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  • 5 Tips for Streamlining Your E-commerce Fulfillment Process

    E-commerce fulfillment can be a complex and time-consuming process, but it's an essential part of running a successful online business. In this post, we'll share 5 tips for streamlining your e-commerce fulfillment process to save time and improve efficiency. 1. Use a fulfillment software to automate and track orders: Investing in a fulfillment software can save you time and reduce the risk of errors by automating many of the tasks involved in processing orders. Look for a software that allows you to track orders from start to finish, including inventory management, shipping, and customer communications. 2. Outsource fulfillment to a third-party provider: If you don't have the resources or infrastructure to handle fulfillment in-house, consider outsourcing the process to a third-party provider. They can handle everything from storage and packaging to shipping, allowing you to focus on other aspects of your business. 3. Optimize your packaging materials: Using the right packaging materials can save you time and money, and it can also improve the customer experience. Consider using lightweight and easy-to-pack materials, and consider using eco-friendly options to appeal to environmentally-conscious customers. 4. Use multiple shipping carriers: Depending on your business and customer base, you may want to consider using multiple shipping carriers to give your customers more options and to find the most cost-effective solution for each order. 5. Use data and analytics to continuously improve: Gathering data on your fulfillment process and using it to identify areas for improvement can help you streamline your fulfillment process over time. Look for trends and patterns in your data, and use this information to make informed decisions about how to optimize your fulfillment process. By following these 5 tips - using a fulfillment software to automate and track orders, outsourcing fulfillment to a third-party provider, optimizing your packaging materials, using multiple shipping carriers, and using data and analytics to continuously improve - you can streamline your e-commerce fulfillment process, save time, reduce costs, and deliver a better customer experience. If you're looking for a partner to help you implement these strategies and take your e-commerce fulfillment to the next level, consider Logistech Solutions. Our comprehensive fulfillment software and experienced team of professionals can handle all aspects of the fulfillment process, from automating and tracking orders, to optimizing packaging materials and choosing the most efficient shipping carriers. We also provide comprehensive reporting and analytics tools to help you track the performance of your fulfillment process and identify areas for improvement. Contact us today at logistech.com to learn more about how we can help your business succeed.

  • Comparing FBA, FBM, and FBM with a Third-Party Fulfillment Provider: What's Right for Your Business?

