantly shell out money in order to be competitive. In many instances, small and medium-sized businesses lack the capital that they need to successfully compete with larger companies. 3PL companies provide a simple cost-cutting solution by offering essential services at a pre-determined price that is much cheaper than if sellers had to obtain all the same facilities independently. This will enable them to reduce logistics costs, and other costs involved and attempt to increase their profit margins in order to stay afloat. Offload Logistics and Fulfillment Processes Logistics and fulfillment encompass any and every activity that is involved in goods getting transferred from the manufacturer to the storage facility and ultimately, to the end consumer. This involves activities like transporting raw materials to the factory, transporting the finished goods to the fulfillment center, shipping the goods when an order is placed, and delivering the product to the doorstep of the customer. These activities can be quite strenuous as there are different companies in the mix for each procedure. 3PL companies consolidate all these processes and make sure that they are carried out smoothly and efficiently. Get Access to Advanced Technology Due to small and medium-sized eCommerce companies needing to operate on tight financial budgets, they often lack the necessary capital to invest in the technology needed to modernize their operations or conduct research into new innovations. However, while partnering with a 3PL company, all the latest technologies and services become instantly accessible. These facilities include WMS software, automated picking and packing, seamless eCommerce marketplace integration, and much more. This helps companies get on equal footing with their larger counterparts.  Gain a Competitive Advantage Over Their Rivals Oftentimes, eCommerce companies only gain purchases from customers by the slimmest of margins over their competitors. However, if you are able to provide multiple unique selling points to customers in terms of order fulfillment, such as ultra-fast delivery or free shipping, they may have more of a reason to choose your company over another. Additionally, services such as branded order tracking and customised packaging add to the unique fulfillment experience that can be provided by your company if you partner with a 3PL. Give Customers an Enhanced Experience Ultimately, the sole purpose of partnering with a 3PL fulfillment company is to provide your customers with the best possible experience. Minor touches such as free shipping, the ability to track their orders and receive them on time can play a big role in the way customers view your business and their decisions on whether they would purchase from you again or not. By ensuring customers’ orders are delivered using the latest technologies and automations, the chances of them having a satisfactory experience is higher and the chances of a delay or unforeseen circumstance affecting the delivery are lower. [contactus_uth] Shiprocket vs Shyplite vs WareIQ: About WareIQ Source WareIQ is one of India’s emerging eCommerce fulfillment companies. Founded in 2019, the company is currently headquartered in Bangalore, Karnataka. WareIQ is known for its implementation of advanced technology to tackle various eCommerce tasks and challenges. In addition to the conventional suite of eCommerce services, such as order fulfillment, inventory management, and last-mile delivery, the company also provides unique services, such as an in-house WMS that can integrate with several eCommerce selling platforms and automate important warehouse tasks, a custom app store with a simple interface and a large selection of productivity-enhancing apps, an RTO Shield to curtail the negative effects of returns on your business and much more. The company has perks such as no minimum order quantity requirements and some of the most competitive rates in the industry. Shiprocket vs Shyplite vs WareIQ: About Shiprocket Source Shiprocket is one of the most successful shipping aggregators in India. The company’s inception was in 2012 and it is currently based in Delhi. Its primary offering is allowing online sellers to opt for the shipping company of their choice by considering their own objectives and other criteria. The company also provides multiple automation for various business operations. Shiprocket’s current order volume comprises upwards of 200,000 orders per day. The company has a customer base that spans 200-plus countries. Additionally, the company also offers integrations with large eCommerce platforms and includes services such as order management and cost estimation, among others. You May Like: Shiprocket vs Delhivery vs WareIQ: A Detailed Comparison Shiprocket vs Shyplite vs WareIQ: About Shyplite Source Shyplite was founded in Delhi, in 2016 and is currently headquartered there. It is mainly a shipping aggregation platform that also provides various logistics and fulfillment services. The main draw to Shylite is its cost-effective shipping solutions and its reputation for competent customer support. They offer facilities such as an AI-powered recommendation, a variety of payment methods and order tracking. They currently service over 25,000 pin codes in the country, with more planned for the future.  Suggested Read: Nimbuspost vs Shiprocket vs WareIQ Shiprocket vs Shyplite vs WareIQ: Detailed Service and Feature Comparison on 16 Parameters [Updated 2024] [table id=53 /] Shiprocket vs Shyplite vs WareIQ: Why Do Companies Switch from Shiprocket and Shyplite to WareIQ for eCommerce Fulfillment in 2024? The choice between Shiprocket vs Shyplite vs WareIQ is a difficult one. All 3 companies provide exceptional services to help with any and every eCommerce requirement imaginable. However, there are notable differences in pricing, facilities offered and flexibility of each company. As an eCommerce retailer that wants the most value out of your investment, we suggest that you ascertain your requirements and note down your short-term and long-term goals in order to make the best possible decision. However, if you need to a 3PL company that ticks all the boxes and doesn’t put too much strain on your wallet, we recommend partnering with WareIQ. WareIQ offers a whole host of eCommerce solutions, some of which are mentioned below: We offer a nationwide fulfillment center and dark store network and provide intelligent inventory placement suggestions to help you store your inventory closer to your customersWe enable eCommerce marketplace integrations with more than 20 online selling platforms, such as Amazon, eBay, Flipkart, and more, through our custom WMSWe provide real-time updates to your order and inventory data, across platforms and fulfillment centers, in a single dashboardWe provide an AI-based inventory optimisation SaaS tool that prevents understocking & overstocking situationsWe offer custom packaging facilities where you tailor every component, such as the design, logo and materials, to your likingWe provide reverse logistics assistance and have an RTO Shield that insures every product against the potential damage caused by returnsWe have a robust team of customer success experts that offer 24x7 customer support for timely resolution of customer queries Suggested Read: iThink Logistics vs Shiprocket vs WareIQ: Which is the Best Option for a Fulfillment Partner for eCommerce in 2023? Shiprocket vs Shyplite vs WareIQ: FAQs What are 3PL fulfillment companies?3PL fulfillment companies take care of a variety of eCommerce operations pertaining to logistics, inventory management and order fulfillment. They enable retailers to outsource these requirements so that they can focus on other aspects of their business. When and where was Shiprocket founded?Shiprocket was founded in 2012, in New Delhi. When and where was Shyplite founded?Shylite was also founded in Delhi, in 2016. What are the main factors to note when making a decision regarding a partnership with a 3PL fulfillment company?Some of the key factors to consider while choosing a 3PL are listed below:- The needs of your business- The current demand levels of your company- The current order volume and frequency you deal with- The type of products you sell- The available budget you have What makes WareIQ a good choice over Shiprocket and Shyplite?WareIQ offers multiple value-added services in addition to conventional services, such as specialty storage facilities, dark stores, branded order tracking, custom packaging, no minimum order requirements and much more, which makes it a good fit for almost every type of business.

October 28, 2022

Top 10 ShipDelight Alternatives for eCommerce Retailers Looking for Fulfillment & Shipping Solutions in 2024

Top 10 ShipDelight Alternatives for eCommerce Retailers Looking for Fulfillment & Shipping Solutions in 2024

The current state of the eCommerce industry yields many advantages to new and existing eCommerce sellers due to the refinement of various supply chain processes, including order fulfillment. As facilities such as same-day delivery, free shipping, and branded order tracking become mainstream, eCommerce retailers are expected to adapt and offer the latest features to their customers. If not, they will hold a significant disadvantage in relation to their competitors. However, it is not often easy for small and medium-sized businesses to adopt the technology and resources that make these services possible on their own since they operate on tight financial budgets. This is where partnering with a 3PL fulfillment company like ShipDelight comes in. However, due to the sheer scale of eCommerce in India, the fulfillment industry has also grown at a similar rate. If you are an existing or aspiring eCommerce seller, there are many ShipDelight alternatives to choose from, which we will go over in detail in this blog. Additionally, we will also cover the services that you should look for in your alternatives to ShipDelight and how WareIQ can be of service. About ShipDelight  ShipDelight was initially founded in Mumbai, Maharashtra in 2015 by a group of individuals with a combined 55 years worth of experience in the distribution and eCommerce shipping sectors. Therefore, there are few unforeseen circumstances that can phase such seasoned campaigners. The company services more than 26,000 pin codes in India and offers advanced services such as shipping automation, order fulfillment, branded tracking, same-day and next-day delivery, and much more. Additionally, one of the claims to fame that has made ShipDelight so successful is that it charges some of the lowest shipping rates in the eCommerce industry at just ₹25 for every 0.5 kilos of inventory. This has made fast and quality shipping easily accessible to a much wider variety of eCommerce sellers due to the cost-effective nature of ShipDelight’s primary offerings. [contactus_uth] 5 Services to Look for While Choosing Alternatives to ShipDelight Choice of Shipping Aggregators One of ShipDelight’s core offerings is its automated shipping service through multiple delivery partners. The company also imposes the cheapest rates in the industry, where for every 0.5 kgs of inventory, you need to pay just ₹25. However, some ShipDelight competitors offer additional perks, such as not having any minimum order requirements, so you can only opt for and pay for the amount of space you need.  Returns Management The procedure of examining, collecting, and storing an order after a consumer returns it is known as returns management. For eCommerce businesses, returns are an unavoidable reality, so it is preferable to be ready and safeguard your company from any harm they may do. Many ShipDelight competitors provide returns management services, and some go above and beyond by including insurance for each product to add an extra level of security. Package Tracking Services Ecommerce order tracking is crucial because it enables your clients to be informed whenever their orders progress to a new step in the delivery process and allows you to let them know at any moment what the status of their orders is. While ShipDelight does provide branded tracking facilities, several of its rivals also offer it as a service. Branded tracking pages are a useful value-added feature that can be tailored to promote complementary products, and provide clients with more details about your company and any other information that you would want them to have access to. WMS Software Solutions Once again, ShipDelight provides a combined WMS and OMS configuration, although there are several ShipDelight alternatives that feature easier user interfaces and a more thorough design. WMS software is essential for maintaining efficient warehousing and logistics eCommerce operations and for organising SKUs in accordance with different criteria and is also responsible for being able to integrate with multiple online selling platforms. Nationwide Fulfillment Center Network Although ShipDelight has a network of fulfillment centers spread across most of the country's major regions, there are ShipDelight competitors with more dispersed fulfillment center locations that also offer technology like intelligent automated selecting and packaging, inventory placement, and many other features. Find out where the majority of your demand often comes from and choose a fulfillment partner with a strong infrastructure there who can handle your company's growth without becoming overburdened. 10 Best ShipDelight Alternatives & Competitors Offering eCommerce Fulfillment in 2024 WareIQ Source WareIQ has emerged as one of India’s leading eCommerce companies. Initially founded in 2019 and currently headquartered in Bangalore, the company offers a comprehensive list of eCommerce fulfillment solutions, ranging from order fulfillment to last-mile delivery and everything in between. WareIQ prides itself on its easy-to-use technology platform, which includes a WMS, OMS, app store, last-mile delivery software , and much more. This enables users to get access to the latest features in relation to inventory storage, supply chain management, and distribution. A few note-worthy facilities that make WareIQ one of the best alternatives to ShipDelight include: It provides an inventory planner for strategic inventory allocation to prevent stockouts and reduce overstockingIt enables users to choose the most cost-effective last-mile delivery partner via a shipping recommendation engineIt provides extremely customisable packaging facilitiesIt provides branded tracking services that can be customised to meet the needs of every sellerIt offers market-leading price plans [signup] You May Like: Quickshift Alternatives for eCommerce Retailers ShipKaro For eCommerce companies that require effective order administration, Shipkaro has offered shipping aggregation services since its founding in 2017. The Gurgaon-based company also gives organisations the ability to automate and customise shipping procedures in accordance with their intended results. Additionally, it offers services like bulk order uploading, label printing, individualised delivery schedules, and much more. A few note-worthy facilities that make ShipKaro one of the best alternatives to ShipDelight include: It has affiliations with over 14 domestic and international shipping providersIt integrates with a variety of eCommerce selling sites, including Flipkart and eBayIt enables customers to take advantage of shipping discounts and offers a tool for contrasting those prices with those of competing businessesIt syncs order data from various order management programs for seamless order processingIt offers precise order tracking Deliverr Source Deliverr, a 2017 startup based in San Francisco, provides small eCommerce businesses with superior fulfillment solutions, including a 2-day delivery option. Badges that resemble Amazon Prime, transparent pricing and providing a hassle-free experience are the core components of Deliverr's offerings. eCommerce companies can use Deliverr's live data tracking features to anticipate their fulfillment performance going forward and even provide D2C clients with next-day delivery. A few note-worthy facilities that make Deliverr one of the best alternatives to ShipDelight include: It provides online customer serviceIt offers straightforward integrations with multiple selling platformsIts pricing is clear and straightforwardIt offers a live performance trackerIt has a customary 2-day delivery schedule ShipBob Source ShipBob is a 2014 Chicago-based startup that offers global logistics, technology and eCommerce fulfillment services, and provides next-day delivery for orders filled by direct-to-consumer (D2C) firms. Over 7000 clients worldwide are served by ShipBob, which boasts a 99.95% accuracy rate. It provides a complete range of eCommerce fulfillment facilities. It offers 2-day shipping at affordable and transparent prices in addition to a solid software platform that provides access to the company's central platform through a developer-friendly API. A few note-worthy facilities that make ShipBob one of the best alternatives to ShipDelight include: It offers reasonable pricing optionsIt provides straightforward integrations with multiple online selling platformsIt has an extensive network of warehouses that is dispersed over numerous regionsIt offers a fantastic user experience that is simple to useIt provides uniform 2-day shipping Shipmonk Source The current headquarters of Shipmonk, which was established in 2014, are located in Fort Lauderdale, Florida, in the United States. The company provides a variety of services, including inventory and warehouse management, pick and pack options, customer service, packaging facilities and much more. With its primary goal being to make technology-based eCommerce solutions as accessible as possible, it runs more than 100 virtual stores and assigns a personal manager to each client to help with the onboarding procedure. A few note-worthy facilities that make Shipmonk one of the best alternatives to ShipDelight include: It does not require setup and inventory receiving feesIt offers consumers a digital billing interfaceIt offers multiple customization and branding optionsIt assists with inventory management automationIt charges reduced costs for large orders as well as offers additional tax benefits Red Stag Fulfillment Source Red Stag Fulfillment was founded in 2013 and is currently headquartered in Knoxville, Tennessee. It is capable of processing orders for a wide range of goods, but its primary focus is on packaging and delivering bulky items. Because of their exceptional scalability, they can meet the demands of both small and large businesses. The additional services offered by the company provide a variety of tools that eCommerce business owners can employ to help them deliver goods promptly and effectively. Heavy goods and complex shipping requirements are areas where Red Stag excels. A few note-worthy facilities that make Red Stag Fulfillment one of the best alternatives to ShipDelight include: It provides video surveillance facilities in all its warehousesIt offers exceptional customer serviceIt offers a vast fulfillment center networkIt provides same-day delivery servicesIt gives its customers peace of mind with an order completion guarantee eCourierz Source eCourierz is a logistics and fulfillment company that was founded in 2015 and is currently headquartered in Chennai, Tamil Nadu. It provides both international and domestic courier and shipping services. Its rates are some of the lowest in the industry and the company follows rigid safeguard measures to protect goods while they are in transit. The company currently operates in more than 220 countries. A few note-worthy facilities that make eCourierz one of the best alternatives to ShipDelight include: It provides a single dashboard to access important shipping-related informationIt provides order-tracking facilities with live email updatesIt offers partnerships with more than 18 shipping aggregatorsIt offers competitive pricing plansIt utilises white labelling for better brand projections iThink Logistics Source iThink Logistics is an Indian logistics and fulfillment company that was founded in 2017 and is based in Mumbai, Maharashtra. Its current shipping volume includes 25,000 parcels per day. It operates in more than 180 countries. Additionally, its technology platform can integrate with more than most major eCommerce marketplaces and it currently services more than 26,000 pin codes. A few note-worthy facilities that make iThink Logistics one of the best alternatives to ShipDelight include: It has an AI-powered recommendation program to suggest the best shipping companies for each orderIt offers NDR support It has partnerships with 12 shipping companiesIt provides returns management facilitiesIt offers customised solutions based on performance for specific demographics Rocketbox Rocketbox is primarily a logistics and shipping aggregation company that was founded in 2015 in Mumbai, Maharashtra. The company specialises in the bulk shipping of products and offers tremendous discounts that you can take advantage of. The company has an impressive technology platform that enables the automation of multiple shipping and distribution functions. It also offers a serviceable area of more than 28,000 pin codes in the country. A few note-worthy facilities that make Rocketbox one of the best alternatives to ShipDelight include: It offers tools to analyse the performance of each carrier and suggest the best optionIt consolidates shipping data in one dashboardIt has partnerships with reputed companies such as FedEx and DelhiveryIt offers fair pricingIt implements automation in multiple processes Rakuten Source One of the best options for eCommerce fulfillment services for businesses is Rakuten Super Logistics, which offers packaging and shipping services. They also assist eCommerce retailers with their marketing efforts. Rakuten provides customised pricing quotations and services that are tailored to the demands of the businesses it supports. However, despite being a preferred fulfillment supplier for many global brands, Rakuten lacks worldwide fulfillment centers, specialised packaging, and DHL integration. A few note-worthy facilities that make Rakuten one of the best alternatives to ShipDelight include: It offers specifically-tailored services for their partnersIt offers fully-integrated marketing services for an additional costIt offers a specialised feature for small and medium-sized businesses known as XParcelIt has facilities for specialised fulfillmentIt provides services such as kitting and subscription boxes Why WareIQ Should be Your Top Pick if You are Looking for a ShipDelight Alternative in 2024? The vast amount of fulfillment companies on offer means that you can select one that fits your requirements down to the most minute detail. ShipDelight provides many exceptional services that can help you fulfill orders. However, it does lack some value-added features that its competitors offer, which may come in useful in enhancing the experience your customers ultimately have with your business. While it is a very affordable shipping solution, there are competitors that offer perks such as no minimum order requirements, flexible pricing policies and much more. If you need an efficient ShipDelight alternative that fits the bill, look no further than WareIQ. WareIQ is one of India’s leading eCommerce retailers that provides a variety of eCommerce solutions. We offer conventional services such as: Order Fulfillment We provide ultra-fast same-day and next-day delivery through our partnership with more than 20 shipping aggregators and automatically assign the fastest and most cost-effective option for every order. Inventory Storage When you partner with us, you can store your inventory in a nationwide network of fulfillment centers that are located in every major region of the country. We also offer smart inventory placement recommendations that will help you determine the best storage location based on factors such as demand and proximity to transport facilities. Additionally, we also have a network of dark stores that aid in hyper-local delivery. Inventory Management We offer a custom WMS that can track your inventory and order data across multiple fulfillment centers and consolidate it in a single dashboard. You can also automate replenishment triggers so that you never run out of stock for any SKUs. It also helps organise your products based on factors such as demand, value, size, and much more. Integration With Multiple Selling Platforms You can integrate with more than 12 of the biggest eCommerce marketplaces, such as Amazon, Flipkart, eBay, and more, and keep track of your order data and assign specific inventory for each one. You can also access all your historical data across multiple platforms in a single location. Additionally, we also offer value-added services such as: App Store We provide an app store with multiple downloadable apps through a simple interface that is reminiscent of the Google Play Store or Apple App Store. This allows you to enhance the productivity of various business functions, such as branded tracking and customer feedback. RTO Shield Our RTO Shield is designed to protect you from the negative implications of returns. We provide insurance for every product and take care of the entire reverse logistics procedure. Branded Tracking Our branded tracking pages will allow you to convey whatever information you want to your customers. You can choose to feature additional products, give them more information about the company and much more. Customizable Packaging We provide a wide range of customizability through a choice of design, packaging material and much more. You can highlight your brand and product while offering customers a unique and unmatched unboxing experience. ShipDelight Alternatives: FAQs What is ShipDelight?ShipDelight is a shipping and fulfillment company that provides some of the cheapest shipping rates in the country at just ₹25 for every 0.5 kilos of inventory. This makes it one of the best options for sellers that want to have the highest profit margins possible. When and where was ShipDelight founded?ShipDelight was founded in 2015 by a group of individuals with a combined 55-plus years of experience in the distribution and shipping industry. It was pioneered and is currently headquartered in Mumbai, Maharashtra. What services does ShipDelight provide?ShipDelight offers services such as:- Automated shipping- Order fulfillment- Branded tracking- Ultra-fast delivery- Inventory storage Does ShipDelight offer customizable packaging?No, ShipDelight does not provide any packaging facilities that can be customized according to the specific requirements of retailers. Does WareIQ offer shipping services?Yes, WareIQ offers a partnership with more than 20 shipping companies and will always assign the quickest and cheapest option for each order.

