The rise of online shopping platforms these days shows that e-commerce is now solidified as a powerful industry. In fact, this year, 20% of retail purchases are expected to take place online. As the industry continues to grow, so does the complexity of managing e-logistics. Thankfully, outsourcing e-commerce logistics is there to help businesses tackle the public’s demand for more items and easier ways to shop.
Managing logistics can overwhelm businesses, leading to unexpected challenges in procurement, fulfillment, and delivery. If you’re an online retail business owner, outsourcing logistics can be a smart and efficient to make way to streamline your operations and reduce logistical costs.
If you’re an e-commerce company facing these challenges, outsourcing can be helpful to you in many ways:
1. Access Cost-Effective Solutions
Outsourcing e-commerce logistics costs significantly lower compared to maintaining full in-house operations, while still allowing full control over your day-to-day work. With outsourcing, you can enjoy the benefits of extensive logistics support even without the high expenses associated with overhead fees and salaries and benefits. Things like order processing, inventory management, fulfillment and customer support can all be outsourced to a third-party team!
With an expert offshore team handling logistical functions, the cost savings you achieve can be directed towards other vital areas of your business, allowing you to stay keen as your market grows. In fact, companies that outsource logistics operations can reduce their overall supply chain costs by 15-20%, allowing them to invest more in areas like product development and marketing.
2. Synchronize Data
When you start outsourcing e-commerce logistics, your outsourcing provider can leverage advanced technologies that allow tracking and synchronizing data across various platforms. This, coupled with experts manning your database, can ensure accurate inventory levels, up-to-date sales data, and on-time delivery schedules. Synchronized and consistent tracking with third-party logistics reduces errors and improves the overall efficiency of your supply chain for maximum efficiency.
3. Simplify Workflows
By outsourcing e-commerce logistics, you have the option of letting your outsourcing partner simplify and document your workflows. They can take a deep dive into your business practices and learn your ins and outs, effectively creating streamlined processes that cater to your brand’s objectives.
Outsourcing order fulfillment, delivery scheduling, inventory management, and even handling customer inquiries is easier. Your logistics outsourcing provider can simplify your framework to allow you to reduce the number of steps your team needs to manage. This leads to faster processing times and fewer bottlenecks, allowing your business to operate more smoothly.
4. Integrate Systems
Logistics outsourcing providers can seamlessly integrate with your existing systems. Whether that’s your e-commerce platform, inventory management software, or customer relationship management (CRM) tools. This integration ensures that all parts of your operation work together cohesively, reducing the amount of manual data entry needed and improving overall productivity.
5. Streamline Communications
Outsourcing e-commerce logistics allows you to focus on core competencies that can contribute to the growth of your business. Instead of focusing on the complexities of your supply chain, you can dedicate more time and resources to things. For example, market research, data analysis, customer engagement, and other strategic initiatives.
Outsource Logistics Support with FGC+
At FGC+, we understand the challenges of e-commerce logistics. Our comprehensive end-to-end outsourcing solutions are designed to help you overcome these challenges, ensuring that your online retail operations run smoothly and efficiently. Learn more about what we have to offer at www.fgcplus.com.