E-commerce order fulfillment is defined as the steps involved in receiving, processing and delivery of goods that were ordered online up to the point where the delivery person hands over the package to the customer.
The process of receiving is the process wherein the e-commerce retailer sends (via air, land, or sea) its merchandise to the fulfillment provider’s warehouse to be received, counted, and documented using inventory management systems.
Once an end-user processes an order online, the fulfillment provider will conduct a picking and packing process based on the order which also includes labeling parcels with instructions and the address of the end user.
The next step in e-commerce order fulfillment is shipping. Shipping is conducted by third party logistics partners (also called 3PLs). They liaise with fulfillment providers, working to keep the shipping costs down while ensuring quality service.
What is e-commerce storage?
When we talk about e-commerce, storage can mean a lot of things. It could mean your living room, your garage, your basement, a building, or a warehouse. Any physical location that can hold your inventory or the goods you sell in your e-commerce business can be classified as a storage space.
Most e-retailers start their business small and operate from home, storing their inventory at home in shelves and boxes. At this stage, they often secure their inventory and perform fulfillment and shipping all by themselves. However, as their businesses grow, e-retailers find themselves buried in boxes.
Soon enough, e-retailers realize that, as their e-commerce business scales up, so must their storage solutions. This is where they partner with a 3PL or third party logistics provider. Using a 3PL makes it easier to scale their business, allowing their business to grow as their orders grow. Partnering with 3PLs provides e-retailers with storage spaces that can be scaled up or down depending on real-time business requirements. 3PLs offer storage spaces (also known as fulfillment centers or distribution centers) equipped with inventory tracking systems, order management systems, and staff who are trained to help e-retailers with the most tedious part of e-commerce business—order fulfillment.
E-commerce stores have become more and more popular among people looking to buy and sell products without having to leave their homes. It offers safety and convenience to everyone, and at the same time, complies with the government regulations on quarantine during the COVID-19 pandemic, during which everyone is strongly advised to stay at home.
Fortunately, the pandemic has happened during a period of time where e-commerce is already popular. Access to the internet, while not totally universal, has increased a great deal in recent years, and many people already use e-commerce stores. Online sales was also made possible through the existence of popular applications and different platforms. Every person on the planet who owns a modern cellular phone that has a data or internet connection can perform online sales. This means that the technology needed for remote shopping is already in place.
E-commerce retailers have a reason to smile as online sales volume and profit make an upward trend in the online sales charts. However, there is some uncertainty for retailers because the market changed a great deal in a short space of time. Concerns about increase in manpower, increase in warehouse space, and an increase in volume of goods to transport and deliver all add up to an increase in order fulfillment cost.
OTTO Fulfillment provides a solution to this issue.
Otto Fulfillment in the Philippines
OTTO offers its order fulfillment services to worldwide merchants, helping them save on cost in establishing and operating an e-commerce business in the Philippines. Our work enables them to convert the savings into additional capital which they can use to expand their businesses.
There’s no need to travel to the Philippines to sell and deliver your products to your customers. OTTO offers warehouse space, human resources, and delivery systems for e-commerce stores.
OTTO has proven experience and expertise in the field of logistics and order fulfillment. Our founding members have long standing-business relationships with both government and non-government organizations of the Philippines.
OTTO offers an end-to-end solution to worldwide merchants’ order fulfillment needs. We have the resources and technology to modify and upgrade the systems that we offer to our clients.
We offer the following solutions for e-commerce retailers:
● Automated online ordering system
● Automated order tracking system
● Cash on delivery payment system
● Pick and pack
● Delivery Save on capital expenditure and enjoy the benefits of running a risk-free online business here in the Philippines