October 22, 2022

Top 10 Eshopbox Alternatives and Competitors for eCommerce Retailers Looking for Fulfillment & Shipping Solutions in 2024

Top 10 Eshopbox Alternatives and Competitors for eCommerce Retailers Looking for Fulfillment & Shipping Solutions in 2024

Eshopbox is an all-encompassing eCommerce logistics company that was founded in Gurgaon in 2012 with the aim of providing quick and easily-accessible fulfillment facilities to eCommerce brands. The company was one of the first entrants into the pivotal Indian eCommerce market, even preceding Amazon’s entry into the country by a year. This has enabled Eshopbox to cement itself as a household name in the eCommerce fulfillment and eCommerce logistics space and acquired a loyal client base. The company provides all the usual set of facilities associated with 3PL fulfillment providers, such as inventory storage and management, integration with multiple eCommerce selling platforms, ultra-fast delivery, Prime-like shipping badges, and more. However, with the emergence of multiple competitors offering more up-to-date features, advanced software solutions, and even more cost-effective prices, retailers in today’s eCommerce industry are spoiled for choice and need not relegate themselves to just one fulfillment company. In this blog, we will touch on the reasons that sellers search for Eshopbox alternatives, the top 10 alternatives to Eshopbox, and make a detailed feature comparison of Eshopbox competitors in the market.  Why Do Companies Search for Eshopbox Alternatives for D2C and eCommerce Fulfillment? Need for Alternative Services Although Eshopbox is well known for its shipping services, its operations are centered around standardised packaging that is more suited towards non-perishable items such as electronic items and clothing. Thus, it is not always the best choice for transporting high-end commodities such as jewelry or other expensive items and bulky products such as furniture and large appliances. It can be beneficial to choose Eshopbox competitors that provide these services if a merchant deals in pricey or perishable goods that need special packing and cautious handling in addition to other services that may be required by specialised goods. Access to Cheaper Pricing While Eshopbox markets itself as an affordable option, there are 3PL fulfillment companies that provide their services at significantly cheaper rates, in addition to utilities such as no minimum order or service requirements, which would enable you to only opt for the facilities that you need and pay for the what you use. Many retailers seek Eshopbox alternatives so that they can find a way to save money so that they can increase their profit margins or redirect the savings back into the business. Requirement for a More Expansive Fulfillment Center Network Eshopbox has an impressive network of fulfillment centers in the grand scheme of things. However, the specific requirements of your business may entail storing products near tier-2 or 3 cities as opposed to large metropolitan areas. This is where the constraints of Eshopbox’s fulfillment network become apparent. The company has a combined 7 fulfillment centers for the entire country, which may result in increased delivery distances and timelines. The company also lacks the operation of dark stores, which are a necessity in the event of highly perishable goods such as food items. Many companies seek alternatives to Eshopbox for this reason. [contactus_uth] 10 Best Alternatives to Eshopbox for eCommerce and D2C Businesses Looking for Fulfillment Solutions in 2024 WareIQ Source WareIQ is one of the fastest-growing eCommerce fulfillment firms in India. The company leverages technology as a foundation to support a variety of eCommerce services, including order fulfillment, inventory management, ultra-rapid delivery, customer support, reverse logistics, and much more. WareIQ was established in Bangalore in 2019 with the goal of providing incredibly quick delivery to every Indian Pincode by erecting a sizable infrastructure of distribution centers and transportation hubs. The company offers a variety of distinctive features, including a custom WMS that can integrate with different eCommerce selling platforms, an app store where users can download different apps to improve their experience, an RTO shield to shelter retailers from having to pay for returns management, and much more. A few features that make WareIQ one of the best alternatives to Eshopbox are: It does not require a minimum order amountIt provides a nationwide network of dark stores and fulfillment centersIt offers upfront pricing that is affordableIt provides branded tracking services that can be customisedIt provides services for personalised packaging [signup] FedEx Source FedEx is a multinational eCommerce behemoth that provides shipping facilities, supply chain services and eCommerce fulfillment solutions to a wide range of industries, including healthcare, retail, electronics and many more. The company was established in Little Rock, Arkansas in the United States, more than 50 years ago and it now maintains its corporate headquarters in Memphis, Tennessee. The business has operations in more than 220 nations and provides eCommerce retailers with services like the ability to sync their order information and inventory lists from different selling platforms in one place. Given its extensive eCommerce fulfillment experience, the business would be able to complete any requirement with ease. A few features that make FedEx one of the best alternatives to Eshopbox are: It offers a worldwide network of servicesIt provides several integrations with various online marketplacesIt has a platform that is intuitive and simple to useIt provides a vast delivery networkIt delivers packages quickly and offers reverse logistics services ShipMonk Source The central objective of ShipMonk is to make tech-based eCommerce services easily accessible to a large number of retailers across industries. The company was founded in 2014, and since then, its activities and services have swiftly grown. The company's headquarters are in Fort Lauderdale, Florida. Packing services, pick-and-pack operations, warehouse management, customer assistance and a host of other services are all provided by ShipMonk. It presently operates more than 100 digital storefronts and provides specialised account managers to each customer for help with onboarding. A few features that make ShipMonk one of the best alternatives to Eshopbox are: It provides users with a digital billing portalIt assists in the automation of fulfillment center operationsIt has several different branding and customization servicesIt provides tax advantages and lower prices for large ordersIt excludes setup and inventory receiving fees DHL Source DHL, whose expanded name is Dalsey, Hillblom and Lynn, is a dominant player in the world of eCommerce fulfillment. The organisation, which was established in 1969 in San Francisco, California and now has its corporate headquarters in Bonn, Germany, has experienced tremendous growth and offers courier and shipping services to more than 220 nations worldwide. Although the business is divided into many different industries, its distribution branch provides door-to-door delivery as well as freight transportation by air and sea. The ability of the corporation to easily clear customs and handle any other difficulties that may arise, as well as providing insurance on every parcel, is a huge benefit for shops that ship worldwide and choose DHL for their needs. A few features that make DHL one of the best alternatives to Eshopbox are: It provides inventory optimization and integrations across several eCommerce marketplacesIt offers efficient logistics managementIt offers both B2B and B2C fulfillment services in a wide range of industriesIt provides next-day delivery in more than 80 Indian cities and townsIt provides a centralised technology platform for order fulfillment, inventory management and other processes Ekart Source Ekart was first established in 2009 as a Flipkart subsidiary, but it has since changed hands and expanded its service offering to provide fulfilment to a variety of other eCommerce marketplaces, including Amazon. The company, which has its headquarters in Bangalore, Karnataka, has become well-known for both its lightning-quick delivery and comparatively affordable rates. Presently, they provide next-day delivery in 50 locations and same-day delivery in 13 cities. The business also provides a tracking API that enables updates on orders, label printing and much more. A few features that make Ekart one of the best alternatives to Eshopbox are: It provides services for reverse logisticsIt offers some of the lowest rates in the sectorIt has an API that provides real-time updates to inventory and order levelsIt accepts the majority of major payment methodsIt covers almost 4,000 pin codes ShipKaro Source For eCommerce companies that require effective order administration, ShipKaro has offered shipping aggregation services since its founding in 2017. The Gurgaon-based company also gives organisations the ability to automate and customise shipping procedures in accordance with their intended results. Additionally, it offers services like label printing, bulk uploading of order data, individualised delivery schedules and much more. A few features that make ShipKaro one of the best alternatives to Eshopbox are: It has affiliations with over 14 domestic and international shipping providersIt integrates with a variety of eCommerce marketplaces, including eBay and FlipkartIt enables customers to take advantage of shipping discounts and offers a tool for contrasting those prices with those of competing businessesIt syncs order data from various order management platforms for seamless order processingIt offers precise order tracking Shipyaari Source With its current headquarters in Mumbai, Maharashtra, Shipyaari is an Indian eCommerce logistics and shipping aggregator that was established in 2013. Its capacity to manage orders from big businesses in great volume is one of its distinctive qualities. The business offers a variety of delivery partners and eCommerce integrations in addition to offering comprehensive cash-back guarantee programmes. A few features that make Shipyaari one of the best alternatives to Eshopbox are: It provides alliances with ten courier providers that provide coverage for more than 25,000 pin codesIt offers integrations with popular eCommerce systems, including WooCommerce, Shopify, and MagentoIt provides a software solution for order fulfillment, inventory management and delivery servicesIt provides consumers with order tracking via API integrationsIt provides supplementary features, including RTO reduction, data analytics and NDR management Fulfillment by Amazon (FBA) Source Amazon is a household name in eCommerce fulfilment and retail. When it debuted in 2006, its first-party fulfilment service, known as Fulfillment by Amazon (FBA), was the forerunner of the order fulfillment revolution. Amazon takes advantage of its position to offer the best services possible, including running numerous fulfillment centers around the world, providing consumers with free shipping, providing picking and packaging services, managing returns and much more. Additionally, by providing free order processing, warehousing and other services, it helps retailers to control their costs. However, sellers must keep in mind that it can only be used to fill orders placed on Amazon and a few other specific eCommerce selling platforms. A few features that make Fulfillment by Amazon (FBA) one of the best alternatives to Eshopbox are: It has no limits for minimum ordersIt answers all customer questions and handles returns and refundsIt can handle orders on a few different outside selling channelsIt uses inventory pooling to combine similar items from several sellersIt offers customers free shipping Read our blog on Amazon FBA alternatives if you are an Amazon seller looking for other fulfillment solutions. DTDC Source DTDC was one of the first providers of eCommerce logistics in India. The company established its headquarters in Bangalore in 1990 and remains there today. It has a customer base of more than 10,000, with 75% being online shoppers. It provides extra services, including warehousing, a tracking API that may provide order updates and issue non-delivery notifications, and services more than 17,500 pin codes in India. In addition to the standard options of same-day and next-day delivery, it also provides a range of other delivery alternatives, such as ultra-fast delivery, hyperlocal delivery, scheduled delivery and slot-based delivery. The company sets itself apart from its competitors by being able to complete requests for a wide range of commodities, such as expensive items, hazardous goods and bulky products. A few features that make DTDC one of the best alternatives to Eshopbox are: It accepts all popular forms of paymentIt offers specialised delivery for expensive, large and dangerous goodsIt provides real-time tracking capabilities through a tracking APIIt facilitates more than 17,500 pincodesIt offers express delivery Ecom Express Source Ecom Express is a logistics and courier service provider that offers eCommerce fulfillment services. It was established in 2012 and has its current headquarters in Gurugram, Haryana. Their ability to successfully deliver high-value goods like jewellery and electronics by offering extra security and safety safeguards is one of their distinctive selling factors. The business is open every day of the week, including holidays and guarantees delivery within 72 hours after the order's confirmation. They also offer a 72-hour return guarantee in a similar manner. A few features that make Ecom Express one of the best alternatives to Eshopbox are: It has improved security features for all ordersIt operates around the clock and on vacationsIt guarantees all orders will be delivered within 72 hoursIt provides services for reverse logisticsIt services more than 27,000 pin codes Feature Comparison Table of Eshopbox Competitors [Updated 2024] [table id=52 /] Suggested Article: Shiprocket Alternatives for eCommerce Business Conclusion: What Makes WareIQ One of the Best Alternatives to Eshopbox? By comparing your options and deciding which company fits your requirements the best, you can get access to the best service and the lowest prices while ensuring that your customers get the same. Eshopbox has been in the eCommerce fulfillment game for a while now but there are many additional competitors that have entered the market since then that may place more focus on the facets that are important to you. If you are looking to expand your operations or introduce new products into the market, it may serve you well to identify existing pain points that your customers may have and also areas where you can save financial resources to increase your profit margins. There are many Eshopbox alternatives that offer facilities such as RTO insurance and do not impose minimum order requirements so you only need to subscribe to what you need. While there are many options available, WareIQ offers the perfect blend of the latest features at the most affordable prices. WareIQ is one of the fastest-growing fulfillment companies in India. We differentiate ourselves from the competition by providing advanced and unique features such as a custom WMS, an app store with multiple downloadable apps, and much more. A few of our key offerings are listed below: Pan-India system of Dark Stores and Fulfillment Centers Provides a straightforward plug-and-play setup with no minimal requirementsOffers integrations with eCommerce marketplaces such as  Myntra, Flipkart Assured, Amazon Seller Flex, and many moreProvides access to local sourcing hubs to cut out on first-mile costsUses internal warehouse managementImproved network planning and inventory managementProvides industry-leading AI models for auto-replenishment thresholds and sales forecastingOffers product classification depending on SKU type (regular, non-regular, seasonal, etc.) to increase sales conversions Stack of Vertically Integrated IT Services Provides connections to more than 20 popular channels and D2C sitesEnables integrations with over 27,000 pin codes worth of regional, national, and hyperlocal courier providersOffers a single, integrated technology stack for OMS and WMS App Store with Downloadable Productivity-Boosting Apps Provides an RTO Shield, which offers 100% protection from returnsEnables branded tracking, which improves the post-purchase experience of customersNotifies customers of order statuses by email, SMS and WhatsappAids in gathering feedback from clients through our Customer Feedback app Ultra Fast Delivery With WareIQ Rush Provides same-day delivery service without requiring minimum order amounts or distance-based billingOffers up to 30% more revenue conversionEnables almost zero RTO%Provides NDR & COD verification via Whatsapp.Lowers cost per shipment (CPS) Eshopbox Alternatives: FAQs What is Eshopbox?Eshopbox is an eCommerce fulfillment and logistics company that was founded in 2012 and is currently headquartered in Gurgaon. Its primary focus is to provide easily-accessible and fast shipping facilities to eCommerce companies. Does a fulfillment company need to have a nationwide network of fulfillment centers?The importance of having a nationwide network of fulfillment centers is that it enables retailers to store their products wherever they need to, based on factors such as proximity to areas of high demand, transport facilities and manufacturing plants. What is the primary objective of 3PL fulfillment firms?In order to draw in clients, the main goal of 3PL fulfillment companies is to offer a variety of eCommerce services, such as order fulfillment, inventory management, shipping and distribution, at lower costs than their rivals. Why is ultra-fast delivery crucial?Providing customers with ultra-rapid delivery options like same-day and next-day delivery enables businesses to differentiate themselves from the competition. Ultra-fast delivery is now expected by customers, and businesses that don't provide it risk losing business to rivals. What makes WareIQ one of the best eCommerce fulfillment providers in 2024?Utilizing cutting-edge technology, WareIQ offers customers the best, quickest and most affordable eCommerce fulfillment services, including order fulfillment, inventory management, reverse logistics and much more. Additionally, we provide distinctive features such as storage spread across a national network of fulfillment centers, a sophisticated WMS that helps automate numerous operations and an app store where users can download apps to boost the productivity of various services.