    As an e-commerce seller, one of the key decisions you'll have to make is how to fulfill your orders. There are several options available, including Fulfillment by Amazon (FBA), Fulfillment by Merchant (FBM), and FBM in conjunction with a third-party fulfillment provider. But which option is the best fit for your business? In this article, we'll compare FBA, FBM, and FBM with a third-party fulfillment provider and help you understand the pros and cons of each option. By the end of this article, you should have a better idea of which fulfillment option is the right choice for your business. What is FBA? FBA, or Fulfillment by Amazon, is a fulfillment option offered by Amazon to sellers on its platform. It allows sellers to store their products in Amazon's fulfillment centers and have Amazon handle the shipping, handling, and customer service for their orders. One of the main benefits of FBA is convenience. Sellers don't have to worry about managing their own fulfillment and customer service processes – they can simply send their products to Amazon and let the company handle the rest. This can be especially appealing for small or new businesses that don't have the resources or infrastructure to handle fulfillment tasks in-house. Another advantage of FBA is fast shipping. Products stored in Amazon's fulfillment centers can be shipped quickly to customers, which can improve customer satisfaction and increase sales. Additionally, products fulfilled by FBA are eligible for Prime shipping, which can increase their visibility and appeal to Prime members. However, there are also some drawbacks to FBA. One of the main drawbacks is cost. FBA can be more expensive than other fulfillment options, FBA fees for storage, fulfillment, and customer service can be more expensive than other fulfillment options. These fees can add up, especially for sellers who have a large inventory or sell products that are bulky or heavy. Another potential drawback of FBA is limited control. Sellers have less control over the fulfillment and customer service process when using FBA, as they are relying on Amazon to handle these tasks. This can be a disadvantage for sellers who want more control over their fulfillment and customer service processes. In addition to the cost and control factors, there are also some eligibility requirements for FBA that sellers should be aware of. To use FBA, sellers must meet certain standards for shipping speed and quantities of items being replenished at Amazons, and they must also meet Amazon's requirements for product packaging and labeling. Sellers who don't meet these requirements may not be eligible to use FBA or may be subject to additional fees. What is FBM? FBM, or Fulfillment by Merchant, is another fulfillment option available to sellers on Amazon. With FBM, sellers are responsible for storing, packing, and shipping their own products, as well as handling customer inquiries and returns. One of the main benefits of FBM is cost. FBM is generally less expensive than FBA, as sellers don't have to pay fees for storage, fulfillment, and customer service to Amazon. This can be a major advantage for sellers who have the space available, limited budget or who sell products that are expensive to store or ship. Another advantage of FBM is control. Sellers have more control over the fulfillment and customer service process when using FBM, as they are responsible for managing these tasks themselves. This can be especially appealing for sellers who want more control over their business operations or who have specific fulfillment and customer service needs. However, there are also some drawbacks to FBM. One of the main drawbacks is time-consuming. Sellers are responsible for managing their own fulfillment and customer service tasks, which can be time-consuming and resource-intensive. This can be a challenge for sellers who don't have the resources or staff to handle these tasks in-house. Another potential drawback of FBM is slower shipping. Products fulfilled by FBM may take longer to ship to customers, which can impact customer satisfaction. This can be especially problematic for sellers who are competing with Amazon or other sellers who are using FBA or other faster fulfillment options. What about FBM with a Third-Party Fulfillment Provider? FBM in conjunction with a third-party fulfillment provider is another fulfillment option available to sellers on Amazon. With this option, sellers are responsible for managing their own customer service tasks, but they can outsource some or all of the fulfillment tasks, such as storage, packing, and shipping, to a company that specializes in these services. One of the main benefits of FBM with a third-party fulfillment provider is cost. Using a third-party fulfillment provider can be more cost-effective than using FBA, as sellers don't have to pay fees for storage, fulfillment, and customer service at the level that Amazon charges. This can be especially appealing for sellers who don't meet the requirements for FBA or who have a large inventory or sell products that are expensive to store or ship. Another advantage of FBM with a third-party fulfillment provider is customization. Third-party fulfillment providers often offer a range of services and can be more flexible and adaptable than FBA. This can be especially beneficial for sellers who have specific fulfillment and customer service needs or who want to tailor their fulfillment process to their business. A third-party fulfillment provider can also offer expertise and support. Many providers have teams of professionals who can help sellers with a variety of tasks, including order management, inventory management, and shipping. This can be a valuable resource for sellers who are new to e-commerce or who are looking for support and guidance. However, there are also some drawbacks to using FBM with a third-party fulfillment provider. One of the main drawbacks is the need to research and choose a reputable and reliable provider. There are many third-party fulfillment providers available, and not all of them offer the same level of quality or value. Sellers need to do their due diligence and choose a provider that meets their needs and budget. Another potential drawback is the need for coordination. Sellers who use a third-party fulfillment provider will need to coordinate with the provider to ensure that orders are fulfilled accurately and on time. This can be a challenge for sellers who are new to outsourcing or who are not familiar with the fulfillment process. Professional 3rd party logistics teams are usually great at their timing and know a ton about the compliance requirements for the most popular businesses to ship to. They are flexible and usually happy to make changes on the fly. One example of a reputable and reliable third-party fulfillment provider is Logistech Solutions. Logistech Solutions is a company that specializes in e-Commerce fulfillment, and it offers a range of services, including customization and adaptability to meet the specific needs of its clients. The company's proprietary fulfillment software allows for efficient and effective fulfillment, and its team of experts is dedicated to providing top-notch customer service. Logistech Solutions can help your business keep up with FBA compliance, fulfill your FBM orders, and can provide stand-alone fulfillment services. This makes the company a versatile and flexible option for sellers who are looking for a fulfillment solution that meets their unique needs as they grow. You can learn more about Logistech Solutions here: logistech.com Conclusion: In conclusion, FBA, FBM, and FBM with a third-party fulfillment provider are all viable options for e-commerce sellers. Each option has its own set of benefits and drawbacks, and the right choice for your business will depend on your specific needs and goals. FBA is a convenient and fast option that can be appealing for small or new businesses, but it can be more expensive than other options. FBM is generally less expensive than FBA, but it can be more time-consuming and may result in slower shipping. FBM with a third-party fulfillment provider can offer cost-effective and customizable solutions, but it requires research and coordination. Logistech Solutions is a quality third-party fulfillment provider that specializes in e-Commerce fulfillment and offers customization and adaptability to meet the needs of its clients. The company's proprietary fulfillment software and team of experts make it a valuable resource for sellers looking for cost-effective and efficient fulfillment solutions. Logistech Solutions can work with FBA, FBM, or as a stand-alone fulfillment provider, making it a versatile and flexible option for sellers. Ultimately, the best fulfillment option for your business will depend on your budget, resources, and goals. By carefully considering your options and evaluating your needs, you can choose the fulfillment solution that is the best fit for your business. By Joshua Cobb, writer, and Assistant, the OpenAI language model, researcher.

