How To Reduce Shipping Cost
As people are shopping from home, shipping is taking an essential cost for businesses. Retailers have to make sure the package arrived on time at the most reasonable price possible. However, this is not always the case. In this write-up, we’ll discuss the most effective ways to reduce your shipping cost. Work with a variety of suppliers There’s no rule in dropshipping that says you have to give one supplier all of your business. Diversification is, in reality, a great way to find the best goods at the best prices. When it comes to shipping prices, the same is true. Many goods are available from several suppliers. For example, you may sell an Amazon product available on AliExpress and SaleHoo. So, if the product is perfect but the shipping cost isn’t, don’t be afraid to search around for a better offer and a higher return on investment. With the coronavirus wreaking havoc on factories and warehouses and governments constantly reviewing what constitutes “important business,” your suppliers’ operations could come to a halt at any moment. However, you can use one of your other services if one of your suppliers is out of service if you have an alternative solution. Know what shipping options you have Besides private shipping companies, you can always consider public services. The United States Postal Service (USPS), China Post, and the Royal Mail are only a few national carriers open to dropshipping. They also differ significantly in price, delivery time, and monitoring. China Post, for example, can take 20 to 50 days to deliver worldwide, while USPS may deliver in two to 15 days, but only within the United States. The crucial thing to remember is that these are subject to change. Yes, researching the cheapest carrier for each product for each destination can be daunting, but it’s the only way to reduce the shipping cost to fulfill each order. ePacket delivery Then there’s ePacket delivery, which is available for goods sourced from China and Hong Kong in more than 40 countries. ePacket delivery is cost-effective and provides an extra layer of security with built-in monitoring. ePacket, like FOB shipping, isn’t always the most cost-effective option. It isn’t always the fastest, either. Shipments can take anything from two weeks to a month to arrive. It is, however, dependable and, in many cases, affordable. Reduce the amount of packaging you use Two surefire ways to increase the shipping costs? Dimensions and weight. The bigger and heavier your package is, the more you have to spend to get it to the destination. Minimal product packaging is the way to go. You’ll want your shipments to be as small as possible (while still protecting the items inside) and as light as possible. Now, if you’re shipping anything like books, you can not have many lightweight packaging choices. The packaging, on the other hand, is something you can manage. Final note All in all, costs are the backbone of your business. A high operating cost would result in lower revenue, which might put your business at risk in the long run. Therefore, always aware of optimizing your shipping to reduce the cost.
eCommerce Retention: Why Are You Losing Customers?
To increase eCommerce customer retention, it’s critical to stay on top of the web design, customer personas, exclusive deals, and user experience. Unfortunately, anything can go wrong one time or another. There are some very popular eCommerce errors that cost customers money. In this post, we’ll break it down for you. Coupons and promotions were not considered Gimmicks do not drive sales, but initial sales can be boosted by offering coupons and discounts. However, vouchers can be challenging to manage considering the time frame and a small audience. In these cases, this tactic is taxing on e-retailers. You’ll also risk attracting customers who are only interested in saving money with no retention intention. Rather than using coupons, consider sending out a newsletter with percentage discounts. Customers are likely to pay more if they receive percentage discounts rather than dollar discounts. This is because it’s difficult to predict what your customers will need. Thus a percentage discount allows them to order whatever they want at a lower price. It’s also important to remember to create separate landing pages for coupons, which reinforces the promotion’s specifics and offers guidance and limitations. Make sure you’re using appealing, straightforward, and consistent wording on your page. Intrusive pop-up advertisements Google has announced that using interstitial advertising, especially on mobile, would drop a website’s rating. These ads, also known as pop-ups, can obstruct relevant content and make it difficult for users to see the content they want to see, resulting in a negative and frustrating user experience. In addition, closing the advertisement is often challenging and deceptive. In fact, the disapproval rating of pop-ads is 73%. People these days are often overwhelmed and feel stalked by digital ads, 81% of whom close a website due to a pop-up advertisement. In other words, overwhelming pop-ups are rendering your opportunity for eCommerce retention. What is the solution? Consider advertisements as a salesperson trailing you around a shop. Will you tell a customer what your ad says in person? Don’t bother them if it doesn’t add value. Negative interactions