October 17, 2022

Top 14 Distribution Metrics and KPIs for Online Businesses to Monitor in 2024 to Enhance Operational Efficiency

Top 14 Distribution Metrics and KPIs for Online Businesses to Monitor in 2024 to Enhance Operational Efficiency

eCommerce shipping is essential to the distribution process, with 43% of online customers wanting speedy and trustworthy deliveries as the most significant aspect of their overall purchasing experience. It is no mystery that supply chain organisations encounter various difficult and unpredictable situations. The eCommerce industry has been affected by supply chain issues during the past few years on a global scale. The competition is growing daily, and at the same time, customer demands are rising. Most critically, profit margins are shrinking. Doing all in your power to reduce expenses, grow sales, and improve profitability is essential today. On paper, that sounds wonderful, but how do you genuinely pinpoint each process and function that has bottlenecks and where new chances to save money might be discovered? The correct distribution metrics will support the direction of your eCommerce business and keep you well-informed with current, comprehensive, and exact key performance indicators (KPIs) fueled by accurate data ingested from your enterprise resource planning (ERP) solution. Armed with this knowledge, you'll be able to make informed decisions supported by facts and figures, which will help you improve your bottom line and move forward in confidence. What are Distribution Metrics or Distribution KPIs? Measuring the effectiveness and performance of the flow of goods from a distribution centre or warehouse to the customer is the focus of distribution KPIs (Key Performance Indicators) and metrics. Processes, including channel design management, third-party logistics, fleet management, logistics health & safety, and order picking and shipment, can all be overlaid with distribution metrics. [contactus_uth] Top 14 Distribution Metrics and KPIs for eCommerce & D2C Businesses To Track in 2024 Source There are numerous measures and distribution KPIs when it comes to monitoring the performance of eCommerce logistics. However, your ability to meet consumer expectations and profitability is impacted by the key indicators you prioritise. The following list of distribution metrics should be monitored. On-Time Delivery (OTD) This is one of the important distribution metrics you'll use to gauge how effectively your processes operate when on-time delivery is considered. It may be calculated by dividing the number of goods you supply by the total number of units you send. How "on-time delivery" is defined on various factors, including your clients and industry, and whether the items were delivered by your company directly or by a third-party source. If partial deliveries are regular, OTD In-Full is a valuable signal to help you delve into more detail. The Volume of Deliveries With a top-notch ERP system, keeping track of how many deliveries you make over a given period will be simple. Using this data as a baseline, you can then assess how your distribution operations are doing moving forward. You can use this distribution metric to determine your company's growth potential by examining your regular shipments. Your assessments of the quantity of delivery can also assist you in finding important details about peak times, rush hours, and other things. You can then assign resources with this data so that you'll be prepared when your clients call. Customer Grievances Customer satisfaction should always be your company's priority. If this is the case, you should look at the number of customer painpoints and problem occurrences. However, keep in mind that a variety of issues, such as picking errors, shipment damage, and mis-ships, to mention a few, can lead to customer complaints. It's a good idea to track these smaller metrics, but keep in mind that there may also be factors outside your control that affect the statistics. Any trends can be used to examine the underlying mechanisms and results of elements inside your process flows that are under your control. Order Delivery Accuracy Regarding shipping and logistics, it's critical to gauge this distribution metric as it lets you know how quickly and successfully you deliver consumers' orders. Additionally, this metric enables you to keep track of the number of shipments you make without causing harm to the items. Your order accuracy KPI will provide you with some information that will ultimately help you boost customer satisfaction and loyalty by assessing the quality of your distribution and supply chain. Additionally, it will make it simpler for your clients to tell their friends and coworkers about your company. Total Order Cycle Time (TOCT) As business customers have grown to anticipate delivery times similar to those of Amazon, TOCT has become a crucial distribution metric. With TOCT, we track how long it takes to complete a customer order, but it's also critical to track how long it takes to complete your buy orders with your suppliers. So, in addition to keeping an eye out for any rises in order cycle time, you should evaluate it against rivals. Transit Period This distribution metric measures the time delivery agents take to pick up things from the warehouse and deliver them to their final destination. The time it takes to pick up and deliver items after an order is placed is crucial since it determines how quickly your delivery couriers can deliver packages. Therefore, you want your drivers to be able to complete the drops with the least amount of delay to improve your 3PL distribution services. This distribution metric can also be used to increase the effectiveness of your transportation routes.  Picking and Packing Cost Everything your business does has a cost, including picking and packing. So take a high-level approach by segmenting elements like labour, assets, and fixed costs. However, as a distributor, you control the variable cost of picking and packing services. This distribution metric monitors how much your business spends on order lines for handling, labeling, and packing. Back Order Rate  It is a distribution metric gauges how frequently orders are placed for things not currently in stock. This KPI should ideally be maintained low. Periodic spikes are OK as long as they result from unanticipated demand situations. A persistently high rate, however, suggests inadequate inventory management and/or demand forecasting. Storage Capacity It's crucial to know how well your warehouse has been utilized. This measure may be based on the number of pallet locations, pick facings, or available cubic feet of storage. Your business can lose money if just half its warehouse space is utilised. Additionally, operating at more than 85% of your capacity, you generally can't do so effectively (or safely). The idea is to find the utilisation sweet spot or the point at which your warehouse, staff, and processes work best together. Your ERP will assist you in performing that computation, understanding seasonal and cyclical variations, and adjusting for it. Loss of Sales A potential client can get a quote and then choose to work with another company. This is a metric that requires monitoring. The data can provide insights that can help your firm make pivots when calculating the percentage of estimations that don't result in any business being executed. You might need to reevaluate your pricing, level of customer service, or shipment schedules, for instance. Picking Accuracy  Picking Accuracy This key performance indicator, however, examines a particular procedure. It calculates the proportion of orders that are accurately chosen and packaged. Utilization of Labor and Equipment This KPI measures productivity in the distribution sector. It gauges how quickly your staff and machinery are filling orders in your warehouse or distribution facility. A distribution company may suffer significantly financially from having too many unemployed employees and underused equipment. The Ratio of Inventory Turnover This lean distribution metric counts the instances during a given time frame when the entire inventory passes through the warehouse. Warehouse and buying managers should keep an eye on this measure as it helps to guarantee that there is always an acceptable quantity of inventory. Dock to Stock Cycle Time Stocking Cycle Time gauges how quickly and efficiently inbound logistics teams receive shipments from suppliers and stock them. A high value for this KPI may indicate problems with the number of orders prepared for shipping promptly, the availability of warehouse space for incoming shipments afterwards, and the general flow of items entering and leaving the warehouse. High values for this KPI may indicate that the organisation uses improper inventory management techniques, ineffective shipping scheduling, or poor warehouse space management. A shorter stocking cycle time will contribute to fewer potential issues later in the supply chain, boosting the percentage of on-time shipments and customer satisfaction. WareIQ As Your Distribution Logistics Partner As a B2B or B2C brand, you may utilise WareIQ, a 3PL fulfilment service, to outsource all facets of order fulfilment, from inventory management to returns management. Send your products to one of our fulfilment centres in India, and we'll streamline your business's fulfilment and distribution operations. You may provide same-day and next-day delivery to your consumers using the distribution network of WareIQ. For your company, you can reject RTO (Return To Origin) orders and reduce your fulfilment expenses by up to 40%. By utilising WareIQ Fulfillment, you can concentrate more on other critical areas of your business and less on internal fulfilment. By utilising WareIQ's effective fulfilling strategy, you may improve your eCommerce business and increase revenue. Here is a summary of how WareIQ encourages the growth of brands through intelligent distribution. Multiple Fulfillment Centers for Quicker Shipping WareIQ's extensive and dynamic fulfilment network allows you to strategically store products across many locations to cut transit times, with fulfilment centres dispersed across tier-1, tier-2, and tier-3 cities. Bangalore, Chennai, Delhi, Mumbai, Kolkata, Ahmedabad, and Hyderabad are the locations of WareIQ's fulfilment centres. Thanks to this broad fulfilment network, you may provide same-day delivery for your consumers in your specific areas. The WareIQ dashboard gathers data from previous orders to help you choose your optimal distribution strategy, allowing merchants to shorten typical delivery times. Reduced Shipping Costs You can offer your customers competitive, reasonable delivery options with a good shipping strategy. In addition to offering expediting shipping services, WareIQ can also help you reduce shipping expenses by offering economical 2-day shipping or even free shipping (with a minimum cart value threshold higher than your average order value). Top domestic shipping firms and local parcel delivery services are partners of WareIQ. They haggle for bulk shipping discounts, which are then on to you and your clients. [signup] Distribution Metric & KPI FAQs: Frequently Asked Questions What are distribution metrics? The quantitative measurements monitored during the inventory receiving, warehousing, picking, packing, shipping, and delivering activities are known as distribution metrics. Which KPIs should be appropriately monitored at the distribution centre?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 common inventory KPIs. What is 3PL distribution and warehousing?The company outsources Third Party Logistics, or 3PL, a service for its warehouse and distribution needs. With 3PL, your supply chain will become more responsive and cost-effective, freeing up your business to focus on its core functions. 3PL offers a single package of all these services under one roof. A 3PL distribution partner commonly offers what types of services?3PLs offer receiving, storage, packaging, and shipping services as part of their logistics solutions. Several 3PL suppliers additionally provide extra logistical services as value-added services. These include inventory management, delayed packing, kitting and assembly, and sourcing. Is WareIQ a fulfilment centre or a third-party distributor?WareIQ warehouses are effective order-picking, packing, and shipping hubs and places to store goods. Millions of products may be tracked daily by Amazon robotics, scanning technology, and computer systems in fulfilment centres.

