How to Make the Most of the Order Fulfillment Warehouse?

From our previous customer surveys, we can find that many e-commerce sellers are curious about the warehouse planning rules. How are order fulfillment warehouses planned to increase the operating speed?

1. Divide the warehouse into specific operating areas for picking, unloading and packing, which can facilitates employees to complete their work quickly.

2. The door inside the warehouse should be opened outwards, and the effective area of the warehouse should be used reasonably.

3. While reducing the channel space in the warehouse as much as possible, ensure the smoothness of the in and out channels to ensure that the stacking of goods will not affect the operating efficiency of the employees in the warehouse.

4. While ensuring safety, increase the stacking height of goods.

5. Make reasonable use of walls and shelves, and wrap the columns in the e-commerce cloud warehouse so that the columns will not block the access.

6. Try to ensure that the route of goods in and out of the warehouse is one-way and straight, and minimize the tortuous passage. Besides, please avoid inefficient operations like reverse movement.

7. The storage of goods should be placed in a position that is convenient for loading, unloading, warehousing and extraction.

8. Set up a separate safe passage for the warehouse, and at the same time ensure that no debris can be stacked in the passage, and ensure that the passage is unblocked at all times.

9. The warehouse is equipped with standard fire-fighting facilities, and the distance between each product area is in line with industry standards.

10. Set up safety protection measures such as fire extinguishers, smoke alarm systems and anti-theft alarm systems.

11. Set up ventilation and exhaust channels to ensure the normal circulation of air.

Is Chinese drop-shipping still profitable in the Post-COVID World?

Are you an Amazon seller? How do you handle the delivery? Fulfill the order by your own warehouse or with the help of a drop-shipping company? More and more e-commerce sellers tend to cooperate with order fulfillment company in the last few years. However, some entrepreneurs begin to wonder if this is a good option in the Post-COVID World. So what is the truth? China Division will discuss this question with you in today’s blog.

Order Fulfillment is the process of storing, packaging and shipping e-commerce items. A drop shipping company needs to keep items on display in a physical brick and mortar store or provide a hard copy or online product catalog to enable customers to review items before purchasing. But influenced by COVID-19 and freight increases, is it a beneficial choice for the e-commerce companies?

We can find some reasons by tracing its history back at least to last century.

In 1984, China Post launched China’s first express service, which was the very first step about developing China’s express industry, as well as the drop shipping. In 2018, 507 million parcels were delivered, express courier companies in China on average provided services for 280 million people in a single day. 78.9% of the parcels were delivered within 72 hours. China’s courier companies have ranked first in the world in terms of processed volume for five consecutive years. Over the past 70 years, China’s logistics has embraced a large quantity of progress. In short words, these development brings much more capabilities and possibilities for the Chinese drop shipping.

In addition, many overseas order fulfillment agencies and offline stores had closed for COVID-19. At the same time, China had recovered from this epidemic gradually, which means we can arrange more and more workers and resources for the orfer fulfillment. So you can choose a Chinese third-party logistics company to enjoy more advantages in this banner year for catastrophe.

How Much Do You Know about the Cooperation Modes with Warehousing Companies?

It is reported that many e-commerce sellers have chosen order fulfillment warehouse to transfer warehousing and delivery. Have you ever figure out the following models with e-commerce warehousing and 3rd party logistics companies?

  • All-inclusive

 For some small and medium-sized e-commerce sellers who are not very large in scale, due to the small number of orders and the small number of products, the cost of operating and maintaining self-leased warehouses is a bit too large, and the price of express delivery will be relatively high, which greatly increases The overall operating cost. So choosing to outsource all warehousing and delivery to e-commerce warehousing logistics companies is undoubtedly a wise choice. For such small and medium-sized sellers, the savings are far more than just the cost and price, but also the energy and time costs.

  • Partial Outsourcing A

This model often appears when some large e-commerce promotions are coming, such as Christmas carnival and Black Friday. During large-scale promotional activities, many e-commerce companies will have insufficient staff and excessive orders. Then this part of e-commerce sellers may choose to cooperate with third-party warehousing and logistics companies for delivery, and deliver some of the hot-selling products in the warehouse to the e-commerce warehouse to ensure the timeliness of delivery and warehouse management, so as to give the store bring more benefits.

  • Partial Outsourcing B

Part of the outsourcing mentioned this time refers to the e-commerce sellers outsourcing some of the popular products or new products to a third-party warehouse during the non-big promotion period, helping themselves to share part of the pressure, or through this partial outsourcing method. Test the service quality of the warehousing logistics company, and after the expected cooperation effect is achieved, consider putting more goods into the third-party warehouse.

As for those e-commerce sellers who do not choose outsourcing service, in most cases they have large enough or small enough scales. On the one hand, they have enough economic capital and ability to build warehouses, and they have close relationships with express logistics companies. There is no need to worry about high costs and insufficient energy for the cooperation; On the other hand, because their scale is small enough, the number of orders and the products are small, there is no need to rent warehouses and hire people to assist. Generally speaking, just a few people can be handle all the work.