stick with customers and taint websites. Having a sluggish checkout procedure Maintain a straightforward, linear, and user-friendly checkout process. Too many screens or complicated instructions can cause issues and discourage sales. When a customer fears that their privacy might be at risk, they are more likely to abandon the operation. For example, 17% of consumers would leave their shopping cart if they are concerned about payment protection. One way to make the checkout experience more user-friendly is to have a multistep process and show consumers where they are currently. Lacking a marketing strategy Your marketing strategy is significant in maintaining a stable eCommerce customer retention rate. Even though email plays a vital role in eCommerce, many businesses are unaware that email marketing is the most cost-effective tool for retaining customers and attracting potential buyers. Business owners can communicate directly with their customers by using email marketing. Not understanding who the client is eCommerce companies will benefit significantly from reviewing audience demographics. The television industry has for a long time studied how to use viewer demographics and viewing patterns to market goods through advertisements. When it comes to the value of knowing the customers’ wishes, the Internet is no different. Know who your clients are so you can assist them in making decisions. For example, a salesperson can consciously gauge a store’s popularity by viewing customers in real-time in a typical brick-and-mortar store. In the digital environment, conversion analytics and bounce rates will help you track your shop’s performance.
Best eCommerce Inventory Management Software
Inventory management might be daunting sometimes, especially for brands using a multichannel strategy. That’s why you need the best eCommerce Inventory Management software to assist your work. 1. QuickBooks Commerce (formerly TradeGecko) The Accounting software Commerce Platform (formerly TradeGecko) is a single, centralized system that allows commerce brands to control their retail and wholesale operations and applications. Because of its core features and vast ecosystem, companies can easily simplify order workflows, improving operational efficiency and customer satisfaction. In addition, it enables you to handle various distribution platforms (including Shopify, Amazon, WooCommerce, Wayfair, and others), fulfillment locations, expedite payments, build private B2B eCommerce experiences for wholesale customers, and automate device connections through multiple channels. Costing QuickBooks Commerce costs about $35 a month for the Founder kit, including support for one customer and ten monthly sales orders. A lite version costs $69 per month, a miniature business version costs $169 per month, and a business version costs $459 per month. The more money you pay, the more functionality you receive and more users. Advantages Excellent for all types of companies. Multiple distribution platforms are supported. The interface is easy to use. Disadvantages There are some glitches in the app. Customer service isn’t excellent. 2. Inventory Management in Quickbooks QuickBooks is another cutting-edge inventory management tool that works in tandem with the Quickbooks accounting system. This ensures you can keep track of the bill of materials, stock levels, and invoicing all in one place. Quickbooks is a powerful inventory software solution that allows you to quickly and easily see how much of a particular item you have on hand. From the same user-friendly customer interface, you can get real-time inventory valuations and keep track of your purchase orders. Advantages It is easy and convenient to use Time monitoring and tax assistance With third-party integrations, you can be as creative as you want. The price is fair. Disadvantages There are no features that are unique to the industry There isn’t a lot of dedicated help available (except on Advanced) Outside of accounting, only limited analytics are available Costing QuickBooks Inventory Management and Order Fulfillment depend on the QuickBooks program’s total cost. The QuickBooks Essentials kit only includes time monitoring and bill management. The $70 QuickBooks Plus service, on the other hand, provides inventory monitoring. You can get QuickBooks advanced for $150 a month, including a dedicated account manager and invoice batching. 3. Inventory Management with Zoho Zoho Inventory Management is one of the most well-known tools on the market, designed to assist businesses in increasing revenue, and expanding operations. Zoho Inventory not only helps you manage your offline and online inventory, but it can also combine with other resources in your sales strategy. You can connect Zoho to your Amazon, eBay, and Shopify accounts from a single application, build purchase orders, manage drop shipments, and more. Furthermore, with serial number features and batch tracking, you can monitor every item in your inventory from beginning to end Costing There is a free edition of the Zoho Inventory, but it has many limitations. The paid version starts at $49.00, but you can try out the features with a free trial first. 