October 13, 2022

How to Reduce Transportation Costs in Distribution Networks in 2024 for eCommerce and D2C Business?

How to Reduce Transportation Costs in Distribution Networks in 2024 for eCommerce and D2C Business?

Transportation and eCommerce logistics are a vital part of a company’s eCommerce operations as they enable goods to be successfully delivered to the customers that ordered them. Companies today are embroiled in stiff competition as they try to outdo each other in terms of who can provide the fastest and cheapest possible delivery to customers so that they do not need to incur additional shipping charges. However, this could also have a negative as these costs may fall onto the shoulders of the companies themselves, which could ultimately reduce their profit margins. While efficient transportation is a must for any self-respecting eCommerce company, they also need to find the sweet spot between good service and ways to reduce transportation costs in their distribution. In this blog, we’ll be discussing just that, in addition to what transportation costs in eCommerce are and a few examples of them. What are Transportation Costs in eCommerce? Transportation costs in eCommerce involve any expense that goes into transporting raw materials to the supplier, transporting finished goods to their relevant fulfillment centers and warehouses, and delivering the products to their final customers. The costs involved in the management of returns and picking up the goods from customers and transporting them back to the warehouse can also fall under transportation costs as it involves the entire logistical procedure to be repeated but in reverse. If a company is not careful in the way it manages its transportation and distribution costs, it can easily be caught off-guard by skyrocketing expenses, which can result in unforeseen delays and unfulfilled products. If a customer does not receive their product in time or is not satisfied with the overall delivery experience, it may cause them to leave negative reviews and reconsider purchasing from that company again. This is why it is important for companies to find ways to reduce transportation costs and keep them in check. Transportation costs can be calculated using the following formula: Transportation Costs = Total Transport-Related Expenses ÷ Total Sales Revenue [contactus_lilgoodness] 5 Factors That Impact Transportation Costs in a Company’s Distribution Network Fuel Prices We live in an age where almost all major transportation networks still rely on fuel and thus, retailers are at the mercy of whatever global or local occurrences cause fuel prices to fluctuate or stabilise. Stable fuel prices allow companies to accurately gauge how much would be spent on transportation. However, as we have seen recently, fuel prices can easily fluctuate and skyrocket, which in turn, causes transportation costs in a company’s distribution network to also increase, resulting in higher prices to fulfill orders and transport goods. Weather Conditions Just like fuel prices, there is little to nothing a retailer can do to positively affect weather conditions in their favour. In the case of extreme weather such as excessive thunder or hail storms, most major transport facilities such as planes, ships, trains, and trucks are affected, which causes unforeseen delays and negative sentiments among customers that are waiting for their deliveries. This increases the time needed for each delivery and thus, also increases transportation costs. On-ground transportation can also easily be affected by natural calamities such as landslides, fallen trees, roads being damaged due to harsh weather, traffic pileups, and more. Travel Distance If you would assume that the further the destination is from the point of dispatch, the more expensive it would be to transport an item, you would be right. Sheer distance necessitates the use of more fuel, longer travel times and a generally longer waiting period for an order to be delivered. However, to offset the challenges associated with the increasing distances needed to fulfill cross-country orders, many companies are opting to partner with 3PL warehousing companies with large warehouse networks so that they can store their merchandise closer to areas of high demand and transport their products from there which will reduce distribution costs as opposed to from a central warehouse where distances could be near or far depending on the final destination. Total Shipment Weight This is another instance where larger translates to more expensive. The bigger a shipment is, the more space it will take up on a vehicle, so the more expensive it is to transport. This is why companies generally prefer to ship orders in bulk, find ways to package their products to take up as little space as possible and strategically place them, so they have a reduced footprint compared to stacking them side by side. These practices aid in helping reduce transportation costs. Related Article: How to Reduce Package Sizes? Delivery Speed Generally, faster delivery means more expensive delivery because more resources and planning are necessary to ship an order in a day compared to a week. Every aspect of the delivery, from the picking and packing to the shipping and last-mile delivery needs to be meticulously planned in order to achieve an ultra-fast delivery. Additionally, the order may require faster and more costly vehicles to make up time in transit. Here is how you can increase shipping speed keeping in mind the affordability. 5 Methods to Reduce Transportation Costs for Your eCommerce Firm in 2024 Consolidate Deliveries in a Single Shipment Shipping companies generally provide discounts if the order value is beyond a certain threshold. To take advantage of these discounts and more efficiently transport products, you can club as many orders as you can into a single shipment without compromising the safety and quality of the delivery. This will enable you to reduce transportation costs as many orders can be delivered in one single shipment as opposed to many separate shipments while also making use of bulk discounts provided by the operator. Source Outsource Your Warehousing Requirements to a 3PL 3PL companies generally have vast networks of warehouses and fulfillment centers, scattered across the country, which means that you can store your products closer to areas where you are getting the most demand or in proximity to major transportation hubs. This will reduce the distance that each parcel has to travel and will ultimately reduce distribution costs. Partnering with a 3PL is a good idea because their warehouses are fully stocked with all the latest technology so you do not need to worry about anything getting misplaced because every SKU and order placed can be monitored through a WMS software from wherever you are. Source Utilize Automated Container Loading Systems Loading or unloading items on or off vehicles are part and parcel of eCommerce transportation. One way to speed up the process, lower the number of errors that can occur, and reduce transportation costs, is to use an automated container loading system. It is a simple mechanism where a leading plate can slide under the container and load or unload the entire shipment in a single attempt. Using it will allow you to shorten the amount of time that is needed, reduce the amount of labour needed and thus, reduce your overall loading and unloading expenditures. Source Automate Important Processes Gone are the days when an entire warehouse could be run offline. In the current scenario, eCommerce companies rely heavily on the use of technology for important processes such as automatically assigning orders to a shipping company whenever they are placed, identifying which product needs to be selected and packaged through a WMS, and mentoring important data across warehouses and selling platforms through a single dashboard. These processes remove clutter and allow all your processes to be carried out smoothly. Additionally, you can purchase robots that further automate the picking, packaging and loading of goods. Source Ensure That Vehicles are Consistently Maintained The most important aspect of eCommerce transportation is the vehicles themselves and ensuring that they are running smoothly is extremely important. The last thing you or your customers would want is a random breakdown, adding multiple hours or days to the delivery timeline. By ensuring that the vehicle fleet of either your company or the shipping company you have partnered with is constantly maintained and checked for any issues that could cause a delay, you will save yourself a lot of time and money in the long run. Your customers will receive their orders on time and you will not have to waste time and money sorting out various issues that could happen during the delivery process. Source Conclusion: What Services Does WareIQ Offer to Reduce Distribution Costs? Finding ways to reduce transportation costs in their distribution network is of utmost importance to retailers that understand the implications if their expenses go beyond the budget. With just a little bit of effort and common sense, reducing distribution costs is very achievable for even the smallest retailers. It will help them provide better service, limit their expenditure and also leave more room to expand in the future. If you are an eCommerce retailer that is looking for ways to reduce transportation costs in your business, WareIQ can be the solution you need. WareIQ is an eCommerce fulfillment company based in India and has emerged as one of the fastest-growing options in the country. We provide a wide range of eCommerce services that will help your business thrive. In relation to reducing your eCommerce transportation costs, we offer the following solutions: Pan-India Network of Fulfillment Centers and Dark Stores We provide a nationwide network of fulfillment centers and dark stores with smart inventory placement that will suggest the best storage location for each SKU based on its demand and target audience. This will enable you to store your goods closer to your customers and reduces the distance and time it takes to fulfill every order. We also offer dark stores for hyper-local delivery in specific locations. Ultra-Fast Shipping We have partnered with more than 20 of the biggest shipping aggregators in the country and will automatically assign the fastest and most cost-effective option for every order, resulting in quicker fulfillment and reduced shipping prices. If there is a delay on one route, we can instantly assign your order to another company. Custom Packaging We offer custom packaging facilities to help you reduce the overall footprint of your products, which will help it take up less space so that more units can be fulfilled at the same time. Your orders will also take up less space while being transported, which will reduce distribution costs even further. Reduce Transportation Costs: FAQs Why is reducing transport costs important for an eCommerce business?eCommerce relies on the transportation of products to customers and these costs can accumulate over thousands of orders and over time. To be as cost-effective as possible, sellers need to figure out ways they can reduce costs so that they can be more profitable. What are some examples of transportation costs?Some examples of transportation costs are listed below:- Vehicle maintenance- Shipping costs- Last-mile delivery costs- Fuel expenses- Driver salaries What are the 3 types of transportation costs involved in a business?The 3 types of transportation costs are as follows:- Standing costs- Running costs- Overhead costs What are the economic drivers that impact distribution costs?There are 7 economic drivers that impact transportation costs. They are mentioned below:- Distance- Weight- Density- Storability- Handling- Liability- Market Does WareIQ outsource transportation?Yes, WareIQ has partnered with more than 20 shipping companies to ensure that orders are always fulfilled via the quickest route and cheapest price. If one company has a delay, the order is automatically assigned to the next best option.

October 10, 2022

Fulfillment of Nutrition and Wellness Products: Trends, Challenges and Tips to Ace Nutrition and Wellness Category Supply Chain Operations in 2022

Fulfillment of Nutrition and Wellness Products: Trends, Challenges and Tips to Ace Nutrition and Wellness Category Supply Chain Operations in 2022

