What is Omnichannel Fulfilment

Omnichannel fulfilment lets businesses manage orders placed through their website, physical stores and online marketplaces (think Etsy, eBay), all within one system.

 

It works as a central hub that keeps track of everything, from stock levels to where each order needs to go.

 

This eliminates the separation between online and in-store fulfilment, aiming to provide a smoother fulfilment experience for everyone.

 

How Omnichannel Fulfilment Works

Channel Integration:

 

Omnichannel fulfilment integrates your online stores, inventory management software (ERP), warehouse management system (WMS), and point-of-sales (POS) systems used in retail stores.

 

Real-time Inventory Management:

Knowing exactly how much stock you have, across all locations, is crucial. Using real-time inventory tracking can be super useful to save those pennies and time, ensuring accuracy. It also prevents overselling items that are out of stock, thereby avoiding disappointing customers and creating a poor reputation.

 

Order Management Systems (OMS):

OMS receives orders from any channel, allocates inventory based on real-time data, and directs them to the most efficient fulfilment location. This could be the consumer’s local store or a warehouse depot, depending on the delivery address the customer has selected.

 

Flexibility with Logistics and Delivery:

Allowing orders to be shipped from warehouses or fulfilled directly from store shelves for pick-up or quick delivery, gives customers choice and the freedom to pick and choose.

Benefits of Omnichannel Fulfilment

The following table highlights the key advantages of omnichannel fulfilment for both customers and the business side of things:

 

Customer Experience
    • Flexible delivery options (home, store pick-up, curbside)

Faster shipping times

Seamless shopping experience across channels

Sales & Revenue
    • Increased customer satisfaction and loyalty

Potential for higher sales and repeat business

Operational Efficiency
    • Streamlined inventory management across all channels

Reduced need for separate systems

Improved order processing speed

Competitive Advantage
    • Meets evolving customer expectations for seamless shopping

Positions your business as a leader in customer service

Challenges of Omnichannel Fulfilment

Implementing omnichannel fulfilment requires careful planning and consideration. Here are some of the potential hurdles to consider:

 

Complexity
    Integrating various channels and systems requires careful planning and expertise.
Cost
    Investing in technology and infrastructure can be significant.
Logistics
    Managing returns across multiple channels and coordinating deliveries for various fulfilment options can be complex.

 

Popular Omnichannel Fulfilment Strategies

Buy Online, Pick Up In-Store (BOPIS)

 

This offers speed and convenience, letting customers avoid delivery wait times by purchasing online and picking up items at a physical store.

 

Ship to Store

 

Provide flexibility for customers who might miss home deliveries by allowing them to choose a specific store for pick-up of their online orders.

 

Ship From Store

Instead of relying entirely on warehouses, online orders can be fulfilled and shipped directly from nearby stores, potentially closing the gap on those delivery timelines.

 

Ship to Home

 

With 80% of the UK making e-commerce purchases, the British population loves the flexibility to have items shipped and delivered directly to their home addresses.

 

Interactive Features

 

Interactive kiosks or touch points on websites and apps are fun ways of offering product information, recommendations and additional purchasing options, helping create a sense of gamification.

 

Third-Party Logistics (3PL)

 

Partnering with a 3PL provider to handle your omnichannel fulfilment can help you to focus on core business activities while benefiting from knowledgeable, open expertise of specialist logistics and fulfilment.

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