What factors need to be considered in the choice of warehousing outsourcing?

Nowadays, many e-commerce sellers prefer order fulfillment center, but what factors need to be considered when choosing your new warehousing partner? Here we have listed some major factors for your reference.

  • Charging Standard

The charge standard of fulfillment center can be divided into two categories:

The first category is to carry out the charging standard according to the actual operation volume (warehouse receiving, delivery, storage, return, etc.). And the other type is based on the cost of resource consumption and development contract (the total area of the application warehouse, the total number of staff, equipment depreciation, consumables, etc.)

  • Process Control and Management Data

It is necessary to carefully investigate the process optimization documents of your potential warehousing partner to evaluate its standardization and work ability. For example, you can obtain a general idea of them through website visiting. You can also pretend to be a new customer to test them. Generally speaking, the will show you some files about their enterprise profile and fulfillment performance, which cover their process control and management methods.

  • Execution Capabilities

In addition to the marketing plan, the execution ability is also a very critical part. It is necessary to fully grasp the work flow of third-party warehouse and outsourcing enterprises, especially the steps at the level of purchase, marketing, accounting supervision, etc. A qualified warehouse should work out the practical plan.

  • Humanized Marketing Plan

Customized business planning of a Chinese order fulfillment center is an indelible aid. You can evaluate its professional skills and value according to their marketing plan. Furthermore, a fulfillment center with strong market sensitivity will create a more valuable plan, which means they can provide more benefits for you.

In a nutshell, China fulfillment services is appreciated by more and more e-commerce companies, especially the Amazon and Shopify seller. Therefore, detailed investigation is a wise choice for everybody who wants to find an ideal expert of drop shipping, packing, china sourcing, third party logistics, etc.

How dose 3PL work?

How dose 3PL work

Third-party logistics(3PL) providers typically specialize in integrated operations of warehousing and transportation services that can be scaled and customized to customers’ needs, based on market conditions, to meet the demands and delivery service requirements for their products. Services often extend beyond logistics to include value-added services related to the production or procurement of goods, such as services that integrate parts of the supply chain. A provider of such integrated services is referenced as a third-party supply chain management provider (3PSCM), or as a supply chain management service provider (SCMSP). 3PL targets particular functions within supply management, such as warehousing, transportation, or raw material provision.

The global 3PL market reached $75 billion in 2014, and grew to $157 billion in the US; demand growth for 3PL services in the US (7.4% YoY) outpaced the growth of the US economy in 2014. As of 2014, 80 percent of all Fortune 500 companies and 96 percent of Fortune 100 used some form of 3PL services.

Third-party logistics providers include freight forwarders, courier companies, and other companies integrating & offering subcontracted logistics and transportation services. Hertz and Alfredsson (2003) describe four categories of 3PL providers:

Standard 3PL Provider: this is the most basic form of a 3PL provider. They would perform activities such as, pick and pack, warehousing, and distribution (business) – the most basic functions of logistics. For a majority of these firms, the 3PL function is not quite their main activity.
Service Developer: this type of 3PL provider will offer their customers advanced value-added services such as: tracking and tracing, cross-docking, specific packaging, or providing a unique security system. A solid IT foundation and a focus on economies of scale and scope will enable this type of 3PL provider to perform these types of tasks.
The Customer Adapter: this type of 3PL provider comes in at the request of the customer and essentially takes over complete control of the company’s logistics activities. The 3PL provider improves the logistics dramatically, but does not develop a new service. The customer base for this type of 3PL provider is typically quite small.
The Customer Developer: this is the highest level that a 3PL provider can attain with respect to its processes and activities. This occurs when the 3PL provider integrates itself with the customer and takes over their entire logistics function. These providers will have few customers, but will perform extensive and detailed tasks for them.[4]
Outsourcing may involve a subset of an operation’s logistics, leaving some products or operating steps untouched because the in-house logistics is able to do the work better or cheaper than an external provider.[5] Another important point is the customer orientation of the 3PL provider. The provider has to fit to the structures and the requirements of the company. This fit is more important than the pure cost savings, like a survey of 3PL providers shows clearly: The customer orientation in form of adaptability to changing customer needs, reliability and the flexibility of third-party logistics provider were mentioned as much more important than pure cost savings.

