eCommerce & Amazon Selling in the New Year: What you need to know.
Jan 4, 2022 | 4 min read
The New Year is a prime time for business owners to refine their current systems and strategies to set themselves up for greater success. This is especially important for business owners who sell their products online as technology, supply chains, and platforms like Amazon change.
Planning to sell online during quarter one of 2022? Here’s what you need to know to take your eCommerce business to the next level:
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Use a third-party logistic (3PL) company to outsource your logistic operations
As eCommerce sales grow, so will the demand for outsourced third-party logistic (3PL) services. A third-party logistics provider can store, pack, and ship your products. A 3PL company is an eCommerce fulfillment company, providing all the services you need to outsource your logistic operations.
Third-party logistic companies have a warehouse space that they use to store and ship their clients’ inventory and products. eCommerce orders, purchases your customers make, go directly to the 3PL company. Workers pick and pack the orders that are then delivered to your customers.
These warehouses are designed for efficiency and allow you to focus on the parts of your eCommerce business you love.
Choose a 3PL company that is best suited to store and ship your products. For example- do your items need to be refrigerated? Look for a 3PL warehouse with refrigeration. You should also consider a location that is close to your customer base for swiftness of shipping. Finally, find out if the 3PL company your considering offers customer support.
Outsourcing fulfillment could be the next huge step that will allow you to grow your eCommerce business!
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Understand supply chain issues and plan accordingly.
According to a recent article by Small Business Trends, shipping time from China to the United States is experiencing an 83% rise and the average trucking ship times are up from 40 days in 2019 to 73 days in 2021. The same issues exist with air freight as Asia to US air cargo rates are up 40% since the end of August 2021.
These supply chain issues are impacting the time it takes for you to get your products into the hands of your customers like never before. Stay up-to-date on any shortages in the items used in your products and delays in shipping.
Understand how this might impact delivery times for your customers and honestly communicate with them. Be transparent with your customers about when they can expect their purchase to be delivered and use social media and your website to keep this information accessible.
Giving your customers information about how they can track their packages is another way to make them feel valued and save you time on the customer service front amidst the frustration of supply chain issues.
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Know the new rules/fees for Fulfillment by Amazon
On January 18, 2022, Fulfillment by Amazon (FBA) fulfillment fee changes will take effect. These changes will impact every size tier with a fulfillment fee increase, and percentage increases will range from 2%to as much as 12%. Click here to view the full details on these upcoming changes.
Our Amazon FBA Calculator is also a valuable resource that helps you calculate shipping, manufacturing, storage fees, and other costs involved in selling through Amazon so you can find out exactly what your profit margin will be!
The ever-changing world of eCommerce, supply chain complications, and new rules for Amazon selling are important factors for any business leader to consider if he or she sells their products online.
Questions about growing and marketing your business online, launching an eCommerce store, or selling on Amazon? Connect with us.