  • Did You Ship 100% of Your Black Friday & Cyber Monday Orders On-Time?

    If you have an e-commerce web-store, then I’m hopeful that you had a good kick-off to the holiday shopping season. But were you able to successfully ship everything on time for Black Friday and Cyber Monday orders? If the answer is no, then you should consider outsourcing your fulfillment operations to a fulfillment center that can achieve this obstacle every time. In today’s competitive online retail environment, your customers expect lightning fast processing of their orders and want quick visibility on the parcel carrier’s website. As you know, you have so many other important core activities related to your business. The fulfillment processing can be very time consuming without the right technology and resources. Outsourcing your fulfillment needs will provide you with the technology and resources required to improve customer satisfaction, lower your cost, and provide you with more time to manage core business activities. Logistech Solutions, Inc. is a pioneer in the fulfillment industry that can provide you with these solutions. Contact us today! We are “Where Logistics Meets Technology.” #blackfridayshipping

  • Privacy Policy

    This Privacy Policy describes Our policies and procedures on the collection, use and disclosure of Your information when You use the Service and tells You about Your privacy rights and how the law protects You. We use Your Personal data to provide and improve the Service. By using the Service, You agree to the collection and use of information in accordance with this Privacy Policy. Interpretation and Definitions Interpretation The words of which the initial letter is capitalized have meanings defined under the following conditions. The following definitions shall have the same meaning regardless of whether they appear in singular or in plural. Definitions For the purposes of this Privacy Policy: Account means a unique account created for You to access our Service or parts of our Service. Company (referred to as either "the Company", "We", "Us" or "Our" in this Agreement) refers to Logistech Solutions, Inc, 1800 Quality Drive, Wilson NC 27893. Cookies are small files that are placed on Your computer, mobile device or any other device by a website, containing the details of Your browsing history on that website among its many uses. Country refers to: North Carolina, United States Device means any device that can access the Service such as a computer, a cellphone or a digital tablet. Personal Data is any information that relates to an identified or identifiable individual. Service refers to the Website. Service Provider means any natural or legal person who processes the data on behalf of the Company. It refers to third-party companies or individuals employed by the Company to facilitate the Service, to provide the Service on behalf of the Company, to perform services related to the Service or to assist the Company in analyzing how the Service is used. Third-party Social Media Service refers to any website or any social network website through which a User can log in or create an account to use the Service. Usage Data refers to data collected automatically, either generated by the use of the Service or from the Service infrastructure itself (for example, the duration of a page visit). Website refers to Logistech Solutions, Inc, accessible from https://www.webcommercefulfillment.com/ You means the individual accessing or using the Service, or the company, or other legal entity on behalf of which such individual is accessing or using the Service, as applicable. Collecting and Using Your Personal Data Types of Data Collected Personal Data While using Our Service, We may ask You to provide Us with certain personally identifiable information that can be used to contact or identify You. Personally identifiable information may include, but is not limited to: Email address First name and last name Phone number Address, State, Province, ZIP/Postal code, City Usage Data Usage Data Usage Data is collected automatically when using the Service. Usage Data may include information such as Your Device's Internet Protocol address (e.g. IP address), browser type, browser version, the pages of our Service that You visit, the time and date of Your visit, the time spent on those pages, unique device identifiers and other diagnostic data. When You access the Service by or through a mobile device, We may collect certain information automatically, including, but not limited to, the type of mobile device You use, Your mobile device unique ID, the IP address of Your mobile device, Your mobile operating system, the type of mobile Internet browser You use, unique device identifiers and other diagnostic data. We may also collect information that Your browser sends whenever You visit our Service or when You access the Service by or through a mobile device. Tracking Technologies and Cookies We use Cookies and similar tracking technologies to track the activity on Our Service and store certain information. Tracking technologies used are beacons, tags, and scripts to collect and track information and to