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Revolutionizing National Postal Operators: A Strategic Move into E-commerce Logistics


Revolutionizing National Postal Operators: A Strategic Move into E-commerce Logistics

National postal operators have been tracking a decline in mail activity for years. This declining market share may have started with the rise of email, but it has taken a precipitous downward trend during the pandemic. When e-commerce activity increased during the COVID-19 era, integrators like UPS, FedEx, and DHL were well positioned to handle the ramp-up in parcel activity, taking even more work from national postal operators. To counter this lack of activity, postal operators have increased rates, affecting customer happiness. 

“Parcel and postal markets have clearly reached the point at which incumbents have no choice but to transform their operations and networks,” McKinsey researchers found in 2019 after surveying the international postal market. “At the same time, these incumbents are also at the start of an exciting transformation journey – one that can help them win the B2C e-commerce race.”

The fact that universal postal tonnage is more than 40 percent lower than before the pandemic is unavoidable. Due to shifts in consumer behavior, that tonnage is likely never coming back. The United Nations’ Universal Postal Union (UPU) predicts letter services will account for only 29 percent of global postal revenue by 2025, down from more than 50 percent since 2005. Many postal operators around the globe are still confronting lingering staffing and operational challenges nearly four years after the onset of the COVID-19 pandemic, and the predictability of deliveries has still not come back to pre-pandemic levels. While some postal operators bounced back from the pandemic to a relatively healthy new normal, there are some areas of the world where the post is still struggling.

For instance, the Australia Post called earlier this year for the government to remove the legal requirement for everyday delivery due to a 66 percent decline in letter volumes since 2008. This led to a $189 million loss in the letter portion of the postal service in the first half of 2023.

Market share for national postal operators is eroding at every corner. Some postal operators have created new revenue streams by partnering with parcel consolidators to help their customers leverage longer lead times and bulk shipping for savings. This arrangement is a win-win for postal operators and their customers.

Though the major global integrators saw revenues decline this year, UPS, FedEx, and DHL still dominate the marketplace. Landmark Global and Ascendia, while smaller than the Big 3, have successfully built a small parcel business of their own.  

According to BoxC’s CEO, Chad Schofield “e-commerce has continued to support integrator revenues, but national postal operators who strategically develop e-commerce parcel services have a chance to take back market share from this competition.” 

“By partnering with a technology provider that focuses on international e-commerce logistics, postal operators can diversify their revenue streams, create a focused small-package shipping operation and increase customer happiness”, added Schofield. 

These third parties can also assist national postal operators looking to win back e-commerce market share, aiding their quest by increasing their use of technology. By arming national postal operators with data – lead times, track and trace, and Customs documentation, for starters – these third-party agencies can equip national postal operators for the new normal. The UPU has found that “information about delivery is just as important as the actual delivery. The seller needs to have access to delivery information through a user-friendly, standardized, and widely available IT structure.”  

Third parties can also assist postal operators by creating opportunities to share in e-commerce revenues. Local operators are in the best position for last-mile shipping success, so creating lasting collaborations with top international shipping services is one way to diversify revenue streams without trying to directly wrestle business away from entrenched integrators like UPS and FedEx.    

National postal operators no longer can rely on letter service revenue and must develop an aggressive plan to win e-commerce small parcel activity from private competitors. When competing with entrenched competitors, there’s strength in numbers. That’s why national postal operators have historically utilized Universal Postal Union networks to enhance international cooperation. These networks, though, only served postal operators well in the old way of doing business. In this new normal of postal services, dictated by e-commerce parcel activity, UPU networks have been slow and unreliable.  

Challenges for postal operators are around every corner. Government regulations regarding delivery dues can have a wide-ranging impact on not only international postal pricing but also the popularity of certain shipment lanes. Simply put, no delivery dues or Customs regulation decision is made in a vacuum. Altering the fees in one area can significantly affect postal operators in adjacent regions. Postal operators must keep track of data regarding not only regulatory changes that directly impact them but also need to understand the broader international postal operator system and how regulatory and fee shifts in one part of the world will shift their business.

Members of the Universal Postal Union provide a needed service that stretches into remote sections of the world, but some see the UPU as a barrier to innovation. While the UPU claims postal operators need to be utilized more, a lack of funding and other support means that the innovation needed to fully use postal operations is a long way off. To create a better global impact and tap into the growing e-commerce markets in lesser-developed parts of the world, postal operators should embrace e-commerce shipping like the large integrators. To get there, partner with a trusted technology provider with the experience to create new revenue streams by capitalizing on the e-commerce trend.

It is not too late for national postal operators to adopt a new strategy. Postal operations are a significant economic driver; the UPU recently found that the complete absence of a national postal service would bring about a nearly 7 percent hit to GDP. But economic importance is not enough. To thrive, postal services need to upgrade their methods and think beyond letter delivery. Partnering with a logistics management platform provider that enables clients to control all aspects of international e-commerce logistics is the first step. Postal services are still relevant today, and they will be needed tomorrow, but to tap into the full potential of e-commerce delivery, they’ll need a little help.  



