What is a fulfilment company?
A fulfilment company is an organisation that processes the receipt, packing, delivery and return of customer orders for businesses. Fulfilment companies enable businesses to outsource their order fulfilment, including goods in, warehousing, pick and pack, shipping and returns. A modern and technologically advanced fulfilment company will manage and streamline fulfilment processes via order fulfilment software. Outsourcing order fulfilment processes and management to an expert fulfilment company allows businesses to focus on growth, instead of in-house warehousing, shipping, returns and inventory management.
Why use a fulfilment company?
Businesses often choose to outsource their customer orders to a fulfilment company for three purposes:
1. Improve inventory management
Fulfilment companies can manage orders and inventory accurately and effectively, and advanced order fulfilment software gives businesses valuable insights through high-quality data. Benefits include easy inventory accessibility via cloud-based technology, accurate real-time stock visibility, batch tracking and optimisation, custom reporting and more.
2. Improve customer experience
A fulfilment company can offer improved shipping options, branded packaging options and built-in order tracking and returns, to deliver perfect customer experiences. Benefits include rapid and cost effective dispatch, real-time updates to customers, simple returns for customers and more.
3. Enable rapid growth
By providing order fulfilment services that can quickly scale to demand, ship to new markets and satisfy customers, a fulfilment company gives businesses the time and confidence to focus on growth. Benefits include meeting seasonal, promotional or new product order demand, international shipping, reducing time spent in-house on fulfilment processes and more.
How to choose a fulfilment company?
Outsourcing fulfilment to a fulfilment company is an important business decision, and it’s critical to choose the right partner. From ensuring seamless integration with your existing eCommerce platform to delivering flawless brand and customer experiences, businesses should choose a fulfilment company based upon how they can provide the most effective solution for their individual needs. Want to know more about choosing a fulfilment company? Contact us today for a free, no-obligation chat about how our order fulfilment services can help your business.
Typically, fulfilment companies provide order fulfilment and distribution services for online retailers. This involves receiving and processing orders, packing and shipping the products, and providing customer service.
Many fulfilment companies also offer a range of value-added services such as kitting and assembly, returns management, and drop-shipping. They typically work with a wide range of clients including small businesses, mid-market retailers, and large enterprises
The fulfilment market is growing rapidly as online retail sales continue to increase due to the pandemic and other macroenvironmental factors making order fulfilment companies more needed than ever.
There are a few key differences between warehousing and fulfilment that are worth noting. First, warehousing is typically more focused on storage, while fulfilment is focused on shipping. This means that warehousing tends to be more about keeping products safe and sound until they’re needed, while fulfilment companies are all about getting products packed and out the door as accurately as possible.
Second, because of this focus on shipping, fulfilment companies tend to be better equipped with the resources and infrastructure needed to get orders out quickly and efficiently. This includes things like packaging supplies and automated shipping equipment.
Lastly, although both types of facilities can offer some level of inventory management, this is generally more of a priority for fulfilment companies than warehouses as they are more hands on during the fulfilment process.
When a customer places an order on an eCommerce website, the order needs to be fulfilled – that is, the items in the order need to be collected from where they are stored and sent to the customer. This is called eCommerce fulfilment.
There are a few ways to fulfil orders. The most common way is to use a third-party fulfilment company such as James and James. We manage the products for your eCommerce business and send them out when orders come in.
eCommerce fulfilment can be a complex process, and there are a number of factors to consider when choosing a fulfilment partner. Some of the things you’ll want to take into account include order volume, delivery speed, and product type. To learn more about what James and James can offer you, check out our fulfilment process.
A distribution centre is a warehouse where products are stored after being manufactured or imported. The purpose of a distribution centre is to get the right product to the right place at the right time. A fulfilment centre, on the other hand, is a warehouse that stores and fulfils orders for customers. The purpose of a fulfilment centre is to store and handle goods as well as coordinate their final dispatch to customers.
The main difference between the two types of centres is that a distribution centre will not usually deal with final customer orders, whereas a fulfilment centre is designed specifically for this purpose. Distribution centres are usually larger in size than fulfilment centres and are used to store goods that have been bought in bulk by retailers. Fulfilment centres, on the other hand, are smaller in size and deal with individual client and customer orders.
A 3PL fulfilment company is a business that provides order fulfilment services for other businesses. This can include picking and packing orders, shipping products, and handling customer service inquiries.
3PL fulfilment companies can be helpful for businesses that are experiencing an increase in orders and don’t have the staff or resources to handle this extra aspect of the business. They can also be helpful for businesses that want to outsource some or all of their order fulfilment tasks so that they have more time to focus on core business responsibilities including, development and marketing for growth.
When choosing a 3PL fulfilment company, it’s important to consider the company’s experience and track record, as well as their ability to scale with your business. It’s also important to make sure that the company has the necessary insurance and licensing in place.
There are a number of ways that a fulfilment company can help your business. Perhaps the most obvious way is by taking on the task of physically storing and shipping your products. This can free up valuable time and resources within your company.
In addition, a good fulfilment company will have systems and processes in place to ensure that your products are shipped quickly and efficiently. This can help to improve your customer satisfaction levels, as well as reducing your overall outgoings.
Another area where a fulfilment company can add value is by helping you to manage your inventory effectively. They can provide regular reports and analysis to help you understand which products are selling well and accurately forecast demand.