4. Fishbowl When it comes to asset management, FIFO software, and accounting systems, Fishbowl inventory isn’t as well-known as Zoho inventory or Quickbooks, but it’s quickly gaining traction. Fishbowl might be the inventory management system for you to monitor inventory and evaluate your business needs. Fishbowl will help you with anything you want to do with your business, from drop shipping tracking to inventory details, barcoding, and other advanced features. Furthermore, you will get more done because this powerful program combines with some of the most common tools on the market. Costing The initial cost of Fishbowl inventory management, which is about $43,95, can seem to be a little high. On the other hand, your license does not expire, so you won’t have to renew it every month or year. Stitch Labs Finally, Stitch Labs is all about making your life simpler, whether you’re a small company or a large corporation. It’s a robust management software for monitoring invoicing, on-premise orders, and inventory products. Besides, a user-friendly GUI provides the same level of convenience that Quickbooks and Zoho users expect. Furthermore, growing brands can use Stitch to market their consequences in various ways and quickly review stock levels through multiple channels. Stitch Labs’ personalized experience includes everything from pre-discounted inventory to loyal schemes and more. Thus it is ideal for businesses who want to merchandise uniquely. Costing There are 3 billing packages of The Stitch Labs, which are Essentials, High-growth, and Premium. However, their prices vary based on your sales volume every year.
Multichannel eCommerce To Boost Sales
Multichannel eCommerce increases the chance that your product is sold. However, it also makes it more challenging to manage and streamline your store. In this write-up, we’ll discuss how to make use of multichannel eCommerce to boost your sales revenue. What is multi-channel eCommerce When an online retailer offers goods through multiple marketplaces and channels, it is called multichannel eCommerce. This is a good way to expand the brand’s visibility and consumer base. Statistics show that those who sell on two marketplaces see a 120% rise in sales. How to Setup a Multi-channel E-commerce website Choose your priorities Don’t just start using any platform you come across. Every marketplace has its own pros and cons. Therefore, some of them might not work well for your brand. You might be tempted to run to Amazon as an eCommerce behemoth, but be sure you’re willing to pay the price. To make the best decision, you must weigh all of the channels from various perspectives. All payment options must work. Delivery must be cost-effective. And it should support the brand marketing activities. Once you’ve found the channels that seem to be a good fit for you, you’ll need to spend some time figuring out what type of people are using them. It is critical to gain a deeper understanding of your consumers across all channels. This will provide you with insights into their beliefs, purchasing habits, and unique product preferences. For example, if you know they like local handmade products, you’ll go with Etsy, and if speedy delivery is important to them, you’ll have to go with Amazon. Keep an eye on your stock Multiple networks might present logistical problems that necessitate extensive coordination. With a high volume of sales, there’re more chances of overselling for being out of stock if not managed properly. Therefore inventory tracking is essential. Poor product integration leads to a poor shopping experience, which can result in a loss of loyal customers and negative feedback and ratings. In other words, the cornerstone should be to have good customer service. Customers are irritated by unavailable stock, which costs businesses more than $600 billion worldwide. Meanwhile, overstocking (the opposite extreme) costs them more than $400 billion. As a result, it’s important to centralize your operations across all platforms by synchronizing your inventory. Sellbrite, Ecomdash, and ChannelAdvisor are examples of multichannel sale tools that can handle fulfillment, delivery, and accounting. Instead of the time-consuming task of handling each platform individually and hoping to pay for all inventory, you’ll be able to find new ways to increase revenue. Centralizing processes and automation would help eliminate human error. Whilst regular inventory reports will show what is in stock at any given time, resulting in accurate statistics across all networks. Make the appearance your own Your multichannel eCommerce website must be attractive (in the sense of elegant rather than flashy!). Despite the time-consuming upkeep, it’s much more important to maintain a constant look and feel across all devices. With more people shopping on their mobile devices, you’ll need to deliver automatic discounts, personalized checkouts, and intuitive storefronts to create an engaging customer journey. You can use a branded mobile app to communicate with these mobile-first consumers. Make sure your server runs smoothly on both the iPad and iPhone and Apple’s iOS and Android devices and operating systems. You’ll be able to send out push alerts for regular sales and use coupons and QR codes in advertising to reward loyal customers. Final note The first steps are the same as with any other e-commerce site. Still, it’s critical to choose the right platform because it’s the heart of your company and must be capable of establishing a substantial presence through multiple platforms.
