Meesho Maha Diwali Sale 2025: Top Tips for Effective Fulfilment and Logistics

Published on September 3, 2024

Last updated on October 8, 2025 • 14 min read

To make the festival of Diwali extra special, people often prefer shopping online on e-commerce platforms like Meesho. In 2024, platforms like Meesho saw a spike in demand, and the spend per user increased by 5 to 6%. Even buyers from Tier II and III cities made more purchases due to increased affordability.

The upcoming Meesho Maha Diwali Sale 2025, starting from October 16, 2025, brings a massive opportunity where sellers can gain loyal customers, expand their reach, make huge profits and outpace competitors. But to make that happen, fulfilment and logistics strategies have to be robust. A single missed delivery or delay during dispatch can mean losing not only one order but also that customer in the future as well.

So how can you prepare for the Meesho Maha Diwali Sale? No worries; this article explains practical strategies you can start implementing right away.

Understanding the Festive Buyer Mindset

Before you get into the fulfilment aspect, sellers must understand the buyer’s mindset for festive sales.

Speed is non-negotiable: Buyers want products to arrive before the Diwali celebrations. A delay of even 1–2 days can turn a happy purchase into a refund request.
Gifting drives volume: Festive purchases are often gifts, meaning packaging, presentation, and reliability matter as much as the product itself.
Trust is everything: With multiple sellers offering similar products, your reliability in delivery builds long-term trust.

The Power of Meesho Maha Diwali Sale

The Meesho Maha Diwali Sale is not just another shopping event but a transformative period for sellers looking to maximise their reach and sales. In 2022, the platform recorded an impressive 3.34 crore orders during its Diwali sale, highlighting the immense potential for growth in the e-commerce sector. With over 1 lakh new sellers onboarded before the festive season, Meesho is rapidly becoming a key player in the social commerce market and is projected to grow significantly in the coming years.

Understanding the dynamics of the Meesho Diwali sale is crucial for sellers aiming to leverage this opportunity. The Maha Indian Diwali Sale empowers small businesses, providing them with the tools and strategies necessary for success. This includes effective Meesho Diwali sale fulfilment strategies and logistics strategies that can streamline operations and enhance customer satisfaction.

8 Tips for Effective Fulfilment and Logistics for Meesho Maha Diwali Sale

Managing operations during the Meesho Maha Diwali Sale is unlike any other day. Customers expect great prices, faster delivery, and splendid customer service for returns. Sellers cannot afford delays, errors, or inefficiencies.

Whether it is demand forecasting, stock placement, or RTO management, having a strong strategy matters. Simply put, strong fulfilment and logistics practices separate thriving sellers from those who get buried under festive pressure.

In this section, we are going to break down the effective strategies that you can implement to streamline operations, reduce risks and maximise returns during the Meesho Maha Diwali sale:

Tip no. 1: Stock Up Based on Demand Forecasts

Diwali is a festival which is often associated with high-volume purchases across various categories, including home decor, clothing, kitchen essentials, and festive gift items. There is no room for guesswork; decisions must be based on actionable insights. Sellers must:

Analyse past festive sales data on Meesho to identify best-performing SKUs.
Utilise Meesho’s analytics dashboard to forecast demand spikes and prevent stockouts.
Maintain a buffer inventory of at least 20–30% for fast-moving products.

Tip no. 2: Optimise Inventory Placement

Storing inventory far from the demand centre can prove to be a grave mistake. Since buyers come from metros as well as remote areas, sellers must:

Use regional fulfilment centres or third-party logistics (3PL) partners to place inventory closer to buyers.
This reduces delivery time by 24–48 hours, improving customer satisfaction and lowering the Return to Origin (RTO) rate.

Tip no. 3: Prioritise Packaging and Branding

Since it’s the time of festivities, buyers often purchase items as gifts, and not prioritising packaging can ruin the festive experience, as buyers may not return to the same seller again. It is best to:

Use durable, tamper-proof, and eco-friendly packaging.
Add festive branding elements, such as thank-you notes or simple Diwali greetings, to the inside of the package.
Ensure that fragile items have layered protection to avoid in-transit damage.

When a product is well-packaged, it not only reduces the chances of returns but also boosts brand recall.

Tip No. 4: Strengthen Partnerships with Logistics Providers

During festive sale events, courier networks are often overloaded, resulting in logistical bottlenecks. To overcome such issues:

Partner with reliable courier companies that have proven track records during peak seasons.
Offer customers multiple delivery options, such as standard and express shipping.
Track shipments actively and communicate delays proactively to avoid disputes.

Tip no. 5: Reduce RTO (Return to Origin) Losses

RTOs are one of the primary factors that can result in losses, especially during bulk sales during festive seasons. Here are some preventive measures that sellers can take:

Enable order confirmations via SMS/WhatsApp before shipping.
Clearly describe product details and sizing to minimise customer dissatisfaction.
Utilise intelligent address validation tools to prevent incorrect deliveries.

Tip no. 6: Leverage Technology for Seamless Fulfilment

Automation is a real game-changer and can provide the sellers with a competitive edge. Several tools can prove helpful for sellers, such as inventory management systems or AI-driven demand planners, to streamline processes. Sellers can:

Integrate all marketplaces (e.g., Meesho, Amazon, Flipkart, Myntra) into a central fulfilment dashboard.
Use barcode scanning for faster order picking and packing.
Track real-time stock levels to prevent overselling and ensure optimal inventory management.

