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It’s Time to Get Your E-Commerce Operations Ready for the Holidays

October 27, 2020 | automation, E-commerce, fulfillment, holiday, integration, inventory, operations, tips | No Comments

E-commerce sales continue to report year-over-year growth.  As stated in a recent Forbes article, “This will be the year when online shopping explodes.”  The same article references Deloitte’s 2020 holiday e-commerce forecast where “Deloitte predicts e-commerce holiday retail sales to grow between 25% to 35% from November through January, reaching $182 billion to $196 billion in total.

If you’ve already launched your e-commerce store(s), then you’re fortunate to be in the right place at the right time, particularly if your product line caters to holiday gifting categories.  But to achieve e-commerce success takes much more than being in the right moment… This is only the beginning.

So ask yourself…are you ready?  Have you kicked the tires of your e-commerce operations?  What would actually happen if you scored a growth surge this holiday season?  Are you prepared to handle the additional work that comes with additional orders?   Without the proper systems, process, and organization in place, time consuming work often leads to mistakes, out of stocks, late shipments, and ultimately dissatisfied customers.

But not to worry.  Here are a few simple tips that can help you prepare for the upcoming holiday surge, ongoing customer satisfaction, and operational sustainability.

1. Confirm Your E-Commerce Supply Chain Strength

Regardless of whether you are a dropshipper, distributor of finished goods, or manufacturer, you maintain an e-commerce supply chain made up of vendors that impact your ability to deliver quality products to your customers.  Remember that when you have issues with inventory, your customers will care little as to who’s at fault.  As your #1 priority, you will want to confirm your vendors’ ability to meet your holiday targets without fail.  Pick up the phone, share your forecasts with them (consider inflating them by 20%), and ask for capacity guarantees. 

Additionally, it’s the perfect time to set a schedule with your vendors and ask of any known obstacles they see on the horizon or that they may have already encountered.  Get to know your vendors at a personal and friendly level.  You are not the only one vying for their commitments, and sometimes those friendly relationships may help prioritize your business needs. 

And lastly, create a backup plan.  What will you do should your supply chain break?  Hopefully you won’t have any issues, but do you have a plan?  Can your plan include having a backup vendor, or perhaps splitting your current needs across multiple vendors to balance the load?  Do what you can to prevent your business from being held hostage to this key element of success.

2. Automate Your E-Commerce Operations

According to Intuit, “over 80% of product-based SMBs [small and medium sized businesses] that sell through multiple channels still reconcile inventory using pen and paper or spreadsheets.”  This is crazy!  Why haven’t more SMBs made some form of investment into back-office automation?  While it sounds intimidating and expensive, it’s not.  There are affordable options in the market that start as low as $19 per month. A few of the top problems that e-commerce businesses face related to manual data entry, and can be resolved with automated integration include:  

  1. Errors caused by manually entering e-commerce orders into your back-office system
  2. Tedious and Time consuming administrative tasks that impede the ability to focus on more valued and strategic business needs, such as how to reduce cart abandonment
  3. Timeliness of order and inventory updates to back-office and shipping systems, which in turn leads to incorrect stock levels, as well as shipments going to customers later than promised

The following are key business issues you will want to address by implementing an integration solution:

  1. Does the solution offer near real-time sync of orders from your e-commerce platform(s) to your back-office system? This will help ensure that your inventory levels are as current as your sales, keeping you on top of your customer orders as they are placed
  2. Establish an integrated shipping system process that feeds from the same automation and empowers you to get your merchandise out the door in the most timely, efficient, and accurate means possible
  3. Have control over shipping SLAs (service level agreements), and receive notifications of orders that are at risk of falling outside these guidelines, so you can take the appropriate actions to resolve

Click here to learn more about our beta opportunity

3. Organize Your E-Commerce Operations Area 

When it comes to establishing a proper e-commerce operations process, it’s all about efficiency and accuracy.  It’s about having the proper checks and balances in place that eliminate mistakes and minimize the time spent on a particular task (so you can get to the next task, and so on and so on).  