First party logistics providers (1PL) are single service providers in a specific geographic area that specialize in certain goods or shipping methods. Examples are: carrying companies, port operators, depot companies. The logistics department of a producing firm can also be a first party logistics provider if they have own transport assets and warehouses.

Second-party logistics providers (2PL) are service providers which provide their specialized logistics services in a larger (national) geographical area than the 1PL do. Often there are frame contracts between the 2PL and the customer, which regulate the conditions for the transport duties that are mostly placed short term. 2PLs provide own and external logistics resources like trucks, forklifts, warehouses etc. for transport, handling of cargo or warehouse management activities.Second-party logistics arose in the course of the globalization and the uprising trend of lean management when the companies began to outsource their logistics activities to focus on their own core companies. Examples are courier, express and parcel services; ocean carriers, freight forwarders and transshipment providers.

The most significant difference between a second party logistics provider and a third-party logistics provider is the fact that a 3PL provider is always integrated into the customer’s system. The 2PL is not integrated; in contrast to the 3PL, it is only an outsourced logistics provider with no system integration. A 2PL works often on call (e.g. express parcel services) whereas a 3PL is almost every time informed about the workload of the near future. As technology progresses, the methodology for notifying a 3PL of inbound workload usually falls on API integrations that connect, for example, an E-commerce store with a fulfilment center. Another point that differs 2 and 3PL is the specification and customizing of services. A 2PL normally only provides standardized services, whereas 3PLs often provide services that are customized and specialized to the needs of their customer. This is possible due to long term contracts that are usual in the third-party logistics market. Cost-effectiveness of a third-party logistics provider is only given over long periods of time with stable contract and profits. In contrast to that second party logistics services can’t be customized, concerning to the fluctuating market with hard competition and a price battle on a low level. And there we have another distinguishing point between 2PL and 3PL: Durability of contracts. 3PL contracts are long term contracts, whereas 2PL contracts are of low durability so that the customer is flexible in responding to market and price changes.

With companies operating globally, the need to increase supply chain visibility and reduce risk, improve velocity and reduce costs – all at the same time – requires a common technological solution.[10] Non-asset based providers perform functions such as consultation on packaging and transportation, freight quoting, financial settlement, auditing, tracking, customer service and issue resolution.[11] However, they do not employ any truck drivers or warehouse personnel, and they don’t own any physical freight distribution assets of their own – no trucks, no storage trailers, no pallets, and no warehousing. A non-assets based provider consists of a team of domain experts with accumulated freight industry expertise and information technology assets. They fill a role similar to freight agents or brokers but maintain a significantly greater degree of “hands-on” involvement in the transportation of products. These providers are 4PL and 5PL services.

A fourth party logistics provider has no owned transport assets or warehouse capacity. They have an allocative and integration function within a supply chain with the aim of increasing the efficiency of it. The idea of a fourth-party logistics provider was born in the seventies by the consulting company Accenture. Firms are outsourcing their selection of third-party logistics provider and the optimization process of the integration of these to a PL as an intermediary. That reduces costs and the 4PL have to have an overview of the whole logistics market to choose the ideal 3PL for all operative logistic activities. For being able to provide such an ideal solution fourth-party logistics providers need a good knowledge of the logistics branch and a good IT infrastructure. A fourth party logistics provider selects the 3PL providers from the market which are most suitable for the logistical issues of their customer. Unlike the allocative function of a 4PL in the supply chain, the core competence of a 3PL provider is the operative logistics.[12]

Fifth party logistics providers (5PL) provide supply chain management and offer system-oriented consulting and supply chain management services to their customers. Advancements in technology and the associated increases in supply chain visibility and inter-company communications have given rise to a relatively new model for third-party logistics operations – the “non-asset based logistics provider.