improve and analyze Our Service. The technologies We use may include: Cookies or Browser Cookies. A cookie is a small file placed on Your Device. You can instruct Your browser to refuse all Cookies or to indicate when a Cookie is being sent. However, if You do not accept Cookies, You may not be able to use some parts of our Service. Unless you have adjusted Your browser setting so that it will refuse Cookies, our Service may use Cookies. Flash Cookies. Certain features of our Service may use local stored objects (or Flash Cookies) to collect and store information about Your preferences or Your activity on our Service. Flash Cookies are not managed by the same browser settings as those used for Browser Cookies. For more information on how You can delete Flash Cookies, please read "Where can I change the settings for disabling, or deleting local shared objects?" available at https://helpx.adobe.com/flash-player/kb/disable-local-shared-objects-flash.html#main_Where_can_I_change_the_settings_for_disabling__or_deleting_local_shared_objects_ Web Beacons. Certain sections of our Service and our emails may contain small electronic files known as web beacons (also referred to as clear gifs, pixel tags, and single-pixel gifs) that permit the Company, for example, to count users who have visited those pages or opened an email and for other related website statistics (for example, recording the popularity of a certain section and verifying system and server integrity). Cookies can be "Persistent" or "Session" Cookies. Persistent Cookies remain on Your personal computer or mobile device when You go offline, while Session Cookies are deleted as soon as You close Your web browser. You can learn more about cookies here: All About Cookies by TermsFeed. We use both Session and Persistent Cookies for the purposes set out below: Necessary / Essential Cookies Type: Session Cookies Administered by: Us Purpose: These Cookies are essential to provide You with services available through the Website and to enable You to use some of its features. They help to authenticate users and prevent fraudulent use of user accounts. Without these Cookies, the services that You have asked for cannot be provided, and We only use these Cookies to provide You with those services. Cookies Policy / Notice Acceptance Cookies Type: Persistent Cookies Administered by: Us Purpose: These Cookies identify if users have accepted the use of cookies on the Website. Functionality Cookies Type: Persistent Cookies Administered by: Us Purpose: These Cookies allow us to remember choices You make when You use the Website, such as remembering your login details or language preference. The purpose of these Cookies is to provide You with a more personal experience and to avoid You having to re-enter your preferences every time You use the Website. For more information about the cookies we use and your choices regarding cookies, please visit our Cookies Policy or the Cookies section of our Privacy Policy. Use of Your Personal Data The Company may use Personal Data for the following purposes: To provide and maintain our Service, including to monitor the usage of our Service. To manage Your Account: to manage Your registration as a user of the Service. The Personal Data You provide can give You access to different functionalities of the Service that are available to You as a registered user. For the performance of a contract: the development, compliance and undertaking of the purchase contract for the products, items or services You have purchased or of any other contract with Us through the Service. To contact You: To contact You by email, telephone calls, SMS, or other equivalent forms of electronic communication, such as a mobile application's push notifications regarding updates or informative communications related to the functionalities, products or contracted services, including the security updates, when necessary or reasonable for their implementation. To provide You with news, special offers and general information about other goods, services and events which we offer that are similar to those that you have already purchased or enquired about unless You have opted not to receive such information. To manage Your requests: To attend and manage Your requests to Us. For business transfers: We may use Your information to evaluate or conduct a merger, divestiture, restructuring, reorganization, dissolution, or other sale or transfer of some or all of Our assets, whether as a going concern or as part of bankruptcy, liquidation, or similar proceeding, in which Personal Data held by Us about our Service users is among the assets transferred. For other purposes: We may use Your information for other purposes, such as data analysis, identifying usage trends, determining the effectiveness of our promotional campaigns and to evaluate and improve our Service, products, services, marketing and your experience. We may share Your personal information in the following situations: With Service Providers: We may share Your personal information with Service Providers to monitor and analyze the use of our Service, to contact You. For business transfers: We