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The logistics apparatus is a critically important aspect for any e-commerce company. It is what makes the difference <\/p>\n","protected":false},"author":2,"featured_media":18398,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[297,301],"tags":[],"class_list":["post-18493","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-fulfillment-e-commerce-en","category-shipping-and-marketing"],"acf":{"content_generator":[{"acf_fc_layout":"single_text_title","single_text_title_tag":"h2","content":"The growth of the e-commerce industry has made the logistics process of getting orders to customers more complex. Also because of the Covid-19 pandemic that has impacted entire e-commerce supply chains. <\/span>\r\n\r\nOne thing, however, remains constant in these times: consumers do not like to wait.<\/span>\r\n\r\nAt a time when people are increasingly choosing online over the physical store, shipping speed can play a decisive role on whether they choose to buy from an e-commerce store or its competitor.<\/span>\r\n\r\nBut the logistics infrastructure required for an e-commerce business to meet consumer demands is not easy to implement on your own. How do you put your brand in a position to offer fast shipping without time, resources, and the investment in multiple warehouses? <\/span>\r\n\r\nIn this article, we will go into the details of how e-commerce logistics works, how it differs from the logistics of a traditional store, and how to offer the best shipping options.<\/span>","anchor_id":""},{"acf_fc_layout":"single_text_block","content":"WHAT IS E-COMMERCE LOGISTICS?","anchor_id":""},{"acf_fc_layout":"single_text_title","single_text_title_tag":"h2","content":"The definition logistics for e-commerce refers to the processes involved in storing and shipping inventory for an online store or marketplace, including inventory management and picking ,packing and shipping orders.<\/span>\r\n\r\nE-commerce logistics begins with moving inventory from the manufacturer and lasts until it reaches the end customer's destination.<\/span>\r\n\r\nDigital fulfillment is one of the most critical pieces of e-commerce logistics, which includes:<\/span>\r\n
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- Inventory management<\/span><\/li>\r\n \t
- Warehousing and storage<\/span><\/li>\r\n \t
- The fulfillment of orders, or the collection, packing, and shipping of orders<\/span><\/li>\r\n<\/ul>\r\nEach of these components is itself very complex, and keeping them all together smoothly is no small task. If you decide to outsource fulfillment<\/a>, the 3PL<\/a> partner you choose must be reliable and capable of fulfilling orders, even during peak and vacation periods. <\/span>\r\n\r\nAny lack of communication or execution within the supply chain can negatively impact the customer experience.<\/span>","anchor_id":""},{"acf_fc_layout":"single_text_block","content":"THE LOGISTICS CHALLENGE FOR ITALIAN E-COMMERCE","anchor_id":""},{"acf_fc_layout":"single_text_block","content":"As mentioned earlier, the management of the logistics apparatus is a critically important aspect for any e-commerce company. It is what makes the difference in customer satisfaction and is, therefore, a <\/span>driver<\/span><\/i> key to business success. Therefore, it cannot be neglected, ever, at any time and at any step. <\/span>\r\n\r\nOne of the biggest challenges facing Italian e-commerce today is precisely this, namely having a distribution system that is as organized, fast, efficient, rational, optimized and, above all, in step with the times as possible. The online consumer, in fact, expects ever newer and faster options for delivery and pickup of products and reliable and modern tracking and reporting solutions. <\/span>","anchor_id":""},{"acf_fc_layout":"single_text_title","single_text_title_tag":"h2","content":"THE MODERN SUPPLY CHAIN: THE 5 FUNDAMENTAL FACTORS","anchor_id":""},{"acf_fc_layout":"single_text_block","content":"Looking back 30-40 years ago, there was a relatively straight line between suppliers and retailers. Since e-commerce has grown and become a worldwide channel, inbound and outbound logistics processes are much more complex. There are now more moving parts and middlemen helping to ensure that products reach customers. <\/span>\r\n
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- Suppliers<\/b><\/span><\/li>\r\n<\/ol>\r\nSuppliers or manufacturers are those who have inventory ready to ship to a business destination. They produce products and ship them to fulfillment or logistics centers once a purchase order has been placed. <\/span>\r\n
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- Fulfillment centers<\/b><\/span><\/li>\r\n<\/ol>\r\nFulfillment centers are the large warehouses that hold inventory close to the end consumer, so each order is picked, packed, and shipped as soon as it is placed to ensure quick delivery. Fulfillment centers can be owned or leased by an e-commerce company, or by a third-party logistics service provider (3PL), which is a professional retail fulfillment company that performs services for many brands. <\/span>\r\n