Along with the growing awareness and utilization of the internet and eCommerce by customers to get access to the products and services they need in a speedy and hassle-free way, the demand for nutrition and wellness products to help people live healthier lifestyles is simultaneously increasing. This is coupled with the trend of more people gaining access to lifestyle amenities due to India becoming a more prosperous and wealthy country on a daily basis. As a result of this, customers have become less worried about scraping by and putting food on the table and are able to focus on more granular aspects of their lives, such as the well-being of themselves and their families. The expanding availability of nutrition and wellness products, especially through eCommerce, has made many consumers enthusiastic about purchasing them, as they do not need to visit a dedicated store. They can simply browse through all the available products and get all the information they need at their fingertips. In this blog, we take a deeper look into the fulfillment of nutrition and wellness products, trends in the industry, challenges faced by retailers, and 5 tips to improve fulfillment processes. What Constitutes the Fulfillment of Nutrition and Wellness Products? The conventional eCommerce processes that go into delivering nutrition and wellness products to the locations of relevant customers, such as picking, packing, shipping, and last-mile delivery, constitute the fulfillment of nutrition and wellness products. These products can be anything health or fitness-related such as herbal teas, protein shakes, diet supplements, grains, pulses, ayurvedic medicines and much more. They generally add value to a person’s daily routine by providing solutions to problems such as obesity, stress, weight gain, and high cholesterol, among others. [contactus_uth] Significant Trends in the eCommerce Growth of Nutrition and Wellness Products  In a Mckinsey survey of 7,500 people across 7 countries, 79% of them agreed that wellness is important, while 49% indicated that it was a top priority for them.The global nutrition and wellness product market are currently valued at $1.5 trillion, with a growth rate between 5 to 10%, annually.The industry experienced an overall decline during the pandemic, with more people being inactive but demand has started experiencing a significant uptick since then.In a recent study, participants spent the majority of their income on healthcare and wellness products.Services, as opposed to products, account for 30% of nutrition and wellness-related purchases. 3 Unique Challenges That Sellers Face in the Fulfillment of Nutrition and Wellness Products Need for Specific Warehouse Facilities Nutrition and wellness products often have very specific storage requirements such as being stored at a certain temperature, being stored away from direct sunlight, being stored away from other grocery products due to risks of cross-contamination, and much more. This necessitates that fulfillment warehouses be equipped with specific features to safely and efficiently store so that they can successfully be shipped to customers without getting visually damaged or deformed. Greater Risk of Expiry and Damage On the same note as the first point, because wellness and nutrition products need specific facilities to prevent them from getting spoiled or damaged, their chances of premature expiry are generally higher compared to conventional eCommerce products. Moreover, since they are tailored toward improving the health and well-being of customers, there is a lower threshold for any deformities to occur as the product will not be salvageable and will have to be written off. In the event of an RTO, the package could risk getting damaged in transit due to the fact that it hasn’t been stored in the required conditions for a long period of time, which could not only increase the logistics costs but also result in the product cost being borne by the seller.  Suggested Article: How to Handle RTO? Requirement for Specialised Packing In continuing with the theme of wellness and nutrition products being a lot more fragile than other categories, they require specialised packaging. This helps increase their lifecycle and prolong their shelf life and ultimately, their expiry. However, if you are a retailer that is aspiring to deal in these products, it is important to note that these packaging facilities, like the dedicated storage facilities, don’t come cheap. It is simply an additional step and cost to think about, that is unique to nutritional and wellness products. 5 Tips to Enhance the Fulfillment of Nutrition and Wellness Products Through a 3PL in 2022 Have Enhanced Inventory Management and Quality Control Source Wellness and nutrition products are subject to some of the most strict guidelines of any product category in relation to storage, shipping and delivery since the entire aim of them is to improve health and wellness among the people that buy them. Therefore, you need to implement enhanced quality-checking procedures and invest in an inventory management system to oversee your inventory compliance and identify when products are close to expiry or need to be replenished with fresh stocks. This will help you stay on top of the game and help customers view your brand as a legitimate option for the fulfillment centre of nutrition and wellness products. Related Article: Stock Replenishment Have Exceptional Product and Operations Management  Source Management of important departments is a crucial aspect of any company, especially one that sells nutrition and wellness products as there can be a vast number of challenges and unforeseen circumstances that could occur. Competent management can offset the negative effects of such circumstances by providing solutions to problems and leadership to various teams around them. For instance, if there is a product recall of a major SKU that you sell due to manufacturing defects or safety hazards, you need proper management to take the appropriate steps in dealing with agitated customers that have already purchased it, ensure that all the defective stocks are rounded up and replenish the inventory with a close substitute and offer that to customers as a replacement. Implement Batch Tracking at the Warehouse Level Source Some important batch tracking methods are FEFO (First Expired, First Out), FIFO (First In, First Out) and LIFO (Last In, First Out), among others. In the case of wellness and nutrition products that have a greater risk of expiry and damage if they are not stored in the required conditions or are kept in storage for too long, it is best to use the FEFO method to mitigate any additional risks. This will ensure that the products with the closest expiry dates will be prioritized and fulfilled first. Offer Ultra-Fast Delivery Source A recent study concluded that 48% of eCommerce customers in India received their orders within 2 to 3 days of placing them, which is a major step up from just a few years ago. Fortunately for customers, this number is only slated to rise as ultra-fast 2-day, same-day and even 10-minute deliveries are taking precedence. eCommerce selling platforms like Amazon and Flipkart, along with 3PL fulfillment companies, are constantly seeking to out-pace each other in terms of order fulfillment and the parties that ultimately benefit our retailers and their customers. This is especially beneficial for the fulfillment of nutrition and wellness products as it is advisable not to keep them in transit for too long. Provide a Unique Unboxing Experience Source Wellness and nutrition products generally have great packaging that hits home the message of health and sustainability. Therefore, it is imperative that your brand also follows this trend in order to catch the eyes of customers, among a sea of other manufacturers that are also trying to jostle for their attention. You can use materials that maintain the lifecycle of your products while also promoting your brand and its message. This can easily be done through a 3PL company that has custom packaging facilities. You can also insert pamphlets, coupons and vouchers in your packaging to encourage customers to purchase from you again. Conclusion: Why is WareIQ a Good Option for the Fulfillment of Nutrition and Wellness Products? As the world becomes more health conscious, the demand for nutrition and wellness products will only keep increasing. People are seeking to live healthy, prosperous lives now, more than ever. As the global economy becomes wealthier as it recovers from the pandemic, the focus shifts from survival to personal well-being and that is exactly what is taking place. This is even more pronounced in a country like India, where more and more people are getting the capability to pursue luxuries that enhance their lifestyles. However, it is important to be aware of the specific features and costs that are unique to this category of products and plan accordingly. If you need specialised facilities that are associated with the fulfillment of nutrition and wellness products, WareIQ might be the perfect fit for you. WareIQ is one of India’s leading eCommerce fulfillment companies, trusted by a lot of brands in nutrition and wellness categories like Gynoveda, UTH Beverages, Lil' Goodness, Wingreens etc. We provide a vast array of eCommerce services from inventory storage to order delivery. Some of our unique services that could benefit your company if you sell wellness and nutrition products are listed below: Pan-India Network of Fulfillment Centers with Cold Storage & Temperature Controlled Warehouses We have fulfillment centers scattered across the entire country and each one is equipped with specialized SKU-specific facilities such as cold storage, temperature-controlled warehouses, specialised storage materials for fragile goods and much more. Additionally, we also provide hyper-local fulfillment through dark stores where inventory that needs to be fulfilled quickly can be stored and delivered to surrounding areas. Custom Packaging Facilities We provide customized packaging facilities as per the requirements of your business. You can choose to highlight your brand with your logo and designs of your choice, while also choosing materials that will secure your products, especially fragile ones such as wellness and nutrition products. Ultra-Fast Same-Day and Next-Day Delivery We have partnered with more than 20 of the best shipping aggregators in the country to ensure that your orders are always on time. We also automatically assign the quickest and most cost-effective option for every order.  Custom WMS With Multiple Integrations Our custom WMS can integrate with multiple eCommerce selling platforms such as Amazon, Flipkart, eBay and more and can monitor, store and update your inventory and order data across all of them, in real-time. You will also have access to all your important data in one central dashboard. No Minimum Order Requirements We do not have any minimum order restrictions. You only pay for the services and facilities that you use so you can pick and choose what is important to you. Fulfillment of Nutrition and Wellness Products: FAQs What products would generally come under the nutrition and wellness category?A variety of products could be considered as nutrition and wellness products. A few examples are listed below:- Herbal teas- Body gels- Face creams- Protien powders- Ayurvedic medicines- Aloe vera products- Organice toothpastes- Minerals- Sunscreens- Disinfectants Why do nutrition and wellness products require special storage facilities?These products are often highly fragile and can expire if they are not stored in the proper conditions such as at the appropriate temperature, away from sunlight, on certain types of shelves, etc. Why do nutrition and wellness products require special packaging?Since nutrition and wellness products are often composed of organic and sustainable ingredients and materials, they require special packaging to prevent product damage and extent the product lifecycle. What are some good survey questions to help customers understand what type of products they need?Some good questions to ask your customers to understand their requirements are as follows:- What does your normal diet consist of?- What do you perceive as a healthy diet?- How often do you eat fruits and vegetables?- Are you currently taking any medication?- Do you currently have any health disorders? What services can WareIQ provide for sellers of wellness and nutrition products?WareIQ provides services such as customizable packaging where you can customize the design and materials used, specialised fulfillment centers that can store a variety of different products, dark stores that can enable hyper-fast delivery, same-day delivery services through a variety of shipping companies and much more.

October 06, 2022

Multichannel Distribution: Importance, Challenges and Best Practices to Enhance the Efficiency of Multichannel Distribution System in 2022

Multichannel Distribution: Importance, Challenges and Best Practices to Enhance the Efficiency of Multichannel Distribution System in 2022

Customers can receive your products in a variety of ways. However, most businesses start with just one form of distribution, such as offline or internet stores. As your company expands, you might wish to use more channels to communicate with your clients, such as a physical store or an internet store. Whatever channels you decide on, a multichannel distribution system is necessary if you want to sell through multiple channels. The distribution industry is evolving quickly. As a result, the processes between the point of sale and customer fulfilment are competitive. Success and expansion require a multichannel distribution model. Distributors who embrace multichannel distribution must be dynamic and adaptable. They must meet omnichannel communication and purchasing expectations from B2B and B2C customers while ensuring that their supply chain procedures are effective and simplified. When set up and handled effectively, a multichannel distribution system broadens your consumer base and increases sales. Nevertheless, setting up a multichannel distribution system that reduces costs and maximizes profit can be challenging without the appropriate technology, tools, and resources. This detailed guide provides all you need to know about a multichannel distribution system. What Is Multichannel Distribution? Consumers today prefer to shop from many locations whenever it is convenient. A businessman who sets up two or more sales and marketing channels is said to have a multichannel distribution system. He does this to broaden his customer base and boost sales since he can sell through physical stores, internet stores, and online marketplaces. The channels retailers wish to utilize which channel to deliver goods to their clients are up to them. Physical stores, branded websites, auction platforms like Amazon and eBay, or dropshipping models are all examples of distribution methods. These numerous distribution channels provide a unique way for a customer to purchase from a retailer. They can buy straight from you as you deliver the goods to them.  Customers may also purchase products indirectly, such as when you give another store or third party your products to sell to their customer base. The decision by a retailer to strategically distribute its goods to clients through many channels, such as physical storefronts, an online marketplace like Amazon, or another major retail chain, is known as a multichannel distribution system. The primary operating tool of a multichannel distribution system is technology. However, creating a multichannel strategy and correctly implementing it are both crucial. Why do Consumers Prefer Buying Across Different Channels? Customers are given more information through various marketing channels, enabling them to make judgments about purchases more quickly. They enjoy more freedom as well. They are no longer limited by a brick-and-mortar store's operating hours and are free to shop whenever and wherever they choose. Customers like the flexibility that comes with multichannel distribution. Some buyers prefer to browse merchandise in person before making an online purchase. Some people are more inclined to look up things on their phones before purchasing them. Customers study online guidelines and reviews to learn about the advantages since they want to feel assured while making purchases or using services. Because they are familiar with the product before seeing it in the store, their enthusiasm for the product increases. Trust is crucial since it might motivate customers to make larger purchases or choose more expensive items, boosting your profit. You may build a linked consumer experience by selling your goods and services across several marketing platforms. As a result, customers are inspired to purchase more goods because shopping no longer feels like a hassle. And even if you don't offer tangible goods, you can still use multichannel distribution to broaden your customer base, boost your revenue, and expand your business. [contactus_lilgoodness] Importance of Multichannel Distribution Networks in eCommerce One advantage of operating an online business is the ease with which you may enter new markets through various channels. As a result, you can attract a variety of clients by establishing your brand on the platforms where they purchase. The future of retail will be multichannel. According to BRP's Consumer Study statistics, 56% of retail customers are more inclined to shop at a store that allows them to have a shared cart across channels than at a business that does not; however, only 7% of retailers provide this shared cart concept.Businesses can expand and give customers a better shopping experience using a multichannel distribution strategy. Here are a few advantages of the implementation of a multichannel distribution system. Expand Your Consumer Base The multichannel distribution strategy's inherent flexibility and agility allow distributors to reach a more extensive consumer base and many additional market segments. Businesses may effortlessly combine brick-and-mortar retail, eCommerce, and sales and marketing capability because of the benefits of both B2B and B2C distribution channels. In addition, companies can quickly expand into previously unexplored markets if they can reach a much more comprehensive range of clients (an integrated ERP system will play a vital part in this). A broader geographic reach, exposure to new clients, and first-time purchases will benefit distributors. In addition, they can increase their sales and marketing reach by looking into new possibilities and utilizing platforms like pop-up shops and internet marketplaces. Reduced Risk through Multiple, Diversified Distribution Channels In today's omnichannel fulfilment and distribution environment, relying just on one distribution channel carries significant risk. Businesses can significantly lower this risk by diversifying their distribution channels to include ones with a variety of audiences and levels of competence. When it comes to properly diversifying the distribution network, an integrated ERP system will provide significant advantages. For example, real-time monitoring, management, and tracking of numerous channels are essential for risk management. In addition, an ERP system is vital for guaranteeing that the most economical and effective channels are used for swiftly distributing goods and services. To stay competitive in today's challenging business environment, distributors must diversify. For enterprises of all sizes, a multichannel distribution model offers many advantages. For example, businesses can expand naturally and affordably without adding staff by reaching out to new clients, markets, and geographical areas. The best method to establish a multichannel distribution plan is to find a comprehensive ERP system and reliable 3PL partner, such as WareIQ. In addition, businesses may quickly diversify and pursue new and exciting distribution channels by utilizing flexibility, automation, and granular administration. Supply Chain Optimization Any business that engages in distribution relies on its supply chain. Distribution through many channels ensures the entire chain is optimized, from front-end sales to eCommerce fulfilment and everything in between. Retailers and distributors alike have learned from Amazon that the distribution pipeline is still developing and can be a hazy and ill-defined conduit. Distributors must understand the value of supply chain optimization if they want to stay competitive, and a flexible, multichannel distribution strategy is the only way to achieve this. Revenues Will Skyrocket You will ultimately raise sales and strengthen your bottom line by diversifying into new channels. The profit you get from those new consumers can eventually outweigh any expenditures you incur from establishing new sales channels. However, you must ensure the instruments, resources, and bandwidth necessary to optimize your supply chain to maximize profit. More sales mean picking and packing orders, shipping parcels, and managing inventory will all need more time and money. Boost Availability and Customer Interactions Offering your brand through various channels gives customers access to it around the clock. By having many touch points throughout the customer journey, you may significantly enhance the prospects for purchasing by making the most of your store's hours. In addition, selling through various channels can offer extra marketing and brand recognition options to keep your brand at the forefront of consumers' minds. In other words, by extending your presence across channels, shoppers may connect with and be exposed to your brand anytime, even if a potential buyer isn't ready to make a purchase immediately. Businesses that adopt a multichannel distribution strategy give their customers purchasing choice and convenience, giving them an advantage in the increasingly competitive omnichannel distribution markets. Access to Valuable Data You have full access to first-party data when your loyalty programme is available via various channels. You may, for instance, provide your customers incentives for updating their accounts with personal information. You can also obtain details about geolocation, interests, and demographics. The ability to create a tailored customer experience is made possible by having more knowledge about each of your clients. You can better gain your clients' loyalty by communicating with them through various channels. Join PassKit, a digital loyalty solution with a built-in multichannel distribution system, even though developing a multichannel distribution system for your loyalty programme may seem daunting. Related Article: Scope of Advanced Distribution Management System in 2022 Challenges Faced in Multichannel Distribution Systems You want to offer a seamless consumer experience by cross-channel selling. The procedure, though, might not be simple.  The following are some typical limitations with multichannel distribution. Increased Complexities The more sales channels you have, the more work you can do in order fulfilment, inventory updates, customer service, efficient distribution, additional shipping expenses, supplier partners, and operating costs. You will need to put in extra time and effort to give customers a good experience and avoid problems like sluggish order fulfilment or inability to satisfy seasonal demand. You can resolve these problems by utilizing supply chain automation. Increase In Inventory Costs  As you expand selling and marketing across numerous channels, you anticipate increasing expenditures for warehouse management, inventory control, and retail fulfilment. Even with higher carrying costs, businesses can still turn a profit. Still, with additional channels, you must ensure that warehouse management system is optimized with the technology and processes that can assist in streamlining and automating labour-intensive jobs. Doing this may save expenses and prevent poor logistics management from eroding your earnings. Potential For Channel Conflict Orders are generated through various sales channels, which frequently compete with one another. Therefore, the proper amount of inventory must be accounted for in real-time, which might be challenging. You run the danger that one or more sales channels will unintentionally sell more products than you have in stock, leading to backorders and ultimately reduced customer satisfaction unless all channels are linked with the same inventory management system. A multichannel inventory management method that offers a complete picture of real-time inventory and order data across all sales channels is necessary to prevent inventory errors and ensure adequate stock to fulfil requests promptly. Complicated Operational Processes Supply chain management can become a full-time job as you diversify into more channels. A lot goes into logistics operations, including order processing, inventory management, and guaranteeing order correctness during the picking and packing. Consider whether your company can manage more than one sales channel before establishing a multichannel distribution system. If so, streamline your operations using an omnichannel fulfilment strategy, which helps ensure orders coming from multiple channels are considered during the eCommerce fulfilment process. Best Practices to Enhance the Efficiency of Multichannel Distribution Multichannel distribution requires a lot of planning, even though it is a business strategy in and of itself. For example, as soon as you add more channels, you must ensure that your multichannel distribution system is optimized using the appropriate tools, materials, and technology. Mentioned below are a few multichannel distribution approaches to get you started. Consider The Most Beneficial Sales Channels You may sell almost any place these days, from vast markets to social media sites, but that doesn't imply every sales channel is appropriate for you. Instead, pick the best sales channels for your company that won't kill your margins due to associated expenses and provide the most opportunity. Think about the kind of customer you want to draw in and determine where your ideal customers shop online before committing to a new sales channel (and how they shop). Next, consider whether your clients would be interested in purchasing your product through that sales channel and whether the product and the sales channel are a good fit. Centralize Multichannel Data Having a single source of data is vital when selling on various channels. In addition, having data at your fingertips will enable you to manage inventory for the advantage of your company. It might be challenging to keep track of your inventory when you process orders through many channels. A consolidated data system will make it simpler to keep track of inventories and replenish them as needed. Additionally, you can use technology to speed up and improve the procedure. Choose a 3PL that Easily Integrates to Your Sales Channel Keeping track of orders that arrive through several channels might be more complicated than managing orders that arrive through your online business. You can link your multiple sales channels using the platform provided by the 3PL service provider. As a result, all your orders are instantly collected and synchronised, allowing you to check all your orders from various platforms on a single platform. You must process and send out orders using the platform in addition, the 3PL platform also assists in managing orders and inventories. Optimize Your Order Fulfilment Process Your online store has access to multiple channels, so your order fulfilment system must be quick and reliable. You should take the necessary precautions to fortify your fulfilment process to be ready for a more significant order volume. Opening new channels will undoubtedly increase your order volume, which may even double or triple it. Real-time data on inventory, orders, and shipping can be compiled on a single dashboard by automating eCommerce fulfilment services. As a result, eCommerce fulfilment procedures remain effective and reliable, and merchants benefit from complete process transparency. Each stage in automated procedures is guided by data automatically filled out in the dashboard when an order is submitted. How WareIQ Streamlines Distribution Across Multiple Channels? Don't let the complexity of multichannel distribution logistics scare you away from the modern market or keep you from capturing market share as your company expands. WareIQ can assist you in growing into additional sales channels with personal assistance in setting up a multichannel distribution system. You can effortlessly automate order fulfilment across many sales channels by working with WareIQ, tracking inventories in real-time from a single dashboard, and saving time and money by outsourcing logistics to the pros. The warehousing and distribution network of WareIQ, which includes inward inventory processing, intelligent inventory placement, real-time inventory tracking, speedy fulfilment, and automatic shipment, enhances the eCommerce distribution process. A national fulfilment network, cutting-edge technology, and first-rate customer care are all available to you when you work with WareIQ as a partner to help you improve your logistics procedures and optimize your supply chain. For instance, WareIQ can help with the supply chain projects listed below to improve them all: Monitoring of inventory in real-time across the supply chain includes- Selecting the most effective product distribution method.Providing shipping discounts through reliable local and national carriers.Utilizing a broad network of fulfilment centres to expand the reach of your customer base.Access to cutting-edge data and reporting analytics tools improving operations. [signup] Multichannel Distribution FAQs (Frequently Asked Questions) What is a multichannel distribution system defined as?When referring to a sales and marketing distribution strategy, "multichannel" means using more than one channel or store to contact customers and boost sales. What distinguishes multichannel and omnichannel techniques?Unlike omnichannel marketing, which builds on interactions on one channel to advance the customer journey at each touchpoint, multichannel marketing employs many channels to send customers the same material or unrelated content. What benefits can multichannel distribution systems offer?Systems for multichannel distribution have several benefits. Business owners can reach more clients around-the-clock by using multiple sales channels. By diversifying your sales channels, you can raise brand awareness, reach audiences you might not have otherwise reached, boost sales, and enhance customer purchasing. What can WareIQ do to make multichannel distribution more efficient?The fulfilment procedure will become more difficult as you increase the number of sales channels you use. Multichannel distribution can be made simpler in several ways with WareIQ. Leading fulfilment partner WareIQ, for instance, makes it simple for retailers to link their online shop and various sales channels, streamlining the eCommerce fulfilment process and enabling real-time inventory tracking throughout your supply chain. Which industries employ multiple distribution channels?Multichannel distribution is common in retail sectors like clothing stores. Many clothing companies have a physical location, a website, and offer client catalogues.

