Scribd
Upload
214 views6 pages

E Commerce Distribution

E-commerce presents both opportunities and challenges for distributors. This document outlines 10 things every distributor should know about e-commerce, including that mobile e-commerce is a major force, business-to-business sales are key, and Amazon Supply is a major competitor. Distributors must focus on customer experience through fast delivery options and returns processing, and leverage analytics to adapt strategies to customer needs in the constantly evolving e-commerce landscape. Understanding these factors can help distributors provide better service than competitors and maximize opportunities in e-commerce.

Uploaded by

Saikumar Sela
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
214 views6 pages

E Commerce Distribution

E-commerce presents both opportunities and challenges for distributors. This document outlines 10 things every distributor should know about e-commerce, including that mobile e-commerce is a major force, business-to-business sales are key, and Amazon Supply is a major competitor. Distributors must focus on customer experience through fast delivery options and returns processing, and leverage analytics to adapt strategies to customer needs in the constantly evolving e-commerce landscape. Understanding these factors can help distributors provide better service than competitors and maximize opportunities in e-commerce.

Uploaded by

Saikumar Sela
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 6

E-Commerce

Distribution: 10 Things
Every Distributor
Should Know About ECommerce

E-commerce is both the greatest opportunity and most difficult


challenge you will ever face as a distributor. There is more
information in e-commerce distribution than you could possibly
realize, and the potential for growth of your business is
exponential. However, e-commerce can be scary and unforgiving.
Fortunately, you can improve your chances of success by
understanding the top 10 things or best practices, reports Leslie

Hansen Harps of Inbound Logistics, every distributor should


know about e-commerce.

1. Mobile E-Commerce Distribution Is


Real.
Mobile e-commerce distribution is not simply an ideal; it is a fact.
The majority of online shopping is through smartphones and
apps, and your company needs to leverage this by providing
services to those companies who have app-based and mobileoptimizing shopping environments for their customers.

2. B2B E-Commerce Is King.


As a distributor, most of your customers are actually businesses.
In the modern supply chain, you are going to need to realign
your business strategy with partnering businesses. In other
words, you need to transition to a business-to-business strategic
partner and services provider.

3. AmazonSupply.com Is Your Biggest


Threat.
AmazonSupply.com, reports Insite Software, is one of your
biggest threats to maintaining a role in the distribution network.
Amazon has flooded the market with products, and now, the
company is doing the same process to flood the supply chain. You
need to consider that some of your business will be lost to
AmazonSupply.com, and you need to work to encourage your
customers to stay with your company. However, do not be
discouraged when some clients or customers decide to abandon
ship in favor of Amazon.

4. Overseas Manufacturing Is Not the


Solution to E-Commerce Distribution
Problems.
Overseas manufacturing is more like opening a can of worms
than opening doors if you plan on only selling your products in the
U.S., reports Sean Ogle. While some overseas
manufacturing can help your company, more customers are
turning to products manufactured in the U.S., and this mindset is
only growing stronger with the 2016 election. In another scenario,
the 2016 election could have serious consequences for
companies making products overseas, so todays distributors
need to focus on products manufactured in the U.S. as a priority.
Ultimately, not counting on overseas manufacturing of products
for sale in the U.S. can act as a safety net for todays distributors.

5. You Need to Focus on the Customer


Experience.
The customer experience is one of the greatest problems in
meeting the demands of an e-commerce driven world.
According to Bob Trebilcock of Logistics Management, clients
are focusing more on cycle time, and as a distributor, your ability
to get products out equal to, if not faster than, Amazon can be the
determining factor in if your customers or clients continue to work
with your company. The key to making this practice work is by
giving your clients options. For example, offer shipping options
that range from two days to one week. Some customers will not
mind the week, but those who need it sooner have the ability to
get it sooner.

6. E-Commerce Is Ongoing and


Continually Evolving.
E-commerce distribution is not static; it is always evolving and
growing in scope. More small businesses are entering the realm
of e-commerce daily, and your competitors are waiting for the
chance to pounce. You need to be proactive in getting your
company in front of customers and other businesses. Even if
business seems to be booming, you still need to work on
marketing for e-commerce consumers because some time in the
future the number of customers you currently have could change
dramatically, and you need a backup plan.

7. Align Distribution Strategy With


Information and Insights From
Analytics.
Use analytics to stay informed of how your business needs to
adapt to the needs of e-commerce B2B businesses. Your strategy
needs to align with the strategies of your B2B clients, and you
should be willing to use this information to create new ideas and
ways of working to give your clients the best rates and services
possible.

8. Increase Your Visibility Through


Advanced Shipping Notification (ASN).
An advanced shipping notification (ASN) helps to keep your
carriers happier and engaged by notifying them when you are
about to ship a specific purchase order. This gives them a time to

expect arrival of the product, and you can include all of the
relevant information on the ASN for your shipment. Ultimately, this
keeps the supply chain effective and connected.

9. Hold Vendors Accountable.


Some vendors will ignore your processes and refuse the common
decencies of business. As a distributor, you need to hold
vendors accountable. If a vendor does not meet your
expectations or adhere to the rules and guidelines in your
company, create a way of encouraging adherence. This can be a
suspension or other form of penalty. Advise the vendor that future
occurrences could result in the dissolution of the B2B relationship.
However, you must be reasonable in your rules and requests.

10. You Still Need to Manage the


Returns Process.
E-commerce distribution is going to inherently result in more
returns than brick-and-mortar shopping. Customers may order the
wrong size, incorrect color or wrong product. You need to be
prepared to handle a flow of goods back into your warehouse and
distribution network from your customers, and nearly all online
retailers offer free shipping on returns. As a result, you need a
system to manage the whole returns process and print out return
shipping labels for customers on-demand.
Your education on e-commerce does not here. E-commerce is
also evolving, and todays insights may not necessarily reflect
what tomorrow may bring. Rather than simply hoping for the best,
you need to leverage the information found in these 10 factors to
provide better service and products than your competitors.
Ultimately, you can get more customers than you could have

dreamed through e-commerce, but turning a blind-eye to ecommerce can spell your doom.

You might also like