What You Are Relying on, is Our Specialty

Companies partner with us to streamline their fulfillment needs, maximize their customer satisfaction and drive the next business growth.

From a technology perspective, the 3PL landscape is evolving. Historically, 3PLs could compete by supporting and operating a facility that leveraged their clients’ warehouse management system (WMS). Today they are expected to offer not just the operational expertise, but also the building, multiple WMS solutions, and technology that offers their clients’ a competitive advantage–a turnkey solution with appurtenance. This shifting landscape forces many 3PLs to operate both internally and externally owned WMS solutions and manage both digital and paper-based documentation in response to their clients’ vastly differing needs. Forming the new paradigm are demands for API based integration services, flexible rapid deployment WMS solutions at multiple price points, automation and labor reduction through disruptive technology, and complementary supply chain products that digitize the supply chain–all of which must be scalable and supportable on a global playing field. As the number of systems 3PLs are required to offer clients, and ultimately support, grows, so does their clients’ desire for real-time visibility to data and information about their product and service levels. This is causing 3PLs to take a closer look at complementary software that can be deployed across a myriad of systems, within their network, in order to consolidate the disparate data and documentation while providing different slices of that information to the diverse set of interested person as.

Chinadivision is now conducting a 3PL innovation, new customers and regular customers has benefited from our expending.

You expection is our goal, and by achiving this common goal, we strengthed our business relationship.

7 Tried-and-Trusted Black Friday Marketing Strategies

You’re likely looking for new ways to increase your Black Friday sales. Maybe you designed a few popups and already scheduled some emails.

But you’re also aware that your competition is doing the same.

Whether it’s the Black Friday, Cyber Monday, or Christmas sale you’re planning, there are always quick wins you can apply to stand out among competition this year. Make sure to trigger urgency and scarcity with your Black Friday marketing, but don’t drive your prospects into a panic like many e-tailers do.

If you want to make a difference this year, try these seven lesser-known strategies that only the best e-commerce marketers know about.

1. Experiment with Timing

The problem with many online stores’ Black Friday strategies is that they’re too predictable.

While there’s nothing wrong with being consistent and setting expectations, the situation is more tricky for Black Friday. chinadivision

Consumers become numb during the shopping weekend because they receive the same type of marketing messages over and over again.

This year, try changing your timing—slightly or dramatically—so your messages don’t get lost among a million other distractors.

How early or late should you be? That’s up to you.

2. Make Your Sale Memorable

Your online store may have the best deals and the fastest delivery options. But you won’t be the only one making these claims.

While every single e-tailer is competing for your prospects’ attention, the competition gets even more fierce during Black Friday.

It’s not easy for consumers either. They have to navigate through different stores, make comparisons, and create shopping lists so that they can buy their favorite items before they sell out.

This is a great opportunity for you to stand out and make your e-commerce site memorable on Black Friday.

3. Use the Element of Surprise

Surprises are exciting, but they’re also a powerful marketing tool when used right.

While every other online store kills the element of surprise by adding their Black Friday discounts to their subject lines, there are a handful of successful e-tailers that know the magic of surprises.

Those are the brands that stand out in busy Black Friday inboxes and get their emails opened.

4. Offer More Benefits

You might be thinking that Black Friday is only about discounting.

You’re right to an extent. Consumers are expecting a compelling discount during the Black Friday weekend, but that’s not all.

If everybody is discounting their products, what makes you different?

Black Friday is a good time to go beyond discounts and offer more benefits to your customers, such as free shipping, returns, or bonuses.

5. Make Your Subject Line Stand Out

Black Friday is not a battle of discounting, it’s a battle of attention.

If you want to win this battle, your first goal should be getting noticed in your subscribers’ inboxes.

And you know by now that crafting well-written email subject lines is the first condition to it.

