The Order Fulfillment Business
If you own or operate an ecommerce business, you have probably heard of shipping fulfillment. This is the process that happens after the order is placed on your website, where a person takes the order and pulls the items from an inventory, then prepares it for shipping and arranges transportation. The inventory is updated to reflect that the stock is now lower, and arrangements for replenishment is made. You can either arrange for these services to be done by your own employees and within your own warehouse, or you can outsource these tasks to a third party company that is specialized in order fulfillment. Ship My Orders is one of these specialized companies, operating from two warehouses on the east and west coasts of the United States. If your ecommerce business sells to US customers and you are looking for a new way to streamline your business and save on operational costs, this may be the way to go for you.
One of the biggest expenses surrounding almost any business is the employees. This is due to the fact that they are kept of staff for specific amounts of hours and are paid for that time, if they are processing orders or not. The business itself must have enough sales to keep these workers busy long enough to pay for themselves, as they are not paid by the pieces that they process. Another large expense is the traditional warehouse, where an owner will negotiate a lease on a space to store inventory, generally based on an assumption of how many sales will happen over the course of a period of time, and how much inventory is needed to keep within that warehouse in order to fill those orders. This can become quite dangerous if sales are not in line with predictions, as you can get caught in a long term lease that needs to have a certain amount of money paid per month, even if sales do not cover that amount. The opposite problem can also be true, where more space in necessary than was predicted, making it difficult to effectively process the orders from that space. With a shipping fulfillment business, you are only paying for the warehouse space that you use and only paying for the orders that are processed, allowing you to scale as necessary. Because there are other businesses that are also using the service, you are not footing the entire bill.
Third party shipping and order fulfillment is a great way for small businesses with uncertain futures to get through times that can seriously hurt the future if incorrect choices on warehouse spaces or employee numbers are made. Not only is the pressure to predict sales alleviated, but also there is the ability for the businesses operational costs to be significantly reduced. Ecommerce businesses can finally become totally virtual, operating with only minimal employees if any, and from no physical spaces that they own or rent. Contact Ship My Orders today if you would like to learn more about these possibilities.