September 12, 2022

What is Distribution Management? Channels, Scope, Challenges, Benefits of Establishing Advanced Distribution Management System for SMBs and Enterprises in 2022

What is Distribution Management? Channels, Scope, Challenges, Benefits of Establishing Advanced Distribution Management System for SMBs and Enterprises in 2022

Distribution management has been a persistent issue for businesses. Raw resources could arrive earlier than expected and perish before being used. Alternatively, finished items could arrive too late, giving a competitor the chance to capture most of the market. The need for efficient distribution has prompted supply chain and inventory management to embrace sub-discipline practices like just-in-time inventory. In conclusion, efficient distribution calls for various moving parts and methods, demanding a solid distribution management strategy supported by real-time data.In this post, we'll go through the many methods for regulating the delivery of raw materials for production and finished goods to customers. The challenges of setting up a distribution system and the benefits of having a highly successful distribution management system are also covered in this essay. What is Distribution Management? The effective movement of commodities from the origin to the site of consumption is planned, carried out, and controlled by distribution management, a strategic business process, to satisfy customer needs. It is the process of planning and managing how goods and services are delivered to customers. It covers both the distribution of tangible objects like food and clothing as well as the distribution of digital goods like books and software. Distribution management refers to arranging the movement of commodities from a supplier to a manufacturer, then to a wholesaler or retailer, and finally to an end user. This complex procedure includes managing vendors for raw materials, packaging, warehousing, inventory, the supply chain, distribution logistics, and even blockchain. A distribution management strategy is necessary for any business that sells products or services to guarantee that the appropriate products are delivered to the right customers at the right time. Distribution managers choose which goods or services to distribute and how to do so during the distribution planning step of the distribution management process. Then, following the development of distribution strategies and plans, they put these plans into action by utilising distribution networks. Distribution Management Channels A key aspect of supply chain management is controlling the physical distribution of inventory. However, it's crucial to understand the various routes of distribution as well as how inventory flows throughout the supply chain to comprehend distribution logistics. Wholesale Distribution Wholesalers can sell to producers, distributors, or retailers and supply either finished products or raw materials in quantity at a reasonable cost. Wholesalers frequently handle the distribution of the raw ingredients needed to create a finished good. For instance, fabric wholesalers give clothes manufacturers the supplies they need to make finished clothing. Retail Distribution The choice to deal directly with a wholesaler, manufacturer, or supplier is available to retailers for their retail distribution businesses. Major retailers frequently distribute goods from several suppliers through various sales channels to reach their target customers. For instance, Walmart and Amazon let various brands that provide a range of products, which are then sold online or at their physical stores. Supplier  Suppliers operate as the intermediary between the manufacturer and the wholesaler or retailer. For example, when manufacturers wish to increase their regional distribution, they authorise distributors (who know the local market) to sell the items. Distributors frequently provide storage and logistical support in their particular area. For instance, automakers give the newest vehicle models to nationwide dealerships so consumers can buy them conveniently. eCommerce or Online Distribution Modern direct-to-consumer (DTC) fulfilment brands, which send goods directly to customers, have been made possible by eCommerce (often at their homes). Inventory is ordered by online merchants and is kept in an e-commerce warehouse through collaboration with manufacturers and suppliers. Items are selected, packed, and shipped straight from the company once inventory has been received and online orders have been placed. eCommerce fulfilment has eliminated the middleman in the supply chain, resulting in quicker deliveries, more reasonable costs, and improved customer service. [contactus_uth] Scope of Distribution in Supply Chain Management  Distribution management oversees a company's whole supply chain, including packaging, inventory, warehousing, and logistics, from manufacturers to retailers to vendors and suppliers. Therefore, a distribution management strategy must be implemented for a business to be profitable and endure. A company's capacity to draw customers and make money depends on having an efficient distribution management system. Effective distribution management is necessary for managing the entire supply chain process. The more resources a company needs, the more crucial it is to automate distribution management. Moving items from point A to point B is not as comprehensive as the distribution management system. Additionally, it involves acquiring and providing information that can be used to determine significant industry growth and competitive possibilities. Most cutting-edge companies use their distribution channels to learn about the market, which is essential for assessing their supply chain effectiveness and competitive position. Commercial distribution (often referred to as sales distribution) and physical distribution are different types of distribution (also known as logistics). Among the tasks performed in distribution are customer service, shipping and warehousing, inventory control, operations of private transportation fleets, packaging, receiving, and material handling. The goal is to supply all raw materials, components, and partially finished goods on schedule. Therefore, the overall channel plan should sync with the supply chain and distribution strategy. How Does the Distribution Management Work in eCommerce Industry? Monitoring the movement of goods along the supply chain involves several moving pieces. Additionally, each action taken during distribution management is essential. Now that you know the key stakeholders involved in moving eCommerce inventory from one stage to the next, let's go specific about the activities during the process. Receiving Inventory Ecommerce inventory is unloaded, processed, and stored when it gets to a warehouse or fulfilment facility. A competent inventory receiving procedure commonly referred to as "warehouse receiving," is crucial because it prepares your supply chain for efficient, affordable inventory management and fulfilment later in the fulfilment process. It is vital to cross-check inventory counts at this time to make sure that what the manufacturer delivered matches what was purchased. Without an appropriate inventory-receiving process, you risk having inaccurate inventory counts or missing stock, which can affect profit margins and inventory reporting. Warehouse Management After receiving the inventory, it must be watched carefully to ensure enough of it to meet demand. Goods tracking, storing and supervising a warehouse staff on how to best monitor inventory throughout the warehouse are all parts of warehouse management. Implementing a warehouse management system (WMS), a piece of software created expressly to streamline warehouse operations, including warehouse inventory management, has become mainstream with the growth of digital warehousing. This lessens human labour and enables warehouse workers to prioritise speed without sacrificing accuracy. Orders Packaging  Once all of the items for a single order have been taken from the shelves, packing gets started. It takes more work than you may imagine during the packaging of goods. To ensure they arrive at their destination intact and in the most economical way possible, the proper goods must be packed in the correct size box with suitable materials. Packing should always keep order inside the least number of boxes (avoiding split shipments) and use the appropriate type(s) of packing material(s) for each product to save shipping costs and ensure order correctness. Reducing package size is one such way for the same. Shipping The packed orders are shipped to their final locations in this last phase. Although the end user is frequently the target audience for direct-to-consumer (DTC) firms, some also provide B2B eCommerce services. Therefore, some orders (typically larger packages including numerous units) are shipped to a different business in that situation. Because it significantly affects consumer happiness, eCommerce shipping is essential in the distribution process. In addition, 43% of online customers consider quick and dependable delivery to be the most crucial aspect of their online buying experience. Having a sound shipping plan guarantees that you can provide your clients with shipping alternatives that are both competitive and economical. There are various approaches to delivery management and the effectiveness of your order shipping, including: Storing goods in many places to enable inexpensive two-day shippingCollaborating with a variety of large and small local parcel carriersFree shipping with a minimum threshold above your average order value is available. Challenges & Complications Faced in Distribution Management System When contingency plans are included in supply chain planning and designing, they can be deemed successful in dealing with unforeseen circumstances. Distribution can be affected at any time by changes in the market for products and buyers and by economic and environmental problems. Below is an overview of typical distribution management issues and suggestions for improving readiness for the unexpected. Transportation Issues In India, shipping cargo by road is the primary means of transportation. Therefore, the majority of cargo travels by road. Only 32% of goods are transported by rail due to congested rail networks and expensive rail charges. Although most of the supply chain is transported by road, there are still some snags. Due to bad road conditions, numerous checks, and traffic, road transit is highly inefficient. Suggested Article: How to Reduce Transportation Costs in Distribution Networks in 2022? Lack of Skilled Workers There is an alarming scarcity of trained labour and specialised professionals in the distribution industry. Modern technology has created a pressing need for labourers who are technically adept. However, the workers lack the necessary skill set to make the operations more efficient and are overworked and undertrained. Businesses also compromise on their logistics workers' hiring, remuneration, and training to save money. These businesses thus struggle with significant employee turnover, rising training expenses, and underperforming human resources. Shortages In The Supply Chain Your supply chain may experience severe disruptions due to manufacturing delays or a shortage of raw materials. Partnering with various suppliers or production options is the most effective strategy to address supply chain shortages or delays. Ensure that you won't be in trouble or left without a supply if your main provider cannot fulfil it due to shortages, closures, or trade restrictions. Unexpected Transport Disruptions  Due to the high likelihood of unforeseen circumstances, India's varied geography, transit routes, and weather patterns make the transportation sector unreliable. As a result, delays are a common problem for the transportation business, even when packaging and drops are completed on time. Mainly because India is a vast nation with various terrains and climates. Additionally, the country's interior and rural areas have horrible roads, and the Hills are prone to landslides and accidents. The difficulties are made worse by heavy traffic, many checkpoints, and toll booths. This results in significant time and financial losses during distribution management for logistics companies. In other words, unanticipated delays cannot be eliminated even after accounting for additional delays. Inaccurate Demand Forecasts Distributors must ensure that all business activities and resources perfectly align with customer demand. Working off sales estimates or demand projections is a poor replacement for an accurate, current, and comprehensive picture of demand. The distributors' most crucial initiative is giving distribution management, and supply chain partners access to information that enables quick, strategic decisions. In addition, distributors must be versatile enough to scale their businesses to meet demand. Coordination Among Suppliers And Customers In the distribution management industry, success is based on velocity or speed. A significant contributor to delays and a frequent source of errors include poorly interconnected systems and reliance on manually processed data that is already existent in one system but inaccessible to others. Distributors must ensure that suppliers view them as reliable business partners and responsive to clients. Supplier and customer relationships may indeed be nurtured by distributors that make performing business simple and rewarding. In addition, distributors who have seamless system integration with their suppliers' systems benefit financially. Benefits of Advanced Distribution Management System for SMBs and Enterprises Managing your distributors through providing products, collecting money, and handling refunds seem to be the definition of distribution management. However, given the complexity of modern operations and technology advancements, there is much more than these fundamental activities. Firms must have a reliable distributor management system (DMS) to leverage their supply chain resources. Some of the essential advantages of a successful distribution management system have been covered in this article. Optimal Utilization Of The Available Resources The most significant benefit of a robust distribution management system is that it promotes optimal resource utilisation. It is beyond dispute that effective order management, delivery, returns, and payment collection processes, supported by solid reporting features, play a critical role in meeting sales targets and attaining desired growth. Additionally, a sound distributor management system makes operations quick and easy, saving time. For instance, since all communication is digital and instantaneous, distributors can set up automatic ordering when a stock level is reached, and manufacturers can quickly fulfill new orders. It increases order accuracy and eliminates numerous manual, labour-intensive operations. Efficient Order Management An advanced distribution management system integrates a lot of automated procedures and communication. Errors caused by humans are decreased as a result. Accurate order management benefits firms with broad networks that handle hundreds of orders daily. Additionally, this advantage helps all parties involved, including manufacturers, dealers, and retailers. They don't have to be concerned about things like placing orders late or early, getting deliveries late, or losing sales. Synchronised Pricing and Promotions Many organisations are still struggling with this. However, this crucial feature has been skillfully integrated into distribution management systems like WareIQ. One must utilize software like that of WareIQ to align promotions and pricing with your supply chain network effectively. A comprehensive distributor management system enables producers to regularly gather performance information on product lines, distributors, and marketplaces. Businesses can design unique promotions, pricing, and offers using this information. They can also set attainable and realistic goals to inspire and promote improved performance from sales teams and dealers. Hassle-free Delivery and Returns Management The supply chain process's most crucial stage is product delivery. Therefore, the sales department, warehouse, distributors, and retailers inevitably work in constant collaboration. These needs are intended to be satisfied by a distributor management system, which includes complex features that encourage scheduled execution of delivery and return requests. In the end, you deal with fewer stock concerns and experience more client loyalty and satisfaction. Avoid the Additional Cost As was said in the previous point, you may easily cut your company's additional costs by utilising a sound distribution management system. For example, as your company expands, you must pay a lot to hire and keep additional employees. By automating the process and optimising your headcounts, good DMS technology helps you avoid paying that expense. A distribution management system can save a company a sizable chunk of money by removing the need to hire additional people to keep track of sales and inventory. This system will also lessen individuals' effort to precisely forecast demand and plan business activities, reducing headcount; otherwise, several human resources would be needed to manage. Satisfy Client Requirements To constantly exceed consumer expectations, distribution management is essential. With distribution management systems, getting the products from the manufacturer to the final consumer will never be a missed opportunity. Technology will ensure that orders are consistently and affordably delivered fast and reliably. The availability of SKUs for each sales channel and at the time the customer demands them is also ensured by this policy. Moreover, because it keeps the cost of order fulfilment low, the merchant may pass the savings to its customers. Faster Delivery  41% of customers are willing to pay an additional fee for same-day delivery, while 24% of customers stated they would pay more to have products delivered within a one- or two-hour window. If a brand offers more delivery alternatives than its rivals, this attracts more consumers, and most of them will end up closing the deal with your brand. You may provide your clients with better shipping incentives with a solid distribution strategy. Keeping inventory close to your customers, for instance, can lower shipping costs while speeding up delivery times. In addition, with a minimum cart value, you can offer your consumers benefits like free delivery or 2-day shipping. Conclusion A corporation utilises a distribution management strategy to establish how its items will be distributed to customers. Distribution management strategies can be divided into three categories: bulk, selective, and exclusive. A corporation should base its distribution management strategy decision on the products it sells, and its business objectives. An effective distribution management system can lower distribution costs and improve customer service, among other benefits. However, it can have several drawbacks, such as being challenging to manage and implement. How WareIQ's Distribution Management System Expands Your Brand's Reach? The eCommerce distribution process is improved by WareIQ's warehousing and distribution network, including inward inventory processing, smart inventory placement, real-time inventory tracking, quick fulfilment, and automatic shipment. Partnering with WareIQ gives you access to a nationwide fulfilment network, cutting-edge technology, and first-rate customer support to help you enhance your logistics processes and optimise your supply chain. For example, the following supply chain projects can all be made better with WareIQ's assistance: Real-time inventory monitoring across the supply chain. Choosing the best product allotment strategy to improve distribution. Offering discounted shipping rates with reputable national and local carriers. Extending the reach of your consumer base with a vast fulfilment network. Enhancing operations with access to cutting-edge data and reporting analytics tools. [signup] Distribution Management FAQs (Frequently Asked Questions) What is distribution management?The process of managing the flow of products from supplier to manufacturer to wholesaler or retailer and ultimately to the final customer. What is the importance of distribution management?Distribution management aims to maintain inventory movement along the whole supply chain. Profit margins and the rate of brand expansion are influenced by how well distribution management is carried out. For instance, you can have too much dead stock if you spend too much on storage. Or, if you don't restock inventory quickly enough, it could result in lost sales due to items being labelled as out-of-stock. What factors influence distribution management?Distribution management must take into account a variety of aspects, including changes in the intensity of consumer demands, shipping optimization, and potential reasons for shipment delays. What objectives do effective distribution management systems seek to achieve?Customer expectations for e-commerce have skyrocketed since the outbreak. By expediting distribution and order fulfilment, effective distribution management can assist you in reliably exceeding such expectations. Additionally, by immediately adapting to market seasonality and boosting profit margins through the analysis of distribution management data, it helps save money and energy. What are the challenges faced with distribution?Channel distribution issues may arise when your channel partners are unfamiliar with your products or the market. Poor customer service and missed sales opportunities are the results. By offering educational materials that increase product expertise, your marketing team can solve this issue. Can management of distribution be contracted out?Yes! The effectiveness and efficiency of an outsourced supply chain are typically substantially higher, ultimately improving customer satisfaction and profitability. As an illustration, many rapidly expanding firms collaborate with a distribution partner like WareIQ to optimise distribution, lower risk, cut expenses, and shorten transit times. By outsourcing fulfilment, eCommerce enterprises can free up more time to focus on projects that will increase sales.