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- Distribution hub<\/b><\/span><\/li>\r\n<\/ol>\r\nLarge e-commerce retailers have their products in multiple locations in their country or around the world for both direct-to-consumer (DTC) and B2B orders. Rather than keeping all inventory in one location, which can lead to longer lead times and higher shipping costs, splitting inventory allows for faster shipping of DTC orders. <\/span>\r\n\r\nYou may choose to use a separate structure for B2B e-commerce orders, which require different fulfillment processes than DTC orders. Differences include packaging requirements, e-commerce storage needs, and final shipping destinations and customer types. <\/span>\r\n
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- Sorting facilities<\/b><\/span><\/li>\r\n<\/ol>\r\nFacilities that sort items are usually for large-scale e-commerce stores that move large quantities of many SKUs.<\/span>\r\n
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- Couriers<\/b><\/span><\/li>\r\n<\/ol>\r\nShipping carriers handle the transportation of products to their destination. The most common Italian carriers are FedEx, Bartolini, UPS, and DHL, and they typically transport packages via trucks and airplanes. <\/span>","anchor_id":""},{"acf_fc_layout":"single_text_title","single_text_title_tag":"h2","content":"DIFFERENCE BETWEEN E-COMMERCE LOGISTICS AND TRADITIONAL LOGISTICS","anchor_id":""},{"acf_fc_layout":"single_text_block","content":"E-commerce logistics and physical store logistics differ in a few ways. While e-commerce logistics focuses on getting products to the customer's home, traditional logistics focuses on getting products to stores. <\/span>\r\n\r\nProfound changes in traditional distribution methods have transformed multiple areas of logistics, highlighting the differences between the traditional and modern models. Let's see them schematized in the table below <\/span>\r\n
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\r\n <\/td>\r\n Traditional Logistics<\/b><\/span><\/td>\r\n E-commerce Logistics<\/b><\/span><\/td>\r\n<\/tr>\r\n \r\n Type of order\/submission<\/b><\/td>\r\n Work is done with large and full loads. Consolidation of goods takes place. <\/span><\/td>\r\n Small packages, crates, and parcels predominate<\/span><\/td>\r\n<\/tr>\r\n \r\n Customer<\/b><\/td>\r\n The company has an accurate sketch of its customer. Trustworthy. <\/span><\/td>\r\n The company does not know its customer. Difficult to retain. <\/span><\/td>\r\n<\/tr>\r\n \r\n Flow of goods<\/b><\/td>\r\n Regular.<\/span><\/td>\r\n Irregular and complex.<\/span><\/td>\r\n<\/tr>\r\n \r\n Type of trade exchange<\/b><\/td>\r\n B2B. The exchange takes place mainly with other companies or retailers <\/span><\/td>\r\n B2C, although there may be cases of B2B e-commerce.<\/span><\/td>\r\n<\/tr>\r\n \r\n Question<\/b><\/td>\r\n Stable and predictable.<\/span><\/td>\r\n Fluctuating and difficult to predict<\/span><\/td>\r\n<\/tr>\r\n<\/tbody>\r\n<\/table>\r\n \r\n\r\nHowever, the two models do not necessarily have to be isolated from each other; they can coexist, especially within an omnichannel model.<\/span>","anchor_id":""},{"acf_fc_layout":"single_text_title","single_text_title_tag":"h2","content":"WHAT DOES IT TAKE TO EXCEL IN E-COMMERCE LOGISTICS?","anchor_id":""},{"acf_fc_layout":"single_text_block","content":"To excel in e-commerce logistics, you need to focus on supply chain efficiency. This incorporates a mix of technology, resources and best practices designed to help you scale your growing business. <\/span><\/b>\r\n \r\n \t
- Inventory management software<\/b><\/span><\/li>\r\n<\/ul>\r\nInventory management requires rigorous reporting and a real-time view of quantities between SKUs and locations. Instead of static manual options such as inventory sheet templates or spreadsheets, it would make sense to use software designed for e-commerce logistics processes. <\/span>\r\n
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- Warehouse management systems<\/b><\/span><\/li>\r\n<\/ul>\r\nIf you run your own warehouse and all components of e-commerce logistics, you will need a warehouse management system (WMS). These systems are used to track the performance of the warehouse and provide valuable information to improve its processes. <\/span>\r\n
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- Reports and insights<\/b><\/span><\/li>\r\n<\/ul>\r\nAre orders delivered on time? What is the cost per order? What would be the shipping costs if you went from one fulfillment<\/a> center to two (or two to three, and so on)? <\/span>\r\n\r\nWith the right reporting technology, you can automatically gain valuable insights into e-commerce logistics systems to see how you can create a lean supply chain and save costs where needed.<\/span>","anchor_id":""},{"acf_fc_layout":"single_text_title","single_text_title_tag":"h2","content":"THE IMPORTANCE OF HAVING THE RIGHT PARTNER FOR E-COMMERCE LOGISTICS","anchor_id":""},{"acf_fc_layout":"single_text_block","content":"Partnering with the right 3PL<\/a> can be key to the success of your business. The goal is to find an ecommerce logistics partner who can help maximize profits as an ecommerce by optimizing the supply chain. <\/span>\r\n\r\nThe right partner can provide the following:<\/span>\r\n