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edwardnickerson

Order Fulfillment Technology

edwardnickerson · February 6, 2024 ·

Warehouse Distribution Technology Trends

In the world of ecommerce, order fulfillment technology is not just about enhancing efficiency; it’s about transforming industries. For businesses that fail to keep pace, the risk of obsolescence is real. Here’s a look at the warehouse distribution technologies set to make significant impacts in 2024.

Robot Technology in Order Fulfillment

The era of relying solely on manual labor and dealing with its associated errors is fading. Today’s fulfillment centers are increasingly using robots and artificial intelligence (AI) for tasks such as item picking and inventory management. A study by MHI and Deloitte in 2023 showed that 80% of respondents viewed robotics and automation as key competitive differentiators in the coming five years. These order fulfillment technologies not only streamline operations but also drastically reduce costs, aiding businesses in achieving higher profitability.

Augmented Reality (AR) in Warehousing

Augmented Reality is reshaping warehouse operations by enabling staff to quickly locate products and identify potential issues using AR glasses. This order fulfillment technology significantly boosts efficiency and safety while simplifying inventory management. DHL’s trials with AR smart glasses showed a 25% increase in picking efficiency and halved the time required for onboarding and training.

3D Printing for Customized Production

3D printing empowers businesses to produce items on-demand. This caters to individual customer preferences and eliminating the need for extensive inventory storage. A PwC study found that over 66% of manufacturers are already incorporating 3D printing, with adoption expected to rise by 2025. This shift promises lower production costs and more eco-friendly manufacturing processes.

Data-Driven Insights in Order Fulfillment Technology

In the digital age, using data is crucial for gaining a competitive edge. Big data analytics provides businesses with critical insights into operations, inventory management, and consumer behavior. According to McKinsey, data-driven organizations are 23 times more likely to acquire new customers, six times as likely to retain those customers, and maintain profitability over the customer lifecycle.

These innovations are not just enhancements; they represent a leap forward in how ecommerce businesses manage warehousing and fulfillment, offering opportunities for efficiency, customization, and growth.

Fulfillment Warehouse Partnership Perks

edwardnickerson · February 6, 2024 ·

Enhancing Ecommerce Operations with a Fulfillment Warehouse

Streamlining the supply chain for your ecommerce business, can be effectively achieved by partnering with a third-party ecommerce prep center. Partnerships like this offer management of ecommerce logistics, warehousing, inventory management, order fulfillment, and beyond, all through a single service provider.

Below are key advantages of daily order fulfillment at an ecommerce warehouse.

Seamless Ecommerce Integration with Fulfillment Warehouse

A veteran ecommerce prep center will offer direct integration with major ecommerce platforms, such as Shopify or BigCommerce. These integrations transfer order details to the fulfillment center’s staff for efficient picking, packing, and shipping. This integration achieves real-time synchronization of inventory counts between the ecommerce warehouse and your online storefront.

Simplified Operations on Major Online Marketplaces

Beyond ecommerce site integrations, certain fulfillment warehouses also offer connectivity with major online marketplaces. A majority of sellers utilize platforms like Amazon, eBay, and Walmart. And a good prep center will streamline order and inventory management across multiple sales channels through a unified platform.

Real-Time Order Tracking from a Fulfillment Warehouse

After shipping an order, 3PLs provide tracking information that is automatically updated in your ecommerce platform and shared with the customer. This ensures clarity and enhances customer satisfaction from purchase to delivery. Happy customers are repeat customers. Repeat customers tend to leave good reviews. Don’t miss on the basics here to deliver an experience in addition to a product.

Efficient Inventory Management

By handling the storage and prep of your products, a fulfillment warehouse significantly reduces the complexity of inventory management on your part. First, this includes monitoring stock levels. Second, it manages reorders and restocking. Looking forward it predicts future demand, supported by advanced inventory management software to identify inventory trends. This helps sellers find tune the amount of inventory they have on hand at any given point in time, cutting the fat in expenses related to long term storage. Afterall, most ecommerce prep centers want goods moving in and out – not stuck in pallet racks.

Scalability to Support Growth in a Fulfillment Warehouse

As your business expands and order volumes increase, the need for additional storage space becomes urgent. A fulfillment warehouse partnership guarantees the scalability required to accommodate this growth. How? These kinds of partnerships will boost access to physical space and shipping capacity. You can effectively move more shipments in, secure cheaper storage, and pump more orders out – all without increasing your costs.