HWArobotics Revolutionizes Canadian E-commerce Logistics with Cutting-edge ASRS Technology

HWArobotics, a pioneer in shuttle ASRS technology, is making waves in North America with its groundbreaking solutions. Recently, the company partnered with Canadian e-commerce logistics leader, Darwynn, to implement advanced robotic automated storage and retrieval systems (Shuttle ASRS) at its Toronto facility. This collaboration represents a significant advancement in the North American warehouse automation landscape.

Darwynn, known for its commitment to utilizing state-of-the-art warehousing solutions, sought to optimize its order fulfillment operations and enhance sustainability. With HWArobotics’ Shuttle ASRS technology, comprising a multi-level shuttle system featuring 24 carts, 10,368 storage locations, and 6 goods lifts, Darwynn aimed to meet the demands of its expanding business while improving efficiency, safety, and environmental impact.

The implementation of HWArobotics’ technology has delivered immediate and long-term benefits for Darwynn and its customers. With the capacity to handle 20,000 individual SKUs and achieve a throughput of 2,400 bins/hour, the Shuttle ASRS system has significantly optimized inventory management, increased operational efficiency, and expanded storage capacity. Additionally, the integration of picking stations and WCS systems has enhanced warehouse space utilization and reduced overall business costs.

Moreover, HWArobotics’ solution ensures reliability, ease of maintenance, and lower error rates, contributing to a seamless fulfillment experience for Darwynn’s clients. The system’s adaptability and scalability further future-proof Darwynn’s operations, enabling it to meet evolving demands and sustain growth.

Sky Chen, General Manager of HWArobotics, expressed satisfaction with the project’s success and emphasized the potential for further expansion and partnership with Darwynn. With a dedicated team in North America, HWArobotics aims to continue its growth trajectory in the region, leveraging its extensive industry experience and innovative ASRS solutions.

Furthermore, HWArobotics’ success extends beyond North America, with a diverse portfolio of global deployments spanning industries such as retail, automotive, and consumer co-operatives. The company’s commitment to excellence and innovation has earned it recognition as a finalist for the prestigious IFOY Award 2024, highlighting its contributions to the evolving logistics landscape.

As HWArobotics continues to drive advancements in ASRS technology, its partnership with Darwynn serves as a testament to the transformative impact of innovative warehousing solutions in the e-commerce sector.


E-commerce Returns Management: Strategies for Handling and Reducing Returns

Returns are a certainty in the world of e-commerce. While they may seem inconvenient, they’re an integral part of the online shopping experience. As an e-commerce business owner, understanding and effectively managing this issue can be the difference between success and struggle. Here, we will delve into the world of e-commerce returns management, exploring strategies to handle them efficiently and reduce them. From streamlining processes to embracing technology, we’ll equip you with the knowledge you need to successfully navigate this challenging aspect of your business.

Understanding E-commerce Returns

Unlike traditional brick-and-mortar stores, e-commerce faces unique challenges regarding returns. Buyers often make purchase decisions based solely on product descriptions and images, sometimes leading to discrepancies between expectations and reality. Sizing issues, damaged items during shipping, and the occasional buyer’s remorse all contribute to the high return rates in online retail.

To effectively tackle this, e-commerce business owners must acknowledge that returns are not merely a problem to be solved but a natural part of the online shopping experience. By understanding the root causes and motivations behind them, you can begin to implement strategies that handle this area of your business efficiently and work towards reducing their occurrence.

The Cost of Inefficient Returns Management

Inefficiencies in managing e-commerce returns can have far-reaching financial and reputational consequences for businesses. The financial toll is two-fold: businesses incur direct costs associated with processing and restocking these items and face potential revenue losses due to damaged or unsellable goods.

Perhaps even more detrimental is the impact on customer satisfaction and loyalty. Customers who experience a cumbersome or frustrating returns process are less likely to return for future purchases, and they may share their negative experiences with others, tarnishing your brand’s reputation.

Moreover, inefficiency doesn’t only lead to unnecessary costs; it’s a revenue-draining pit that can erode profitability and hinder growth. Therefore, implementing effective management strategies is an investment in the long-term success and sustainability of your e-commerce business.

Key Strategies for Effective E-commerce Returns Management

Navigating the intricate landscape of e-commerce returns demands a strategic approach. So, let’s explore key strategies that empower e-commerce businesses to manage this area and foster customer satisfaction effectively.

Streamlined Returns Process

Simplicity and clarity are paramount in a successful returns process. One of the most common e-commerce mistakes is not clearly outlining refund and exchange policies. So, to avoid this issue, begin by designing an intuitive, user-friendly returns portal that guides customers through the process seamlessly. Furthermore, ensure you communicate return policies and timeframes, making them easily accessible on your website.

When returns are initiated, aim for efficient processing, with prompt communication to keep customers informed at every step. A streamlined process enhances customer satisfaction, reduces the burden on your team, and minimizes costs.