Tip no. 7: Offer Hassle-Free Returns and Exchanges

Returns are inevitable, and the higher the volume of sales, the higher the returns. When returns are handled correctly, they can be converted into opportunities. Sellers must:

Have a clear and simple return policy.
Process refunds/exchanges quickly to build trust.
Analyse return patterns to identify product quality or sizing issues.

Tip no. 8: Keep Customer Experience at the Centre

If sellers can retain customers during the Meesho Maha Diwali sale, chances are that they will become repeat customers. Hence, customer experience must be prioritised. To improve customer satisfaction levels, sellers should:

Respond to questions and queries quickly via Meesho chat support.
Share real-time tracking updates to reassure buyers.
Offer festive discounts, combos, or free shipping to encourage customers to purchase larger baskets.

Also read: Flipkart Diwali Sale Inventory Strategies

Meesho Maha Diwali Sale: Seller’s Fulfilment & Logistics Checklist

Here is the step-by-step guide that can help you stay prepared, efficient and customer-focused:

Step	Action Item	Why It Matters	Pro Tips
1. Demand Forecasting	Analyze past festive data + Meesho analytics to identify high-demand products	Prevents stockouts and overstocking	Keep 20–30% buffer stock for top-selling items
2. Catalogue Preparation	Update product descriptions, images, and festive keywords	Increases visibility and conversion rates	Add Diwali bundles or gifting sets
3. Stock Placement	Distribute inventory across regional hubs or 3PL partners	Cuts delivery time by 24–48 hours	Restock every few days during the sale
4. Packaging Readiness	Use sturdy, tamper-proof, eco-friendly materials	Reduces damages and returns	Add festive touches like greeting notes
5. Logistics Partnerships	Onboard 2–3 reliable courier partners	Avoids delivery delays during peak	Offer express shipping for premium buyers
6. RTO Management	Confirm COD orders, validate addresses, and track repeat RTO customers	Saves profit margins	Restrict COD for high-risk buyers
7. Technology Integration	Use central dashboards, barcode scanning, and AI tools	Streamlines fulfilment and reduces errors	Sync all platforms (Meesho, Amazon, Flipkart, etc.)
8. Returns Handling	Set a clear, customer-friendly return policy	Builds buyer trust and loyalty	Process refunds/exchanges quickly
9. Customer Engagement	Share tracking updates, respond to queries fast	Enhances satisfaction and repeat sales	Add festive greetings/discounts
10. Post-Sale Review	Analyze sales data, logistics costs, and customer feedback	Prepares you for the next festive event	Document learnings for New Year sales

Optimising Meesho Logistics Strategies for a Successful Sale

As the Meesho Maha Diwali Sale approaches, sellers must implement effective logistics strategies to ensure smooth operations and maximise customer satisfaction. With the right logistics framework, sellers can efficiently manage the increased order volumes typical of this festive season.

Leverage Third-Party Logistics Partners

Asset-Light Model: Meesho utilises an asset-light logistics model, partnering with specialised logistics providers like Delhivery, Ecom Express, and Xpressbees. This approach allows sellers to benefit from established networks without the overhead costs of maintaining in-house logistics. By outsourcing logistics, sellers can focus on core business activities while ensuring timely deliveries during the Meesho Diwali sale.
Scalability and Flexibility: Collaborating with various logistics partners enhances scalability and flexibility. This enables sellers to adapt quickly to fluctuating demand during the Maha Indian Diwali Sale, ensuring that they can meet customer expectations without compromising service quality.

Implement Technology-Driven Solutions

Logistics-as-a-Platform: Meesho is developing a logistics-focused enterprise software solution to streamline operations for small and medium-sized sellers. This platform will provide tools and resources to optimise logistics processes, reducing reliance on larger logistics players and enhancing efficiency in tier-2 and tier-3 cities.
Data Analytics for Efficiency: Utilising data analytics can help sellers identify trends and optimise their logistics strategies. By analysing historical sales data, sellers can forecast demand more accurately, allowing them to manage inventory better and reduce the risk of stockouts or overstocking.

Focus on Last-Mile Delivery

Enhanced Last-Mile Solutions: Effective last-mile delivery is crucial for customer satisfaction. Meesho’s logistics partners have developed robust last-mile networks that cover urban areas as well as tier-2 and tier-3 cities. This extensive reach ensures that sellers can serve a wider customer base during the Meesho Diwali sale.
Customer Communication: Keeping customers informed about their order status can significantly enhance the shopping experience. Implementing automated notifications regarding shipment tracking and delivery timelines can help manage customer expectations and reduce inquiries.

By adopting these Meesho logistics strategies, sellers can ensure that they are well-prepared for the increased demand during the Diwali sale. Efficient logistics streamline operations and contribute to higher customer satisfaction, ultimately driving sales growth during this festive period.

Also read : Myntra Diwali Sale Best Practices for Inventory Management

Strategies to Boost Sales During the Meesho Maha Diwali Sale

As the Meesho Maha Diwali Sale approaches, sellers must employ effective strategies to drive sales and capitalise on the increased demand. Sellers can maximise their success during this peak season by leveraging the platform’s features and implementing best practices.

