Online Retail - What is the true cost of order processing?
For many online retailers the true cost of order processing is often overlooked. Online retail and financial professionals now need an online store that is ‘cost competitive’. How do you identify the true cost of order processing to improve performance?
Read more: http://www.orbis-software.com/blog/order-processing-what-is-the-true-cost-of-order-processing/
Alternative Reading: Online Retail - How Retailers Can Combat System Integration.
http://www.orbis-software.com/blog/online-retail-how-retailers-can-combat-system-integration/
Online Retail: What is the True Cost of Order Processing?
1. MORE ERRORS MEANS…
Incorrect product listings, Delays in
fulfilment, Decreased customer
satisfaction, More returned goods,
Misplaced Orders = An added
hidden cost
During seasonal peaks, pressure
mounts on employees to fulfil
high order levels.
This Leads to increased costs with
temporary staff, delays in
fulfilment and YET MORE ERRORS!
No need to worry here.
You’ve already streamlined the
manual administration and other
tasks that surround eCommerce
activities to improve speed
and efficiency.
Orders go from the website to
the warehouse in 5 minutes
NO MANUAL INTERVENTION
NO DUPLICATE DATA ENTRY
NO ERRORS!
WHAT IS THE
TRUE COST
OF ORDER PROCESSING ?
For many Online Retailers
the true cost of
order processing
is often overlooked
Profit
THE HIGH COSTS OF
FULFILLING ORDERS
hits profitability for 84%
of retailers and consumer goods
manufacturers
src: http://internetretailing.net
WHAT APPROACH DO YOU TAKE WITH ORDER PROCESSING?
COMPANY A
MANUAL APPROACH
TO ORDER PROCESSING
COMPANY B
AUTOMATED APPROACH
TO ORDER PROCESSING
Manually extract sales
orders and customer
information from your
ecommerce platform
and place this into an
ERP system
Once the orders have
been placed…
You are now tasked with
transferring stock levels
and also the order
status needs to be
transferred between
your eCommerce
platform and your other
business systems
Order Processing can be
synchronised to and from
your business systems and
your online retail platform
Now, you are faced with
choosing the most
cost effective courier
service
WITHOUT EMPLOYEES HAVING TO
TYPE ANYTHING...
AGRILINE PRODUCTS LTD SAVED
500+ MAN-HOURS PER ANNUM IN
THE WAREHOUSE DUE TO
AUTOMATION.
“AUTOMATING THE DISPATCH PROCESS, MEANS
THAT ORDER-TO DISPATCH TIMES HAVE
REDUCED AND CUSTOMERS CAN TRACK ORDER
PROGRESS ONLINE.”
Agriline IT Manager - Dean Whitcher
STOCK LEVEL
THAT’S A LOT OF
MANUAL DATA ENTRY!
HOW MUCH DOES MANUALLY
PROCESSING AN ECOMMERCE
ORDER ACTUALLY COST YOU?
HOW MUCH DOES IT COST
TO PROCESS AN ORDER
BY AUTOMATION?
BASED ON ONE EMPLOYEE EARNING
APPROX. ¤*15,600 PER ANNUM
• Employee Salary Per Hour: eg: ¤ 8.00ph
• Average Time it takes to process each order:
e.g: 15 minutes
• Cost per order: ¤ 2.00
• Orders processed per month: e.g: 1,000
= 250 hours per month processing orders
• Cost per order: ¤ 2.00 per order
• Orders processed per month: e.g: 1,000
• Means: 250 employee hours per month
processing orders
• Costing approximately ¤ 2,000 per month
or ¤ 24,000 per annum
¤* Unspecified Currency
0¤
$$$$$$$
IT’S MORE THAN THE
SYNCHRONISATION OF
SALES ORDERS
29% of retailers have difficulty
managing inventory
Barclays - The Last Mile Report 2014
WHY NOT AUTOMATE…
• Store Sales reports
• Stock reports
• Inventory losses/shrinkage reports
• Stock adjustments reports
RECEIVE EMAIL/SMS ALERTS FOR…
• Stock levels – Too high or too low?
• Slow moving stock
• Products with no web category
Orders, product details in stock and pricing
can all be synchronised allowing you to
AUTOMATE EMAIL MARKETING
CAMPAIGNS for slow moving stock
and dynamically identify customer
buying patterns
Do you update product
information and sales orders
to and from Amazon
Marketplace and eBay?
WAIT! THERE ARE MORE COSTS
67% of retailers struggle with demand at peak seasonal times
Barclays – The Last Mile Report
THE HIDDEN COSTS OF ORDER PROCESSING KEEP
GETTING MORE AND MORE EXPENSIVE
UNLESS YOU AUTOMATE…UNLESS YOU AUTOMATE…
SEE SYSTEM INTEGRATION AS THE BIGGEST
CHALLENGE THEY FACE
TLT’S RETAIL GROWTH STRATEGIES REPORT 2015
67% OF UK RETAILERS
TaskCentre is a proven and cost effective Business Process Automation and
Integration platform which provides standard and complex integration with your
eCommerce web store and business systems.
DON’T WORRY ABOUT THE CHALLENGE!
MailChimp-C
ommuniGator
-Communicato
r-dotMailer
SMSN
otifications&A
lerts for Stock,
creditlimts&
m
ore
Su
garCRM-Micr
osoftDynamic
sCRM - Sage C
RM
eBa
y - Magento - S
hopify-Amazo
n-Bigcommer
ce-
DHL-
FedEx - Interlin
kExpress-DP
D
AccessDim
ensions - Sage
ERP-Microso
ftDynamics
MANYMORE
I
NTEGRATIONS AT: www.orbis-software.com
/in
tegrations
We have a complete data view of a customer’s purchase history,
interests and preferences. By bringing this information together we
are able to automatically serve specific website content and email
communications that are tailored to the individual’s profile.
Stanley Gibbons automates costly data entry and employee administration
by integrating its ERP, CRM and eCommerce systems.
1st
Isn’t it time you removed the hidden costs from
order processing?
t a s k c e n t re ®
BUSINESS PROCESS AUTOMATION SUITE
Call +44 (0) 1202 241115 or email enquiries@Orbis-Software.com