Internal logistics: opportunity or borderline experience?
The logistics of your online store and the challenges involved can be overwhelming:
- Should I pay for the shipping myself at the beginning?
- What qualities should my service provider have if I want to map shipping?
The decisive factor is that the parcels must be delivered flawlessly, otherwise this will have a negative impact on your customer satisfaction. If you cannot ensure this delivery guarantee, you should definitely think about external logistics!
External logistics – what is it and what does it consist of?
Logistics covers various areas:
- Incoming goods
- Outgoing goods (D2C and B2B)
- Returns
- Warehousing
- Confection
You can find out how the individual areas at RHIEM are structured and which processes are behind the areas in our Infothek here.
Step 1: Does a fulfillment provider make sense for my company?
Depending on the type of product, the size of the company and the capacity of its own storage space, it may make sense to initially take over the logistics yourself. With fewer than 10 shipments per day, it generally makes no sense to outsource logistics. Especially if you are not yet able to estimate your turnover, it can make sense to take over the shipping yourself and gain initial experience. Then you can estimate what effort is really behind the logistics and coordination with the service provider is easier. However, if there is already a major growth plan behind the start-up, outsourcing can also make sense at the beginning.
On the other hand, you save time, energy and money for training your employees, setting up merchandise management processes and do not have to bear fixed costs and investment costs for operating a warehouse. In the food and cosmetics sectors in particular, there are special requirements for logistics that can only be covered by comprehensive certifications such as IFS Logistics.
Step 2: Which IT setup do I use for the connection?
An automated interface must be established to create the connection between the web store and the service provider. Especially in standardized e-commerce, it makes no sense to send manual Excel lists. Therefore, make sure you use a standardized store system such as Shopify, Shopware or Woocommerce, as all common service providers have standardized interfaces to these systems.
It also makes sense to connect marketplaces directly. There is also software that makes it possible to connect marketplaces such as Amazon, Otto or Ebay via a standardized interface. Please contact us and we will develop a customized solution for you.
Step 3: Set up returns management
You must enable your customers to return goods within the statutory withdrawal period of 14 days. The goods may then be returned without giving reasons, as this is a distance selling contract. The important thing is that you as a retailer do not have to bear the costs.
A dedicated returns process must be prepared, especially in communication with the service provider. Should the fabric be folded again? Should technical devices be checked for functionality?
Step 4: Ensure a secure stock level
Outsourcing becomes problematic if you do not have transparent visibility of your logistics. In other words, you do not know exactly what quantity of a particular item is in stock. To avoid this, you should make sure that the service provider has an in-depth merchandise management system and provides its customers with a customer portal. These are generally web-based and offer a transparent view of the warehouse.
RHIEM: Fulfillment at global TOP level
If you consistently transfer your online store logistics to RHIEM, you will be able to concentrate more on your core competencies again!
In addition, logistics is our core competence. Outsourcing therefore leads to a scalable and controllable integrated web store solution, in whose processes only professionals work.
Your customers will love it – that’s a promise!
Outsourcing vs. insourcing – which is right for me?
Would you like to take a closer look at the topic of outsourcing vs. insourcing? Take a look at the other articles in our Infothek. Feel free to make an appointment with us – we will advise you individually, personally and honestly.