Utilise Promotional Strategies

Attractive Offers and Discounts: Create compelling offers and discounts to entice customers during the Meesho Diwali sale. Analyze historical data to determine your products’ most effective pricing strategies.
Bundling and Combos: Offer product bundles or combos to increase the average order value. Bundling complementary products can encourage customers to spend more per transaction.
Loyalty Programs: Implement loyalty programs to reward regular customers and encourage them to make additional purchases during the Meesho Diwali sale. Offering exclusive discounts or early access to deals can incentivise customer loyalty.

Optimise Product Listings

Detailed Product Descriptions: Provide comprehensive and engaging product descriptions that highlight the features and benefits of your offerings. Use relevant keywords to improve search visibility and attract potential buyers.
High-Quality Images: Upload multiple high-quality images showcasing your products from different angles and settings. Visually appealing images can significantly impact customer purchasing decisions.
Competitive Pricing: Price your products competitively to stand out in the market. Research the prices of similar products on Meesho and other platforms to determine the optimal pricing for your items.

Leverage Digital Marketing Strategies

Social Media Promotion: Utilise social media platforms to promote your products and offers. Create engaging content, run targeted ads, and collaborate with influencers to reach a wider audience during the Meesho Maha Diwali Sale.
Email Marketing: Build an email list of customers and send targeted campaigns highlighting your Diwali offers. Personalised emails can drive repeat business and encourage customers to make additional purchases.
Meesho Advertising: Use Meesho’s advertising platform to reach more potential customers. Targeted ads can help you stand out in search results and increase visibility during the festive season.

By implementing these strategies and leveraging the tools and resources available on the Meesho platform, sellers can significantly increase their sales during the Maha Diwali Sale. Focusing on c ustomer experience, effective marketing, and competitive pricing will help sellers stand out in the crowded e-commerce landscape and capitalise on the surge in demand during this festive period.

How to Streamline Meesho Diwali Sale Logistics Strategies?

Implementing effective logistics strategies is crucial to ensure a successful Meesho Maha Diwali Sale. These strategies streamline operations and enhance customer satisfaction, which is vital during the high-demand festive season. Here are key logistics strategies specifically curated for the Diwali sale:

Demand Forecasting: Analyse past sales data to predict popular products.
Automated Replenishment: Set automatic reorder alerts for low stock.
Safety Stock: Keep extra inventory to handle unexpected demand.
Efficient Picking: Streamline picking and packing to speed up processing.
Timely Dispatch: Establish clear shipping timelines for quick delivery.
Returns Management: Create an easy returns process to build customer trust.
Logistics Partnerships: Collaborate with reliable logistics partners for timely deliveries.
Real-Time Tracking: Use tracking systems to monitor orders and inventory.
Multi-Channel Sync: Align logistics across all selling platforms to avoid overselling.

By adopting these Meesho Diwali sale logistics strategies, sellers can effectively manage their operations during the festive season. Focusing on inventory management, order fulfilment, and leveraging technology will enhance efficiency and increase customer satisfaction and sales during the Maha Diwali Sale.

You may also like to read: Ajio Diwali Sale Inventory and Supply Chain Strategies for Sellers

Conclusion

The Meesho Maha Diwali sale offers sellers an opportunity to scale their businesses beyond the festive season. Displaying high discounts and attractive listings is not sufficient to drive sales; they must have robust fulfilment and logistics strategies in place. From demand forecasting and smart stock placement to reliable courier partnerships, seamless returns, and customer-first communication, each step significantly contributes to building trust and driving repeat sales.

Sellers must have a clear plan of action to transform the festive chaos into a well-orchestrated line of operations. Sellers have the opportunity not only to light up homes with their products but also to build long-term success for their businesses.

Explore – Diwali Inventory Planning Playbook

Boosting Efficiency on Meesho: Why WareIQ Fulfilment Makes the Difference
Connect your Meesho store and other marketplaces effortlessly with WareIQ’s fulfilment platform.
Position your products closer to buyers by optimising inventory placement in WareIQ’s fulfilment centres.
Sell across different channels using a single inventory pool.
Accelerate your Meesho sales with WareIQ’s lightning-fast fulfilment.
Safeguard profits with RTO insurance and manage returns seamlessly.

Reliable Logistics Partners: Ensure timely last-mile delivery with trusted providers.

FAQs About Meesho Maha Diwali Sale

What is the Meesho Maha Diwali Sale?

The Meesho Maha Diwali Sale is a major annual sales event hosted by the e-commerce platform Meesho. It takes place around the Diwali festival and offers customers substantial discounts and deals across various product categories. The sale aims to boost sales for sellers and provide affordable shopping options for consumers.

How does WareIQ help sellers on Meesho during the festive season?

WareIQ can assist sellers by providing comprehensive logistics solutions, including real-time inventory tracking, automated order processing, and access to a pan-India fulfilment network. This allows sellers to streamline their operations, reduce delivery times, and meet the high demand during the festive season, ultimately enhancing their overall performance on the Meesho platform.

How can I optimise my inventory for the Meesho Maha Diwali Sale?

To optimise inventory for the Meesho Maha Diwali Sale, focus on accurate demand forecasting, real-time tracking, and maintaining safety stock. Collaborate with reliable logistics partners and utilise the Meesho seller hub and supplier panel for efficient operations. This ensures you have sufficient stock to meet increased demand without overstocking.

What are the top-selling categories on Meesho during the Diwali sale?

