Buying online is the in thing now. While you read this, hundreds of thousands of savvy shoppers make online purchases; a few of them might be receiving the packages at their doorstep, some may be tracking their orders. Consumers around the world are only concerned about receiving their orders asap when they leave the checkout page. There is a whole lot of complex processes that make up successful order fulfilment, isn’t it? To maximise customer experience, it requires a reliable delivery system for ecommerce order fulfillment purposes. At this juncture, eFulfilment comes in. Therefore, it is wise to select the ideal fulfilment model based on the size of the business. A business needs to ensure that it gets continuous orders and the delivery is up-to-date as per the schedule with the help of a proper efulfilment service in place.
The B2B eCommerce business can benefit from the various ecommerce order fulfillment models. One of the most feasible solutions to reduce unnecessary overhead costs, these e fulfillment services also facilitate them to hand over the most complex segment of order management. Order fulfilment influences customer service, core business functions such as sales, marketing, accounting and almost all operations. Hence, it matters the type of eFulfilment service you select. It must invariably accommodate every department’s goal and should also resonate with customer needs, in particular.
Let’s see the different types of ecommerce order fulfillment models most commonly used by online store businesses. These fulfilment models are usually classified based on the size of the facility, location and scalability. They are ideal to meet the requirements of eCommerce startups, mid-size businesses and those engaged in large scale operations. Depending on the types of products sold, order volume and inventory management needs, a business can decide on the type of eCommerce fulfilment model.
1. In-house Fulfilment
When an eCommerce merchant implements order fulfilment all by themselves, it is known as in-house order fulfilment or otherwise self-fulfilment. The merchants themselves take care of the entire processes starting from picking, packing, storing, inventory and finally ships the products to their customers without seeking the help of third-party fulfilment solutions. Usually, small business owners with low order volume rely on in-house order fulfilment. Also, businesses have to spend money for maintaining a warehouse facility, purchase equipment so on. Another drawback is that it consumes a lot of time for order processing. Further, when the business grows, it requires additional investment for buying the right e commerce warehouse management software, recruitment of staff. However, for small merchants and business owners, it offers total inventory control and can be implemented without any difficulty.
2. Third-Party Fulfilment Model
Not all businesses can depend on in-house order fulfilment. When a business is a mid-size/large scale receiving about one thousand to twenty thousand orders in a month. At this point, such businesses would find it hard to handle fulfilment on their own. Because it is expensive and time-consuming, mid-size retailers who receive more orders rely on third-party fulfilment. When a business does consume much of its time picking, packing and shipping customer orders, it outsources the functions to third-party fulfilment models that the latter would carry out the entire processes on behalf of the business. The result is better inventory management and on-time delivery, finally helping to boost customer experience. Besides, it enables businesses to devote their focus to more strategic operations. The third-party fulfilment service functions as an e fulfillment center offer a plethora of services, including tailored solutions such as B2B orders, custom packaging and shipping solutions, based on the nature of the products to be delivered.
Dropshipping is essentially an ecommerce order fulfillment where a drop shipper who undertakes shipping services directly sends products to the customer. The retailers needn’t worry about neither the stock of products nor their shipping. The drop shipper (in most cases, it may be the manufacturer itself) sends the products to consumers on behalf of the wholesaler. When an order gets placed on the retailer’s online store, it gets automatically forwarded to the manufacturer, along with the customer address details. The manufacturer carries out packaging and shipping. The products on the online store are synced with the products of the dropship partner. The online retailer or the business owner never holds stock of products they sell while the drop shipper manufactures, maintains inventory and ships the order towards end consumers’ location directly. Dropshipping is relatively affordable because of low overhead costs but comes hardly with any facility to custom products since drop shippers implement it only if they could gain a high-profit margin on such items.
Which Fulfilment Service Will Be Better?
To conclude, all three fulfilment methods are advantageous in one way or other. Also, they have drawbacks as well. But the decision on what type of ecommerce order fulfillment makes the right choice solely depend on the size of the business and its needs. If you are a small merchant or startup dealing with orders ranging from two hundred and fifty to five hundred in a month, make use of in-house order fulfilment. Suppose you have a business that is scaling up every day, and you receive more and more orders, it is always wise to bank on third-party fulfilment solutions.
Boorna Freight eFulfilment Service
Boorna Freight, one of the most advanced platforms for shipping goods provides ecommerce order fulfillment for all types of merchants- small, mid-size and large scale, apart from express transportation, Full Truckload and Less Than Truckload services. With plenty of warehouses in strategic locations across Europe, we undertake the shipping needs from our platform along with the benefits of affordable shipping rates, price comparisons from different couriers, on-time delivery. Businesses can integrate their shipping department with boorna.com to start processing their orders without really getting involved but can keep tabs on the whole processes implemented from boorna’s end. Track your shipment, get assured €1 million CMR insurance and enhance customer satisfaction through timely delivery!