Wal-Mart’s acquisition of Jet.com has upped the stakes significantly in the e-commerce world, particularly when it comes to the battle to dominate the highly lucrative US market. Smaller e-commerce businesses still stand a chance, but only if they focus on their logistics efficiency.
Having a unique selling point and clever marketing will go a long way, but they can’t make up for poor logistics. You might attract a lot of customers to your site, but if your shipping costs are too high, you’ll end up with a lot of abandoned shopping carts on your site.
It’s Usually Best To Leave Logistics To The Experts
A third-party logistics company can help smaller businesses get this crucial aspect right. Unless you happen to be a shipping expert yourself, this is a good move that will free you up to focus on other ways of growing your business.
Many logistics companies offer flexible pricing that can help you save money during off-peak seasons. In addition, it helps you avoid having to set up a dedicated team and add more people to your payroll. The logistics company will be in charge of finding people to manage shipping operations, and they’ll also be the ones to make the necessary adjustments when business is slower.
Another area in which third-party logistics companies can prove valuable is when it comes to dealing with returns because of warranty problems or customer dissatisfaction.
A lot goes into getting the process of e-commerce logistics just right, and many companies find that outsourcing this task to experts can help them save a lot of money in the long run. After all, what business owner wants to spend time sorting out returns when they could be finding new niches to explore or coming up with clever marketing ideas?
This blog post was based off an article from Cerasis. View the original here.