Accelerated Order Fulfillment

Using a daily team of pick and packers is a must for daily order prep. This gives you competitive delivery times after orders come in. Same-day order prep at a fulfillment warehouse ensures that no customer is ever left waiting more than a couple days for delivery. Larger ecommerce warehouse companies will have several locations. By shipping across country and staging inventory closer to a wider customer base, you can reduce shipping distances and zones. In turn, this enables a quicker and cheaper delivery option. Every

Ecommerce Warehouse – 4 Advantages of using a Warehouse

edwardnickerson · February 5, 2024 ·

Warehousing presents numerous advantages for ecommerce businesses, regardless of their size. Here are four key benefits of opting for warehousing solutions for your ecommerce brand’s needs.

Accelerated Delivery Times from Ecommerce Warehouses

The “Amazon Prime Effect” created a cultural expectation that goods need to be delivered within 48 hours. In fact, the warehousing advantages of splitting inventory across multiple fulfillment centers nationwide enhance your delivery efficiency. This approach brings your products closer to a broader customer base, reducing the time and expenses associated with fulfilling online orders. In other words, save on delivery times by using a fulfillment team – like Momentum Warehousing.

Product Storage at an Ecommerce Warehouse

Warehouses are specifically designed for efficient product storage, unlike makeshift areas like living rooms or garages. Utilizing ecommerce warehousing solutions can lead to better inventory management. In turn, this minimizes the likelihood of misplacing product and ensures accurate inventory tracking.

A robust warrehouse management system can further streamline inventory management and restocking times. The warehouse advantage is clear here – clean up your house and any headaches in storing products at home. Ship them to a team ready to process product requests at your convience.

Reduced Operational Stress at Home

The adoption of ecommerce warehousing solutions extends beyond mere storage. It alleviates the burden of managing numerous warehousing tasks from your home. For example, if your garage is your storage center, your living room your prep center, and your kitchen the break area – where can you go to actually rest and recover? It’s important to know when your business is taking a toll on your mentla health.

The peace of mind that comes from knowing your inventory is properly managed and stored can significantly reduce operational stress. Not to mention, reclaiming personal space, such as your garage, can be an added warehouse advantage. Afterall, you got into this game because you wanted more control over your life right? Well Momentum Warehousing can help – with ecommerce experts ready to receive, store and ship your ecommerce goods.

Valuable Time Savings

Time is a critical asset for ecommerce entrepreneurs. Shifting away from the time-consuming tasks associated with at home order prep allows business owners to dedicate more effort towards expansion and other growth-focused activities. Often, the time saved by leveraging warehousing advantages can counterbalance the associated costs, embodying the principle that time indeed equates to money. Stop counting inventory, stop prepping orders, stop working in the business everyday. Reach out to Momentum Warehousing, and let us do that. This frees you to work on your business and scale its success.

Ecommerce Warehouse Advantages Concluded

By integrating a warehousing partner into your brand, your ecommerce businesses can optimize its operations, improve customer satisfaction, and pave the way for sustained growth and success. So do your brand a favor and connect with the ecommerce experts at Momentum Warehousing today.

Ecommerce Storage Tips – 4 Key Strategies to Profitability

edwardnickerson · February 5, 2024 ·

Let’s explore ecommerce storage tips to optimize your product storage strategy, from small units to expansive warehouses, and enhance both efficiency and profitability.

1. Implement Inventory Management Software

  • Maximizing your product storage strategy isn’t just about expanding space; it’s crucial to organize efficiently. Employing inventory management software before outgrowing your current space is vital. This tool enables eCommerce businesses to:
  • Monitor stock levels to prevent shortages
  • Manage purchase orders and invoices
  • Generate insightful reports on sales trends

This comprehensive oversight is crucial, particularly when managing inventory across multiple locations, from spare rooms to several warehouses, ensuring a thorough understanding of your stock. If you need outside here help, just remember – at Momentum Warehousing – we offer best in class inventory management for your ecommerce storage.

2. First-In First-Out (FIFO) as an Ecommerce Storage Tip

Particularly important for perishable goods, the FIFO method ensures the oldest inventory sells first, preventing the shipment of expired or spoiled products. This involves tagging incoming items with dates, both physically and within your inventory system, prioritizing older items over newer stock. This approach minimizes waste and lost revenue by ensuring products remain fresh and sellable.

