WE ARE SPECIALISTS IN 3PL AND 4PL FULFILMENT
What is e-commerce fulfilment and how does it work?
If you have an online store, you have certainly already heard of e-commerce fulfilment. However, very few people really know the true meaning and implications of this term.
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E-commerce fulfilment
The expression “e-commerce fulfilment” literally translates to “fulfilment of electronic commerce”. This term refers to the logistics process that is triggered when a customer buys a product in an online store. This includes the initial receipt of the goods up to their delivery to the end customer and even the management of their potential return.
It is no coincidence that we designate this type of logistics with the word “fulfilment”. After all, the ultimate goal of managing online orders is to strictly comply with the sales conditions established by e-commerce. This is solidified in the satisfaction of multiple demands:
- Deliver the goods to the end customer on time.
- Respect the commitments regarding the price.
- Deliver the product in optimal conditions of quality and identity.
- Manage returns transparently and effectively.
As you can see, e-commerce fulfilment views logistics as an all-encompassing process. This complexity, together with the grand expectations of customers, makes it quite complicated to manage, which is why most online stores choose to outsource this service.
TECHNOLOGY
How the fulfilment process works
Receipt of products in our own warehouses
Before the actual distribution process begins, the goods must be stored in a fulfilment center. This preliminary phase requires storage adapted to the type of product in question, in order to keep it in optimal condition.
Inventory Management
The fulfilment company must correctly inventory the stored stock. This means continuously monitoring stock and quickly replenishing missing items. Only in this way can shortages be effectively prevented. As well as having the technological tools to have the visibility and traceability of available stock at all times.
Order preparation
This operation, in turn, implies managing the picking systems (location and removal of the stored item) and packing (packaging of the goods and preparation for shipment). To this we can add labeling and VAS, if any type of packaging customisation, product customisation or another type of customisation is needed.
Customer Service
It is common for high-profile logistics operators to take on the customer service function. In these cases, it is the fulfilment company that takes care of the after-sales service. Thus, it is they who will inform the buyer about the traceability of their order and address their doubts or requests.
Final shipment and delivery
Once the order has been prepared, it is sent to the buyer by assigning it a suitable means of transport and suitably tracking its route. This process concludes with the physical delivery of the product to the customer.
Reverse logistics
It is far from over with the final delivery of the goods; fulfilment is also responsible for managing the return process. It is ideal to process it quickly and simply so that both the customer and the online store benefit.
It should be noted that the best logistics operators further enrich this fulfilment process with value-added services (VAS). Some of them are the refurbishment and customisation of items.
Why is fulfilment so important for online commerce?
Fulfilment is one of the most crucial elements in the management of an online store. After all, e-commerce will not get very far if it is not able to comply with one’s own shipping policy.
There are several reasons that show the strategic role played by logistics within e-commerce:
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It is particularly important in terms of customer satisfaction.
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Its good management creates a powerful competitive advantage.
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It increases the profitability of the online store.
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It boosts brand reputation and customer loyalty.
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It facilitates scalability when you have to face peaks in demand.
Delivery delays, unforeseen shipping costs, goods that arrive damaged… truly, it is easy to imagine what happens when e-commerce mismanages its fulfilment. Thus, it is not surprising that excellence in such services has become one of the great priorities of online commerce.
Types of fulfilment
As we have just seen, fulfilment logistics is inextricably linked to the very essence of e-commerce. Unlike what happens with physical stores, this process is essential for the goods to reach their final buyers. However, there are different ways of dealing with such operations.
In-house fulfilment
In-house fulfilment responds to a way of managing logistics that falls entirely onto the owner of the brand or online business. This gives you complete control over the process, but requires a higher initial investment and significantly increases the workload.
Outsourced fulfilment (3PL)
We say that e-commerce fulfilment is outsourced when the management of logistics operations is entrusted to a specialised operator. This outsourcing allows online stores to make effective use of their partner’s expertise and infrastructure and offers better management of peaks in demand. Of course, their success lies in choosing a good partner.
Hybrid fulfilment
As its name suggests, this method combines elements of outsourcing and in-house fulfilment. Thus, the brand owners and the external logistics operator share in the operations that make up the logistics process of the online store, by type of item, by type of process (e.g.: only returns, etc.). Although this may seem like a very flexible and economical model, we cannot forget that its implementation leads to coordination problems.
Seeing how important logistics is for e-commerce, it is clear that choosing the right choice of our 3PL fulfilment operator becomes a crucial decision. At this point, it is worth knowing everything we can do at Logisfashion for your online channel.
Becoming your partner means you will have an experienced operator who puts the latest technology at your disposal to offer you a personalised and 100% flexible logistics operation. Our comprehensive service provides you with the specialised advice and infrastructure you need to achieve e-commerce excellence.
El papel de la tecnología en el la logística internacional
Why entrust us with the logistics of your e-commerce?
- As a 3PL fulfilment company, at Logisfashion we provide e-commerce businesses like yours with a service that allows you to stay ahead of your competitors. Here are some of the things that make a difference:Gestionamos todo el proceso logístico de principio a fin, desde el almacenamiento de mercancías hasta la logística inversa. Además, nos encargamos del customer service y te proporcionamos múltiples servicios de valor añadido.
- Nuestras exclusivas soluciones tecnológicas de última generación hacen que la gestión de tus operaciones logísticas sea más rápida, eficiente y sencilla. Tal es el caso de Logiscore (gestión de almacén) y Dataplatform (analítica de datos).
- Optimizamos al máximo la logística inversa. Hacemos que las devoluciones sean más rápidas y simples. Además, nuestra gestión integral de las mismas incluye verificar el estado en el que se encuentran las mercancías, así como su clasificación, acondicionamiento y recuperación.
- Cross border hubs. Somos un fulfillment center global porque contamos con una extensa red de centros logísticos en América y Europa. Accede a los mercados internacionales sin problemas con nuestros Hub de Panamá (Latinoamérica), Hong Kong (Asia-Pacífico) y Uruguay.
- Logística end-to-end. Como tu operador 3PL fulfillment, estaremos contigo a lo largo de toda la supply chain. De ello son buena muestra los servicios en origen , el transporte internacional y la gestión de aduanas o la distribución de última milla
Desde luego, que a tu tienda online le vaya bien depende, en buena medida, de cómo enfoques el ecommerce fulfillment. Lleva su calidad a la cima eligiéndonos como tu partner logístico 3PL y descubre por qué tantos comercios electrónicos ya confían en nosotros.
The figures that support us
of ecommerce orders prepared in 2022
of managed ecommerce items
order capacity per day
of space for ecommerce
