Ecommerce Order Fulfillment Services

Another option is a partnership, which provides a low-cost way to start an online retail business. However, it's important to keep in mind that this option can be difficult for taxation purposes.

When choosing an e-commerce fulfillment provider, the three main factors to consider are cost, speed, and customer experience. Customers expect their orders to arrive as quickly as possible, but you also don’t want to greatly reduce your profit margin by absorbing over-the-top shipping costs. You also want to provide a good customer experience, and failing to do so could cost you lost customers. That’s why it’s crucial to find a happy medium between costs, speed, and customer expectations.

"RSL has experienced exceptional growth and development over the past 20 years," said Michael Manzione, President and CEO. "Moving forward, our focus will remain on offering all eCommerce retailers order fulfillment services that meet today's consumers' high expectations, such as next-day delivery and hassle-free returns."

North America is also projected to exhibit a strong CAGR from 2022 to 2030. The growth is characterized primarily by the presence of key market participants in the region, such as Red Stag Fulfillment, Shipfusion Inc., and Amazon.com, Inc., among others. Greater adoption of automation technologies for efficient management of fulfillment services has won the trust of e-commerce companies in the region, leading to market growth. Moreover, after China, the U.S. has emerged as the second-largest market for online sales globally, driving the demand for fulfillment services.

The global e-commerce fulfillment services market size was valued at USD 86,449.97 million in 2021 and is expected to grow at a compound annual growth rate (CAGR) of 9.5% from 2022 to 2030. The proliferation of electronic commerce and the resulting rise in the number of online buyers, especially in emerging economies is anticipated to fuel market growth. Fulfillment service centers enable online merchants to outsource services including bundling, warehousing, shipping, and other value-added services, such as return management and urgent parcel service. A fulfillment center is ideal for merchants that do not have robust warehousing capabilities to manage inventory directly and do not want to invest additional efforts in shipping.

"RSL works collaboratively with its clients to assess their fulfillment and shipping needs and leverage RSL's facility and carrier network in the most effective manner possible to meet consumer demand." Manzione said. "RSL's newest product is Xparcel Expedited, a ground-breaking, cost-effective shipping solution that provides 2-5 day transit times with lower costs, allowing small to mid-size eCommerce retailers to compete with larger brands."

First, is the staffing adequate to take care of customers who have actually driven to the store to buy something, on top of processing e-commerce goods? Second, are assortments on seasonal goods starting to break (as they should about a week before Christmas), making it more difficult to fulfill web orders? Finally, are the logistics of getting goods from random store locations to the customer more difficult to coordinate with the big carriers?

Finding free shipping has always been desirable; nothing much has changed over the years. It’s highly recommended that retailers review their shipping policies annually as well as in advance of the fourth quarter holidays. Decisions will impact the perception of the retailers and could be an important factor in driving conversion as we have learned. Perceptions aren’t likely to change, so being prepared and using free shipping tactically throughout the holidays can keep the bottom line in check and shopper satisfied, which is a win-win for all.