These ecommerce storage tips also applies to products who’ve undergone updates to packaging, promotions, and product design. You’ll want your old old out, to make way for the new new. What that really means, is if you are attempting to launch a campaign for a revamp of your product, or have new marketing materials built into fresh products – you’ll want the old products out first.

3. Product Storage Strategy – Open Your Own Warehouse

This ecommerce storage tip applies to the old school brick and motor sellers who have a large in-house footprint. Here’s how it works. But here’s why it works too – expanding to additional fulfillment centers in areas with high demand can reduce shipping times and costs. In turn, this enhances customer satisfaction. Analyze your shipping data to identify regions where opening new facilities could provide the most significant benefit. For instance, a business based in Portland, Oregon, might open a warehouse in Texas or the East Coast to ensure quicker delivery times across the U.S.. That will ensure consumer expectations are met and encourage repeat business.

If this task it too much to take on – no worries – we’ve already done it for you! Contact Momentum Warehousing’s team for ecommerce storage support today.

4. Leverage Third-Party Fulfillment Services

But for the smaller, mid-sized ecommerce operations – you could consider the storage tip of use third-party logistics services. These partners provide the necessary space and handle the picking, packing, and shipping of orders. While outsourcing reduces some control and incurs fees, it parallels the initial transition to larger storage solutions but without the substantial costs and complexities of managing a new facility. This option offers the benefits of expansion while mitigating financial and operational challenges. Here’s a short list of 3PL warehouses – but if you want to work owner-to-owner; feel free to connect with Momentum Warehousing directly for immediate support.

Ecommerce Storage Tips Concluded

By applying these ecommerce storage tips, eCommerce businesses can significantly improve their storage efficiency and profitability, navigating growth challenges with smarter, scalable solutions. Momentum Warehousing offers these solutions in a convient platform designed to boost your product storage strategy.

Drone Delivery & Last Mile Logistics for Amazon and Walmart

edwardnickerson · February 5, 2024 ·

In 2013, Jeff Bezos predicted that Amazon would make drone delivery a regular occurrence within four to five years, solidifying the company’s placement as an innovator in the retail sector. As using drones became prevalent throughout other markets, Amazon was seen as the standard bearer for drone development and last mile logistics innovation.

Drone skeptics predicted numerous obstacles to conquer to earn the blessing of governments and society. The notion of unmanned aerial cars crisscrossing cities with customer bundles leaves many with an alien taste in their mouth. All the same, it appeared that if any type of firm could successfully bring the concept of drone delivery to industrial fulfillment, it would be Amazon. Afterall, for the past decade they’ve been on the forefront of innovating ecommerce distribution for the last decade. 

Drone Delivery – Clear for Take Off by the US Government

In 2020, the United States Federal Aeronautics Administration gave Amazon the authorization needed to run a fleet of distribution drones. Yet as we enter 2024, years after Bezos exposed his vision, Walmart, not Amazon, has actually made the most successful venture into the brave brand-new world of airborne door-to-door transport.

Walmart Leading in Drone Delivery Application

Despite Amazon’s Prime Air division’s limited progress, Walmart has successfully completed 6,000 areal deliveries in the United States this year.

Walmart outsources its drone delivery operations to three partner companies, Zipline, DroneUp, and Flytrex.  Alternatively, Amazon manages its drone deliveries in-house. These Walmart partners operate from 36 areal delivery hubs located at Walmart stores in seven US states, delivering packages on Walmart’s behalf.

Walmart’s Future in Last Mile Logistics

Walmart’s gone on record, declaring that they intend to target 1,000,000 drone deliveries per year. In addition, they are targeting customers within 1.6 kilometers of a store containing a launch site. Up to 20,00 items will be available for purchase. And here’s the kicker – they want delivered times dialed down to 30 minutes of placing an order. 

Amazon’s Drone Delivery in 2024

So – can Walmart surpass Amazon’s standing as the leader in retail delivery? It would be impractical to discount Amazon out. But this new delivery mode will certainly disrupt the current balance of power in last mile logistics between the two companies. 

Don’t count Amazon out, just yet. This last November, the company showcased a cutting-edge drone that outperforms its predecessor and is set to enter service here in 2024. However, Amazon does not seem rushed to pre-maturely launch a nation-wide drone delivery program. In fact, Amazon recently cut costs, including layoffs and reduced investment in innovative technologies, such as drone delivery. As a result, this may give Walmart an opportunity to take the lead in last-mile delivery via its partnership strategy.

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