Pia Berghoeferand updated on 01 June 2021
What is e-commerce fulfillment?E-commerce fulfillment describes the supply chain of an item sold online and applies to business-to-business (B2B) and to business-to-consumer (B2C) orders alike. For B2C orders, the end consumer may place the order on the seller’s website or via an online marketplace such as Amazon, Noon or Namshi. The chain of fulfillment activities comprises receiving the goods to be sold and storing the inventory at a dedicated place. Depending on the business size of the e-commerce seller, this can be a garage, an office, or an e-commerce fulfillment warehouse. Once an incoming online order is generated, the item is picked, packed, prepared for shipping, and transported to the end consumer’s destination. Should the customer not be satisfied with the item and return it, e-commerce fulfillment also includes reserve logistics. The e-commerce order fulfillment process steps start with the incoming order and end with the delivery of the item to the customer’s address. E-commerce fulfillment services can be handled in-house by the e-commerce business itself or outsourced to a professional 3PL partner.
Why is an e-commerce fulfillment strategy important?As in e-commerce one of the most important factors for success is the customer’s experience which is hugely based on the efficiency of the supply chain management, seamless fulfillment can be considered the backbone of e-commerce. That is why a well-planned strategy is essential for any seller scaling quickly or newly entering the ecommerce market in the UAE. It is the only way to ensure that products reach the consumers as quickly as possible and that ever changing consumer demands are met in time. There are three main strategies which can be implemented: