What is Fulfillment Location?
A fulfillment location is a place that most e-commerce businesses employ to process customer orders received through their online stores. A fulfillment location’s primary duties include managing and shipping orders directly to customers from the seller’s inventory. It is frequently greater in both size and scope than a conventional warehouse that an e-commerce company may own or rent.
Significance of Fulfillment Location in E-commerce Logistics
A fulfillment location is more useful than a warehouse as it is constantly bustling with activities and does more than merely store goods. Here are some more advantages of a fulfillment location to consider:
- Time and cost saving: You can save time and money as all the steps, up until the product is in the customer’s hands, are completed in one location. It allows e-commerce businesses to concentrate on expanding their customers.
- There is no need to own a separate warehouse: While inventory can be stored in a fulfillment location, it results in saving the effort of having to accept deliveries, handle the merchandise, and organize everything.
Pre-requisites of Fulfillment Location and How It Works
In order to fulfill customer orders, the inventory of an online retailer is carefully held in a fulfillment location. Inventory is selected, boxes are packed, and then packages are tagged for shipment. The following are some prerequisites for fulfillment location:
- Location: For the fulfillment location to operate properly, delivery time, delivery charges, and many other factors must be taken into account.
- Skilled staff: To handle the products and ensure on-time delivery, a skilled workforce is required.
Use Case With Fulfillment Location
With the right fulfillment location and trained personnel, a growing e-commerce firm can devote more time to core activities. For example, if your consumers are in remote places, you can employ a fulfillment location provider or set up your own. This reduces the hassles of delivering products overnight to clients.