A fairly common issue with SMBs is having a disorganized and cluttered work area, which lends itself to bottlenecks in the process.  It sounds simple enough to avoid, right?  In fact, yes it is.  A few ideas that have been proven to help include:

  1. Organize your inventory bins for efficiency.  It’s common for businesses to organize inventory in such a way that keeps the same or similar products near each other.  What would be a more proper approach, is to understand which of your items sell the most – not in dollar value but in actual physical units.  The products that sell the most (referred to as ‘turns’), represent the products that you will be fulfilling the most.  The ideal means of organizing your inventory bins is to locate those products that turn the most to be closest to your fulfillment zone, and work your way back through your turns rate in descending sequence, locating products that sell the least to be the furthest away from your fulfillment zone.  Click here to learn more about lean warehousing efficiency practices known as 5S.
  2. Squeeze as many little extra actions out of the process as is possible.  Every small little action you perform or step you take adds up into a whole chunk of waste and opportunity for error.  Therefore it is recommended to take a look at your entire operations area and see that you are well prepared to reduce these efforts.  Some examples include: a) label your inventory bins clearly, using large dark font; b) implement a barcode scanning system if possible; c) obtain enough supplies to get you through the holiday season in advance, including printer ink, paper, labels, shipping cartons, packing tape and inserts
  3. Establish zones and maintain clutter free work areas.  Maintaining clean work areas make it easier to get through daily tasks, inclusive of finding objects when you need them.  Establish specific well organized zones that create a linear physical path from start to finish, such as your storage zone to your fulfillment zone to your shipping zone.  Ideally a shipping zone is best located closest to where your carrier and parcel pickups occur, and then work backwards into your work area.

By implementing a proper marketing strategy, you may be well poised to feel a positive bump in revenue this holiday season, however keeping your customers coming back for more, will greatly depend on your ability to satisfy them better than your competitors.  Eliminate waste with integration and operational efficiency, allowing your business to establish a strong foundation for growing beyond the holiday bump up, for years to come.

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By We Integrate, LLC

5 Tips to Help Start Your Online Business

August 2, 2020 | E-commerce, fulfillment, operations, startup, tips and tricks | No Comments

With the current economic environment and continuing high unemployment, more people than ever are opening an online business.  To share some insight as to how Covid-19 has transformed the e-commerce market, here is a great Forbes article from Louis Columbus (view article)

Whether you’re a first time e-com-preneur, a brick and mortar store owner contemplating the move online to offset slowing store traffic, or a seasoned e-commerce veteran, this could be the perfect time to take advantage of expanding your online footprint.  It’s important though to make sure you take time to research what you will sell, how you will compete, put the right plans in place, and not rush out of pure excitement.  

The following tips on research and planning will help to start you down this new journey on the road to success:

1. What do you want to sell?

The first order of business is determining what you will sell.  What makes sense and what will people buy?  Countless articles of advice will tell you to find something that interests you, and there is certainly truth to this, and for good reason.  You have to believe in what you are selling and be excited to wake up everyday to grow your sales.  On the other hand, it’s important to select products that people want, and depending on your goals of entrepreneurship this may overshadow your own personal interests and desires.  There was a very successful business owner who once said that he loves sliding down a pole like you find in a firehouse, but instead of being a fireman (with all do respect to the very hard working, lifesaving heroes that risk their life every day), he would rather build a successful company and then buy a fireman pole for his mansion and slide down it any time he wants. 

Here are a few guidelines you can follow in determining what to sell online:

  1. It’s ok to include your personal interests, but don’t let this be the dominant factor.  If you’re looking to build a lifestyle for you and your family, while you certainly want to be interested and passionate about what you sell, focus on what the market is looking for and solve a problem.  Reserve the “fun stuff” for the results of the lifestyle you build
  2. Research, research, and research some more.  But don’t get so bogged down in research that you never get started (don’t get cooked in the squat).  Go through product reviews and see what customer feedback and gaps exist in the market, what improvements can be made and where the opportunities are for offering a rock solid alternative.  
  3. While there is nothing wrong with capitalizing on trends if you can time it right, try to avoid starting a business based on them.  If it makes sense though, then go for it.  Just proceed with caution on your investment, efforts and launch, as trends do come and go (by definition of a trend).  The last thing you want is to miss the best part of the trend cycle and get stuck with excess inventory while trying to grow a business (that’s working capital that could have gone into a more lucrative opportunity)
  4. Like all great businesses, think narrow and don’t start off too broad.  Find just that one great product or service, and deliver it better than anyone else. Then upon success, you can expand from there with related goods and services while you continue to establish your brand and your store.