may share or transfer Your personal information in connection with, or during negotiations of, any merger, sale of Company assets, financing, or acquisition of all or a portion of Our business to another company. With Affiliates: We may share Your information with Our affiliates, in which case we will require those affiliates to honor this Privacy Policy. Affiliates include Our parent company and any other subsidiaries, joint venture partners or other companies that We control or that are under common control with Us. With business partners: We may share Your information with Our business partners to offer You certain products, services or promotions. With other users: when You share personal information or otherwise interact in the public areas with other users, such information may be viewed by all users and may be publicly distributed outside. If You interact with other users or register through a Third-Party Social Media Service, Your contacts on the Third-Party Social Media Service may see Your name, profile, pictures and description of Your activity. Similarly, other users will be able to view descriptions of Your activity, communicate with You and view Your profile. With Your consent: We may disclose Your personal information for any other purpose with Your consent. Retention of Your Personal Data The Company will retain Your Personal Data only for as long as is necessary for the purposes set out in this Privacy Policy. We will retain and use Your Personal Data to the extent necessary to comply with our legal obligations (for example, if we are required to retain your data to comply with applicable laws), resolve disputes, and enforce our legal agreements and policies. The Company will also retain Usage Data for internal analysis purposes. Usage Data is generally retained for a shorter period of time, except when this data is used to strengthen the security or to improve the functionality of Our Service, or We are legally obligated to retain this data for longer time periods. Transfer of Your Personal Data Your information, including Personal Data, is processed at the Company's operating offices and in any other places where the parties involved in the processing are located. It means that this information may be transferred to — and maintained on — computers located outside of Your state, province, country or other governmental jurisdiction where the data protection laws may differ than those from Your jurisdiction. Your consent to this Privacy Policy followed by Your submission of such information represents Your agreement to that transfer. The Company will take all steps reasonably necessary to ensure that Your data is treated securely and in accordance with this Privacy Policy and no transfer of Your Personal Data will take place to an organization or a country unless there are adequate controls in place including the security of Your data and other personal information. Disclosure of Your Personal Data Business Transactions If the Company is involved in a merger, acquisition or asset sale, Your Personal Data may be transferred. We will provide notice before Your Personal Data is transferred and becomes subject to a different Privacy Policy. Law enforcement Under certain circumstances, the Company may be required to disclose Your Personal Data if required to do so by law or in response to valid requests by public authorities (e.g. a court or a government agency). Other legal requirements The Company may disclose Your Personal Data in the good faith belief that such action is necessary to: Comply with a legal obligation Protect and defend the rights or property of the Company Prevent or investigate possible wrongdoing in connection with the Service Protect the personal safety of Users of the Service or the public Protect against legal liability Security of Your Personal Data The security of Your Personal Data is important to Us, but remember that no method of transmission over the Internet, or method of electronic storage is 100% secure. While We strive to use commercially acceptable means to protect Your Personal Data, We cannot guarantee its absolute security. Links to Other Websites Our Service may contain links to other websites that are not operated by Us. If You click on a third party link, You will be directed to that third party's site. We strongly advise You to review the Privacy Policy of every site You visit. We have no control over and assume no responsibility for the content, privacy policies or practices of any third party sites or services. Changes to this Privacy Policy We may update Our Privacy Policy from time to time. We will notify You of any changes by posting the new Privacy Policy on this page. We will let You know via email and/or a prominent notice on Our Service, prior to the change becoming effective and update the "Last updated" date at the top of this Privacy Policy. You are advised to review this Privacy Policy periodically for any changes. Changes to this Privacy Policy are effective when they are posted on this page. Contact Us If you have any questions about this Privacy Policy, You can contact us: By email: customerservice@logistech.us

