- Plans & Pricing
The eCommerce revolution has turned retail on its ear. Brands are now managing exponential increases in sales and communication channels. Simultaneously, their customer base demands total convenience, up-to-the-minute information, and ever-faster delivery.
This upheaval has forced the need for logistical innovation. Many merchants have answered the call by implementing management software to optimize and automate their backend operations. The resultant benefits have been dramatic: improved accuracy, operational efficiency, and a significant reduction in the costs of fulfillment.
Many other merchants, however, still rely on manual fulfillment or outdated/misaligned software. At SkuNexus, we frequently see the negative outcomes of these decisions, such as:
The problems mount and rising fulfillment costs immediately follow.
eCommerce fulfillment is a field where every second and every penny counts. It is critical to grasp the total impact that management software and automation can have on your bottom line. Here, we will discuss how an order management software (like SkuNexus) can lower order fulfillment costs, optimize productivity, and maximize ROI for your eCommerce business.
Time is money. It may be a cliché, but in the context of eCommerce fulfillment costs and employee productivity, nothing could be more correct. A cohesive, automated management system is the single most effective way to save employee time. It optimizes processes from receiving to delivery.
In this model:
If manual fulfillment decisions and actions were used throughout the above, time would be added to every step of the process. Factor that out for every order your brand receives and it becomes clear. Small increments of time here and there quickly add up.
The optimized order accuracy and throughput produced by this integrated system of automated fulfillment have secondary time savings as well.
While eCommerce may have broken the proverbial mold of retail, certain costs of doing business remain (e.g. storage costs) . What has changed, though, is how technology can reduce them, often in less-than-obvious ways.
A smart management software suite creates fulfillment accuracy and better use of warehouse space. That translates into lower utility costs.
An effective WMS will help optimize the use of warehouse space. Proper warehouse management is about maximizing the available space to avoid unnecessary labor.
Smart shipping management takes all the manual guesswork out of the packing process. It delivers exact information for materials needed, eliminates waste, and saves you money.
Management software provides a range of cost-cutting measures all the way through the fulfillment process, including shipping and returns. While customer returns are inevitable, management software will drastically reduce those made due to errors (wrong item, missing item, wrong size/color, damage due to improper packing materials, etc.).
This may be the most profound cost of manual fulfillment. Customers want to purchase from brands that inspire confidence. The ripple effects of breakdowns caused by inaccuracy, poor communication, disorganization, etc., can be enormous.
Retail eCommerce is a demanding, unforgiving, ultra-competitive space. Merchants who are able to see and exploit the opportunities that others do not will separate themselves from peers.
Backend operations are an area ripe with optimization opportunity. The potential to cut fulfillment costs in so many different ways through the use of management software like SkuNexus is massive. Brands that fail to consider, and act on, this are at a great disadvantage.
To learn more about how SkuNexus can help your eCommerce business achieve its goals, schedule a demo today.
Our groundbreaking open source order management software will blow your mind.