Accurate Product Descriptions and Imagery

Reducing returns starts with setting accurate expectations. Invest in high-quality product descriptions that leave no room for ambiguity. Utilize professional imagery that showcases products from various angles. Encourage customer reviews and feedback to provide authentic insights. When customers know what to expect, the likelihood of returns due to mismatched expectations decreases, bolstering your e-commerce success.

Quality Control and Packaging

Maintaining high-quality standards from your suppliers and conducting thorough quality control checks before shipping can significantly reduce returns due to product defects. Packaging is equally important – ensure items are well-protected and correctly labeled to prevent damage during transit. Investing in these aspects lowers return rates and enhances your brand’s reputation for reliability and quality.

Customer Support and Communication

Responsive customer support also plays a pivotal role. Ensure your support team is readily available to promptly address customer queries and concerns. Transparent communication throughout the process is essential. Keep customers informed about the status of their returns, processing times, and expected resolutions. You foster trust and loyalty among your customers by providing exceptional support and clear communication.

Data Analysis and Feedback Loop

Harness the power of data to identify trends and root causes of returns. Analyze return data to pinpoint recurring issues and areas for improvement. Implement a feedback loop that incorporates customer insights into your operations. Refine your processes based on data-driven feedback so you can proactively address issues, reduce return rates, and ultimately enhance the overall customer experience.

Technology and Automation

Modernize your e-commerce returns management with technology and automation. Implement software solutions that streamline this process, from efficiently initiating returns to restocking items. You can also leverage e-commerce platforms with built-in return management features. Automation is an excellent option for e-commerce businesses because it can help reduce human errors and ensure consistency in handling returns, ultimately saving time and resources. 

Reducing Returns Through Size Guides and Reviews

When it comes to fashion e-commerce, accurate sizing information is paramount. Provide detailed size guides and measurements to assist customers in making informed choices. Additionally, encourage user-generated reviews and photos that offer real-world insights into product fit and quality. Equipping shoppers with the tools and information they need can significantly minimize the difficulties stemming from sizing issues and enhance their confidence in purchasing from your store.

Post-Purchase Customer Engagement

Engaging with customers after they’ve made a purchase is another powerful strategy. Send personalized follow-up emails or messages asking for feedback and offering assistance. Provide valuable content and tips related to the purchased products. In addition, keep the connection alive by offering exclusive discounts or loyalty rewards. By staying engaged with your customers, you can address any issues early on, build trust, and minimize the chances of returns due to dissatisfaction.

Monitoring and Measuring Returns

To improve this aspect of your e-commerce business, you must measure the effectiveness of your strategies. Establish key performance indicators (KPIs) such as return rates, processing times, and reasons for returns. Regularly monitor these metrics to identify trends and areas for improvement. By setting benchmarks and analyzing the data, you can continually make informed decisions to optimize your returns process. 

Navigating the Returns Maze for E-commerce Success

Understanding and efficiently managing returns is pivotal. Inefficient e-commerce returns management can incur substantial costs, both financial and in terms of customer loyalty. By embracing streamlined processes, product accuracy, responsive customer support, data-driven insights, and modern technology, e-commerce businesses can effectively tackle returns, reduce their frequency, and foster a loyal customer base, ultimately ensuring long-term success.

Author bio

Anna Stevens is a seasoned e-commerce expert with a wealth of knowledge in online business operations. She brings her expertise from her role at Good Neighbors Moving Company LA, where she continually enhances operational efficiency and customer satisfaction in the moving industry.

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Learn how to improve your e-commerce returns management to boost customer satisfaction and reduce costly returns!

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E-Commerce Boom and Its Impact on Logistic Operations


The world of commerce has undergone a seismic shift in recent years, with the relentless rise of e-commerce. In this article, we delve into the profound implications this e-commerce boom has had on logistic operations. As online shopping becomes the norm, logistics has emerged as the unsung hero of the digital age, playing a pivotal role in ensuring goods reach consumers efficiently and on time.

The Challenges of E-Commerce Logistics

Last-Mile Delivery Complexities

In the realm of e-commerce, the final leg of delivery—the last mile—is often the most challenging. Navigating through congested urban areas and ensuring timely doorstep deliveries poses logistical puzzles that demand innovative solutions. Drone deliveries and autonomous vehicles are just a glimpse of the technologies reshaping the last mile.

Inventory Management in the Digital Age

E-commerce demands a level of inventory agility that traditional retail seldom does. Real-time inventory tracking and demand forecasting are now paramount. Warehouse automation and RFID technology are helping businesses stay ahead of the curve.

Seasonal Fluctuations and Demand Forecasting

Seasonal shopping peaks and unforeseen demand surges require logistics to adapt rapidly. Machine learning algorithms are being employed to analyze historical data and predict future buying patterns, enabling more agile supply chains.

Returns Management and Reverse Logistics

The convenience of online shopping has given rise to a corresponding surge in product returns. Efficient returns management and reverse logistics are now integral parts of e-commerce logistics, demanding sophisticated processes and infrastructure.