September 09, 2022

What is Distribution Logistics? Definition, Objectives, Challenges and 5 Effective Suggestions to Improve Distribution Logistics Management for eCommerce in 2024

What is Distribution Logistics? Definition, Objectives, Challenges and 5 Effective Suggestions to Improve Distribution Logistics Management for eCommerce in 2024

Logistics is the entire process involved in thorough planning, management, ensuring an adequate flow, and storing commodities and associated information and data for efficient processing. As a result, logistics establishes a unified, integrated, and optimal flow throughout the supply chain to achieve customer satisfaction. But what if the product cannot be delivered to the consumer on time, and all initial efforts are for nothing? That is why distribution logistics are essential to the eCommerce supply chain between the point of sale and the delivery of a consumer order. The heart of an online business is distribution. Without it, delivering and meeting client expectations would be challenging. But it's frequently a balancing act to get retail distribution correct. For starters, you must have sufficient inventory to satisfy demand while making the best use of available storage to minimise expenses. So how can you ensure efficient business operations and delivery? With well-thought-out distribution logistics planning, you can deliver on time, maintain a spotless delivery record, and optimise operations in response to shifting trends and technological advancements. However, before you can improve distribution logistics for your company, you must first understand what it is. What is Distribution Logistics? The logistics component of the supply chain that deals with production and customer base is known as distribution logistics. Distribution and logistics for direct-to-consumer fulfilment (DTC) focus on moving the final items from a manufacturer or supplier to the retailers, fulfilment centres, and customers to complete the eCommerce fulfilment process. It consists of the fundamental planning, controlling, and processing procedures for the movement of commodities between manufacturing firms, retailers, and consumers. Handling the products and supplies, shipping and moving them, and short-term storing are all tasks performed under distribution logistics. This creates ties in terms of structure, organisation, operations, and information between the industrial units and their clients. Therefore, implementing long-term structured data, efficient decision-making, and control mechanisms in distribution logistics is the key to a successful distribution system. [contactus_uth] Objectives of Distribution Logistics Distribution logistics' primary objective is to balance the market's supply of commodities with consumer demand. The following are the primary objectives of distribution logistics: Boost Distribution Efficiency In Supply Chain The inbound and outbound processes are accelerated through distribution and logistics management, which increases supply chain visibility. Therefore, reducing overhead costs and enabling delivery operations within the allotted period is very useful. In addition, businesses can significantly benefit from managing inventory and storage capabilities and optimising warehouse operations to control costs better and boost overall operational effectiveness. Meeting Client Demands The primary goal of logistics management is to carry out effective planning on available inventory and transportation options to satisfy customers. This results in efficient freight movement and prompt delivery of goods or products. By giving clients pertinent information, logistics management improves their whole experience and enables them to stay informed. The most significant way to develop a synergistic relationship and an organization's brand reputation is to analyse consumer needs. Minimise Product Damage Incorrect logistical handling, a lack of load unitizing, improperly designed packing, etc. can all result in this added cost to logistical charges. On the other hand, an effective logistics management plan does the least amount of product damage possible. Therefore, logistics management goals require proper monitoring of all product movements. Operational Cost Reduction The most incredible method to increase revenue and lower supply chain operating costs is to embrace logistics management. It enables the best possible use of raw materials and quicker product delivery, giving businesses a competitive advantage. However, it is helpful to reduce the cost of logistics by streamlining a complicated network of operations and product management. Intelligent route planning to control and manage the supply chain ecosystem can also increase business productivity. Effective Information Flow Improving internal business function and external partner communication is a crucial component of logistics management. Maintaining a transparent communication network enables companies to adapt quickly. Facilitating collaboration is one of logistics management's primary goals. As a result, keeping a smooth communication channel aids businesses in coordinating with clients, suppliers, and vendors. Quality Control The logistics industry's quality standards should be upheld in all areas. Companies should deliberate and never carry out tasks where a supervisor can see them. Corporate growth can be accelerated by using cutting-edge technologies to monitor the quality of all logistics activities. Therefore, one of the main components of logistics management's aims is quality assurance. Cut Back On Carbon Emissions A dependable logistic system frequently introduces modern methods for lowering carbon emissions. Undoubtedly, the transportation sector is thought to be the leading cause of the environment's adverse effects because of automobiles' emissions. Therefore, logistics management aims to implement strategies for route optimization, process automation, and other actions that contribute to defining a standard for environmentally friendly and sustainable logistics. Challenges in Distribution Logistics Even if the goal of distribution logistics is to apply a cost-effective strategy overall, there are certain clear obstacles to overcome. They consist of: Increasing Fuel Prices - Transportation expenses rise due to rising fuel prices. The increased freight rates caused by the rising cost of gasoline make it challenging to reduce overall revenue.Lack Of Efficient Automation - It is difficult to track every cargo for a logistics company manually. For many small and medium businesses, putting in place appropriate tracking software is still a financially sound move.Logistics Laws and Regulations – In general, logistics is a process that operates on a worldwide scale. As a result, distribution logistics management is subject to several local and international laws and regulations. For shipments to continue without significant problems, businesses must stay current on the constantly changing norms and rules.Inadequate communication- Lack of collaboration between the concerned authorities can occasionally damage logistics functioning because the supply chain is a collection of multiple processes involving various teams.Lack of adequate infrastructure - One of the significant issues that service providers deal with is the physical state of the roads, the weather, connectivity, and port capacities, as well as the lack of developed transportation. Types of Distribution Channel - Direct vs Indirect Distribution Depending on the company's demands, various channels can be included in a distribution logistics strategy. eCommerce enterprises have a choice between direct and indirect distribution logistics options. Direct Distribution Channel The ability to purchase or receive items directly from manufacturing facilities is a direct distribution channel. Direct distribution operates solely by internalising the distribution management process and cutting out the middleman. Direct Distribution Channels are more labour-intensive but economical. Inventory must be purchased and delivered directly to the online shop to finish the fulfilment operations. To effectively track and manage the entire process, they must invest in managing their inventory. Brands that acknowledge they are responsible for their distribution must invest in streamlining logistics processes and warehouse management systems (WMS) to fulfil orders internally and better manage carrier relationships. The Direct Distribution Channel is suitable in terms of length and time. Indirect Distribution Channel An indirect distribution channel works with a third-party logistics supplier to meet their distribution needs. With less time for order processing, indirect distribution helps manufacturing organisations cut extra costs. Indirect distribution can delegate fulfilment to a third-party logistics (3PL) company, which will handle all the additional logistical responsibilities like warehousing, cargo pickup and delivery, and shipping on the client's behalf. Without the urgent need to invest in a company's fulfilment structure, an outsourced partner offers the essential resources, tools, expertise, and customer support. However, indirect distribution adds new layers of costs, which helps to drive up consumer costs. Advantages of Distribution Logistics The company's distribution and fulfilment processes can be directly streamlined with logistics. Here is how wise distribution may help a firm expand through distribution logistics. A more effective distribution network -The process and supply chain optimization are made simple by an effective distribution network with various logistics operations.Multiple fulfilment facilities- Distribution logistics operate widely across numerous places for quicker transportation, thanks to a significant network. With the right multi-distribution strategy, businesses may reduce the average delivery time.Reduced Expenses - A strong shipping plan guarantees customers access to a reliable, competitive, and affordable delivery alternative. Businesses can benefit from good shipping times at optimised and lower shipping costs, ultimately increasing customer satisfaction.Less risk associated with freight operations — The outsourcing partner takes on the risks with indirect distribution logistics, which lowers costs overall.Improved Visibility -A more transparent fulfilment procedure with no additional fees is made possible by strategic distribution logistics management. Case Study: Walmart Structure of Distribution and Logistics 5 Tips for Improving Your Distribution Logistics Management in 2024 Businesses should implement a solid logistics management strategy to boost productivity by reducing costs and guaranteeing consistent on-time delivery performance. The following are some of the most significant guidelines for a successful logistics management plan: Develop A Well-Thought-Out Strategy A sound strategy necessitates the acquisition of the items, adequate storage, and delivery of the commodities to their destination. Completing every step is essential because it helps your company be ready for unforeseen events and potential hazards. As a result, supply chain contingency planning is necessary for a smooth flow of materials and supplies. Automated Workflows Automation is essential for real-time data collecting and processing in the age of technology developments. The entire procedure can be optimised by automating several workflows. In addition, a well-integrated supply chain can also be facilitated by using modern technologies. Managing various parts of your distribution logistics, from first-mile delivery to real-time inventory tracking to monitoring fulfilment and shipping performance could be improved by implementing the correct supply chain technology stack. Online retailers adopted automated storage and retrieval systems (ASRS) which can save up to 85% of the floor space used by standard shelving and also offer lean inventory management to address the warehousing capacity issues and production shutdowns resulting from supply chain delays and inventory shortages. Ensure the appropriate software integrates effortlessly with your current or intended tech stack before implementing it. Everything from returns management to freight shipment options to inventory planning can be part of a well-connected tech stack. Efficient Transportation For a superior consumer experience, transportation needs to be quicker and more affordable. Businesses can get a competitive edge by streamlining their overall approach to redesign their logistics management for faster product delivery. Demand Projections Making intelligent distribution decisions requires accurate demand forecasts. To strategically plan for demand and timely replace inventory, it's critical to have the appropriate tools and KPIs in place. Intelligent inventory forecasting may help you manage inventory, reduce shrinkage, cut storage costs, and maintain satisfied customers by utilising prior order information and information about upcoming events. With the correct information, you can choose when to conduct a flash sale, stop selling a product that isn't doing well, or decide how much inventory to order based on seasonality. Partner With a 3PL The ideal choice is to work with a tech-enabled 3PL or distribution partner like WareIQ to outsource distribution to professionals. In addition to fulfilling orders, 3PL also handles warehousing and distribution, ensuring that your inventory is properly managed and distributed across several fulfilment facilities. Increasing client happiness helps you lower expenses while ensuring quicker, more accurate eCommerce fulfilment. With access to shipping and fulfilment information, demand predictions, and other crucial supply chain metrics from their dashboard, you can manage and optimise your supply chain. You can cut shipping expenses and transit times by allocating merchandise to distribution centres close to your client's homes. Conclusion Distribution logistics covers all tasks in getting finished goods from the manufacturer to the consumer. Distribution logistics, which effectively links an organization's production and sales, entails all the procedures like inventory control and shipping to guarantee the most significant delivery experience for the consumer. Distribution logistics connects a company's production logistics with the purchasing logistics of its customers. WareIQ As Your Distribution Logistics Partner As B2B or B2C brand, you can outsource all facets of order fulfilment, from inventory management to returns management, utilizing WareIQ, a 3PL fulfilment solution. Send your goods to one of our fulfilment facilities in India, and we'll simplify your business processes. WareIQ's distribution network lets you offer same-day and next-day delivery to your customers. You can also decline RTO (Return To Origin) orders for your business and cut your fulfilment costs by up to 40%. Utilizing WareIQ Fulfillment Services will allow you to focus less on internal fulfilment and more on other, more crucial aspects of your business.  You may enhance your eCommerce business and boost earnings by employing WareIQ's efficient fulfilment approach. Here is an overview of how WareIQ promotes brand expansion through intelligent distribution. Multiple Fulfilment Centres For Faster Shipping With fulfilment centres spread across tier-1, tier-2, and tier-3 cities, WareIQ's extensive and dynamic fulfilment network lets you strategically store products across numerous locations to reduce transit times. WareIQ's fulfilment centres are in Bangalore, Chennai, Delhi, Mumbai, Kolkata, Ahmedabad, and Hyderabad. With this extensive fulfilment network nationwide, you can enable same-day delivery for your customers in your specific locations. The WareIQ dashboard compiles past order data to assist you in identifying your best distribution plan, which enables merchants to reduce average delivery times. Lower Shipping Expenses A sound shipping plan means that you can provide your clients with competitive, affordable delivery options. Additionally to having the ability to expedite the shipping, WareIQ can also assist you in optimising and lowering shipping costs, such as affordable 2-day shipping or free shipping (with a minimum cart value threshold that is higher than your average order value). WareIQ partners with top domestic shipping companies and regional parcel delivery services. They bargain bulk shipping reductions, which are subsequently passed along to you and your customers. Dependable and Efficient Analytics Merchants can quickly assess distribution metrics, track fulfilment and shipment performance, and manage their supply chain operations with WareIQ's robust data and analytics reporting tool without getting engaged in day-to-day operations. You can utilize WareIQ's dashboard for gaining insights such as- Inventory may be viewed, tracked, and managed across all sales channels and your distribution system.Manage product bundles and SKUs.Keep track of SKU turnover, days with inventory, and other things.Demand can be predicted by looking at historical trends.Sort all orders based on status. [signup] Distribution Logistics Management FAQs: Frequently Asked Questions Is logistics the same as distribution?Distribution is more concerned with the actual physical location of the items. At the same time, logistics is more concerned with the overall planning and organisation surrounding commodities' transportation, storage, and inventory control. What are the four distribution channels?The four categories of distribution channels are direct selling, selling through intermediaries, dual distribution, and reverse logistics channels. Institutions that manage transactions and actual product exchanges make up each channel. Can logistics for distribution be outsourced?Yes, outsourcing distribution logistics is possible with careful planning. Entrusting the distribution-related tasks to a third party is known as outsourcing the distribution channel. The benefits of outsourcing outweigh the dangers, which include losing control over marketing and product pricing, among other things.The benefits include improved client services, enhanced nationwide access, expanded flexibility, and cost-effectiveness. What are the benefits of efficient distribution logistics management?Efficient distribution logistics management can help reduce transportation costs, improve delivery times, increase customer satisfaction, and enhance overall supply chain efficiency. What are the key components of distribution logistics management?The key components include transportation management, inventory management, warehouse management, and distribution center management. What tools and technologies are used in distribution logistics management?Key tools and technologies are: Transportation management systems, warehouse management systems, and inventory management systems.