For some help on what type of business might make sense to start, here are ideas from Shopify https://www.shopify.com/blog/online-business-ideas

2. Conduct market research

Before you make a huge investment into your new business venture and products you want to sell, you should do what you can to first test the market.  One of the most costly lessons is to be excited about a product, spend all your precious time and money on your new idea, promote your launch, and then after launch first find out that no one is interested in what you have to sell. 

There are several options you can take advantage of to validate your ideas before making any sizable investment.  Be creative and explore opportunities to gauge customer interest in advance.  Obtain customer feedback and ask the tough questions for answers you may not want to hear.  It’s ok though, because it is better to get the direct feedback now from those that would potentially buy your product than after you waste your oh so valuable capital.  The better aligned you are with satisfying a market need, the faster you will be on your way to achieving success!

A few ways you can obtain customer feedback and test your ideas include:

  1. Take pre-orders from customers.  This allows you to set up your store without having to invest in inventory.  Position your store to take pre-orders of what you might sell along with the appropriate lead times.  This is a great way to offer a group of product options to customers and see what’s of interest as well as which products may prove to be most popular based on actual demand.  If customers are willing to pre-order and wait for you to create or obtain the merchandise, you potentially have something great!
  2. Leverage Drop shipping.  Instead of investing into your own inventory, perhaps you might find it better to partner with a drop ship provider.  The advantage here is you may find a significantly lower upfront investment, the responsibility of shipping is on your drop ship partner, and you can test products easily.  Just be careful with the drop ship partner you select.  If there are quality issues or delays in shipping to your customers, this will have a negative impact on your brand, not theirs. For additional tips on drop shipping, here is a great article from Shopify (view article)
  3. Start a Crowdfunding Campaign. This will require a little investment of money and a fair amount of your time, however the tradeoff helps you validate customer interest before going full force into your product and store launch.  Particularly if it’s a product you will manufacture, you can share your plans with customers before you build it, perhaps with as little as a prototype.   Pitch your idea to a community of millions of individuals enthusiastic in helping to support the next great product.  Success will include not only validating your idea, but also an avenue for obtaining pre-orders and raising equity free working capital to help fund your plans to manufacture, launch and grow.  Equally as positive, if you do not obtain success in this community, it will allow you to rethink your plans before wasting time and money, thus saving you from potential failure.  For additional help on crowdsourcing click here

3. Write a business plan and understand your finances

The saying if you fail to plan then you plan to fail is never more true when it comes to starting a business.  While often it may appear that online business success happens by accident, rest assured this is not the case.  Understanding details about what you will sell, how you will sell it, who you are competing with, what your cash flow and profitability will look like, how you will market and what teams you need, are all part of this essential step for success.  If you’re like many entrepreneurs, you may never look at your plan once you launch your business venture, however taking the time to think through how to grow your business and the impact on your cash flow will help bring clarity when you execute (we recommend however you do your best to follow your plan and compare actuals to forecasts).  In addition, your plan gives you a model to refer back to, use as a barometer, and adjust as necessary to help you improve how you run your ecommerce store.

Cash is king and understanding the flow of cash helps protect it, and your business.  Over time you need to know how your investments will pay off in customer acquisition, revenue, cost of revenue, expenses and profit.  While it is great to have an optimistic plan that outlines the potential of your business, it is critical to have clarity of a financial operating plan that is conservative and honest.  One technique you can incorporate when bootstrapping, is to inflate expenses and take a conservative position on revenue.  By confirming a “worst case” scenario as to how your cash flow will perform, you will have visibility into what is necessary to survive and grow without running into a cash deficit.