Fashion, home and kitchen, electronic accessories, and beauty and personal care are consistently among the top-selling categories on Meesho during the Diwali sale. Categories like kitchen utilities, luggage, and travel accessories also see significant growth.

How can I increase my sales on Meesho during the Maha Diwali Sale?

To boost sales, offer attractive discounts and bundled deals. Optimise product listings with detailed descriptions and high-quality images. Leverage digital marketing through social media promotion, email campaigns, and Meesho’s advertising platform. Ensure competitive pricing and a smooth customer experience.

What logistics strategies are effective for the Meesho Maha Diwali Sale?

Key logistics strategies include efficient picking and packing, timely dispatch, and hassle-free returns management. Collaborate with Meesho logistics partners for reliable delivery services. Utilise real-time tracking to monitor orders and inventory. Align logistics across all selling platforms for a consistent customer experience.

Supercharge your fulfilment with WareIQ now, contact our team.

Author

Mariyam Jameela

Mariyam Jameela works as a content writer at WareIQ. With a proven track record of working with renowned brands such as GO Digit, Urban Ladder, Juspay, Hong's Kitchen, and many more. She actively contributes to the creation of blog posts centered on eCommerce operations, fulfillment, and shipping, in addition to providing insights on various strategies and techniques tailored for eCommerce sellers

