Top 5 Online Retail Strategies for 2012
According to a recent study by PayPal and Forrester Research, online retail is expected to grow by 12.2 per cent in the coming year to reach $37.7 billion in 2013. Along with adjusting marketing strategies to suit the online environment and faster delivery times by using effective shelving systems, businesses can make it easier for customers to buy their products or services by providing simpler online payment options and facilitating smartphone usage. In this article, we look at some of the top online retail strategies for 2012 and beyond.
Simpler Payments
As more and more buyers grow accustomed to the online retail environment, they’re looking to simplify the process. The October 2011 report from Forrester Research (‘Secure Insight: Changing the Way We Pay’) mentioned above suggests that as many as 40 per cent of consumers are looking for simpler payment options when they shop online.
Many consumers are finding that they have to change payment methods depending on what and where they buy. This suggests that businesses could improve the customer experience by going beyond just providing an e-commerce site to looking at including payment options that simplify the entire process.
Advantages and Disadvantages of Just-in-Time Inventory Management
Just in time (‘JIT’) is a lean business strategy first developed by Toyota. While JIT encompasses a variety of strategies that have been applied to anything from manufacturing to logistics, this article focuses on the ‘lean’ aspect of the philosophy and how it applies to inventory management.
What Does Just-in-Time Inventory Management Involve?
In contrast to drop shipping, JIT inventory management does involve the receipt, storage, and dispatch of goods. Goods are delivered to the warehouse, whether from another business or from the manufacturing site or a factory in the same business. However, only the minimum stock amount that is required for manufacturing or fulfilling customer orders in any given period is kept on the premises’ warehouse shelving systems.
Under the JIT philosophy, storing extra ‘back up’ inventory is discouraged. JIT considers high volumes of stock to be a form of waste that contributes to overhead costs and results in unnecessary outlays to purchase the stock. Back up stock also has the effect of requiring extra staff attention to receive and store the stock, which is another form of waste.
Benefits
How to Build Customer Trust Online
Studies show that growing numbers are relying on the internet alone to find out about prospective products and businesses. In many industries, your business website will be the number one or first port of call to potential customers. Trust and credibility are also essential for a high conversion rate. It’s therefore vital to know how to build customer trust online. These are some useful guidelines to get started.
Shorten Response Times
Whether it’s an online order or query, a customer is much more likely to trust your business if you respond quickly. Quick turnaround times also encourage repeat business. The logistics of shortening response times will depend on your business and organisation, but having good shelving systems in your warehouse, a solid IT system, and sufficient staff numbers can all contribute positively to ensuring that customers get what they want as quickly as possible.
What Consumers are Buying Online
Since the first e-Commerce stores were launched in the 90s, online retail has grown by leaps and bounds. Online retail is set to continue expanding for the foreseeable future. Many bricks and mortar stores have made the leap into online retail, purchasing warehouses and shelving systems for their products. In this article, we look at what consumers are buying online, and how this is expected to change in the coming years.
What We’re Buying Online
A new report by Forrester Research and PayPal (‘The Secure Insight: Changing the Way We Pay’) has projected that the online commerce will reach $37.7 billion by 2013, up from $30.2 billion this year. It found that nearly nine million Australians already buy goods and services on the internet, and around 97 per cent of internet users had already purchased something online.
5 Warehouse Design Errors to Avoid
The warehouse is one of the most important places in the supply chain. Great warehouse design that incorporates features such as high-density shelving systems and zones can make all the difference between a functional space and a highly efficient warehouse. Read about these five warehouse design mistakes to avoid.
Error 1: Low-Density and Inefficient Storage Solutions
Many businesses neglect their storage solutions and underestimate the importance of incorporating well-designed storage solutions into their warehouse. High density storage solutions not only allow businesses to make better use of existing space, they enhance efficiency. A good pallet racking system, for example, can allow faster picking by eliminating the need to cover long routes to access stock.
Integrate product profiles or stock keeping units (‘SKUs’) into your warehouse management system can help you create great zones (more on zones below) and make better decisions about storage design.
Practical Guide to Shipping Perishables
For companies that shift temperature- and environment-sensitive stock, need to take extra care in selecting a carrier and provide good storage and shelving systems for their inventory. In selecting a carrier, knowing the shipping requirements of your product and communicating these needs to your transport provider can minimise product spoilage and boost your bottom line.
Knowing Your Product
Goods that expire during transit is lost revenue. However, with the range of technologies and packaging options available, businesses can eliminate unnecessary spoilage. To match the product to the right solution, it’s important to start by understand your product.
Top 6 Warehouse Security Tips
Security is a major priority in any warehouse, along with productivity, efficiency, and safety. Good design and equipment can boost security, protect inventory and shelving systems and eliminate theft and other serious security breaches. These are six practical warehouse security tips that can be used for any warehouse or industrial storage space.
1. Data Security
All electronic data points in your warehouse management system should be password protected with unique passwords or I.D. entry requirements for every staff member. These points can include receiving points, when shipments are delivered and clocked; put-away points; picking; packing; and shipping or load points. In addition to passwords, warehouse managers may want to implement physical locks and chains to secure hardware.
5 Ways to Reduce Product Delivery Damage
Ensuring that goods arrive at their intended destination is one of the top priorities of any operations, logistics, or warehouse manager. Other than setting up effective shelving systems and working with suppliers who have a equal commitment to reducing delivery damage, there are many things that managers can to do reduce the incidence of produce delivery damage. Read these five practical strategies for getting started.
1. Use a Good Pallet System
Using a secure pallet racking system along with durable pallets in your warehouse allows goods to be stored, picked, and loaded with minimum impact or potential for damage.
Choosing Mobile Devices for Your Warehouse
Mobile communication tools and scanning devices can be vital for warehouse efficiency, particularly in larger warehouses. Getting in touch with staff on the warehouse floor and accessing information in a timely manner – these procedures can assist with reducing delays, eliminating wastage, and better decision making. Read the following tips for choosing mobile tools for your warehouse needs.
Intuitive Usage
As with any other tech tool, look for systems that balance functionality with user-friendliness. Users may not be technically savvy computer experts, so the more intuitive the device, the easier it will be to use and the more quickly staff will be able to use it effectively, whether it’s to record goods in the warehouse’s shelving systems or to communicate with other staff on the warehouse floor.
Durability and Warranties
4 Essential Pricing Tips for Online Business
Pricing can be a vital selling point for small businesses, especially for those selling online. Fixing your price range can be important when you’re just planning your business, and even well before you need to consider issues such as shelving systems and finding a storage space or warehouse. Balancing competitiveness with a sustainable pricing strategy is the key to making your business work.
1. Finding a Reasonable Price Point
Researching competitors’ pricing strategies is the first step in finding a reasonable price point. You can use the internet or visit physical stores to get an idea of market prices.