Any company with a D2C ecommerce model is well aware of the increasing challenges of managing fulfillment, in particular, freight costs during the fourth quarter. Consumer shipping expectations continue to rise driven by the fulfillment benchmark being set by Amazon, Walmart, and other large D2C companies. Consumers are being trained to expect shorter shipping times with low, or no, shipping costs. Further increasing the complexity of managing fourth quarter fulfillment is the increasingly compressed online holiday shopping season driven by the expectation of 1 to 2-day shipping. In this article the focus will be on strategies to manage fourth quarter freight costs during this critical period while meeting your customer’s high expectations. In particular, we will focus on the key drivers impacting your shipping costs which includes, staffing, packaging, dunnage, freight negations, and communication.
With one of the tightest labor markets on record it’s not surprising that many HR departments are struggling in the areas of hiring and retention. And while hiring and retention have always been a challenge, the impact of eCommerce is raising the stakes to a whole new level – if your company has adopted a direct to consumer (D2C) eCommerce channel – the time window for fulfilling the majority of your orders during peak season has shrunk, in many cases, from months to weeks.
In this article we’ll be focusing on a few key areas of a successful hiring and retention strategy, with specific attention to eCommerce fulfillment during peak season(s). While all these strategies have merit, it can be helpful to review these ideas based on their ability to support and improve your own company culture.