Shipping Challenges Every E-commerce Business Must Overcome
On the whole, e-commerce has become gradually more and more influential in retail sectors. Like many other industries, the retail landscape has undergone a substantial transformation thanks to the development of technology and the ongoing digitalization of modern life.
Consumers around the world can now purchase anything they can think of from the comfort of their homes.
E-commerce startups face many challenges pertaining to order processing and order fulfillment services. The world of e-commerce is constantly changing, and it can be difficult to achieve optimum service without the right tools.
The right tools include order processing and customer relationship management solutions, and also warehouse management systems.
Other common challenges an e-commerce business faces are related to order fulfillment management including seamless delivery and dedicated fulfillment centers. India is emerging high in e-commerce and here is what you need to know about the shipping challenges in the sector.
E-commerce Shipping Challenges
The six primary shipping challenges for e-commerce businesses are:
- High Shipping Cost
Shipping can eat up a lot of your profit margin. Whether you have a small business selling one item or a large company that ships thousands of products across the globe, you are likely to be hit with excessive shipping rates.
Customers want cheap shipping, but the hidden fulfillment cost must be covered somewhere. Usually, businesses will try their best to handle the extra expense themselves and not pass it on to customers by increasing prices. Still, price hikes are sometimes inevitable if there are too many factors.
- Shipping Location Boundary
Depending on the physical location of your company, you may run into some problems when shipping. For instance, you may only have the option to stock items at warehouses too far from your customer base.
If you are shipping internationally, each country will have its own rules and regulations that you must consider before proceeding with the order. Without a proper system, it becomes hectic to manage international shipping from India.
- Loss or Damage During Transit
When you ship products, you should consider the possibility that some packages may become damaged or lost in transit and develop a plan for how you will deal with it as an entrepreneur.
While not much can be done in cases where packages arrive at the customer’s home damaged, you could offer shipping insurance to customers if needed.
You’ll need to clearly explain the terms of this insurance on your website and put them in places where they are easily accessible. This way, your customers will not fail to notice your policy when they are placing their order, ensuring any potential damage doesn’t ruin your reputation as a company.
- Customers Expect Free Shipping
In most cases, buyers prefer and look for free shipping. However, offering this can strain your bottom line because, after all, paying for shipping costs takes a bite out of your profit margins.
To offer free shipping without cutting into the profits, you must alter the way you think about your product pricing strategy. You could include the shipping cost in the product’s price or consider offering a subscription service for customers who want to avoid shipping charges.
- Return Management
No online retailer wants to see a lot of returns, but they are an unavoidable part of e-commerce. Customers may have issues with the products that have nothing to do with their quality or whether they even like the product.
Analyzing all these returns can help you manage things better, streamline your sales process, and get a better insight into what your customers are saying when they return items.
It’s a bit cyclical too. For instance, suppose you figure out why the customer might be unhappy by analyzing the most common behavior patterns of those returning something. In that case, it will be easier for you to help improve this behavior in the future.
- Starting a Delivery Network
Growing a company will invariably mean increasing your marketing efforts. In addition, it may entail working toward establishing your delivery system.
If you’re already looking into this, you might be leaning toward creating your fleet of delivery vehicles and hiring drivers to run them. It is great for providing more customer service but adds another step to the actual shipping process.
For your branding efforts to succeed, ensure that the vehicles are adorned with logos that customers associate with your services.
Conclusion: Consider Quickshift for Effective D2C E-commerce
In terms of managing e-commerce fulfillment services India has excelled in the sector. From processing orders through micro fulfillment centers to same-day delivery service, the e-commerce business has come a long way in fulfilling customer demands with cost-efficiency.
However, it can be a hectic job to manage your business and control the logistics to handle all the challenges upfront. QuickShift helps D2C brands to grow their business. It is one of the largest fulfillment centers, facilitating international shipping and same-day delivery. India and its entrepreneurial spirit have the full support of Quickshift fulfillment services.