B2B Fulfillment: Creating Business Continuity
Understanding the differences between B2B and B2C can help you distinguish between the different types of businesses that offer these fulfillment services. The primary difference between company to company (B2B) and company to consumer (B2C is the type of order that is completed between the companies. In some instances, the companies will be the same; in other instances, the two companies will be completely different. There are also other similarities between B2B and B2C businesses, including the common use of a freight forwarder as the go-between for the companies.
The differences between consumer to company (C2C) and consumer to retailer (C2B) may be too complex and confusing if you're new to either industry. C2C companies generally deal with small to mid-sized orders; however, some larger C2C companies may also provide fulfillment services. B2B fulfillment companies typically deal with larger orders, but may also provide shipping methods for orders smaller than their size. A common misconception is that B2B companies provide solely on-site storage and transportation services; however, they may also utilize trucking services and other logistics systems to deliver products to the correct locations. If your company ships products to customers that reside in another state or even another country, you may need to determine whether your shipping methods will be allowed by your logistics provider.
A third-party logistics provider can provide a variety of solutions for a B2B business. If you have an ecommerce business, it's essential to have a way to track your shipments and ensure that your orders are delivered when they were supposed to arrive. An ecommerce business will incur costs every time a customer makes a repeat purchase or receives a new order. A third-party logistics provider can reduce these fees through efficient shipping procedures, reliable delivery locations, and timely deliveries. If you're unfamiliar with warehousing and shipping, contacting a third-party logistics provider can help your ecommerce business manage its logistical processes more efficiently.
If your company needs to optimize its supply chain, including order's shipping and delivery, you may consider using real-time order fulfillment. Real-time fulfillment allows your company to instantly view all of your existing and incoming inventory. With this capability, you can locate bulk shipments to minimize freight costs, improve supply chain management, and increase profits. Real-time fulfillment is provided by a number of third-party fulfillment providers, and the real-time data provided can be viewed in a web browser, through a mobile device, or on a personal computer. Order management systems, which integrate with fulfillment and order management programs, can allow you to access information quickly and make informed decisions about your inventory.
Logistics fulfillment involves all facets of the entire retail sale process, from order placement to shipping. In fact, it's one of the most important elements of e-business logistics. Retailers place orders on websites and then turn to a fulfillment company for fulfillment . Once a retailer's order is placed, they must work with a third-party logistics provider to place the order with the carrier, and then arrange for shipment. Most fulfillment companies have a variety of options, including overnight shipping, door-to-door pickup, pick up on location, and pick up and delivery at designated times.
Most fulfillment companies provide order sizing options, which enable them to meet the diverse needs of individual clients. In addition to choosing between standard and custom sizes, many fulfillment providers offer other specialty services, including rush delivery options, overnight shipping, and pick-up and delivery at specified times. Real time inventory management systems, or Real-Time Information Technology (RIT), which enables retailers to instantly access their own and customer's inventory data, is becoming more popular. These systems allow retailers to make informed decisions about order sizes and shipping speeds.
The third aspect of B2B Fulfillment is providing on-time delivery. Most fulfillment providers utilize shipping software that tracks order progress and delivers the shipment to the customer on time. In addition, smaller orders frequently require on-time delivery, so it's important to partner with a provider that can meet small orders at the earliest convenience. Most fulfillment companies offer tracking capabilities and early shipment options.
B2B Fulfillment provides a valuable service to both larger and small businesses, but the benefits are much larger for the larger businesses. For businesses that ship frequently or are involved in international trade, they recognize the need to partner with a fulfillment provider that can meet their needs quickly and at a very reasonable cost. In addition, the cost savings associated with on-time delivery and other strategic shipping methods significantly reduce operating expenses. By utilizing B2B Fulfillment to meet their supply chain needs, businesses can free up valuable staff to focus on other priorities.