  • UPS, FedEx, and DHL Annual Price Increases

    Please note that UPS, FedEx and DHL will all have price increases soon. UPS has theirs first (in late December) followed by FedEx and DHL (in early January). Visit carrier sites for specific dates and more information.

  • Logistech Solutions, Inc. Launches a New Website Domain

    Logistech Solutions, Inc. launched a newly designed website and new domain, which is www.webcommercefulfillment.com. We encourage both existing and prospective clients to browse the site. The purpose of the new site is to improve the ability for all viewers to quickly understand the services we provide - fulfillment services (B2B and B2C), reverse logistics, inventory management, ecommerce shopping cart integration solutions, discounted shipping services, and much more. Along with the new website Logistech plans to post regular blogs regarding important news in the supply chain industry to keep our customers and prospects well informed. We hope that you all enjoy the new site and find value in the news received through our blog post program!

  • Improve E-Commerce Order Accuracy

    Obviously it's important to provide your customers with the products they desire at a competitive price. But it's equally important to consistently deliver those goods with a high degree of accuracy. You should always promote continuous improvement, but I want to point out some of the most effective ways to improve order accuracy for your e-commerce orders. Product Validation by Barcoding As your orders are packaged they need to be verified for accuracy. Humans make mistakes, and quite often at levels that are unacceptable. If your products are not validated by a barcode scanner, then most likely your error rate is much higher than it could be. If your products are purchased from a distributor, they most likely already have a UPC or an EAN barcode. If you are the manufacturer, you should either devise a unique part numbering system (with barcodes) or register your product with GS1 and receive a UPC/EAN code. Record Product Weights Products obviously weigh the same on the way out to your customers as they do when they arrive at your fulfillment center. Make good use of this by having the technology that allows the comparison of the expected weight and actual weight of an order (after packaging/shipping). The first step to success is to accurately record product weights upon receiving them from your supplier. You may utilize manufacturer specifications or record the weight yourself. If you record weights yourself, make sure you have your scales certified to match the application of your product. Create Weight Exception Rules Setup weight exception rules for all outbound shipments. However, it doesn't make sense to use the same rules for all weight ranges. For example, it may be okay for a 20 lb package to have a variance of 1 lb (or 5%). However, 5% of a 14 oz package is only 0.7 oz. Lighter weight packages are better suited with a higher weight variance allowance. Investigating Exceptions Once exception rules are in place, it's important to make sure that the person performing the weight error inspections knows that every package must be inspected thoroughly. A quick decision to allow a package through the check point could result in a customer receiving the wrong item(s). The exceptions process will catch other problems that deserve attention as well. For example, it may discover that an item weight was recorded incorrectly upon receiving it. Or, it could reveal the fact that an order was packed with too many units - this happens very easily with small products that have inner packs from the manufacturer. Settle for Nothing Less These are some of the most effective methods used by Logistech Solutions, Inc. to improve order accuracy. If your current process or fulfillment center isn't providing an acceptable measure of quality, please contact us for a free price quote! #orderaccuracy

  • Storage Fees - by Pallet Count or Product Volume?

