There may not be a bell ringing every time a customer walks in the door, but brick and mortar retailers are sounding the alarm and sprinting to the nearest exit to take their product catalog online.
Times-they-are-a-changing and retailers are embracing the digital world, but not all brick and mortars are feeling equipped to expand to an unknown channel. For those of you either struggling with the transition, ready to go online, or looking for validation that you’ve thought of everything, here are some dos and don’ts to ensure ecommerce success.
WHEN GOING ONLINE, DO…
Choose Your eCommerce Platform Wisely
There are a myriad of solutions out there and each platform has its own pros & cons, but you have to weigh a few different factors in your vetting process: budget, internal resources, needs, and technical appetite. We typically recommend one of these big three: Magento, BigCommerce, or Shopify.
Make Sure Your Customer Service is On Point
Offline goes offline, but online never goes offline. Brick and mortars eventually turn off the lights, but ecommerce sites don’t. Part of their appeal and allure is their ability to always be selling, so it’s critical that you don’t skimp on a customer service response plan. Make sure that you always give your customer an outlet to reach out to you – be it live chat, a phone number listed on the site, or clear documentation of store hours.
Get Customers their Product How They Want It
As Journey famously felted out, “Any way you want it, that’s the way you need it.”
As retailers expand from in-store to online, it’s important to do all you can to create a seamless experience between the two channels while giving the customer options, knowing your customers are busy.
Whereas they might love to do their browsing from the comfort of their own home, they may prefer to get their hands on the product before it makes it home and take advantage of buy online, pick up in-store (BOPUIS). As commerce decreases in-store and increases online, the retailers seeing this as an opportunity, rather than a challenge, should reap the rewards. The chart below from GA Javelin shows the current trending data to support this shift.
Integrate Your Marketing Automation Platform / Provide Personalization
Leverage an increased amount of data intelligence and customer insights to deliver more relevant, timely content on a preset cadence. It’s significantly more challenging, if at all possible, to capture the intricate data points offline available to us online, and very rarely do you get access to so many data points for a single customer record.
This is something we put a huge premium on here at Groove, so we developed HubShop.ly – an app dedicated to connecting data from leading ecommerce platforms to HubSpot, our marketing automation engine of choice.
We stress delivering the most poignant of consumer experiences, and leverage these insights from HubShop.ly to deliver more value to customers when, where, and how they want it. But don’t fall into the trap that many etailers do – forgetting to pay it forward and share those same insights with the retail team.
WHEN GOING ONLINE, DON’T…
Slack on Product Photography
There are products that sell themselves on touch, taste, smell, or sight – and this is among the most difficult to replicate online. Oftentimes there is nothing that can replace the salesmanship of a live product demonstration.
But by investing in professional photography for your online catalog, you can get as up-close and personal as possible – whether that’s 360 photography, multiple image angles, or videos of the product in action. Both Warby Parker and McCormick World of Flavors (an exclusive online collection of products not available in stores) have embraced exquisite imagery to make the customer feel more in touch with the offering.
Warby-Parker
McCormick World of Flavor
Forget to Keep Your Catalog Fresh
There’s nothing worse than a dated product offering online. You’d hate to see your customers get excited and get their hopes up, only to find out they are looking at last season’s collection – it’s why many etailers are one season ahead of their in-store merchandising, opting to be proactive and think ahead, rather than reactive.
It’s okay to keep older products on the site, but make sure whatever is displayed, is available. And if you want to call out the newest additions to the catalog – use product thumbnail flags to call out what’s hot or “just in”.
Make Returns/Exchanges Difficult
Not everyone is going to like your product or want to keep it. That’s the price of doing business. But instead of creating a black hole and a customer service nightmare, make it easy for your customer base to process returns and exchange. Being just as helpful when you’re losing business as when you are earning it will certainly pay you back over time.
Popular men’s apparel company Chubbies – of “Sky’s Out, Thighs Out” fame – has gone so far as to have a dedicated subdomain to process all customer challenges.
Skimp on Technical Integrations
Especially with some of the top ecommerce platforms – there are tons of experienced developers already building programs to integrate systems and ensure all your technical business necessities talk to each other.
While you do need to be careful how much technical debt you introduce to your ecosystem, it can be critical for a business to scale online and a key component of ensuring your well-oiled machine is leveraging the best technology solutions available – if you’re on BigCommerce (or thinking about making the move) we’ve already broken down our go-tos for you.
The rise of ecommerce does not have to spell the end of brick and mortar; more so, the rise of an entirely new channel for those committed to understanding the landscape and creating an environment that helps their customers.
These two channels are built to co-exist and live off of each other’s successes and learnings, but you can’t wait for that bell to ring and the door to open.
You need the kick door open yourself and expand your empire into the digital world.
If you need some help with that kick – we’re here to help!
There may not be a bell ringing every time a customer walks in the door, but brick and mortar retailers are sounding the alarm and sprinting to the nearest exit to take their product catalog online.
Amazon’s Impact on Global Supply Chains and Logistics
Amazon, the global e-commerce behemoth, has transformed not only the way consumers shop but also the intricacies of global supply chains and logistics. Since its inception in 1994, Amazon has grown from a small online bookstore to a trillion-dollar enterprise that has disrupted industries across the globe. Its influence extends far beyond retail, profoundly impacting supply chains, logistics, and even the environment. This article explores Amazon’s multifaceted impact on global supply chains and logistics, examining how the company has reshaped these industries and what this means for the future.
