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How to Start an Order Fulfillment Company for E-commerce Business

Year after year, an increasing number of retailers take their businesses online. Recent data indicates e-commerce accounts make up close to 10 percent of all retail sales. However, research anticipates growth around 15 percent annually in this sector. In other words, the precedence of the Internet has customers worldwide shopping online. So, to keep customers happy, a business owner must ensure accurate fulfillment of orders, quickly, and efficiently. Optimizing e-commerce fulfillment strategies is the key to success. 

To clarify further, this means order fulfillment companies are in-demand and the demand will increase. Below are steps explaining how to start an order fulfillment company for e-commerce business and what to expect in the process. 

What is Order Fulfillment?

Order fulfillment refers to the method that is used to fulfill customer orders. For e-commerce, companies may choose to manage their order fulfillment in-house, while other companies may choose to operate using drop shipping or third party fulfillment. For third party fulfillment, some companies are solely dedicated to fulfilling the orders of their clients (other businesses). This offers businesses the ability to devote more of their time other aspects of the business, while still being able to access data regarding inventory and sales. Third-party fulfillment is often chosen because it decreases costs related to packaging and shipping. 

Deciding Which Type of Fulfillment the Company Will Offer

There are a number of roles your fulfillment company can play. A business owner decides whether the fulfillment company holds responsibility for storing, packaging, shipping, tracking, and more. Based on this decision, a business owner will make other decisions regarding equipment, facility, and staffing. 

Phones and Communication Systems

Most notably, a fulfillment company is a high-tech business. This means there is a strong need to respond in a high-tech fashion. A business owner must understand this is not the place to cut corners. The right access to websites, operational equipment, and phone systems is critical. 

Staffing a Fulfillment Company

A business owner can launch a fulfillment company with two or three people. A business owner will name a fulfillment manager, a warehouse manager, and a fulfillment specialist. The fulfillment center manager should have the ability to make sales calls. A fulfillment manager will also be responsible for walking clients through the initial setup. The warehouse manager is responsible for installing any warehouse management system. Furthermore, this person is in charge of writing all back end procedures and training personnel. 

How to Start an Order Fulfillment Company
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Sales

It is imperative that a fulfillment company makes a consistent effort to market and sell its capabilities. A business owner must focus on sales efforts to add more customers and grow. One method is to use sales personnel to generate leads and then have the fulfillment manager drive the sale moving forward. A larger fulfillment company may need a specialist to come in and provide advice including selling skills. 

Marketing a Fulfillment Company

A business owner must provide a basic marketing campaign to take an order fulfillment company’s messaging forward to the current client base as well as potential clients. A business owner should not solely rely on existing sales personnel to develop accounts. Sales representatives are, at times, reluctant to offer new services to their clients. Because of this, marketing campaigns can prove to be very useful. 

Pricing Matrix For Order Fulfillment Services

Establishing a pricing system for the fulfillment company may present challenges at first. The company’s pricing system must include all services that are completed. Therefore, fees may include storage, customer service, and more. Some pricing options may include:

  • Storage charged at a price per pallet, per month
  • New product set up fee
  • Warehouse fee
  • Receiving services fee
  • Order receipt fee
  • Shipping materials cost
  • Reporting fees
  • Customer service
  • Initial set up fee

Challenges Faced by E-commerce Businesses

E-commerce businesses face challenges, which include competition, finding the best products to sell, reaching a target audience, generating traffic, retaining customers, choosing the right technology, and achieving long term growth. Understanding these challenges will help you run a successful order fulfillment company. 

In Closing

In essence, order fulfillment is the backbone of an e-commerce business. The strategy for order fulfillment for customers directly affects everything from customer satisfaction to profit margin. Therefore, a business owner must consider this carefully. Another thing to be considered carefully is scalability. A business owner who starts a fulfillment company has a goal to grow. Likewise, having a plan in place that outlines how you will grow and keep up with the growing needs of clients as well as adding new clients is very important. As a result, providing customers with the best value through order fulfillment is key to an effective operation. Above all, a business owner that helps clients to maximize profits and efficiency is destined to succeed.

