If you’re building and running an online business, the order fulfillment process can be one of the most important things you should consider from the get-go. This is especially true if you solely depend on shipping to get your products to your customers.
However, just like other aspects of starting an E-commerce store, order fulfillment can be a complex and expensive process, especially if you have limited experience on the matter. Keep reading this article to learn more about order fulfillment and the processes involved.
Order Fulfillment: An Overview
Firstly, order fulfillment refers to a process that starts from a sale to the delivery of the products to your customers. In other words, it involves the cycle of receiving and processing the goods and delivering them to your customers. These processes or functions are essential in distribution and logistics management.
If you’re running an E-commerce store, understanding these functions and other elements is essential since they play a crucial role in the development of marketing and sales strategies. The more knowledge you have about the order fulfillment process, the higher the customer satisfaction.
Moreover, if you need assistance in streamlining your order fulfillment strategy, working with a certain product fulfillment company is a great idea. They can execute the process for you efficiently and hassle-free.
Order Fulfillment: The Breakdown Of Its Process
Now that you’re familiar with the definition of order fulfillment, it’s time to learn how it works from start to finish. Typically, the whole order fulfillment process is divided into several major stages. These include:
1. Order Processing
This stage begins when a certain customer contacts your online store and places an order. Once you receive the details of the order, you can proceed to more specific complementary procedures such as acknowledgment of the order placement, preparation, and sending out of the invoice or bill.
2. Product Processing
This stage involves the preparation of the goods into the warehouse of the fulfillment company for storage. The common tasks usually include quality inspection, packaging, labeling, barcoding, and many more. Once the orders are ready for delivery, the eventual movement from the warehouse to the end customer via outbound logistics will take place.
3. Delivering And Receiving
At this point, all processed orders will be sent out for delivery by the third-party intermediaries to the addresses provided by the customers. Once the customers receive their orders and complete the necessary payments via selected payment channels, the order request will be marked as completed or done. With the help of apps and programs, the fulfillment company can keep track of the delivered orders through the use of real-time tracking reports containing the order status, location of the order in transit, and the expected time of delivery.
4. Return Processing
While most orders end up being delivered successfully, there are times when customers will have to return the delivered goods due to some defects and other issues. This stage is called return processing.
When a customer intends to return their ordered products, the administration of some important requirements such as return eligibility and provisions on guarantees, replacements, and other forms of after-sales service support will take place. For the return of the goods, the entire process mentioned above begins all over again.
The Bottom Line
Indeed, your order fulfillment process plays an essential role in the operations of your E-commerce business. If you want your online business to succeed, mastering the process and finding the best fulfillment center should be your priority.
That way, you can streamline your business operations from order placement all the way through delivery and receipt of orders—thus, increasing and maintaining customer satisfaction.
