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How 3PL Logistics Services from SCI are Making Retail E-commerce Better

There’s no denying that the rapid growth and evolution of e-commerce retail has created a fiercely competitive environment for Canadian companies in this sector. Furthermore, it doesn’t seem like this trend is likely to slow down any time soon, so you’ll need to take every step and leverage every advantage you can in order to ensure the success of your business today and in the future. This includes investing in a supply chain that is efficient, flexible, and capable of scaling to meet the demands of your growing business.

Fortunately, there are plenty of opportunities that exist to improve your supply chain, streamline the flow of products, and enhance the overall customer experience. E-commerce retail companies need to carefully evaluate each area of logistics, from warehousing and transportation to order fulfilment and returns handling. Only by optimizing your entire supply chain can your business achieve the maximum competitive advantage in your markets, and SCI’s range of 3PL logistics services are designed to do exactly that.

SCI’s omni-channel retail capabilities have made a huge difference for many Canadian businesses who are challenged with increasing aggressiveness from domestic and international competitors. By leveraging SCI’s vast array of logistics capabilities and resources, these companies have been able to deliver a better retail experience for their customers, resulting in increased satisfaction, greater customer retention, and a boost to their bottom line.

Here are just a few of the advantages that SCI is able to deliver.

Coast to Coast Coverage

One of the keys to efficient nationwide distribution and fast order fulfillment is the ability to warehouse product in strategic locations across the country. Canada’s population is mainly concentrated near the US border, with scattered pockets of densely populated areas in varying frequency as you move north. Since many of these urban centers are separated by great distances, the time savings that can be achieved through a coast-to-coast warehouse and distribution network can be substantial. Fuel costs, vehicle maintenance, and capital investment can all be minimized by utilizing SCI’s extensive transportation and warehousing resources.

Emphasis on Speed and Accuracy

As your company continues to grow, it can be difficult to maintain speedy turnaround of customer orders, accuracy of picking and packing, and quick delivery times. This is an all-too-common problem for companies as surging order volumes can stretch limits of your facilities and your employees to the breaking point. Eventually, you need additional help with these processes in order to maintain and improve customer satisfaction. SCI’s 3PL services place an emphasis on both speed and accuracy to ensure that your products are picked, packed, and shipped quickly and correctly each and every time.


Improving the Final Mile

It will probably come as no surprise to you that the final mile accounts for a disproportionate amount of the total cost of the transportation of goods. However, you may not be aware that this can be up to 30%, or possibly more, of the total cost of transportation of products for some types of businesses. This makes the final mile a critical element of your logistics operations, and one of the biggest opportunities for companies to improve their ability to serve their markets. With a nationwide distribution network and a fleet of trucks of all sizes, SCI helps ensure that your final mile will be much more effective.

Data-Driven Recommendations

We live in the world of big data. With an overwhelming amount of information available to businesses about customer habits, logistics performance, competitor intel and sales patterns it can be hard to sort through the massive piles of data and extract truly valuable insights from it. Having SCI’s team of transportation management experts on your side, who can analyze the data and provide deep insights and recommendations, can help your company develop and implement an effective growth strategy and allow you to surpass your competitors. Having the data available is one thing, but being able to decipher the underlying messages within is where the real advantages come from.

Full Product Lifecycle Management

All too often, companies underestimate the importance to the customer of the returns experience. Whether the product was ordered in error, or perhaps arrived damaged or defective, the ability to provide an easy and hassle-free returns experience can be a major factor in customer satisfaction and retention. If the customer feels frustrated by the returns process or needs to jump through too many hoops in order to complete it, they may very well opt to do business with one of your competitors next time.

Time and time again, research tells us a negative customer experience that is turned around and has a positive outcome can have a greater likelihood of generating repeat business than a normal, problem-free experience. This is because a company is often judged with greater scrutiny on how they handle fixing a problem than they are when things go smoothly. The way in which they solve the problem is an opportunity to showcase customer service dedication and commitment to excellence. SCI works with your business to develop a returns process that works for your customers and delivers a smooth, hassle-free experience to help keep your customers satisfied and boost retention.

Conclusion

As you can clearly see, there is a great deal of value that SCI has to offer through 3PL logistics services. Whether your company is challenged with reaching distant markets, speeding up delivery times, or providing a seamless returns experience, SCI has the experience and expertise you need to succeed.

If you’re ready to learn more about how you can leverage SCI’s 3PL logistics services to boost your retail e-commerce business, contact us today and we will be glad to arrange for a consultation to help answer any of your questions. So, don’t hesitate, get started down the right path with SCI.