Technological Advancements in E-Commerce Logistics

Automation and Robotics in Warehousing

Warehouses are transforming into high-tech hubs. Automated robots are efficiently picking, packing, and even conducting inventory checks, reducing labor costs and enhancing accuracy.

Data Analytics for Demand Prediction

The power of big data is harnessed for predictive analytics. Algorithms crunch vast datasets to anticipate consumer preferences, allowing for proactive stock replenishment and optimized distribution.

Artificial Intelligence for Route Optimization

Logistics providers are harnessing AI to optimize delivery routes, considering factors like traffic, weather, and real-time demand fluctuations, ensuring quicker deliveries.

Blockchain for Supply Chain Transparency

Blockchain technology is elevating supply chain transparency to new heights. Consumers can trace the journey of their products from source to doorstep, fostering trust and integrity.

Sustainable Practices in E-Commerce Logistics

Eco-Friendly Packaging Solutions

The environmental impact of e-commerce packaging has raised concerns. Biodegradable and recyclable materials are being embraced, reducing the carbon footprint of e-commerce logistics.

Green Transportation and Carbon Footprint Reduction

Logistics companies are adopting electric vehicles and exploring alternative fuels to reduce emissions. The focus on eco-friendly transportation is in line with growing sustainability expectations.

Sustainable Warehousing Practices

Energy-efficient warehouses with smart lighting and climate control systems are becoming the norm. Solar panels and rainwater harvesting further exemplify sustainable warehousing.

The Global Impact of E-Commerce Logistics

Cross-Border E-Commerce and International Shipping

E-commerce transcends borders, making international shipping an everyday occurrence. Navigating customs regulations and ensuring timely global deliveries are now integral aspects of logistics.

Customs and Trade Compliance Challenges

As e-commerce connects buyers and sellers worldwide, customs compliance becomes paramount. Navigating intricate trade regulations requires expertise and precision.

Supply Chain Resilience in a Globalized World

Global supply chains, while offering vast opportunities, are vulnerable to disruptions. Robust contingency plans and diversified sourcing are critical for supply chain resilience.

The Evolution of Fulfillment Centers

Multi-Channel Fulfillment Strategies

E-commerce businesses often operate on multiple platforms. Streamlined multi-channel fulfillment strategies are essential for efficiency and consistency.

Micro-Fulfillment Centers for Urban Efficiency

In urban centers, micro-fulfillment centers are emerging to meet the demand for swift deliveries. Compact, tech-savvy hubs are reducing last-mile delivery times.

Dark Stores and Their Role in E-Commerce Logistics

Dark stores, or retail locations solely dedicated to fulfilling online orders, are reshaping logistics. They facilitate faster picking and packing, reducing delivery times.

The Importance of Customer Experience in E-Commerce Logistics

Timely Delivery as a Competitive Advantage

In the era of e-commerce, timely delivery is a competitive differentiator. Logistics that fail to meet delivery promises risk customer dissatisfaction and attrition.

Personalization and Customer Expectations

E-commerce logistics isn’t just about delivering products; it’s about delivering experiences. Personalization and catering to unique customer expectations are crucial for brand loyalty. 

This becomes especially vital in the context of fashion products, such as stylish leather pants, suits, jackets, and the like. Personalization has the potential to significantly impact customer satisfaction and loyalty, as it enables customers to feel appreciated and recognized in a competitive digital marketplace

Managing Customer Communication

Effective communication throughout the delivery process, from order confirmation to tracking information, is vital in managing customer expectations and building trust.

E-Commerce Marketplaces and Their Influence on Logistics

The Dominance of Amazon and Its Logistics Network

Amazon’s logistical prowess has redefined e-commerce. Its vast network, including fulfillment centers and delivery services, has set new standards for speed and efficiency.

Emerging Marketplaces and Their Logistics Models

As e-commerce diversifies, new marketplaces emerge with distinct logistics models. Understanding these models is essential for businesses seeking to expand their reach.

Independent E-Commerce Retailers and Their Unique Challenges

Smaller e-commerce players face distinct logistic challenges. Balancing cost-effective logistics with customer expectations is a constant juggling act.

The Future of E-Commerce Logistics

Hyperlocal Delivery and Instant Gratification

Consumers are increasingly expecting hyperlocal deliveries and instant gratification. Hyper-local fulfillment centers and real-time delivery tracking are poised to meet these demands.

Integration of Augmented Reality in the Supply Chain

Augmented reality is revolutionizing logistics training, maintenance, and even order picking. Its integration promises greater efficiency and reduced errors.

Sustainability as a Key Driver of Innovation

Sustainability isn’t just a trend; it’s a driving force behind logistic innovation. Businesses that prioritize sustainability are poised to lead in the evolving e-commerce landscape.