6. Redefine Black Friday

Almost every brand approaches Black Friday the same way these days: Discount your products, send a promotional email, and wait for the results.

But there’s a reason why e-tailers like Chubbies win Black Friday: They go above and beyond to redefine Black Friday.

As a part of the long shopping weekend, Chubbies owns Cyber Monday and turn it into a branded day that they call “Thighber Monday.”

Besides being fun and memorable, they offer customers gifts on this day.

7. Tease Your Next Campaign

As I mentioned before, Black Friday starts long before the Friday. But it also doesn’t end on Friday.

If you want to make the most out of the holiday shopping season, try teasing your next big shopping day when Black Friday ends.

You can already start promoting Cyber Monday, Christmas, or a local holiday and hint that a compelling offer is around the corner.

Get the Best Prices on Black Friday

1. Don’t buy full price

This year, there is a shorter peak holiday season, with only 26 days between Thanksgiving and Christmas compared to 32 days in years past.

That means retailers are are clamoring for your business. They need us to shop with them — every single day counts, and that’s good news for shoppers because it means stores are willing to offer discounts and promotions.

There are lots of ways to save and you should, quite frankly, never pay full price around the holiday season. This can come in a variety of forms, from free shipping codes, promo codes, coupon codes to cashback offers.

2. Do your research

The best way to remedy that is to do your homework and look through Black Friday and Cyber Monday ads in advance and compare the advertised prices and promotions.

For example, if you have a list of items you’d like to buy, you can do some research online. You can even go shopping and scout out what you’re hoping to buy and just track the price every couple of weeks.

Some stores will even price match during Black Friday season, so it’s worth looking into the policies if you’re debating between several stores. There are lots of places that are offering incentives and promotions to get shoppers to shop with them. So find that place and then make your purchase.

There’s even a Black Friday calculator, where you can plug in the type of promotion, the original price and the discount. From there, the calculator will tell you if the deal is worth considering.

3. Strategically abandon your cart

When you’re shopping online and not finding any discounts, it may help to close out of your browser without buying anything and wait a few hours. In other words, abandon your cart.

In an hour, two hours, or sometimes 24 hours, you may get an email from the store with a subject line like: “We noticed you left a few things in your cart. Here’s a 10% off coupon on us to help you check out.” Skirboll calls this a “sneaky” trick to save money, but it works well with retailers where you frequently shop. Keep in mind that you need to be logged in for this to work.

When it comes to using the “abandon your cart” approach during Black Friday and Cyber Monday sales, make sure that you keep track of when a promotion period ends. If you haven’t received any additional coupons via email and the sale is about to end, you may want to check out other stores or simply move forward with the sale price you already have.

4. Download apps and browser extensions

If you’re looking to automate your Black Friday and Cyber Monday experience a bit this year, consider downloading some apps for your smartphone and browser extensions that plug into your internet browser and alert you to cheaper prices and deals.

5. Shop after the sale days end

Only about a third of Americans plan to shop on Black Friday, according to PwC’s report. In fact, over half say they will wait until the week after Black Friday to complete their holiday shopping.

You may be able to find better deals on certain items after Black Friday and Cyber Monday end. For example, Skirboll recommends shoppers avoid buying any fitness equipment or linens until January, since that’s the time when those products tend to have bigger sales.

The Importance of Keeping Update of Your Blog Content

Time is the enemy of many blogs. So, creating updated content is the single biggest way to be different. Not all content will become outdated if it’s evergreen. But, it depends on the industry. For example, the SEO industry changes at a rapid pace. Marketing in general is always changing and there are always new mediums emerging. Content gets outdated. When you find outdated content, there’s opportunity. The most obvious plan of attack is to create an updated piece of content, but that’s not all:
You must create an updated piece of content that blows the other one out of the water. Don’t play nice when it comes to helping the user. It is a competition to see who can help the user more.