Read all of Mariyam Jameela's Posts

Top 4 Inventory Valuation Methods Explained with Examples

Inventory valuation is essential for accounting and financial reporting purposes. The method by which a business values its inventory can impact several other key aspects, including cost of goods sold (COGS), gross profit, applicable taxes, and the balance sheet. According to accounting standards, having the correct method and applying it consistently is crucial. In this article, we will examine the top four inventory valuation methods, accompanied by relevant examples.What Does It Mean By Inventory Valuation?Inventory valuation is essentially the accounting process of assigning a monetary value to a company's assets, including its stock. In simple terms, inventory valuation determines how much your inventory is worth at a given point in time. On the balance sheet, inventory is recorded as a current asset.On an income statement, the cost of inventory sold during a period is recorded as Cost of Goods Sold (COGS), which impacts gross profit.Why Inventory Valuation Methods Matter?Inventory valuation has several benefits, such as:Inventory is often one of the most significant current assets on a company's balance sheet. Misvaluing inventory can distort both profit and financial ratios.With inflation (or deflation), different methods produce very different values for ending inventory and COGS, thus affecting net income.Standards (GAAP, IFRS) require the disclosure of the method used and consistency. If there is a change in the inventory valuation methods, it must often be disclosed and sometimes applied retrospectively.To assess the financial stability of a business for loan approval, it is based on the company's balance sheet and the valuation of its inventory.Inventory valuation can also impact the tax a business pays.Correct inventory valuation can provide essential data that helps inform strategic decision-making for future purchases and effective inventory management.What Are the Various Methods of Inventory Valuation?Inventory valuation can be performed using different recognised methods, which will ultimately affect the Cost of Goods Sold (COGS), ending inventory value, and overall financial reporting in various ways. Here are 10 methods of inventory valuation that are widely used:1. FIFO (First-In, First-Out): Assumes the oldest inventory is sold first, so the ending inventory reflects the most recent costs.2. LIFO (Last-In, First-Out): Most recently purchased items are sold first; the ending inventory reflects the oldest costs. Allowed under US GAAP, prohibited under IFRS.3. Weighted Average Cost / Average Cost Method: This method uses a weighted average of all the inventory costs, no matter if it is ending inventory or COGS.4. Specific Identification Method: Tracks the actual cost of each item sold, ideal for high-value or unique goods.5. Retail Inventory Method: Estimates inventory value using a cost-to-retail ratio, standard for retailers.6. Lower of Cost or Market (LCM): In this method, the inventory is recorded at the lower of historical cost or market value to prevent overstatement.7. Net Realisable Value (NRV): Here, inventory is valued at the estimated price minus costs to complete and sell.8. Replacement Cost Method: This method values inventory at the cost to replace it; it is majorly used for insurance or risk assessment.9. Standard Cost Method: The method uses predetermined standard costs for inventory, comparing actual costs to standards to record variances.10. Gross Profit Method: This method estimates ending inventory based on historical gross profit percentages, often for interim financial reporting.The Top Methods of Inventory Valuation: Examples IncludedBusinesses rely on various inventory valuation methods to determine key aspects, such as the cost of goods sold and the ending inventory value. Amongst the different inventory valuation methods, here are the top four that are mainly used by businesses:1. FIFO ((First-In, First-Out)Under the FIFO method of inventory valuation, older inventory is first sold out before new inventory is procured. Eventually, the ending inventory signifies the most recent purchase costs. This method aligns closely with the physical flow of goods such as food, perishable items, or cosmetics.In times of inflation, the FIFO method of inventory valuation results in a lower cost of goods sold because older and cheaper inventory is sold first, leading to higher profits. However, this also means a higher taxable income compared to other methods, such as LIFO.Let us understand this with an example:DateUnits PurchasedCost per UnitJan 1100$10Feb 15200$12May 1100$15These are the purchase inventory at different time periods.If the company sells 250 units, then, as per the FIFO method of inventory valuation:The first 100 units sold are from the Jan 1 batch at $10 each = 100 x $10 = $1,000The following 150 units sold are from the Feb 15 batch at $12 each = 150 x $12 = $1,800Hence, the COGS = $2,800.Whereas, the ending inventory is:Remaining 50 units from Feb 15 batch = 50 x $12 = $600100 units from May 1 batch = 100 × $15 = $1,500So, the ending inventory = $2,100.2. LIFO (Last-In, First-Out)In the LIFO method of inventory valuation, it is assumed that the most recently acquired items are sold first, leaving the older inventory on the balance sheet. This method is mainly used in environments with rising prices, as it assigns the latest, higher costs to the Cost of