Why it’s Important to Trust Your Virtual Number Provider

In today’s modern marketplace, it almost seems as though trust isn’t something we can find in the businesses that we interact with. Fortunately, Global Call Forwarding isn’t an ordinary business. Taking pride in how we provide the best services to our customer, Global Call Forwarding is a credible business that provides years of industry experience, fair pricing models, and extensive services that can’t be found from other telecom service providers. In this article, you will learn Why it’s Important to Trust Your Virtual Number Provider.

Let’s take a look at each of these aspects in-depth to show how trusting Global Call Forwarding for your telecom needs can help achieve what you’re looking for in a telecom provider. 

Reason #1: Industry Experience

Simply put, there is just no substitute for experience when it comes to dealing with businesses today. Global Call Forwarding has been in business for the past two decades, providing telecom solutions that enable businesses and individuals to connect with one another anywhere in the world. Providing virtual phone numbers and a host of other telecom services in over 150 countries, Global Call Forwarding enables businesses and individuals to attain a global reach that comes with a deep knowledge of industry trends to achieve their goals. Another reason why you can trust your virtual number provider.

Other telecom service providers may claim to have the same breadth of knowledge and service, but many consumers choose Global Call Forwarding after experiencing less than stellar service from fly-by-night companies. Often, these companies try to play up lower rates, but their service can often be substandard. This ability to meet consumer demands is why Global Call Forwarding includes Fortune 500 customers, emerging startups, and savvy individuals among its client base.

Reason #2: Fair Pricing

Perhaps the most important factor for doing business of any kind is purchasing services and products at a fair and consistent price. By choosing a plan that best fits your business model and usage through Global Call Forwarding, you can gain access to top-tier telecom services for pennies on the dollar. In fact, you can use Global Call Forwarding’s services on a trial basis for free – something that other service providers don’t always offer. 

Using Global Call Forwarding as your service provider also enables your business to avoid having to shell out money for expensive hardware and proprietary software (such as headsets and “softphones,” respectively). Other service providers typically require that your business only use a company’s added overheads, which is unnecessary thanks to the versatility of modern devices and protocols. By contrast, business phone numbers from Global Call Forwarding only require your business to use any device that has audio capabilities and can access the Internet – no hardware necessary. 

Trust your virtual number provider
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Reason #3: Extensive Services

What makes Global Call Forwarding such a popular telecom service provider is that we provide a full range of services that leverage developments in cloud computing that go beyond just equipping your business with phone numbers. Instead, Global Call Forwarding continually adds new features for subscribers that can deliver massive impact on how business run their day-to-day operations. These extensive services include:

 

  • Call Recording: store and review calls made to and from your phone numbers
  • Simultaneous Ringing: allows you to forward calls from your toll-free number to two or more phone numbers
  • CallMe Click: enables one-click calling through a button placed on landing pages, as well as in online ad campaigns, email confirmations, and contact forms
  • SMS forwarding: forwards incoming SMS messages to a predetermined email address
  • Integrated Voice Response (IVR): An automated, voice-led directory can greet customers upon dialing your phone number
  • Voicemail to Email: voicemails can be transcribed and forwarded to email addresses automatically
  • Fax to Email: faxes can be transcribed and forwarded to email addresses
  • Time of Day Routing: inbound calls are redirected to another destination based on the time in which the call is placed
  • Sequential Routing: used to deliver a call down a list of predetermined phone numbers
  • Local ringback Tones: provides a country-specific signal tone that is heard by callers while the destination’s phone is ringing
  • Black and White Lists: enables you to accept (white list) or reject (blacklist) phone numbers based on their area code
  • Rollover Minutes: carry over your unused minutes from one month to the next
  • Failover Forwarding: enables businesses to program multiple phone numbers to answer an inbound phone call if a particular phone number is busy or unavailable

By incorporating these add-ons into your business, you can drastically increase the breadth of services that you offer to your customers and clients – not to mention creating new opportunities for revenue.

Of course, not all virtual number providers offer these services. Often, service providers only provide minimal services to entice customers but don’t enable businesses to expand their services based on demand. Therefore, choosing Global Call Forwarding is the smartest decision and you can trust your virtual number provider for scaling your business to meet the demands of our modern global marketplace.