September 03, 2022

What is a Logistics Center? Definition, Types, Functions and Components of Logistics Distribution Hub in 2024

What is a Logistics Center? Definition, Types, Functions and Components of Logistics Distribution Hub in 2024

Logistical operations are a primary aspect of eCommerce as it is responsible for important processes such as transporting finished goods from suppliers to the storage facilities of retailers and, ultimately, successfully delivering orders to their end customers. A variety of different operations involved in the organization of resources, storage of inventory, transportation of goods and more can be grouped under the logistics umbrella. While some retailers separate their storage facilities and logistics procedures into distinct segments, others consolidate them into a single function through logistics centers that provide standard warehouse functions and logistics facilities. Read along to get an in-depth look into what a logistics center is, the various types that are used, the components within them and elements that are involved in the functioning of a logistics center.  What is a Logistics Center? A logistics center is a warehouse-like facility where conventional warehouse operations such as storage of inventory, picking and packing of goods and preparing orders for dispatch are carried out alongside various logistical processes such as first-mile delivery, transporting goods, last-mile delivery and others. Logistics centers can comprise a single location or multiple locations depending on the requirements of a business, and they can also vary in terms of the functions they perform. For instance, some logistics centers can be used as storage facilities, while others are primarily used as distribution hubs. This assists retailers in streamlining and monitoring multiple important fulfillment processes under one roof that are divided into many different categories. [contactus_lilgoodness] 5 Typical Functions of a Logistics Center Storage and Handling of Materials The primary function of a logistics center is the storage of inventory till it needs to be transported to another location or delivered to a customer. Logistics centers also act as distribution hubs by receiving inventory and materials from suppliers or other destinations and arranging them in an organised way so that they can be easily accessed when they need to be shipped out.  Preparing Orders for Dispatch The ultimate goal of storing inventory is the hope to eventually sell it to customers to generate revenue. Since logistics centers are responsible for storing inventory, they are also required to prepare orders when they need to be dispatched and this involves locating the item, packaging it, labeling it, and loading it onto the relevant vehicle so that it can be transferred to its next destination. Inventory Management This involves using a warehouse management system (WMS) to accurately store inventory based on various criteria such as popularity, dimensions, expiry date and more. The goal is to make products as easily accessible as possible so they can instantly be located and dispatched. Additionally, the WMS software also keeps track of changes to inventory levels in real-time and updates it to reflect when items are added or removed from storage. Transportation of Products Logistics involves transporting goods to various destinations until they are successfully delivered to their final customer. Logistics centers act as dispatch points for various products to be stored till the time they need to be dispatched or transferred to an alternative location. Thus, they are often equipped with loading facilities such as parking bays, cranes, forklifts and more to enable products to be transported to their next location. Providing Information and Insights Since there are so many different activities that take place in a logistics center, with most of it being tracked by a WMS or other advanced software, insights into many different aspects such as identifying high-demand and low-demand products, order frequency, success rates and performance of various processes are provided. This enables firms to monitor and analyse this data to streamline important processes and remove obsolete ones. 5 Types of Logistics Centers in eCommerce Fulfillment Centers This type of logistics center can handle a wide variety of processes in addition to the storage of inventory. Retailers can often access fulfillment centers through 3PL companies and are often equipped with state-of-the-art inventory management software and automated machinery to optimise tasks such as selecting, packaging and dispatching products. Fulfillment centers are generally part of a much larger, nationwide network so inventory can be stored based on certain factors such as proximity to customers and distribution hubs. Fulfillment centers are often the starting point for last-mile delivery operations and are designed to swiftly dispatch orders so that delivery executives can fulfil them. Distribution Hubs Distribution hubs are often used interchangeably with fulfillment centers. However, they lack many of the facilities and services that are offered by fulfillment centers and are primarily used as transit stops for inventory to be distributed to its final location, whether it is to be stored in a fulfillment center, dispatched to be shipped to another destination, sent out for last-mile delivery or transported to a brick and mortar store in the case of brands that follow a hybrid system of online and physical retail. On-Demand Warehouses On-demand warehouses are a type of logistics center that retailers can use to store their inventory on a temporary basis. The amount of storage they require is leased to them by an external company or warehouse operator for the specific timeframe they need it for and hence, it is a lot cheaper than conventional fulfillment centers or storage hubs. This works for retailers that deal in seasonal products or that may not have the resources to store products on their own or acquire large amounts of storage space. On-demand warehouses offer enhanced flexibility due to their provisional nature but they do have some drawbacks such as a lack of consistency and uncertainty when the lease is up. Dark Stores This type of logistics center, also referred to as a micro fulfillment center, behaves like a scaled-down version of a fulfillment center. It is a retail store that is designed to cater to local customers in a given area by allowing retailers to store their goods so that they can quickly dispatch customer orders. While it does not directly sell goods to the public, the minuscule nature of dark stores allows them to be quickly set up in different localities in large numbers and are best used by retailers that sell perishable products such as food, beverages, groceries and other items that have a short expiry date, because they are located in close proximity to customers. They also allow sellers to separate their inventory storage into multiple dark stores to avoid excess strain on their primary fulfillment centers.  Processing Centers These logistics centers work in a similar manner to distribution hubs but consist of heightened order processing capabilities. While conventional distribution hubs can do basic processing tasks such as locating, packing and shipping an item, processing centers take a more nuanced approach by being able to deal with specialized goods such as fresh seafood, assemble and install product components, having value-added features such as temperature controlled, dust-proof storage facilities and much more. Their functions are like a fusion between a distribution hub and a factory due to its increased capabilities. What are the Components Commonly Found in a Logistics Center? Shipping Terminals These terminals are generally equipped with heavy machineries such as cranes, forklifts and other industrial-grade machinery in order to be able to lift and load bulky and regular-sized items alike onto transit vehicles such as ships, trains or trucks. This is an important component of a logistics center as it is responsible for being able to initiate the transport of products and raw materials to their final destinations. Intermodal Dispatch Points This aspect of a logistics center is responsible for loading, unloading and transporting products by different means such as air, road, rail or sea. They generally comprise large loading docks, parking bays for multiple large vehicles and separate entries and exits for different purposes such as transfer, dispatch or loading of products. They also have many facilities to store high-risk goods, ensure that products are stored safely and provide the appropriate amount of security to ensure that there is no theft or pillaging of items. Last-Mile Transport Hubs They act as distribution hubs and are designed to cater to fulfill orders to local areas. There are generally at least one or more locations present in cities with a significant customer presence, and products are transported from other fulfillment center locations and stored in these hubs so that they can eventually be picked up by delivery executives so that last-mile delivery to the final customer can commence. Conclusion: How WareIQ can Help Improve Your eCommerce Logistics Through Its Wide Network of Logistics Centers in 2024? Using a logistics center is a must for an eCommerce business, regardless of which type they choose. Inventory storage and logistics are 2 key components of eCommerce and a logistics center provides a way to merge them so that they can both be operated and monitored from the same location. This enables more transparency across processes and can assist firms in streamlining their inventory management and logistical procedures. If you are an eCommerce retailer that needs help with storing your products or improving your logistics, WareIQ can be the solution. WareIQ is an Indian eCommerce fulfillment company that is one of the most rapidly growing in the country due to our use of advanced technology to tackle a wide range of eCommerce requirements from inventory management to order fulfillment. A few ways we can help improve your storage and logistics requirements are listed below: We offer a nationwide network of fulfillment centers and dark stores with intelligent inventory placement that stores your inventory in close proximity to your customers and transport hubsWe provide a custom WMS that can integrate with more than 12 eCommerce selling platforms and can track inventory across multiple fulfillment centers in real-timeWe offer a choice of more than 20 of the biggest shipping aggregators in the country and always assign the quickest and most cost-effective option for every orderWe offer value-added services such as an app store that has a catalogue of multiple applications to enhance the productivity of various eCommerce functionsWe provide an RTO Shield to mitigate the damage caused by returns and provide insurance against RTOs Logistics Center: FAQs (Frequently Asked Questions) What is the primary purpose of a logistics center?Logistics centers perform the functions of both a fulfillment center and a distribution hub. The main purposes are to store products and get them ready to be dispatched to other locations. Why are dark stores useful?Dark stores can provide additional storage space and take pressure off the primary fulfillment centers of a retailer. Additionally, they provide quicker delivery to areas that immediately surround them than conventional warehouses as goods only need to travel short distances to reach customers. Is there a difference between a warehouse and a logistics center?Yes, warehouses are only concerned with the storage of inventory whereas logistics centers have mutiple other functions such as transportation of goods and order processing. Can logistics operations be offloaded to a 3PL company?Yes, there are multiple 3PL companies that provide logistics services. However, we recommend WareIQ for the use of advanced technology and transparent pricing. Does WareIQ offer other services in addition to logistics?Yes, WareIQ offers a variety of eCommerce services in addition to logistics such as order fulfillment, branded tracking, a custom WMS, NDR support and much more. 

August 27, 2022