    If you’re interested in outsourcing your e-commerce fulfillment, then I’m sure you have researched the typical price points – order fee, item fee, shipping costs, and storage fees. Of course, it’s best that you have an apples-to-apples comparison when you evaluate pricing from various vendors. But what about when one pricing model charges storage by product volume and the other model charges storage by the number of pallets? I’m going to explain why pallet storage pricing does not work well for e-commerce fulfillment needs. Pallet Storage Pricing Fulfillment centers that charge storage by pallet typically charge a fixed rate ($8.00 - $15.00 per month), but what size pallet? There doesn’t seem to be a standard defined, which makes it impossible to compare price models. I work in the industry and have some understanding of how warehouses have pallet storage racks configured, so I will assume a standard pallet has dimensions of 48” L x 40” W x 48” H. Now that we have a standard pallet size and a rate, we can attempt to calculate our storage cost. Or can we? The answer is no. What if we have 50 different items stored on pallets, and not one pallet is a full pallet of a unique item? Will the fulfillment provider allow multiple items on the same pallet? If so, how many items are allowed per pallet? The answer to these questions are difficult to find. If you do find them, the policy may be different from one fulfillment provider to the next. So that we can move on with our pallet storage pricing option, let’s assume the fulfillment center will store two products per pallet. Now we can make the following calculation: 50 products / 2 per location = 25 pallets 25 pallets x $12.00 per pallet per month = $300.00 As you can see, the number of pallets you will be billed really depends on your product mix and what the fulfillment provider allows from a storage perspective. Another consideration is inventory turnover. If you are efficient at managing your inventory such that inventory cycles quickly (in less than a month), do you get charged a full month of storage? Some price models have you pay for an entire monthly rate of storage for a pallet regardless of actual time stored. Others charge an average – beginning pallet count plus ending pallet count divided by two. This is yet another complication of determining your cost for pallet storage. One more consideration with pallet storage pricing is trust of data. Your inventory volumes may be dynamic due to peak seasons or a large size of the product. This means you may have some products where you may need just ½ of a pallet of product and others where you may need multiple pallets or dozens of pallets. It will be very difficult to reconcile and confirm that you are being fairly billed for your storage. This of course takes time, and your time is better served managing your core business – marketing and selling your products. Volume Storage Pricing Fulfillment centers that charge storage by volume typically charge between $0.25 and $0.60 per cubic foot per month. Some fulfillment centers charge a premium for storage during peak seasons such as November through December due to holiday volume. The charges are usually based on exact daily volume on hand. This pricing model is much easier to understand and calculate. Let’s analyze a sample calculation of the first three days of a billing cycle of one product. I have converted the product size to cubic feet and calculated the effective daily rate by dividing the monthly rate of $0.45 per cubic foot by 30 days ($0.45/30 = $0.015): As you can see, each day of the billing cycle reflects the total cubic volume of the product stored. This type calculation is done on each item in inventory. You will be charged for the total daily cost of every item’s respective inventory balance. This is a much easier pricing method to understand and provides 100% transparency and no reason to distrust your fulfillment vendor. It also doesn’t take lots of time to make sure you were not over charged for storage. In the end, if you need fulfillment service for your ecommerce business, then it’s best to compare pricing with vendors that charge storage by volume rather than by pallet. It will be much easier to compare price proposals. Also, once you choose a fulfillment provider, you’ll have the peace of mind knowing that you can easily reconcile your storage billing charges. #storage