Goods Sold (COGS).While it may reduce tax liability, LIFO can make the balance sheet inventory appear understated, as older, lower-cost items remain in inventory.Let us understand this with an example:DateUnits PurchasedCost per UnitJan 1100$10Feb 15200$12May 1100$15These are the purchase inventory at different time periods.If the company sells 250 units, then, as per the LIFO method of inventory valuation:The first 100 units sold are from the May 1 batch at $15 each = 100 x $15 = $1,500The following 150 units sold are from the Feb 15 batch at $12 each = 150 x $12 = $1,800So, the COGS = $3,300Whereas, the ending inventory is:Remaining 50 units from Feb 15 batch = 50 × $12 = $600100 units from Jan 1 batch → 100 × $10 = $1,000Thus, the ending inventory stands at $1,600.3. Weighted Average Cost Method (Average Cost Method)In the average cost method of inventory valuation, the average cost of all inventory available for sale during a period is applied to both COGS and the ending inventory. This method smooths out price fluctuations over time, making it particularly useful for businesses with large volumes of homogeneous items where individual tracking is impractical.Contrary to FIFO or LIFO, there is no specific flow of goods. It helps simplify accounting and also reduces the impact of sudden price changes. Let us understand this with an example:DateUnits PurchasedCost per UnitJan 1100$10Feb 15200$12May 1100$15These are the purchase inventory at different time periods.Total units available = 400Total cost = 100×10 + 200×12 + 100×15 = $4,900Weighted average cost per unit = $4,900 ÷ 400 = $12.25If the company sells 250 units, then, as per the average cost method of inventory valuation:COGS = 250 × $12.25 = $3,062.50Ending Inventory = 150 × $12.25 = $1,837.504. Specific Identification MethodThe specific Identification method of inventory valuation assigns the actual cost of every specific item sold to the Cost of Goods Sold (COGS). It is therefore the best inventory valuation method. This approach is ideal for high-value, unique, or easily distinguishable items, such as cars, jewellery, or artwork, where tracking individual units is feasible. This method provides highly accurate profit reporting. However, the drawback is its administrative burden, making it impractical for businesses with large volumes of identical items.Let us understand this with an example:ItemCost PricePhone A$500Phone B$700Phone C$600This is the stock of 3 phones in the inventory.If the store sells Phone A and Phone C:COGS = $500 + $600 = $1,100Ending Inventory = Phone B = $700Which is the Best Inventory Valuation Method?The choice of the best inventory valuation method for your business will depend on several factors, such as:The nature of the inventory.The cost volatility.Tax environmentRegulatory environmentAdministrative capacityFinancial presentation goalsFor many businesses, a combination of FIFO or the Weighted Average method works. However, if there are exceptional items, then a specific identification method becomes more relevant.Get an Accurate Evaluation of Your Inventory With Various Tools From WareIQWareIQ is a Y-Combinator-backed eCommerce full-stack platform offering multi-channel fulfillment across D2C, Marketplaces, Quick Commerce, and B2B (General Trade & Modern Trade)Our solution offers:Pan-India network of Seller Flex & FAssured compliant across 12+ cities operated by WareIQ, and shipping partners for last-mile delivery across 27000+ pin codesMulti-Channel Fulfilment Platform with plug-and-play integrations across marketplaces (Amazon, Flipkart, Myntra, Nykaa, etc.), D2C platforms (Shopify, Magento, WooCommerce, etc.), WMS, and ERPs, to support fulfilment across distributors, flagship stores and eCommerce channels with analytics capabilities to assess operational performanceInventory LogIQ: AI-led multi-channel inventory planning solution to minimise stockouts and automate replenishmentLeverage the Tech-enabled returns QC solution to capture, centrally store, and auto-index HD media evidence of damaged or missing returned products and eliminate marketplace claims rejections.A host of seller enablement and support - dedicated account manager, APOB/PPOB registrations, GST registration, NDR & COD verification, etc.ConclusionInventory valuation is not just another accounting task; it is a strategic decision that will have an impact on various aspects of a business, such as profits, taxes, and financial reporting. The top inventory valuation methods include FIFO, LIFO, Weighted Average and Specific Identification. Each method has unique advantages tailored to your business's specific requirements. The correct method can help to optimise profits, manage costs, and gain a competitive edge.Suggested - 7 Inventory Management Techniques: Exploring FIFO, FEFO, and LIFO MethodsFAQs About Inventory Valuation MethodWhich method is best for perishable goods?FIFO is the most suitable option, as it ensures that older items are sold first.Can a company change its method of inventory valuation?Yes, but changes must be disclosed and justified in financial statements.Which method is most accurate for determining the value of high-value items?Specific Identification, because it tracks actual costs per item.How often should inventory valuation be reviewed?Regularly, at least annually, or whenever significant cost changes occur, to ensure accurate reporting.

November 05, 2025

What Is a Parcel Management System and Why Do You Need One?