content marketing is competitive in the entrepreneur, SEO, and marketing industries.
As long as you have the intention of helping someone, it will improve the value of your website. The moral of the story is that your content needs to help people reach a goal or solve a problem. That means your content must please the user. The internet-age is User-Centric, your focus should always be “what can I do right now to help my prospective customers or readers?”Another thing is, Your content should be so good that your competitors don’t even attempt to beat it. that is the depth of your contents. And last thing but not the end is, you must keep your content creative and unique. Rehashed content won’t earn you backlinks. you’d better use ideas that are already validated. This will increase your content’s chances of success. And here comes to the last step, is to promote your content. It is the most simple way but people don’t really know how important it is, get it done now! to make your content read more and more.

ChinaDivision–Find Out What Order Fulfillment Center You Need

Order fulfillment is a critical component to your overall business operations. If you are experiencing signs that reveal your current eCommerce fulfillment operations are in trouble, it’s time to Get Smart About Your eCommerce Fulfillment Center.

1. Define Your Short-term and Long-term eCommerce Goals

Evaluating your current eCommerce fulfillment center will help identify areas of improvement that can be accomplished in the short-term and the long-run.

Short-term goals for your operations may include:

  • Cutting down on shipping times and shipping costs
  • Improving order accuracy and reducing returns
  • Decreasing customer support response times

Long-term goals for your business may include:

  • Lessening the strain on internal departments (accounting, customer service, and operations)
  • Expanding fulfillment operations into multiple facilities (ex. east coast and west coast)
  • Expanding product line to allow for additional SKUs and inventory

Discuss these items with your potential fulfillment center to determine the timelines for implementing solutions that will best support your goals and continued business growth.

2. Evaluate the Fulfillment Provider’s Expertise within Your Market Niche

Although eCommerce retailers often get lumped into one group, there is a huge amount of diversity in the types of products sold over the internet and their fulfillment needs. Ask your potential eCommerce fulfillment center about the industry verticals they pick, pack and ship. If you have a specialized product or need customized fulfillment processes, look for providers with similar clients. Many eCommerce fulfillment centers are specialized with robotics and equipment designed to handle specific types of products. Asking the right questions will help you identify both strengths and weaknesses.

For example, Warehouse A works closely with clothing retailers, Warehouse B works closely with large, heavy goods, and Warehouse C works mostly with small electronics. Each of these eCommerce fulfillment centers will be likely to have greater know-how on special handling of their serviced market verticals. Each warehouse will be better equipped to store the different types of products. For example, hanging storage for clothing, ample storage for large goods, or secured storage for high-value electronics. In addition, the employees will have experience with handling and packaging your products with greater efficiency than an inexperienced firm.

3. Select a Fulfillment Provider that Aligns with Your Vision & Values

The mission of a company will often provide clues regarding the future success of your business partnership. When choosing a fulfillment center, focus on creating a long-term partnership that will benefit both parties.

Look to partner with an order fulfillment company that has a business model built around principles such as continuous advancement, professionalism, and maximizing customer satisfaction reassures your best interests will be looked out for.

4. Assess the Level of Flexibility and Personalization Available

This is important, especially for growing businesses whose business model evolves over time. Determine the extent to which accommodations can be made as your business evolves and your order fulfillment needs change.

Not all fulfillment centers are capable of accommodating changing needs on short notices, something which is crucial for growing businesses. Large-scale facilities with streamlined operations and abundant resources can better handle stressful situations that will help your growing business succeed.

5. Confirm the Provider’s Levels of Customer Support and Communication

Your first interactions with a provider will give you a glimpse as to what it will be like working with them further down the road. During your inquiry or quote, keep the following questions in mind:

  • How quickly did you receive a response?
  • How knowledgeable was the representative in answering your questions?
  • Did the fulfillment provider take the time to get to know your business?

Open and proactive communication is key to a successful transition and managing day to day operations. Having a dedicated client support team committed to providing expert support tailored to your business will make all the difference in a truly successful partnership.