Multi-Channel Fulfilment: Accessing Growth Opportunities Through Sound Logistics
The e-commerce landscape is witnessing a monumental shift, with multi-channel fulfilment (MCF) at its heart. According to Global Intelligence’s Global Retail E-commerce Forecast, the global e-commerce market was expected to total $6.3 trillion in 2023 (actual was $5.8 trillion). By the end of 2024, 21.2% of total retail sales are anticipated to happen online. The rapid adoption of multi-channel retail, where businesses sell across various platforms, is reshaping how we should think about e-commerce. In 2024, sellers need to be reaching out to consumers on their platform of choice rather than vice versa. This approach will be vital for brands aiming to scale efficiently and increase brand awareness throughout the coming year.
Playing the Attention Game
…Multi-channel e-commerce is about being everywhere your customers are. It’s not just about Amazon anymore. Sellers should be considering extending their presence to marketplaces such as eBay, Walmart, Pinterest and even emerging players such as TikTok Shop, which is touted to become the primary e-com hangout for Gen Z consumers. Indeed, it would appear that the platform algorithm is heavily prioritising shop-related video posts and taking a mere 5% referral fee, three times less than Amazon’s average of 15%. Whilst a very fresh and developing marketplace currently awash with Alibaba drop-shippers, once TikTok enables the shop function on all devices globally, it will likely mature very quickly.
You understand the opportunity, but how can you capitalise upon it?
MCF, or omni channel fulfilment, is the backbone of this diversified retail approach. It involves managing your inventory and orders across all these channels seamlessly. As consumer demand spikes – accelerated by seasonal pressure and trends – your e-commerce operations must be agile enough to keep pace without compromising your pre-existing commitments in other areas of the business. This is where the role of third-party logistics (3PL) companies specialising in MCF becomes crucial.
But what should you look for when choosing the right MCF Partner?
When looking for a MCF provider, certain factors are non-negotiable:Cross-Functional Software for E-Commerce Platforms: Your warehouse management system should seamlessly integrate with the platforms you sell on. This integration ensures smooth order flow, inventory updates, label printing, and efficient picking paths.Great Communication: You need to trust the provider you are working with. Can they deliver on their quoted rates? Are refunds going to be an issue? What is the true turnaround time for orders? Don’t get saddled with a provider following a budget airline business model - the initial price and hidden added costs.Brand Personalised Packaging: How your product is presented in a crowded market can make all the difference. A MCF partner should offer customisable packaging solutions that reflect your brand and enhance the customer experience.Stress Tested Logistics: Today's e-commerce customer expects delivery times on par with Amazon. Your warehouse must have the infrastructure to handle quick turnarounds, even during peak seasons or unexpected surges.
Finding The Best Logistics Partner for your Business
Navigating MCF comes with its set of challenges. Managing inventory across multiple platforms and ensuring fast and efficient shipping can be a headache day to day and a blinding migraine when it goes wrong. However, the opportunities it presents – broader market reach, enhanced customer satisfaction, and streamlined operations – make tackling these challenges worthwhile. Sitruna Logistics has extensive experience providing standard and customised order fulfilment for Amazon and other platforms. We take care of every detail to meet a marketplace's strict standards, from precise packaging to compliant labelling. Our warehouse offers tailored services like laser engraving and hot foil stamping, making your products unique and marketplace-ready. Based in the South West of the UK, we are a family-run business with industry relationships that have allowed us access to fast and incredibly competitive shipping rates.
Implementing Multi-Channel Fulfilment Successfully: a word from the client!
Dehaus is currently using both our consultancy services and our warehousing services to maintain their strong Amazon Sales. They utilise the below services:Receiving containerised and LTL shipmentsManaging inventory on our full visibility Dashboard Fulfiling MCF orders via direct integration to Shopify and Etsy, Direct to customer delivery.Managing shipments to Amazon FCs via LTL (pallet) or SPD (single parcel delivery via UPS) for Amazon FBA (pallet assembly for LTL)Long-term contract storage as opposed to pay-as-you-go storageSome customer returns
And here’s what they had to say!
“I am very happy with the excellent service my business has received at Yeovil over the last year. James and his friendly team provide an extremely quick and efficient fulfilment service with reasonable rates and great attention to detail. Highly recommended!” - Ken Easter, Dehaus Ltd.