The e-commerce logistics market in India is rising at a quick rate. In fact, by 2027, the e-commerce logistics market in India is expected to reach USD 11.48 billion. With this growth, billions of parcels are expected to be shipped annually across different regions. Still, a report suggests that approximately 20-30% of the parcels fall into the 'return to origin' category due to delays or misrouting.This is where a Parcel Management System steps in. A Parcel Management System (PMS) provides the centralised visibility and control businesses need to navigate this complexity, reduce costs, and deliver superior customer experience in an increasingly competitive market.Today, we will explore what a Parcel Management System is and why it is essential to have one available.What is a Parcel Management System (Introduction)?A Parcel Management System (PMS) is a digital platform used to streamline, track, and optimise the end-to-end process of shipping parcels. It helps simplify the handling of incoming and outgoing parcels. Instead of juggling multiple courier dashboards, spreadsheets, and emails, businesses can use a PMS to manage all parcel-related operations from a single interface.A PMS helps in:Booking of shipments with multiple carriers,Tracking the parcel status in real time,Parcel management, auditing, and consulting help identify hidden costs by auditing invoices.Managing return-to-origin (RTO) casesAnalysing shipping data to optimise future decisions.In simpler terms, whether you're an e-commerce brand, a 3PL provider, or even a retail store handling online orders, a Parcel Management System acts as the backbone of efficient parcel shipping management.Features of the Parcel Management SystemA Parcel Management System or PMS, is not only about tracking deliveries. It is a complete logistics optimisation tool. Utilising the right PMS can help businesses reduce costs, minimise errors, and improve customer satisfaction. Here are some of the key features of PMS:Centralised Dashboard: A PMS provides a single dashboard where you can book shipments, monitor statuses, manage returns, and generate reports in real-time.Real-Time Parcel Tracking: A PMS integrates with carriers to provide end-to-end tracking with live status updates and automated notifications for both businesses and customers.Multi-Carrier Integration: A PMS enables you to connect with multiple carriers simultaneously. This enables more thoughtful decision-making; you can choose carriers based on cost, speed, or region.Automated Shipping Labels & Documentation: From generating AWBs (Air Waybills) to customs documents for international shipping, a PMS automates the paperwork, reducing manual errors and saving time.Invoice Auditing & Cost Management: A PMS includes parcel management auditing and consulting features that verify courier invoices, flag discrepancies, and ensure you only pay for what's accurate.RTO & Returns Management: With a Parcel Management Software, businesses can track, analyse, and reduce RTO rates by identifying patterns and addressing customer issues proactively.Data Analytics & Reporting: Modern PMS solutions feature analytics dashboards that display shipping costs, delivery performance, RTO trends, and cost management in graphical representations, facilitating better decision-making.Scalability & Small Parcel Management: A PMS seamlessly adapts to your scale, irrespective of the volume. Some platforms even offer specialised small parcel management tools for SMEs and growing businesses.Customer Communication Tools: Modern PMS solutions can seamlessly integrate automated SMS, WhatsApp, or email notifications. This ensures that customers are always informed about their order status, reducing support calls and thereby improving overall satisfaction.Security & Compliance: With parcel data involving addresses, payments, and customer information, PMS platforms ensure data security, GDPR compliance, and secure integrations with carriers.10 Reasons Why You Should Get A Parcel Management SystemConsidering today's logistics industry, managing parcels manually can be highly chaotic and time-consuming. Many e-commerce sellers face challenges like rising shipping costs, return-to-origin (RTO) losses, courier delays, and eventually unsatisfied customers; hence, having a parcel shipping management system has become essential.Here are the parcel management benefits:1. Centralise Your End-to-End Parcel Management ProcessManage all shipments from a single, unified dashboard for enhanced control and visibility.Businesses can avoid juggling multiple courier portals and emails.It will help with bookings, deliveries, and returns in one place.It will considerably reduce errors caused by manual coordination.2. Save Cost With Smart Auditing Businesses can reduce unnecessary expenses by verifying invoices and comparing rates to ensure they are accurate and competitive.Detects hidden courier surcharges or incorrect weights.Compare carrier rates before shipping to choose the most cost-effective option.Leverage parcel management, auditing, and consulting to identify cost leakages.3. Tracking in Real-time and TransparencyProvide customers with visibility and proactive updates. It can help to:Offer end-to-end parcel tracking across carriers.Send automated SMS/email notifications with live status.Build customer trust with accurate delivery timelines.4. Reduce Return-to-Origin (RTO) LossesA Parcel Management System helps to lower one of the biggest concerns for sellers, RTO. A PMS essentially:Will flag high-risk shipments (COD orders, unverifiable addresses).Help to analyse RTO patterns to prevent repeat issues.Manage returns smoothly to minimise financial impact.5. Scale Up SeamlesslyGrow effortlessly without operational bottlenecks, as a PMS can:Supports small parcel management for startups/SMEs.Scales up to handle thousands of parcels daily.Adapts to seasonal spikes and business expansion.6. Get Data-Driven Insights Now, businesses can turn logistics data into actionable business intelligence, as a PMS allows:Access to cost management in the parcel industry graphs for visibility.Monitoring of KPIs like courier performance and cost per shipment.Forecasting demand and optimising carrier selection.7. Better EfficiencyIt is now possible to save time and improve efficiency by automating routine shipping tasks:Generate shipping labels, invoices, and manifests instantly with PMS.Automating courier bill reconciliation.Automation of tasks will free up staff to focus on core business growth.8. Enhanced Compliance and SecurityParcel Management System can help to protect customer data while staying compliant with regulations:Secure integrations with carriers and payment systems.Compliance with GDPR, PCI DSS, and regional data laws.Build customer trust by ensuring the safe handling of parcel data.9. Improving the Customer ExperienceBusinesses can now ensure customer satisfaction by delivering a seamless post-purchase journey to foster loyalty. A Parcel Management Software will help to:Provide accurate delivery ETAs and proactive updates.Helps in the simplification of return handling for customers.Reduce "Where is my order?" support calls.10. Gain Competitive Edge Businesses can outpace competitors who are still managing the parcel manually, as PMS helps to:Deliver faster and more reliably.Lower shipping costs while improving customer satisfaction.Strengthen your market position with efficient logistics.A Parcel Management System doesn't just improve shipping; it helps in boosting the overall efficiency, reduces costs, and enhances customer loyalty, all of which drive long-term growth.Simply Your Parcel Management With Smart Solutions from WareIQWareIQ is a Y-Combinator-backed eCommerce full-stack platform offering multi-channel fulfillment across D2C, Marketplaces, Quick Commerce, and B2B (General Trade & Modern Trade)Our solution offers:Pan-India network of Seller Flex & FAssured compliant across 12+ cities operated by WareIQ, and shipping partners for last-mile delivery across 27000+ pin codesMulti-Channel Fulfilment Platform with plug-and-play integrations across marketplaces (Amazon, Flipkart, Myntra, Nykaa, etc.), D2C platforms (Shopify, Magento, WooCommerce, etc.), WMS, and ERPs, to support fulfilment across distributors, flagship stores and eCommerce channels with analytics capabilities to assess operational performanceInventory LogIQ: AI-led multi-channel inventory planning solution to minimise stockouts and automate replenishmentLeverage Tech-enabled returns QC solution to capture, centrally store, and auto-index HD media evidence of damaged or missing returned products and eliminate marketplace claims rejections.A host of seller enablement and support - dedicated account manager, APOB/PPOB registrations, GST registration, NDR & COD verification, etc.ConclusionParcel handling is not just a back-office task for businesses; it has become a critical business driver. Billions of parcels are shipped each year, and customers expect to receive even better service. Hence, there is no room for delays, hidden costs, and, more importantly, missed deliveries. A Parcel Management System (PMS) solves these challenges by centralising operations, automating routine tasks, reducing costs, and delivering the visibility both businesses and customers need.Whether you run a small enterprise which handles a handful of parcels or a multinational brand handling thousands, the benefits of having a PMS are indeed undeniable. A PMS is a strategic investment that can help your business to stay competitive, agile, and profitable in a parcel-driven economy.FAQS About Parcel Management SystemWhat is a Parcel Management System?Parcel Management System is a software solution that centralises parcel shipping, tracking, auditing, and returns in one platform.Who needs a Parcel Management System?E-commerce brands, retailers, 3PL providers, and any business shipping parcels regularly.What are the main benefits of using a Parcel Management System?The primary benefits include savings, faster deliveries, real-time tracking, reduced RTOs, and improved customer satisfaction.What features should I look for in a Parcel Management System?Multi-carrier integration, auditing tools, analytics, automation, and scalability are essential features for effective management.

