Logistics for eCommerce: A Step-By-Step Guide
Originally Published: 3 March 2022
Last Updated: 17 June 2024
What is logistics for eCommerce?
eCommerce logistics is the process of picking, packing and delivering an online order from the eCommerce brand to the customer. The fulflilment process is the last step in the supply chain, and even incorporates returns from the customer back to the eCommerce store.
Here are the steps for eCommerce logistics:
- The order is placed by the customer on your website
- James and James’s award-winning technology, ControlPort™ picks up the order and imports it ready for fulfillment
- Our fulfillment specialists then pick the order from one of our fulfillment centers with a 99.9% order accuracy rate.
- The order will be then packed with 98% dispatched the same day.
- A carrier will then deliver the parcel from our fulfillment centre to the end customer’s doorstep.
Demand planning
The first step of your eCommerce logistics journey is to know what stock to get and how much. You will need to determine your minimum order quantities for the products you want to sell and find a manufacturer to supply your items. It’s also a good idea to determine your seasonality and plan in advance any launches or promotions, to prevent stock shortages.
Inventory management
In order for your eCommerce logistics to work, you need to make sure you have a method to manage your inventory. An inventory management system will ensure you have the correct stock levels and integrate your platform to your fulfillment center, automating the pick and pack process.
eCommerce fulfillment center
It’s key to ensure you have the correct space to hold your minimum order quantities for your products. You want enough space so all your products are in stock but not too much that you’re paying for wasted space. This is where James and James can help, providing a flexible wall where you can scale up and scale down your space, depending on seasonality and product launches.
Picking and packing
Picking and packing is more than just ensuring the right products get packed. You need to ensure your stock levels are updated once the order is placed and the right carrier is selected for delivery. You can speak to one of our fulfillment specialists to discuss your shipping options, and which carriers suit your needs.
Sometimes your products require custom packing or you will need to protect fragile items. Our fulfillment specialists can alk you through the best options here but you can order test products from different carriers to experience the end-to-end process as a customer would.
eCommerce returns
It’s estimated that 25% of eCommerce orders are returned and with an increasing number of brands offering free returns, reverse logistics has become an essential part of eCommerce fulfillment. It’s essential that brands have a smooth-running returns process that keeps customers satisfied.
ControlPort allows customers to monitor returns in real-time and can be accessed from your desktop, tablet or mobile, keeping you on top of your customers’ activity.
Speed and accuracy are vital for eCommerce logistics so it’s essential to be able to deliver the products your customers want to their doorstep as efficiently as possible. If you would like to talk through our eCommerce logistics solution, please click here to contact us.
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