In your plan, understand what teams you need and when.  While this may require a fair amount of intelligent “best guessing” if this is your first venture, it is still an important exercise.  Your team can generally have a significant impact on your financial plans, and will have a tremendous impact on how well you execute.  Fortunately certain disciplines can be outsourced, however be mindful if you go this route to only outsource disciplines that are not part of your core brand.  If you partner with firms for some work, it can be a great way to conserve costs and leverage specific domain expertise, but make sure to manage the relationship as well as the results as if the partnering firm was on your payroll.

4. Market like you mean it

For your online venture, marketing very well may be where the rubber hits the road to success (or failure).  This discipline should not be taken lightly and can often play a key role in your market differentiation as well as your ability to succeed.  How do you distinguish your business and get the word out in a vast sea of competing stores?  It can be done, but do you know what to do and how to execute?  Is this an area of focus you are best equipped to own, or based on your budget and cash flow might it make sense to partner with a firm that has experience growing online sales?  Which marketing initiatives will have the biggest impact on your success?  Do you need creative help or do you need assistance with execution of a marketing plan and staying on top of return on ad spend (ROAS)?  Are you best to sponsor ads or leverage social media?

Here are a few sources you can review to help with proven marketing techniques necessary to grow your online store

  1. 34 Ways to Promote Your Online Shop Like a Pro
  2. 7 Things You Should Do To Market Your Online Store in the Real World
  3. Ecommerce Marketing Essentials: 17 Actionable Tactics to Drive More Sales

5. Get ready to launch (and launch)!

As we wrap up, here are some final and crucial tips to adopt as you get ready to launch your business and start making money!

  1. Establish a well organized area for which to run your online business.  If you are going online as an extension to your physical store, make sure to carve out an area dedicated to your online business.  If you’re a first time entrepreneur kicking off this venture from your home, it’s equally important to establish a business zone where you can store your inventory, and efficiently pick, pack and ship.
  2. Get traction fast by leveraging your personal and social networks.  Ask your friends and acquaintances to support your new venture by spreading the word and idealing buying your product.  Don’t be shy.  Stand at the top of the highest mountain and let everyone know you’re open for business!  This can be a great way to start building that oh so important initial momentum.
  3. Consider offering discounts and promotions, as well as test marketing well targeted ads.  Well positioned promotions can be a successful approach to jumpstarting your sales.
  4. Monitor your marketing results and adjust.  Keep a dashboard in excel, track every single dollar you spend on marketing, and compare your marketing initiatives daily to determine which are working and which are not.  Pull the plug on the duds quickly and reinvest into marketing that is yielding the best results as well as try new ideas.
  5. Obtain software to help you run your business. This includes your online store platform, accounting application, email marketing, and automated integration tools to help streamline your operation.

We hope these tips and guidelines help give you more insight into getting your online business started on the right path to success.  Remember, you will need to work hard, but also do your best to incorporate the right decisions and work smart to establish a business that is scalable.  Have fun growing your store, and may it be the first of several profitable ventures you pursue!

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By We Integrate, LLC

Increasing E-Commerce Conversions in a Mobile World

February 17, 2019 | conversions, E-commerce, integration, Mobile, tips | No Comments

There is no surprise that mobile commerce, the delivery of electronic commerce capabilities directly into the consumer’s hand via wireless technology, is taking over as the go-to option for consumers to shop.  eMarketer reports that 185.5 million consumers used a mobile device to browse, research and compare products, with 53.7% making a purchase on their mobile device.

If your e-commerce site is not yet mobile-friendly, now is the time to make it so.  Take action now and take advantage of the mobile commerce shift to ensure your site is optimized for mobile well ahead of the 2019 holiday season (which will be upon you before you know it).

Here are 6 tips to help you capitalize on this pandemonium shift in e-commerce…

1. Improve Product Page Performance

The quality of your images will define this first interaction

– Shopify

The saying ‘a picture is worth 1,000 words’ has never been more impactful then when it comes to your e-commerce product pages.  Putting yourself in the eyes of your visitors, it’s the engaging images that first draw the crowd.  According to Shopify “The quality of your images will define this first interaction, the perceived value of your products, and your brand’s image.”