November 04, 2025

Transportation Charges GST Rate: What You Must Know

Did you know that about 70% to 75% of India's GST revenue for the year 2023-24 came from the 18% slab? Moreover, approximately 13% to 15% of India's Goods and Services Tax (GST) revenue was collected from the 28% slab. This means that a significant amount of revenue is generated from GST on transportation, and, yes, your trucking bill is a substantial contributor to this number. As the Goods and Services Tax (GST) came into effect, significant changes have been made to the taxation system for transportation, particularly for businesses. This has led to an increased need to understand the details of transportation charges GST rates. Let's look at what you must know about transportation and GST rates.What is the GST Rate on Transportation Charges?Depending on the mode of transportation, such as rail, road, air, or water, a specific GST rate applies. The rate will vary further according to the type of service provided under each mode of transportation.GST Rate on Road Transport ServicesThe GST rate is fixed for any road transportation services, firstly, based on the mode of transport and secondly, on the nature of the service. Public modes of transportation, including buses, metros, and trains, are generally exempt from GST. This ensures that public transportation is both easily accessible and affordable for passengers.When it comes to the GST rate, which will be applicable on taxis and cabs, a 5% GST is levied. Operators can opt to pay 12% GST if they intend to claim an input tax credit (ITC).Here is a table that explains the different GST rates for road services:Mode of TransportGST Rate Public Transport (for passengers)0%Transportation via metered rickshaw, e-rickshaw or cab0%Buses (Non-AC)0%Buses (AC)5%Radio taxis or similar transportation options5%Rentals (cars, buses, and coaches)18%GST on Rail Transportation ServicesEvery rail ticket that is issued contains a fixed amount of GST that is decided based on the mode and the service. However, this GST rate is subject to periodic changes.Here are the GST rates which are applicable for rail transportation services:Mode of TransportGST Rate Sleeper and general class tickets5%AC and First Class tickets5%Metro tickets or tokens12%GST on Air Transportation ServicesTransportation via air is also subject to GST rates. The GST rate will change based on the mode of transport and the service availed. Although the GST rate remains standard for all airlines, there can be certain changes.Here are the GST rates which are applicable for air transportation services:Mode of TransportGST Rate Economy class air tickets5%Chartered flight tickets for pilgrimage5%Rental services of aircraft or chartered flights (with or without operator12%Business-class air tickets12%GST on Water Transportation ServicesGST is also applicable for transportation via inland waterways. However, there is no provision for Input Tax Credit (ITC).Here are the GST rates which are applicable for water transportation services:Mode of TransportGST Rate General passenger boats5%Ferry services on rivers or canals5%Cargo transport (renting or hiring vessels)18%GST on Road Transportation Service: GTA Goods Transport Agency (GTA) is a business entity that specialises in providing transportation services exclusively for goods. It plays an important role in the logistics sector; therefore, under GST, there are compliance requirements for GTA as well. The GST rate applicable to a GTA will vary depending on factors such as the type of goods being transported and the total value of the consignment. Here is the GST on goods that are transported via GTA:SituationGST Rate If the GTA does not claim the Input Tax Credit (ITC)5%If the GTA does claim the Input Tax Credit (ITC)12%Forward Charge vs. Reverse Charge Option For GTAGoods Transport Agencies (GTAs) can choose to pay GST themselves under the forward charge rate for the transportation charges system. In this case, they charge either 5% GST without claiming an input tax credit (ITC) or 12% GST with ITC after submitting a yearly declaration.If the GTA doesn't choose this option and goes with 5% GST without ITC, then the reverse charge rate on transportation under the GST system applies. That means the person or business receiving the service must pay the GST, not the GTA.GST on Transportation: Exemptions There are various cases where exemptions are provided on the transportation GST rates, and they are listed below:Any kind of transportation services offered by public transport operators, such as buses, local trains, and metros, are exempt from GST.If transportation services are provided for passenger goods, specified essential commodities, or passengers via Indian Railways, they are exempt from GST.If any mode of transportation transports commodities such as milk, food grains and agricultural produce via road, rail or vessel, it is exempted from GST.When educational or academic institutions provide transportation services for students, staff, or faculty, they are exempt from GST.If passengers are transported via aircraft from airports located in regions such as the Northeastern regions, the Andaman and Nicobar Islands, Himachal Pradesh and Lakshadweep, they are exempt from GST.List of Goods Which are Exempted from GSTGST does not apply to specific transport services, especially those involving essential goods and activities. These exemptions are granted for the following categories:Transport of goods for unregistered individuals or through non-GTA (Goods Transport Agency) services.Movement of agricultural produce and eco-friendly inputs like organic manure.Distribution of registered newspapers and periodicals.Delivery of essential food products, including rice, flour, pulses, milk, salt, and other staples.Shipment of relief materials meant for victims of natural or man-made calamities.Transportation of military and defence-related items.Household goods moved during personal relocations.Freight services where the total charge does not exceed ₹1,500.Also check - Difference Between Transportation and LogisticsTransport Charges HSN Code and GST RateThe Harmonised System of Nomenclature (HSN code) is a classification system useful for taxation purposes. The transportation charges, HSN code, and GST rate are interrelated. Under the GST regime in India, the GST rate and the HSN code differ from one mode of transportation to another. Here is the list of HSN codes applicable to different modes of transportation:Mode of TransportationHSN CodeRoad Transportation996511Rail Transport996512Air Transport996513Water Transport996514Pipeline Transport996515Better Transportation With Shipping Solutions From WareIQWareIQ's smart shipping solution helps eCommerce brands minimise cost leakages caused by RTOs, fake delivery attempts in NDR, weight reconciliation issues, and more. Our solution also offers prompt support for handling urgent client escalations, ensuring smooth operations at all times.Our solution offers the following capabilities:Multi-carrier engine enabling fast deliveries across 24,000+ pin codesControl Tower & automated workflows to minimise NDR & RTOsSame/Next-day delivery courier optionsSeamless Integration with your WMS, ERPs and StorefrontsShipping Badges to display precise Estimated Delivery Dates (EDD)Custom-branded tracking pages and notifications to enhance customer experience.ConclusionThe GST rate on transportation charges might be confusing, but businesses need to understand it to make more informed and cost-effective decisions. Usually, the GST ranges from 0% to 18%. The GST slab will depend on the type of service, mode of transport, and whether or not you claim the ITC. However, some services, such as public transport, agricultural goods, and materials, are exempt from GST. This allows access to such services while also being affordable. On the other hand, premium services and freight movements will also be subject to increased GST rates. When it comes to good transport agencies (GTA), they are allowed to choose between the forward charge GST rate for transporters or the GST rate on transport under reverse charge as per their preference.Suggested - Top 10 Transport Companies in IndiaFAQs About Transportation Charges GST RateAre all transportation services subject to GST?No, not all services are subject to GST. Essential and public services, such as railways or non-AC buses, as well as the transportation of basic goods, are exempt from GST.What GST rates apply to GTA?GTAs can select between 5% without ITC and 12% with ITC. It depends on the chosen tax scheme and tax declaration.Is GST applicable to cab services, such as Uber?Radio taxis and AC taxis will attract 5% GST.Does transporting household goods attract GST?No, the transportation of personal household goods is exempted from GST.

November 03, 2025