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Top 3 Reasons for Canadian Companies to Invest in their E-commerce Teams

Every year, Canadian companies are faced with challenges on how to allocate their finite resources in order to achieve the highest possible return on their investments. Often times, these decisions can be extremely difficult. Many different departments within a company may present similar or equivalent opportunities for growth, making the choice of where to direct resources all the more challenging. However, there are other times when market trends and technological changes will make the correct path very clear and obvious. At this moment, the argument for investing in e-commerce teams is a strong one, and the potential gains are substantial.

In this article, we will examine three critical statistics and trends that clearly illustrate the importance for Canadian companies to invest in their e-commerce departments. Taking action now to boost the capabilities of your e-commerce team will help ensure your company can capitalize on these trends, gain competitive advantage, and deliver a better overall customer experience in a challenging marketplace.

Let’s take a look at the first trend in Canadian retail e-commerce, and what it could mean for your business.

1 – E-commerce revenue in Canada is projected to surpass $25 billion by 2020.

Source: https://www.statista.com/statistics/289741/canada-retail-e-commerce-sales/

It’s tough to scoff at a number like $25 billion. By the year 2020, Canadian e-commerce revenue is projected to surpass $25 billion as Canada’s economy continues to grow and consumer shopping habits maintain their shift towards online retail options. If your company wants to take part in that growth and gain a larger share of that revenue, then now is the time to increase investment and resources in your e-commerce team to handle the demands of marketing, customer service, and order fulfilment through your online channels.

2 – E-commerce share of total retail sales in Canada has doubled since 2012 to over 8% and is projected to surpass 10% by 2020.

Source: https://www.statista.com/statistics/379117/e-commerce-share-of-retail-sales-in-canada/

Not only is the overall dollar value of e-commerce revenue expected to grow, but the percentage of total retail sales from e-commerce channels is also projected to increase steadily. Since 2012, the e-commerce portion of total retail sales in Canada has grown from around 4% to over 8%. This growth is not expected to stop any time soon, and by 2020 the portion of sales from e-commerce is estimated to reach over 10%. This trend illustrates the evolving customer preferences towards online retail, and the increasing effectiveness of e-commerce solutions to meet the demands of customers. As more and more customers choose to do a larger portion of their shopping online, Canadian businesses must ensure that they are delivering a positive customer experience through their online retail channels.

3 – Hybrid e-commerce models like click-and-collect helps reduce delivery expenses which are 85% of costs occurring in the last mile of delivery.

Source: https://retail.emarketer.com/article/ecommerce-canada-its-time-has-come/58acceae9c13e50c186f6f31

As impressive as those first two statistics are, it’s not just the sales numbers and percentages that are important to note. Consumer shopping habits are constantly evolving, forcing companies to adapt or die to an increasingly diverse set of customer experience requirements. In this case however, these requirements are taking the form of a hybrid between traditional brick-and-mortar retail and e-commerce to deliver added convenience for shoppers.

To cite one popular example, Canadian grocer Loblaws now offers customers the ability to place their order through an e-commerce platform, and then pick up their order at the grocery store location of their choice. You may have already seen the ‘Click and Collect’ parking spaces marked at many Loblaws or Zehrs grocery locations in Canada. Other retailers are also adopting this model, with Walmart being one of the most recent to implement it in Canada.

This eagerness of customers to choose a click-and-collect method of shopping carries with it an added benefit to businesses, since it helps to alleviate a significant portion of delivery costs. Studies have shown that approximately 85% of delivery costs are incurred in the last mile of delivery to the consumer. Using a click-and-collect model offers substantial cost savings for companies, along with convenience and time-savings for their customers.

What These E-commerce Trends Mean for Your Business

It may come as no surprise that these trends all point to the need for your business to rethink your approach to e-commerce and its importance in your organization. While the fact that sales volumes are projected to continue growing may be the biggest influencing statistic, don’t overlook the need for an enhanced e-commerce experience to meet changing consumer expectations. Packing, fulfilment and customer service are all essential tasks that will definitely be affected by increased sales volume. You’ll also need to examine your ability to meet the demands of consumers if a click-and-collect e-commerce model is what they are looking for. Your retail stores may not be capable of performing these tasks in their current state and may need to be upgraded or retrofitted in order to provide click-and-collect services to your customers.

Regardless of whether your company needs a full overhaul of your e-commerce capabilities, or if they just need to be tweaked and adjusted a bit, you’ll want to ensure that you evaluate all opportunities for improvement and choose the ones that make the most sense for your business. The team here at SCI can help with the e-commerce needs of your business such as warehousing & Canada-wide distribution, transportation management, and more. We will work with you to put the right resources in place to achieve success.

Contact our team of e-commerce experts and we will answer all your questions on how you can take advantage of these amazing trends in the world of Canadian online retail.

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