The Evolution of Amazon’s Supply Chain
Amazon’s supply chain is one of the most sophisticated in the world, characterized by its efficiency, speed, and scale. The company has invested heavily in technology and infrastructure to build a supply chain that can deliver millions of products to customers in a matter of hours or days. This rapid delivery is made possible by a vast network of fulfillment centers, sophisticated inventory management systems, and a logistics arm that rivals traditional carriers like FedEx and UPS.
One of the key innovations Amazon has introduced is its Fulfillment by Amazon (FBA) service. FBA allows third-party sellers to store their products in Amazon’s fulfillment centers, with Amazon handling the picking, packing, and shipping of these products. This service has not only made it easier for small businesses to reach a global audience but has also significantly increased the volume of goods flowing through Amazon’s supply chain. As a result, Amazon has become a central hub in the global supply chain, connecting manufacturers, suppliers, and customers across the world.
Disruption of Traditional Logistics
Amazon’s influence on logistics is equally profound. The company’s relentless focus on speed and efficiency has forced traditional logistics providers to rethink their strategies. In many cases, Amazon has bypassed traditional logistics networks entirely by building its own. Amazon Logistics, the company’s delivery arm, has grown rapidly in recent years, with a fleet of planes, trucks, and delivery vans that allow the company to control every aspect of the delivery process.
This vertical integration has enabled Amazon to offer services like same-day and two-hour delivery in many urban areas, setting a new standard for speed in the industry. Traditional logistics providers have struggled to keep up, leading to increased competition and innovation in the sector. For example, companies like FedEx and UPS have had to invest in new technology and infrastructure to remain competitive, while others have formed partnerships with Amazon to leverage its vast logistics network.
Amazon’s logistics network has also expanded globally, with the company establishing regional hubs and fulfillment centers in key markets around the world. This global expansion has allowed Amazon to offer faster and more reliable delivery services in regions where traditional logistics infrastructure is underdeveloped. In many cases, Amazon has played a role in building out this infrastructure, partnering with local logistics providers or investing in its own facilities.
Impact on Global Supply Chains
Amazon’s impact on global supply chains extends beyond logistics. The company’s demand for speed and efficiency has rippled through the entire supply chain, from manufacturers to suppliers to retailers. This has led to significant changes in how companies operate, with many adopting new technologies and strategies to keep up with Amazon’s pace.
One of the most significant changes is the increased reliance on automation and technology in supply chain management. Amazon has been at the forefront of this trend, investing heavily in robotics, artificial intelligence, and data analytics to optimize its supply chain operations. For example, the company’s use of robotics in its fulfillment centers has reduced the time it takes to pick and pack orders, while its AI-driven demand forecasting tools help ensure that the right products are always in stock.
This emphasis on technology has influenced other companies to follow suit, leading to a wave of digital transformation across the industry. Manufacturers and suppliers are increasingly using data analytics and AI to optimize their operations, while retailers are adopting new technologies like blockchain to improve transparency and traceability in their supply chains.
Another significant impact of Amazon on global supply chains is the shift towards a more customer-centric model. Amazon’s focus on the customer has forced companies to rethink their supply chain strategies, with many now prioritizing speed, convenience, and flexibility over cost. This has led to the adoption of new fulfillment models, such as just-in-time inventory and dropshipping, which allow companies to respond more quickly to changes in customer demand.
The globalization of Amazon’s supply chain has also had broader implications for international trade. By connecting sellers and buyers from different parts of the world, Amazon has made it easier for companies to access global markets. However, this has also led to increased competition, with companies now competing on a global scale. This has put pressure on manufacturers and suppliers to lower costs and improve efficiency, leading to changes in how goods are produced and distributed around the world.
Environmental and Social Implications
While Amazon’s impact on supply chains and logistics has been largely positive in terms of efficiency and convenience, it has also raised concerns about the environmental and social implications of its operations. The company’s emphasis on fast delivery and the constant movement of goods around the world has contributed to increased carbon emissions and environmental degradation. In response to these concerns, Amazon has committed to achieving net-zero carbon emissions by 2040 and has invested in initiatives like electric delivery vehicles and renewable energy projects.
However, critics argue that these efforts are not enough, and that Amazon’s business model is fundamentally unsustainable. The constant pressure to deliver goods faster and cheaper has led to concerns about the working conditions in Amazon’s fulfillment centers and the treatment of delivery drivers. Reports of long hours, high injury rates, and low wages have sparked protests and calls for better labor practices across the company’s global operations.
The Future of Supply Chains and Logistics
As Amazon continues to grow and evolve, its impact on global supply chains and logistics is likely to deepen. The company’s investments in technology and infrastructure will continue to set new standards for speed and efficiency, forcing other companies to innovate and adapt. At the same time, the environmental and social challenges associated with Amazon’s operations will require the company to rethink its approach to sustainability and labor practices.
In the future, we can expect to see more companies adopting Amazon-like supply chain strategies, with an emphasis on speed, technology, and customer-centricity. However, these changes will also require a greater focus on sustainability and ethical practices, as consumers and regulators increasingly demand more responsible business operations.
Conclusion
Amazon’s impact on global supply chains and logistics is undeniable. The company has reshaped the industry in its image, setting new standards for speed, efficiency, and customer service. While these changes have brought many benefits, they have also raised important questions about sustainability and labor practices. As the world’s largest online retailer, Amazon will continue to play a central role in the future of global supply chains and logistics, driving innovation and change across the industry.
