e-commerce, fulfillment house, fulfillment services-posts, order fulfillment, orderfulfilment with e-commerce
So, you have an ecommerce website, now what?
So you’ve built an ecommerce website and worked out what products you are selling. You just got your first order. Now what? You have to fulfill the order and there are some options you have in the way you structure your business.
Fulfill the order yourself
Many companies start here. If your volume is small and the pick/pack process and shipping methods are relatively easy this may be a good option for you. However, there are some key disadvantages to doing it yourself. If you’re up against larger competitors you will struggle to get some of the benefits they have due to volume if you do it yourself.
Pros of Self Fulfillment
Cons of Self Fulfillment
Outsource to an ecommerce fulfillment house
Outsourcing to an ecommerce fulfillment house is a good option for many online retailers. You keep your costs and overhead down due to the scale of the fulfillment house, plus you can take advantage of many shipping benefits that a fulfillment house may have.
Pros of outsourcing ecommerce fulfillment
Cons of outsourcing ecommerce fulfillment
Drop shipping your orders
Drop shipping can be an option for some products and generally good if you have only a few manufacturers that you deal with. The idea is that you ship your order directly from your manufacturer to your customer and avoid having to do any kind of warehousing or fulfillment at all. While this sounds like the perfect solution this is often difficult to set up. Manufacturers don’t want to undertake this task unless you can prove you have enough volume to make it worth their while. Plus, as a “non-stocking distributor” you won’t get good discounts so your margins will be low. Finally, there are some real hurdles around logistics and paperwork to ensure you customer doesn’t find out you shipped it from the manufacturer.
Pros of Drop Shipping
Cons of Drop Shipping
So what should you do?
If you’ve read this article and still don’t know what option is best for you, call Dare Marketing. One of our Order Fulfillment Consultants will help you decide what’s right for you. Plus, if your choice is to outsource your ecommerce fulfillment, Dare will leverage their years of experience to help you.
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