Global eCommerce sales are projected to reach over $6 billion in value by 2024. Running an eCommerce business can be a great way to generate profit while keeping overhead costs low, but you need to have a solid order fulfillment strategy to do so.

Understanding eCommerce logistics, seasonal demand, and potential supply chain issues will help you get the best results. We’ve created a guide to help you improve order fulfillment. Let’s dive in.

What Is Order Fulfillment?

The order fulfillment process occurs between making a sale and delivering the product. Put simply, this process involves getting your company’s products into your customers’ hands.

Depending on the size of your business, order fulfillment can occur in different ways. Large businesses might use a distribution center or warehouse. Smaller companies might use a third-party logistics provider.

Regardless, having a solid order fulfillment strategy is something no eCommerce business can neglect.

Why Does It Matter?

One of the primary reasons why order fulfillment is so important is because it impacts the customer experience.

If people don’t receive their products in a timely manner, they’ll likely become frustrated. This is also true if products don’t arrive in the condition the customer expected.

In some cases, they might choose a competitor instead of your brand in the future. This is a situation you want to avoid at all costs.

Order fulfillment is also a major expense for many eCommerce brands. Without a refined strategy, you run the risk of overspending in this area.

This can have a substantial impact on your bottom line. In some cases, it could even affect your ability to profit. This is particularly true for small businesses that don’t generate substantial revenue.

Businesses need to strike a careful balance between quality and affordability. Finally, your order fulfillment strategy will impact how easily you can scale your business. Without a solid foundation in place, your company will be unlikely to handle increased order volume.

The most common bottleneck occurs when small businesses grow to become medium-sized ones. In this scenario, business owners often go from fulfilling orders themselves to becoming overwhelmed. Consider this when moving forward.

Refining Your Strategy

Developing the right strategy doesn’t have to be as intimidating as it seems. By making the right adjustments, you can exponentially improve your order fulfillment process. Let’s explore how to do so.

Anticipate Demand

One of the most important steps to take when creating a strategy is demand anticipation. This is a bit more involved than it might sound. You’ll need to look at past metrics to determine your company’s future performance.

For example, your order volume might have been on an upward swing over the past few months. You can likely deduce that the coming months will have increased demand. If you aren’t ready to accommodate this situation, you run the risk of disappointing your customers.

Leverage the Right Technology

Many business owners make the mistake of neglecting the right order fulfillment technology. Not only can this slow the process down, but it also puts you at risk of making mistakes.

Order fulfillment software often incorporates plenty of automation. This eliminates the chance of human error.

It can also help you consolidate data in one place. The right application or platform can help take your performance to the next level. Just be sure to research your potential options before making a decision.

Work With a Professional

Working with a professional is one of the best ways to get started. They can assess your situation and identify weak points that need improvement. This process can also help you emphasize strategies that work and reconfigure those that don’t.

When searching for someone to work with, consider their past reputation. This will provide insight into what you can expect from them.

You should also look at their pricing structure. The last thing you want is to encounter financial surprises.

Have Backup Strategies in Place

There will be times when your current strategy won’t work as intended. Contingencies can and do arise, and it’s crucial to stay agile.

For example, goods could arrive damaged, inclement weather could prevent on-time delivery, etc. Your current process might also become too expensive.

Regardless of the changes you deal with, you’ll need a plan to adapt. Make a list of the most probable risk factors your company will face. You can then come up with a solution for each one to prevent downtime and maintain customer satisfaction.

Budget Appropriately

No matter how good your order fulfillment process is, it won’t mean much if it substantially detracts from your bottom line. Always budget appropriately so you can get the most out of the money you invest. Keep in mind that you can (and should) adjust your budget as your company scales.

While it can be tempting to keep costs as low as possible, this could create issues in the future. With enough trial and error, you can find the perfect amount to spend on order fulfillment.

Proper Order Fulfillment Is Essential for eCommerce Success

Without the right order fulfillment in place, you run the risk of falling short of your performance goals and leaving your customers dissatisfied. The good news is that the right strategies are easier to implement than most people anticipate. From here, you can take your business to new heights.

Speak with a representative today at ACI Logistix. Our team of professionals is ready to connect you with the best solution.