How Omnichannel eCommerce Can Impact Supply Chains

The eCommerce sector has shown tremendous growth on the local and global levels. Statista revealed that from 2014 until 2020, the eCommerce sector had shown an exponential growth rate of 220%. By the time we hit 2024, the eCommerce market on the global level is estimated to touch $6.4 billion, says Statista.

The pandemic, however, accelerated the growth due to the critical benefit of ordering from home!

For an eCommerce business to sustain and make big money, the company must have an omnichannel presence. With the best customer experience, social media marketing, supply chain management, and more, any eCommerce business must anticipate impacting the supply chain for days and months!

Before we dwell on the impact of Omnichannel on the eCommerce Supply Chain, let’s explore what makes an excellent omnichannel strategy.

Understand Omnichannel Strategy

Modern eCommerce works using two key strategies; omnichannel and multichannel. Multichannel eCommerce emphasizes the product and keeps it at the center of any campaign. On the other hand, Omnichannel emphasizes the consumer and keeps it at the center of any movement.

In other words, to understand omnichannel marketing, multichannel needs to be precise first. An excellent omnichannel strategy, however, will ensure the integration of both approaches! This way, customers get the best experience.

eCommerce Growth Reveals Supply Chain Inefficiencies: The Solution is Here

eCommerce business data by Modern Materials Handling has revealed that inefficient supply chains hamper customer experiences. However, you can turn around your business outcomes; but first, careful planning is a must.

How can Omnichannel eCommerce Impact Supply Chains

Rapid growth in sales due to the pandemic has led to massive impacts on supply chains worldwide. It’s time to make no mistakes and take the proper steps to ensure positive outcomes. Discover how omnichannel eCommerce can impact supply chains:

• Process Customer Orders

The omnichannel strategy calls for intelligent material handling fulfillment techniques. If your business can move goods from factory to customers, your plan is working. With a consistent flow of goods, the supply chain and omnichannel strategy are working well.

Shipping from the warehouse to customers is another effective way to impact the supply chain with omnichannel experiences.

• Vast Store Networking

To meet growing online demand, several retailers have been investing in micro fulfillment centers. These centers empower as well as centralize facilities and operations. In most cases, this strategy is excellent; however, several retailers can fulfill their online orders from existing stores with efficiency.

For example, Target is exploring both options and getting success based on locations. In some cases, micro fulfillment centers have helped; in other cases, retail store shipments have also helped!

Supply chain management can be experimented with, provided you have the options. If your business has no retail stores, it’s best to opt for micro fulfillment centers or traditional distribution centers too.

• Speed & efficiency

Brands like Amazon offer same-day delivery or two-day delivery options. This approach works best when large stores can accommodate stock in-house or have access to accurate demand forecasting.

On the other hand, retailers who centralize their supply chains with cost efficiency will drastically impact product and delivery quality. Your eCommerce business may pull off an efficient omnichannel strategy alongside micro fulfillment centers with efficient network model design.

With the booming supply management needs, it’s crucial to be proactive, speedy options with efficiency.

Walmart, too, uses the same approach when in China. It relies on 1-hour deliveries offered by partners amidst a limited radius. This way, shipments are split, money is saved, and speed in supply is managed!

• Geopolitics & flexibility

It is difficult for any business today to predict and act on their eCommerce business. Factors like geopolitics hold the capacity to disrupt global supply chains entirely.

For example, when the COVID-19 pandemic emerged, several businesses in Europe started shipping from stores to keep the sales on track. This flexibility gives a competitive edge to companies.

Conclusion

A successful eCommerce business comes with a customer-first vision, efficient, intelligent, and adequate supply strategy, which would be full-proof. The pandemic brought drastic acceleration to eCommerce businesses, supply chain management, and more. It’s time for firms to buck up and upgrade.

Prevent executives from struggling with poorly located supply chains, boost flexibility and maintain efficiency to see improved long-term supply chain performance without any extreme capital outlays.

Your eCommerce business, too, can work with the best omnichannel strategy through Vinculum. Explore supply chain management with the best agency ever.