  • 5 Reasons to Outsource Your Ecommerce Fulfillment

    If you sell products online, then you'll need to have your orders picked, packed, and shipped to your customers. This seems like a simple task, but to do it efficiently and effectively can be quite involved, risky, and costly. I'm going to point out a few things that perhaps you haven't considered while thinking of handling your own fulfillment/distribution. Scalability The biggest consideration should be the ability to scale the operation to allow growth potential. If you start out with just a few dozen orders per week, but grow to a few hundred orders per week, it's obvious your facility needs will be much different as time goes on. Once you take a step into leasing space to handle your operation, you'll likely be locked into to an agreement for an extended period. If you get a facility too large, you're wasting money. If you get a smaller facility, you may outgrow it quickly. Outsourcing your fulfillment rids you of this burden altogether. If you utilize a professional fulfillment provider, they will already have space available, and you'll only pay for the space you use (see Storage by Pallet or Volume - November 2017). Technology Most shopping cart technology, which you likely have, already provides some level of order management. However, it does nothing to help with managing inventory. This means you'll have to invest in an inventory system, or WMS - Warehouse Management System. These systems don't come cheap. Prepare to spend tens of thousands or even hundreds of thousands up front, plus monthly fees. You'll need a robust system that helps track inbound inventory, returns from clients, various storage types (pallets, bins, shelves, etc.), movement between storage locations, efficient pick sequencing (which lowers your cost per unit), and the list goes on and on. If you outsource to the right company, all of these concerns go away. Professional fulfillment service companies provide all of these services as part of being a customer. Some charge a monthly account fee, but others do not. Either way, your products will be managed by a much better solution that costs much less. Receive Deeper Shipping Discounts If you setup your own operation, you may start out with low order volumes, which in turn relates to relatively low shipping volume. Parcel carriers like UPS and FedEx are not going to extend very deep discounts to low volume shippers. Unless your web-store is producing lots of orders, let's say 1,000 per week, you are almost guaranteed to get much better discounts on shipping through an outsourced fulfillment provider. With outsourcing you can expect discounts of 12% or better for ground transportation and up to 50% on air services. For international services, the discounts could be even higher. Managing Supplies If you run your own operation, then you'll have to manage your own inventory of shipping supplies. If you have a dynamic product line, then you'll need a variety of packaging solutions. Having the right amount in stock of each packaging component is just as important as normal inventory. Outsourcing relieves you of this burden as well. Although you'll lose the option of branding boxes with your logo, your packages will be protected by generic packaging used by all other clients of the fulfillment provider. Some fulfillment providers include the packaging cost with their normal processing cost, others charge as they are used on an order basis. Either way, you won't have to manage supplies inventory. Satisfaction Guarantees A fulfillment provider that stands behind their service will offer a guarantee for their services. This means they are so confident in their processes that they are willing to refund processing and shipping charges for orders that suffered a pack error. If you manage your own operation, you or your management team must focus on continuous improvement to reduce the risk of errors and eat the cost of actual errors produced by your operation. In summary, it's always best to outsource things that aren't part of your core business. Your time is better spent focused on the things that are the most productive for your ecommerce business - marketing your business and increasing sales. #outsourcing

  • New UPS Peak Surcharge -

    Please be aware of a new peak surcharge being imposed by UPS for the 2017 holiday season. It was originally announced back in June of this year, I thought it would be a great time to bring attention to the topic once more since surcharges begin this week according to UPS. The surcharge will happen during two key peak periods. The first will occur this week - 11/19/17 until 12/2/17 for packages shipped via UPS Ground. The second period will be from 12/17/17 until 12/23/17. The second period will not only include UPS Ground - it will also include many express (air) services. The surcharge is dependent on the service type. See the table below and visit the UPS press room page link below for more details. https://www.pressroom.ups.com/pressroom/ContentDetailsViewer.page?ConceptType=PressReleases&id=1497873904827-900

  • Attn Ecommerce Merchants!

    See how Logistech Solutions, Inc. is helping this entrepreneur sell online with sales channels besides Amazon. It's mentioned around 5:20, but the entire video is useful knowledge for any ecommerce entrepreneur... https://www.youtube.com/watch?v=hBDfccl9nyQ

  • Logistech Solutions, Inc. Launches Economy Ground Options

    With an increasing amount of commerce happening online, it's becoming important to have the most economic shipping options available when needed. That's why Logistech Solutions, Inc. is implementing two new economy ground services that will allow "etailers" to "hang" with the likes of Amazon and Walmart and not be undersold because of expensive shipping costs. Logistech already offers great shipping rates to eCommerce fulfillment clients for UPS ground and air services. But the new economy services that are being launched, UPS Surepost and UPS Mail Innovations, will offer clients the option to lower cost even more. Some shipments destined for the lower 48 U.S. will be nearly HALF, that's right, HALF the cost of UPS Ground or USPS Priority Mail. Now that's savings folks! Although the savings opportunity is great, the new economy ground services have slower transit times compared to UPS Ground (1-5 days) and USPS Priority Mail (1-3 days). UPS Surepost has no guaranteed transit time (unlike normal UPS Ground) and is one day slower than normal UPS Ground. UPS Mail Innovations is even slower at 5-8 days transit, and it also has no guaranteed transit time. Logistech plans to launch both of these economy ground services this month. If you're looking for a lower total cost option to get your products to your customers, then these new economy options are perfect for your business. Contact Logistech today to learn more about how save on shipping and fulfillment costs! #shipping #saveonshipping

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