The importance of customer experience in the ecommerce industry has soared in recent times and continues to rise. Ecommerce brands must create strategies to alleviate customer experience and stand out among their competitors. This will help them increase customer loyalty and boost ecommerce sales in the long run. Streamlined ecommerce logistics have the potential to help deliver an unforgettable customer experience. Let’s see how.
What are ecommerce logistics and customer experience?
Ecommerce logistics is the entire
process of delivering an order from an ecommerce warehouse to a customer’s
doorstep. It includes sourcing inventory, picking, packing and shipping orders,
last-mile delivery and handling product returns.
Customer experience refers to the feelings customers experience while interacting with an ecommerce brand, right from order placement to delivery. This includes positive feelings when orders are delivered fast, or in customized packaging, as well as negative feelings when orders are delayed or lost in transit.
What is the relation between ecommerce logistics and the overall
customer experience?
Ecommerce logistics and customer
experience are closely related to one another. Most ecommerce sellers would
know that boosting customer experience has several benefits, such as:
- Lower shopping cart abandonment
- Higher customer loyalty
- More ecommerce sales
- Better brand reputation
What some ecommerce brands may not realize is that robust logistics
management can help alleviate customer experience. Streamlined logistics will
increase the pace of order processing; this means that orders can be shipped
and delivered faster, increasing customer satisfaction.
Ecommerce logistics management can help ensure cost-effectiveness and greater savings. Ecommerce brands can utilize the extra cash reserve to implement strategies like custom packing that directly raise customer experience.
How can ecommerce brands ace logistics management to alleviate customer
experience?
Let’s see how ecommerce brands can ace ecommerce logistics management to make themselves stand out:
1. Distribute your inventory
Ecommerce brands can distribute inventory across multiple ecommerce warehouses to store it closer to customers. Splitting inventory helps deliver orders faster and cheaper as the transit time and distance are reduced.
2. Utilize an IMS
An Inventory Management System (IMS) is a set of hardware and software technology that simplifies tracking inventory across the supply chain. Using an IMS, ecommerce brands can prevent overselling and Out of Stock situations, as well as receive timely replenishment reminders.
3. Improve order processing
Order processing refers to picking, packing and shipping orders. You can ramp up order processing capabilities to deliver orders faster. This can be done by introducing technology such as conveyor belts or creating Standard operating procedures (SOPs) to speed up the process.
4. Reduce logistics costs
In an attempt to ship orders quickly and ensure fast delivery, you may end up spending too much on operational costs, which can cut into your profits. Thus, it is essential to keep logistics costs in check. You can reduce logistics costs by reducing the weight of the package, using pre-paid shipping and tying up with multiple courier partners.
5. Ace returns management
Proper returns management can help
ecommerce brands stay profitable while handling returns. Some efficient ways to
handle returns are- having a clear returns policy, aligning return pickups with
order deliveries in the same area to save on return shipping and encouraging
product exchanges.
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