6 ways to reduce inventory for small business
Small businesses not involved in selling perishable goods can be tempting to order and have surplus stocks to meet market demands. In certain situations, it can be a good thing to have excess stock. Nevertheless, having more items than you can sell can pose many problems, leading to poor cash flow and high carrying costs. To avoid these, you need to implement relevant measures that would help minimize your inventory Benefits of reducing inventory When you decide to reduce your inventory for your small business, it comes with many benefits that can increase your sales and productivity. Here are a few benefits of reducing inventory. You minimize your cost It enables you to reduce your workforce, which can improve your efficiency Improve the quality of your service to customers There are several ways to reduce your inventory for your business. However, most of these methods aren’t as effective as the ones we mentioned below. How to reduce inventory for your business Reduce demand variability About 20% of their stock produces 80% of their revenues for most small businesses. These statistics will differ to a certain degree. According to the ABC inventory analysis, you can classify your stock into three categories based on their value to your business. The A category represents stocks that are essential to your business; C are items with the least value, and B offers better value compared to C. therefore, you prioritize the stocks in the A categories. Over time, you can review these products and move them to another category to improve lead time. Make Smaller orders Reducing your order cycles can help reduce your inventory as a small business. Furthermore, it will help in improving your inventory turnover. Small but frequent ordering gives you the flexibility to meet customers’ demands while preventing excess stock and carrying costs. Nevertheless, if you decide to implement this strategy, you need to use a reliable inventory forecast model that utilizes seasonality and trends. Start Dropshipping Another option available at your disposal to reduce inventory for your small business is to use dropshipping. Dropshipping allows you to buy the product only when a customer has placed an order and make payment. It means you don’t need a warehouse to store your products, which helps to save your costs. Furthermore, you can even create a fully automated dropshipping store Reduce supplier lead time Your supplier lead time can affect the amount of stock you have in your inventory. For instance, if you have a continually fluctuating lead time, you will have to carry out more safety stock to ensure you cover the risk of running out of stock while waiting for delivery. The recent COVID-19 pandemic affected many businesses in the United States due to increased lead time. However, it gives you flexibility with faster and reliable lead time when you want to order for inventory while reducing your stock levels and other costs. Today, you can utilize the software for your supplier order management to automatically track your lead time and adjust safety stock when necessary. Start allowing backorders Backorders can help you cope with customer demands while holding less stock. Be sure to follow backorder best practices and create a clear backorder policy to build an enjoyable experience for your customers. You might need to invest more in supplier relationship management in order to secure expected delivery dates of backorders. Eliminate outdated inventory Outdated inventory products are products your customer doesn’t demand again. Most times, you would have outdated inventory if the new model supersedes the previous one. Another reason for obsolete inventory is fashion or technological change in society. For instance, there was a time when Nokia button phones were the order of the day. However, with technological advancement, we saw the rise of android phones, which have ripped out the Nokia button phones out of the market. Therefore, to avoid any outdated inventory, you need to understand the lifecycle of products in your store. It can sometimes be hard to monitor these, but you look at for launching sales and promotions to make adjustments when newer products are about to hit the market.
