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Today’s ecommerce market is transforming the way businesses think about logistics and the way customers shop. With the boom of e-tailers and a surge in demand for fast delivery, businesses everywhere are finding new ways to streamline their processes. From small mom-and-pop stores to big-name retailers, ecommerce is changing the way we buy goods as we know it. Ecommerce has opened new doors for businesses by providing unprecedented access to customers in every corner of the world — all from the comfort of their own homes. In fact, ecommerce sales have grown over 30% each year over the last decade, with no signs of slowing down anytime soon! With so much opportunity available today, let’s take a closer look at how ecommerce is revolutionizing logistics.
Ecommerce is changing the way we buy and sell
The buying experience has undergone dramatic change since the advent of ecommerce. Customers are now able to shop from the comforts of their own homes — without having to drive to the store, search through crowded aisles, or wait in line at the cashier. This has, in turn, changed the way businesses sell their goods. Products are now available online, 24/7, ready to be purchased and shipped to customers across the globe within just a few clicks. Additionally, ecommerce has also brought about drastic shifts in the demand for certain products, including: – A rise in the demand for smaller, less expensive items vs. large, high-ticket items – Ecommerce sellers have responded by offering more small-scale products — such as gift cards, cosmetics, apparel and accessories — which can be easily shipped compared to large items like furniture, appliances and other high-cost goods. – An increase in the popularity of subscription-based services – Companies like beauty box subscription services and food/wine/beer deliveries have become some of the most prominent and successful businesses within the ecommerce industry — particularly in the last few years.
The importance of fast and reliable delivery
Delivery is arguably one of the most important aspects of ecommerce logistics. A staggering 89% of online shoppers would abandon their shopping cart if it took more than three seconds before they were able to add an item to their cart. Customers expect fast delivery, and they aren’t wasting any time waiting for it. Delivering goods within the estimated shipping time is crucial to a customer’s purchasing decision — and businesses are well aware. In fact, delivery is one of the most frequently researched topics within ecommerce and drives a huge portion of ecommerce sales. However, shipping and logistics will always be an area of concern for ecommerce merchants. The industry is experiencing a shortage of qualified logistics and shipping professionals, which is making it especially difficult for ecommerce companies to staff up, let alone compete.
Automation in eCommerce logistics
The ecommerce logistics industry has come a long way since the early 2000s. Businesses are turning to automation to streamline their shipping processes and help them meet the growing demand for fast delivery. From fully-automated warehouses that use robotics to smart supply chain management and inventory tracking systems, ecommerce companies are making logistics more convenient and efficient than ever before. Automation has led to a major shift in the selection of shipping carriers used by logistics providers. As a result, ecommerce logistics providers have adopted non-truckload shipping methods that use fewer carriers and provide greater flexibility in routing and scheduling shipments.
Warehousing and storage in eCommerce logistics
As ecommerce logistics have evolved, so have warehousing and storage strategies. This includes the rise in popularity of cross-border ecommerce. Cross-border ecommerce is defined as the shipping of goods from one country to another for commercial sale. Cross-border ecommerce is expected to grow by 37% this year, reaching $1.13 trillion in sales. This is primarily due to the increasing demand for goods sourced from China, India, and Mexico. To keep up with this demand, logistics companies have found more efficient ways to store and store goods. This includes investing in new technology, like clean rooms and robotics, as well as a strategic partnership with a cross-border logistics partner.
Ecommerce is revolutionizing the logistics industry by making it faster and more convenient to shop online. It has made the shopping experience more accessible because customers do not have to leave their homes or travel to stores to buy what they need. Logistics providers are investing in new technology to automate their shipping processes, which is making delivery faster. Warehouses and storage facilities are also making strides to meet ecommerce demand by investing in new technology and strategic partnerships.