Adapting to the E-Commerce Boom: Key Takeaways for Logistics

In closing, the e-commerce boom has fundamentally transformed logistics. To thrive in this digital age, logistics operations must adapt, innovate, and embrace sustainability. The future of logistics is intertwined with the continued growth of e-commerce, and those who navigate these changes effectively will emerge as the leaders of tomorrow’s supply chain landscape.


e-Commerce: Last mile delivery india profit 8fig amazon logistics

Slowing E-commerce is Putting a Strain on Logistics 

E-commerce growth has slowed leaving pandemic-fueled firms in a bind. Blue Apron, American Eagle Outfitters, and Shopify are just a few of the companies that ramped up their logistics networks in 2020/21 with customers homebound and purchasing online. Amazon has been the gold standard in this arena, but few firms can achieve scale. Now that online commerce is back to pre-pandemic levels, delivering goods at the same speed to home after home is proving to be a strenuous undertaking. 

American Eagle was especially aggressive over the last three years having established a logistics subsidiary, Quiet Platforms, to facilitate increased demand. The company spent hundreds of millions of dollars to scale, eventually offering its services to similar and even rival retailers. Management reports that delivery costs were indeed streamlined, but the overall performance of Quiet Platforms in 2023 is not meeting expectations. As a result, the workforce has begun to undergo a trim.

A major component of the e-commerce ramp-up was the construction of last-mile delivery services. Namely, centralized systems, warehouses, sorting and loading solutions, and the corresponding transport to the customer’s residence. Buyers will always want their product as quickly as possible, but the most time-consuming and expensive part of the shipping process is the “last mile.” One estimate places 53% of the shipment’s total costs just on the last mile. Moreover, chain inefficiencies can result in up to 25% losses during this stretch alone. 

It took Amazon roughly two decades to build its logistics network. This spans trucks, planes, warehouses as well as the collaboration of FedEx and United Parcel Service. Yet even the Seattle behemoth has had to pull back on logistics growth in this challenging economic environment. Blue Apron is another example of a company that scaled rapidly during the pandemic. Their pre-measured meal kits with attractive and easy recipes were supported in great numbers by a slew of homebound clients. In the face of rising demand Blue Apron hired 1,200 new employees and opened two warehouses. Today sales are stagnant and Blue Apron is selling its logistics assets to a specialized firm. 

Shopify was another company seeking to rival Amazon during 2019 and 2020. They acquired two logistics firms but are now selling their fulfillment operation to Flexport. Shopify, like Blue Apron, is focused on the merchant experience and letting third parties handle the logistics. The pandemic demanded a strategic shift, but the shift back to pre-pandemic markets has been costly.  



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MyFBAPrep Expands eCommerce Warehouse Network to More Than 100 Warehouses & 85-Million-Square-Feet of Global Warehouse Space

MyFBAPrep, an eCommerce warehouse and logistics network, announced today that it has added an additional 70-million-square-feet of warehouse space to its existing network, bringing the total to 85-million-square-feet of warehouse space globally. The expansion brings the network to over 100 warehouses and a presence in key international markets including Mexico, Europe, the United Kingdom, and Canada.

The additions add depth to MyFBAPrep’s warehouse network, which is strategically located in major metros and allows merchants to leverage a comprehensive suite of eCommerce logistics solutions at a global scale. This suite of logistics and warehousing services includes Amazon 1P and 3P (FBA); DTC fulfillment with nationwide 1-2 day shipping; retail replenishment (B2B) including Walmart, Target, Amazon and grocery; storage; cold chain services; reverse logistics; domestic trucking; container drayage; and value-added services (VAS) including kitting, bundling, assembly and more.

Complementing its already robust network in the U.S. as well as in various countries across Europe, MyFBAPrep’s recent expansion also brings access to key new warehouses in the following international cities:

  • Toronto, Ontario (Canada)
  • Brantford, Ontario (Canada)
  • Montreal, Quebec (Canada)
  • Chilliwack, British Columbia (Canada)
  • Wrexham, Wales (United Kingdom)
  • Ipswitch, England (United Kingdom)
  • Preston, England (United Kingdom)
  • Bochum, North Rhine-Westphalia (Germany)
  • Manzanillo, Colima (Mexico)
  • Guadalajara, Jalisco (Mexico)
  • Nuevo Laredo, Tamaulipas (Mexico)
  • Altamira, Tamaulipas (Mexico)
  • Monterrey, Nuevo León (Mexico)
  • San Luis Potosí, San Luis Potosí (Mexico)
  • Heroica Veracruz, Veracruz (Mexico)
  • Lázaro Cárdenas, Michoacán (Mexico)
  • Mexico City, Mexico (Mexico)

Recently recognized ninth on the Inc Regionals 2023: Southeast list of fastest-growing companies, MyFBAPrep has had exponential growth since its inception in 2018, achieving more than an 8,000% growth percentage over the past three years. Like AirBnB connects travelers with vacant properties, MyFBAPrep matches top-tier eCommerce sellers with warehouses that can pick, pack and ship their products worldwide.

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8fig Launches “Freight with 8fig” to Bring Competitive Freight Rates to Ecommerce Sellers  

The new offering from 8fig provides ecommerce businesses with a complete freight solution at favorable rates and repayment terms

8fig, the funding and supply chain management platform for ecommerce businesses, has announced the launch of Freight with 8fig. The latest addition enables online sellers to manage their entire freight cycle from within the platform and benefit from competitive freight rates and repayment terms.