Make sure to use high quality images that are clear and bright, but be sensitive to image density as to not slow down your site’s load times. Incorporate at least 5 good quality images per product, and include various views that demonstrate different angles, perspectives and colors if applicable.  Include at least 1 lifestyle image demonstrating interaction with your product, while building an emotional connection.  Incorporating a short video brings your product to life, and your visitors one step closer to becoming a sale.

Support your product pages with detailed content that empowers the sale.  Ensure a meaningful SEO-friendly product title that makes it easy for shoppers to find your product.  It is recommended that you provide shoppers with all the information necessary for making an informed decision.  This should include price, compare-to-price, a detailed description, a list of important features, competitive advantages, sizes and colors, dimensions and capacity, and brand value.

2. Incorporate a Clear Call-to-Action (CTA)

A Call-to-Action (CTA) is the clear and concise next step you want your visitors to take, which in e-commerce is typically to convert your visitors to a sale.  Successful CTAs stand out in such a way that the next step is obvious.  CTAs should be direct and lead visitors to the conversion with messages such as “Buy Now” and “Add to Cart”.

Incorporate a consistent theme throughout your visitors’ e-commerce journey.  It should become subconscious to the user that every time they see this colored button the next step is to buy, in a Pavlovian sort of way.

If a secondary CTA is beneficial, such as “Add to Wish List”, incorporate a much more subtle thin link that doesn’t compete with the primary CTA.

As a follow up to items added to a cart or wish lists that never convert, incorporate email reminders that invite visitors to finish the sale.  Don’t be shy of using incentives as necessary.

3. Optimize for Mobile Engagement

Mobile friendly pages are essential to providing a positive customer experience. With mobile e-commerce on the rise, if you don’t adapt you will get left in the dust.  Even if purchases happen in store, most users will start by researching products on their mobile device.  Empower visitors to easily conduct research, find related products, make purchases, and even process returns from any mobile device.  Search engines such as Google are now optimizing search with mobile-first indexing.

Confirm page load speeds are tuned for mobile performance.  Slow loading pages will frustrate visitors and drive them to your competitors.  According to section.io, 27.4% of e-commerce visitors will bounce when page load times take 6 seconds or more.  Conduct speed tests with web performance tools such as Google PageSpeed Insights to ensure a successful experience.

4. Increase Consumer Trust with Reviews and Ratings

70% of consumers consult reviews or ratings before making a purchase

– PeopleClaim

One of the best ways of increasing conversions is to build consumer trust via product reviews and ratings.  According to PeopleClaim, 70% of consumers consult reviews or ratings before making a purchase, and 71% agree that consumer reviews make them more comfortable that they are buying the right product.

If you haven’t asked for customer reviews and ratings that you can include on your site, now is a great time to start.  It’s never too soon to start building your consumer credibility.

5. Upsell and Cross-sell Relevant Products

While you have the captive attention of consumers, don’t miss out on the opportunity to cross-sell additional products that may be of interest to them.  Perhaps as consumers read through the details of the current product page, they may determine to take a pass.  Keep visitors engaged with alternate product options utilizing a section tiled “Visitors Who Viewed This Also Viewed” and “Customers Who Bought this Also Bought.”  If visitors have a positive experience with your e-commerce site, then this technique will keep the balls in the air and potentially save the sale.

Cross-selling and Upselling helps to increase conversions and maximize the average value per customer order (known as Average Order Value (AOV)).  According to Forrester Research, upsell and cross-sell strategies are solely responsible for an average of 10-30% of e-commerce business revenues.

6. Eliminate Obstacles at Checkout

According to Forbes, the average online cart abandonment rate is 70%, and 37% of cart abandonments are due to shoppers being asked to create an account.  Customers have come to expect convenience inclusive of a quick checkout process. 

Consider offering a guest checkout option.  Customers happy with your e-commerce experience will return and opt-in to create an account when they’re good and ready.  In pursuit of frictionless checkout and a superior customer experience, include payment options such as PayPal and Venmo.

Enabling an optimized mobile experience is quintessential for your e-commerce success.  Make the necessary investments now while your business may be slower, and lay the ground work leading up to your busiest busy season yet.

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By We Integrate, LLC