Outsourcing your order fulfilment to a specialised company like DK Fulfilment can be a shrewd commercial move. Especially if your small business lacks the expertise or the financial robustness to carry out order fulfilment in house.
Internet businesses often grow very quickly, if they find the right product and bring it to the notice of their potential consumers effectively. This can mean a drastic increase in demand for products without a sufficiently vigorous fulfilment process to pick, pack and deliver the goods. Outsourcing your entire order fulfilment process will allow you to concentrate on the sourcing, sales and marketing functions to help your business grow to its full potential.
There are both financial and logistical benefits to outsourcing your fulfilment process:
Individual warehouse premises are not required.
Bespoke offices are not a requirement of an internet business but a storage facility of some sort is. This may be a spare room or a garage, when your business is in its start up phase. When it begins to grow the need for custom-built warehouse facilities becomes apparent. Warehouse space can be an expensive fixed cost of a growing business. The cost remains, regardless of whether the building is full to capacity or half empty. If you purchase an outsourced fulfilment service, it should be flexible enough to cope with upsurges and drops in demand for your products. This is a variable cost which increases with use and decreases if the service isn’t used.
In house staff to pick, pack and deliver the goods are not required.
Similarly with staff; if you keep your order fulfilment in-house you will need to train your staff to pick, pack and deliver your goods. Up-to-date technology is also required and both can be costly and less than cost effective if your business is small. Whereas if you outsource order fulfilment, this is all are covered in your monthly fee.
A seamless process from order to delivery including returns.
Outsourcing your fulfilment needs, means from receipt of order on your website, to delivery and if required process returns.
Make sure you choose your order fulfilment company wisely as they will be a direct link between you and your customers.