8fig provides optimized funding for ecommerce businesses based on a comprehensive planning platform for supply chains, marketing, and sales. The funds are disbursed incrementally according to each business’s needs to maintain the necessary cash flow for scaling.

Now, with Freight with 8fig, ecommerce sellers can benefit from a streamlined process of requesting and receiving quotes.

The launch of Freight with 8fig concludes a year of stellar growth for the company, which saw its user count soar by 440% and its number of applications grow by 2515% over the course of 2022.

For small-to-medium online retailers, it can take months or even years to build the payment history and trusted relationships needed for freight providers to agree to 60 and 90 day repayment terms and competitive freight rates. Freight with 8fig opens the door for independent sellers to benefit from such rates and terms from day one, and to pay directly using 8fig funds.

Like 8fig’s mobile app and Sales Dashboard, a free management tool that analyzes sales metrics to identify sales trends, track revenue figures, and benchmark against similar sellers – all in a single location – Freight with 8fig is now widely accessible to the ecommerce community selling in the US.

8fig continues to work on expanding its offering, with more features on the horizon that aim to help sellers manage their back office logistics and operations, including white-glove freight services and additional store analytics tools. Its goal, aside from bringing ecommerce sellers to 8-figure revenues, is to become a one-stop shop for ecommerce business management.

About 8fig

8fig is an ecommerce funding and planning platform that aligns continuous, adaptable capital to supply chain demands. Their innovative planning and funding technology was built by payment processing and supply chain risk management experts Yaron Shapira, Assaf Dagan, and Roei Yellin. 8fig offers growth plans combined with low-cost capital, sales forecasts, unit economics, and profit breakdowns for ecommerce brands to uncap growth and eliminate the cash flow crunch. The company has offices in Tel Aviv and Austin, Texas. For more information, visit

warehouse management You Need to Communicate Your E-Commerce Forecasting to Your Fulfillment Center

You Need to Communicate Your E-Commerce Forecasting to Your Fulfillment Center

Fulfillment centers need insights just as much as executives and investors. In the e-commerce space, there can be global operations for warehouses in a single location or hundreds. Regardless of the size of the enterprise, e-commerce forecasting can provide projections to organize inventory and improve a business’s reputation and revenue. 

Forecasting order quantity means efficient stocking and expedited deliverables. Curating long-term business relationships with departments packing and shipping your products — internal or external — is advantageous for continued growth and support. The best way to do this is by communicating the forecasts with the fulfillment centers to drive results.

The Significance of Understanding the Supply Chain

Every point during the supply chain is a variable. Each facet creates accurate forecasts, from third-party logistics to an internal fulfillment center that packs and ships goods. 

A business cannot just rely on last year’s sales numbers to create a comprehensive forecast. Expenses, outliers and unexpected scenarios must be considered for it to be sturdy. It’s crucial to communicate e-commerce forecasting to your fulfillment center because it can help you understand the variables in its step of the process:

  • Sourcing multiple materials puts deliverability at risk.
  • International merchants need to allot charges to process payments.
  • Overseas shipping creates delays in deliverables.
  • Businesses operating in your country may have higher production costs.

Fulfillment centers must know that most revenue comes from existing customer bases — this is the foundation for projecting accurate e-commerce forecasting. This grows as a company acquires new customers, creating exponential growth in the baseline for projections. Communicating this growth as it happens to fulfillment centers will help their momentum as your e-commerce business ages.

Forecasts will also help fulfillment centers become aware of your marketing strategies. This creates a more intimate relationship between fulfillment, analytics and marketing teams for the most effective satisfaction. This ties into their work, as owned audiences are people you could convert using free methods like email and social media marketing. 

Companies can make predictions about the success of these campaigns. It’s essential to consider paid acquisition methods such as unsolicited offers and conversion rates based on how much your teams are investing in marketing for your e-commerce.

The Challenges in E-Commerce Forecasting for Fulfillment

Considering all these participants equally will create more accurate data for your fulfillment centers, but it isn’t just about that initial forecast delivery. Communication includes when adjustments are made and new data is measured. The consumer market is not impossible to predict, but the one constant forecasters can rely upon is oscillations.

Sharing this information can help fulfillment centers prepare for dips and spikes in sales and inventory, but it is sometimes hard to adapt. However, it may become more commonplace if every company becomes aware of how e-commerce forecasting could help change fulfillment center productivity. Fulfillment centers could adjust by changing hiring methods or executing updated storage solutions based on these forecasts.

