Fulfilment meaning
Online sales are only increasing. It is therefore not surprising that the number of web shops worldwide, as well as in the UK, continues to increase every year. And with the rising popularity of online shopping, the use of the term fulfilment is also increasing. But what is the meaning of fulfilment (nowadays often called e-fulfilment)?
Meaning of fulfilment in short
In short, fulfilment means:
Fulfilment is the entire logistical process for handling an order.
Outsource fulfilment?
Curious about the fulfilment possibilities for your web shop? Feel free to contact Active Ants and we will be happy to advise you!
The logistic process of order fulfilment
The term fulfilment covers the whole logistic process of handling a customer order. This process has a number of important facets, which we have broken down into ten steps for you below:
- Integration IT & sales channel
- Goods-in
- Goods storage warehouse
- Inventory management
- Order processing
- Packing order
- Shipping order
- Customer service
- Return processing
- Fulfilment reporting
1. IT & sales channel integration
Without IT, there is no fulfilment. This component within the logistical process provides the link between the web shop, the order system, the warehouse, the carrier and the customer. If the IT is set up properly, this will contribute to the efficiency, speed and minimum error margins within the process. This will result in a satisfied customer and a satisfied web shop owner. The basis of a successful web shop is therefore the IT surrounding the online business.
A good integration between the sales channel (the web shop) and the logistic process is essential. At Active Ants it is therefore possible to take over the inventory management system of the web shop, so that it can be seamlessly integrated.
2. Goods-in
The next aspect of fulfilment is the receiving of goods, or goods-in. The incoming goods have to be processed in the right way. The products are counted, checked and, if necessary, tested. After this, the incoming products can be registered so that the stock is kept up to date.
Active Ants has years of experience with incoming products. The incoming products are processed and stocked by us very quickly. Our clients can also follow this process in our reports.
3. Goods storage warehouse
Once the goods have been registered, they must be stored correctly. Depending on the type of product that is offered, a warehouse will need to be set up for this.
Active Ants' Autostore system uses robots to store e-fulfilment products extremely efficiently. Our warehouse has many different storage formats. This allows us to save space and costs and therefore offer storage at the most favourable price.
4. Inventory management
The success of your webshop is largely determined by its reliability. An important part of fulfilment is therefore the stock management. This must be up to date and real time. So that a customer can 100% assume that a product is actually in stock, to avoid disappointment.
Besides insight into the current stock, it is also important to be able to make an accurate prediction of the future stock. In this way, a warehouse can be set up and used as efficiently as possible, without products being sold out. A good inventory management system takes various variables into account, such as seasons, holidays, promotions and so on. In this way, fluctuations in the demand for a product can be anticipated.
Because the Active Ants inventory management system can be linked to the web shop, you will have more insight into your stock and will be able to respond to changes more quickly. Outsourcing your stock management to Active Ants offers a web shop many advantages.
5. Order processing
Order processing is actually the first step where the customer is involved in the fulfilment process. An order is placed and IT will trigger the processing of the order. This step consists of order picking the ordered item. It is important that this happens quickly and efficiently. The faster this process is within the total fulfilment process, the faster the order can be delivered to the customer. As customers are increasingly demanding when it comes to delivery times, this has become a crucial part of fulfilment. It is not about standing out as a web shop, but about being able to compete at all with the big players in the market.
The order picking is, just like the storage of the web shop products, fully automatic with the help of our robots. As a result, we process orders extremely quickly and efficiently, with the smallest possible margin of error.
6. Packing the order
Once the order has been picked, it will have to be packed. The packaging is your web shop's selling point, so don't underestimate the importance of packaging within fulfilment. Many web shops still miss out on opportunities here, while personalised packaging is an excellent way to distinguish yourself as a web shop.
Active Ants uses modern packaging machines and sustainable packaging materials to pack your orders. We use many different sizes of packaging. This way, every item is packaged appropriately, so that as little space and material as possible is wasted.
7. Order shipping
The faster the order is picked and packed, the faster it can be shipped. The dispatch of an order is usually carried out by a carrier. Nowadays there is a wide choice of parcel carriers and service providers. Each with its own added value. Some providers have their own pick-up points, for example, or offer evening deliveries. An aspect such as the cut-off time is important here. It determines until what time an incoming order can be processed on the same day. This can make the difference whether a product will arrive a day earlier or not.
We at Active Ants understand the importance of fast delivery, but also the freedom of choice in the delivery service. Therefore, we offer the sharpest cut-off time (23:59) for shipping orders. We also offer services such as same-day delivery, pick-up points and time delivery.
8. Customer service
Fulfilment does not end with a shipped order. A web shop must also be accessible to customers with questions or if there are problems with an order or product. Good reviews are essential for an (online) company. A good customer service can contribute to a good customer rating and prevent or resolve complaints.
Active Ants can also provide support in this area by outsourcing your web shop's customer service to us.
9. Returns process
A satisfied customer is also determined by how a return order is handled. A returned order does not automatically mean a lost customer. Resolving such issues in the right way will contribute to a loyal customer base and increase your reliability as a web shop.
At Active Ants, we also offer various options for returns processing. Depending on the type of product and the level of security that is appropriate.
10. Fulfilment reports
Insight in your fulfilment process gives insight in your web shop. A real-time fulfilment report will therefore contribute to the success of your online business. This gives you insight at any time into where extra control is needed and how your web shop is doing.
Of course, Active Ants will send you reports with updates on your web shop logistics. You can also use an online dashboard. This way, you can always follow the progress.
Need help with your fulfilment process?
We are happy to take over the fulfilment process from you. This leaves you time for your core business. With our advanced fulfilment solutions, there is always a solution for your web shop. Please contact us for the possibilities.
Fulfilment vs e-fulfilment
Although the terms fulfilment and e-fulfilment are very similar, there is a difference. For example, e-fulfilment relates to the logistics process of a webshop (online). Fulfilment, on the other hand, is a broader term for the logistic handling of orders. This process can be carried out both via a web shop (online) and via a physical shop (offline). Fulfilment therefore does not always have to relate to a webshop and e-fulfilment does.
What are the advantages of outsourcing fulfilment?
The main reason for outsourcing fulfilment is to be able to focus more on your core business. For most web shops, logistics is not their core business. Being busy with the website logistics is therefore a peripheral matter. Outsourcing the logistics process has more advantages, such as:
- You do not need your own storage space
- You save on costs
- You save time
- You can offer a faster and better quality delivery service
- You are more flexible with, for example, illness, leave or peak days
Want to know more about the advantages of outsourcing fulfilment? Read about it in our blog: Outsourcing your web shop logistics: 6 good reasons
Choosing a fulfilment partner
Outsourcing fulfilment for a web shop can offer many advantages and goes beyond saving time and money. Choosing the right logistics partner is important. The services of fulfilment companies can differ from each other. Therefore, make a good comparison and choose the partner that best suits your webshop. Think about things like:
- Service offered
- Possibility of integration between the sales channel and the fulfilment company
- The location of the warehouse
- Minimum requirements (for example, the number of orders per month)
- Flexibility
- Sustainability
- The costs
Need help in your search for the right logistics partner? Read our blog: How to choose a fulfilment company for your webshop?
Outsource fulfilment to Active Ants
Curious about what Active Ants can do for your web shop when it comes to fulfilment? Contact us today to get acquainted and discuss the possibilities. Or request a quote without any obligations.