Choosing the ideal fulfillment partner

In the ever-evolving ecommerce landscape, exceeding customer shopping expectations has become paramount. As online retailers strive for excellence in this competitive environment, the role of fulfillment companies has gained heightened significance.

Choosing the right fulfillment partner not only enables the e-commerce brand to meet customers’ expectations and maintain its market position but also facilitates the efficient scaling of operations to meet the growing demand for its products. If you are considering starting with a new fulfillment partner, pay attention to the following points.

The best 3PL partner should carefully examine the needs of your e-commerce brand and create a dedicated solution that not only fits perfectly but is also highly productive, intelligent and cost-effective. Excellent services, including order picking and personalisation, packing and shipping, as well as returns and complaints handling and support from dedicated customer service and transport representatives will ensure tailored order fulfillment.

Cooperation with your fulfillment partner should bring cost savings and contribute to the overall profitability of your brand.

Gaining more capacity will enable higher carrier volumes and generate cost savings.

Fulfillment solution should be scalable as well. This is needed to handle of varying capacities, particularly during peak seasons or sudden spikes in demand.

Quicker deliveries to end customers are essential today. When you are delivering across Europe, it can be achieved through a reduction in overall in-transit times across the region. Such improvements are facilitated by the strategic geographical placement of warehouses, access to better carrier deals, and the implementation of automation solutions. The implementation of cutting-edge automation technology may be a strategic move, ensuring rapid, high-quality, and reliable order processing.

A fast and easy returns process for end customers is a cornerstone of today’s customer service.  Ensure your 3PL partner provides on-demand refurbishment and rapid integration of re-sellable and re-dispatchable goods with inbound delivery, seamlessly adapting to customer expectations and maintaining quality standards.

Real-time access to data providing full visibility of the entire warehouse and supply chain, including fulfillment, picking, shipping and last-mile delivery events. All this information brought together in one place, in a user-friendly format, will improve order management. Being made available by a 3PL partner increases the transparency and efficiency of the partnership.

Taking on the main responsibility of the investment by the fulfillment partner relieves the e-commerce retailer of significant upfront capital expenses and allows them to focus resources on other strategic areas of the business. Only a few players in Europe are able to support their customers with capex, as to let them leverage their resources for customer acquisition and growth.

A solid fulfillment partner with a widespread network of warehouses across Europe will enable your brand to gain access to many new markets and services. The expanded reach provides opportunities for further business growth and market development.

When doTERRA, brand committed to providing the purest, most potent essential oils and wellness products, ventured into new European markets such as Romania, Lithuania, and Latvia, they experienced a substantial surge in sales and order volumes. Yet, this rapid expansion posed a unique challenge for their fulfillment operations. Today, the new fulfillment solution enables them to handle a volume of orders that is even 400% higher during peak times.

Read doTERRA business case.

As doTERRA expanded into new markets, they faced the challenge of scaling their order fulfillment operations while maintaining the brand’s commitment to quality and timely delivery to end customers. Recognizing the need for a tailored solution, they actively sought a flexible and fast-acting 3PL partner based in the heart of Europe, with excellent access to CEE markets.

To tailor the ideal fulfillment solution doTERRA along with Radial analysed:

– product data,

– end-customer profiles,

– market trends.

The outcome? Implementing an automation system designed to double same-day shipping, seamlessly navigate sales fluctuations, and streamline the management of sales peaks.

The Central Belt System proposed by KNAPP has proven to be a game-changer for doTERRA fulfillment operations. Implementing automation enables doTERRA to handle volumes that can be even 400% higher during peak times. 

The automated systems have eliminated delays in the order processing pipeline. This allows to consistently meet end customer demands while upholding the quality and speed of deliveries.

The automated picking systems form the backbone of doTERRA’s order processing. They combine the Central Belt System with the fast-mover picking machine (SDA), transfer stations, and tailor-made software. Automated document insertion and tote transport to one of the 40 packing stations ensures efficiency and accuracy.

The transition from manual to automated processes in a greenfield facility spanned 12 months. During this time, contracts were secured with the automation manufacturer, a software provider, and a construction company, and the automation systems, software, and buildings were constructed.

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