Demand forecasting will be the focal point of these adaptations, as the different variations detail diverse business outcomes:

  • Passive demand: Using past sales to predict future demand
  • Active demand: Using the competitive environment and production rapidity to predict demand and create growth plans
  • Long term: Focusing on a long time frame, usually more than a year, to help provide an exhaustive picture of seasonality patterns and output
  • Short term: Focusing on a single day or small time window, such as a holiday
  • Macro and micro: Analyzes outside forces that could potentially interrupt commerce, taking a micro or macro lens depending on the company’s objectives
  • Internal business: Analyzes internal assets to see if they can keep pace with demand, including staffing needs

Companies could tell their third-party or internal fulfillment centers there will be a severe increase in inventory. This could allow them to face that challenge by implementing new systems like automated warehouse picking or more useful order management software to streamline stock control.

Another challenge comes with the attainment of the forecast. Developing it can take time, as market research happens and experts create projections based on that insight. In the meantime, fulfillment centers that could become reliant on these projections to forecast order quantities may be waiting in limbo while it’s perfected. 

Imperfect, rushed or incomplete forecasts could mitigate the boom forecasts typically provide for fulfillment centers and decrease inventory expenses. So many available fulfillment centers have to juggle this, mainly if they house multiple e-commerce entities.

How Will the Forecast Order Quantity Help Your Fulfillment Center?

E-commerce forecasting can help fulfillment centers prepare for the busiest seasons — for some, that’s related to holidays and for others, it’s connected to trends. They must be all-encompassing, usually outlining more than the average number of units or a simple percentage increase over the previous year. What happens if a celebrity influencer stops endorsing your product and that affects sales — how will your forecast reflect this hurdle so fulfillment centers know how to acclimate?

A forecast also details promotions, sales and event fluctuations that could affect forecast order quantity. Depending on the scope, all estimates should gradually be developed immediately after the previous sales period. They should consider everything from competition to season, considering the type of products and the market available for them in the present.

Fulfillment centers will appreciate forecasts that clearly outline their company goals and standards, so they know inventory specs and what they can do to maintain a trusting relationship. Though it may be a third party or not, they have just as much, if not more, of an effect on customers than the business itself.  

Your fulfillment center will appreciate you communicating inventory needs and expectations. It will help them organize and remain compliant with contractual agreements, especially as they navigate an unprecedented demand increase for e-commerce fulfillment responsibilities. Better communication equals greater organization, leading to snappier shipping and better customer satisfaction.

It will also create accountability across sectors. Inconsistent data is a considerable issue in supply chains as products exchange countless hands. Communicating with fulfillment centers about expectations lets them report back with accurate information because it was from you, not a third party. It’s another set of checks and balances to ensure every item reaches its destination.

E-Commerce Forecasting for Fulfillment Centers

Creating a business that will survive in a sea of many means you must communicate your e-commerce forecasting to fulfillment centers. Improve customer loyalty by creating a solid forecast foundation. You can decrease financial risk because everyone is on the same page regarding sales expectations.

This will create strong business relationships, which is better for any bottom line and the customer who receives the package.


Alt tag: A well-run warehouse thanks to your efforts to optimize your eCommerce distribution center

How to Optimize Your eCommerce Distribution Center

If you want your eCommerce business to run as smoothly as possible, then your distribution center needs to work like a well-oiled machine. To this end, let’s take a look at how to optimize your eCommerce distribution center!

Work on optimal warehouse layout

The first step to optimizing your eCommerce distribution center is having a warehouse with an optimal layout! The organization of your warehouse has a lot of impact on how quickly your employees can work. If things are not properly organized, they may need to waste a lot of time transporting goods to and from trucks. That is why trucks should be capable of getting relatively close to the bulk of your goods. At the same time, make sure that the loading and unloading area is not located in a highly congested part of your warehouse. That’s just looking for trouble since it would only be a matter of time before someone gets hurt. These considerations should make it obvious why the warehouse layout is one of the main factors to consider when acquiring a new warehouse

Invest in employee training

As logistics experts like to point out, your employees are the lifeline of your business. Even when trying to optimize your eCommerce distribution center, this remains true. In reality, it is even more critical for your employees to have the required training. An untrained workforce performs tasks slower, and the chance of human error skyrockets. That may be fine in some other positions. Still, when you rely on them to pack, unpack and transport goods, errors typically result in damaged goods and hurt employees, which means that you suffer financial losses and a sudden decrease in the workforce. It is much better to invest your money into training instead and get consistent, reliable results. The increased competency will also do wonders for your optimization since everything will be done faster and more efficiently.

Emphasize packing efficiently

There are few tasks as troublesome for eCommerce distribution centers as packaging. Even the best warehouse management systems cannot perfect the process. Amazon, for example, relies on software that dictates which box and how much cushioning an item requires based on its pre-entered dimensions. And even such a sophisticated system produces errors when packing larger items when fully assembled, resulting in massively oversized boxes filled with insufficient cushioning. So, what you should emphasize to your employees instead is trying to pack efficiently. The training we’ve already recommended should help a lot on this front. Your employees can understand how much cushioning to use and the optimal box size for an item. Of course, in the end, a lot of experience will be required to get to the most optimal packing, but that’s the price of doing business.

Make sure everything is properly labeled and organized

Finding your way through a warehouse can be a frustrating experience. With familiarity, things get easier. However, as your business grows and you hire new employees, even with training, you can’t expect them to know everything. Similarly, your product catalog might change, necessitating changes in the warehouse organization. Even experienced employees can falter and take longer to find the right items.

For this reason, one of the best ways to optimize your eCommerce distribution center is to rely on the good old labels. Have your product placement areas marked out. And keep a chart of your warehouse with all the labels on it, too. That will let your employees easily navigate the facility and find everything they need during their workday, which should speed up the running of your warehouse significantly!

The right way to store your products

This one will take a bit more effort from your managers. But, there is an optimal way to store your goods. Namely, the popular and frequently bought items must be placed in the most easily accessible areas. On the other hand, the less popular products can be placed further in the back. This way, your employees will need to waste a lot less time fetching and packaging the items they are likely to handle most often. And you can take one step further to the most optimal working of your warehouse you can achieve!

Make use of the right software

If you take the time to learn about the world of logistics, then our final advice on optimizing your eCommerce distribution center might seem obvious. Namely, the use of automation and management software! The right software makes everything so much easier. It speeds up the data gathering and analysis processes and provides optimal solutions to your problems. It can perfectly organize your delivery and shipping schedules and even offer insight into the optimal organization of your warehouse’s goods. In other words, it is always wise to invest in software!

Final comment

Even knowing how to optimize your eCommerce distribution center, you will not be able to perfect things overnight. Almost every piece of advice we’ve offered here takes time to implement, especially regarding employee training! It will take time before your business is genuinely optimized, but it will be worth the effort.

Author bio

Connor Welkin has worked as a warehouse and storage facility manager and has extensive logistics experience. He also closely works with the moving experts from to meet all their storage needs.


Is your Ecommerce Caught Between Delivery Delays and Voided Service Guarantees? Strategies to Survive this Situation.

The pandemic has disrupted ecommerce businesses in unique ways. While a few ecommerce stores went bust, others doubled their revenue overnight. Regardless the parcel volumes continue to soar. The parcel volumes are so high that even major shipping carriers like FedEx and UPS are overwhelmed. For example, FedEx alone saw a 35%-40% increase in B2C deliveries. An unprecedented rise in shipments has forced both the carriers to resort to undertaking stringent actions.

Carriers Suspend Service Guarantees

FedEx and UPS have suspended money-back guarantee for ground and priority services. Let’s take a minute to understand what this means for merchants. An escalation in order volumes directly impacts the carrier’s on-time delivery performance. It is almost a given that merchants will experience a minimum of 20% increase in delays. An explosion in sales, impatient customers, and shoddy delivery experience. Add to it, COVID uncertainty and unaccountability resulting from voided service guarantees. Sounds like a disaster in the making?

When delays are imminent

With the growing volume of residential deliveries clogging their network, carriers may redirect traffic to relieve congestion. Suspension of guarantees also means that FedEx or UPS can switch your priority shipments to lower-cost ground mode without notice. Expect more delays for overnight and priority shipments. While you pay for a premium service there is no way you can hold carriers accountable.

Watch out for COVID-19 Surcharges

In order to mitigate the strain on their delivery network, UPS followed by FedEx has come up with peak volume surcharges. A $30 surcharge as additional handling charges and $0.40 for services like FedEx SmartPost or UPS surepost. But the surcharge that retailers must be most concerned about is the residential area surcharge. A surcharge of $0.30 will be levied on all orders that are to be delivered to residences.

Strategies to survive

The disastrous combination of delivery delays and rising shipping costs can ruin your sales revenue. It is crucial to take steps to mitigate the impact of COVID on your shipping costs as well as customer experience.

Here are a few strategies to follow:

1. Re-negotiate your shipping contract: UPS or FedEx can’t spring a surprise charge. Especially during these trying times. Work through your shipping profile to figure out the impact of these charges on your costs. Negotiate with your FedEx or UPS rep and draw up a special contract for the COVID situation.

2. Consider charging for order delivery: Free and fast delivery has been your brand’s USP. However, if including a shipping fee helps your business stay afloat, don’t shy away. Don’t let the additional surcharge eat into your profit margin.

3. Delays should not deter you: Factor in for delays while revisiting the estimated date of shipments on your shipping page.  Communicate well in advance to your customer support team. Mention the changes to delivery times due to COVID On your home page.

4. Over-communicate with your customers: Let your customers know at all times where their package is. Stay on top of your orders at all times. Act quickly in case of a delivery exception.

5. Audit your invoices: Businesses are slashing all the excess spending. As for ecommerce, you should start by auditing your shipping invoice. It is more critical than ever to examine each and every line item on your invoice. This can help you save 10%-12% of your shipping costs.

The peak volume surcharges and service guarantee suspension are supposedly temporary. When things go back to normal, FedEx and UPS are likely to reinstate these service guarantees. However, with no clear timeline in businesses must prepare to navigate the status-quo as long as it lasts.


Simon Perkins is a Shipping Cost Management expert at, a real-time parcel monitoring and AI-powered audit service that provides businesses with deep shipping intelligence and actionable cost recovery insights.