Have you ever considered that what’s happening behind-the-scenes is often more important than what everyone sees on the front stage? In logistics terms, certainly.
Happy customers with orders delivered the same day they place them and delighted retailers who managed to fulfill their promise – this is just what is on the surface.
Meanwhile, shipping and delivery are only the final handoff to the customer, while same-day order fulfillment – encapsulating everything from receiving an order to preparing it for dispatch – is the most time-consuming and complex point, yet crucial for providing instant shipping.
Hardly a surprise that this “behind-the-scenes work” poses great challenges for retailers. The task isn’t simple: process the order, pick the items, pack them, and prepare everything for the carrier – all within a few hours. Even with enough resources, it’s challenging because managing inventory accurately, coordinating with suppliers, addressing unexpected issues, and maintaining high accuracy – all under tight deadlines – requires expertise and established workflows.
However, there are some strategies by fulfillment experts to overcome these challenges.
What is same-day shipping vs. same-day delivery?
Now, same-day shipping and same-day delivery are often confused, but they are more of related notions than synonyms. In practice, same-day shipping means orders are sent out the same day they are placed. This is closely tied to what happens on the fulfillment side as only proper order fulfillment can ensure an order is processed and dispatched on the same day. The shopper clicks to confirm the order – the fulfillment center picks, packs, and hands over the ready package to a shipping carrier before the clock strikes twelve. So you can have same-day shipping, say, for orders placed within the a.m. range – but without same-day delivery.
Same-day delivery is what happens on the customer’s side: they click BUY on a certain date – they receive their package on that same date. Naturally, all same-day deliveries are the result of same-day shippings and efficient order fulfillment, but not vice versa. To pull off the same-day delivery trick, not only does the business need fast order processing, but also a network of local couriers or dedicated delivery services.
That being said, shipping is still the basis for delivery excellence, to which the business can add superior transportation capacities. To achieve that foundation, order fulfillment must be facilitated to the point where it becomes instant.
What is same day fulfillment and how does it streamline shipping?
Instant order fulfillment is the process where an order is immediately processed and prepared for shipment as soon as it is placed. At ShipTop, for example, most orders are processed within the same day.
So, how to achieve that?
There are three cornerstones of efficient eCommerce order fulfillment: a robust inventory and order management system to track stock levels, and process orders swiftly; and a well-organized workflow at a warehouse to speed up picking and packing.
Then, as soon as the order is placed, the details are sent to the warehouse where the item is stored. Specialized software (if it has some order and inventory management capabilities like the ShipTop system does) automatically updates stock levels in real-time, and starts the fulfillment process, notifying users about each milestone.
- First, the optimal picking route is identified, and staff or automated machinery is directed to the item’s location.
- Then a worker or an automated system quickly and accurately picks the item from the shelf.
- After picking, the item is packed securely to prevent any damage during shipping. The package is then labeled with the customer’s address and any other necessary information, ensuring it reaches the right destination.
- Finally, the package is handed over to the delivery carrier, putting it on its way to the customer.
Looks like a simple automation jazz yet there are several prerequisites to make this process instant, meaning being handled within just hours.
The system in use is also supposed to handle orders from different channels (like your website, stores, and marketplaces) all in one. Having a unified view of all orders helps to avoid delays and confusion like when juggling separate systems.
The system has to update stock levels in real-time as it prevents you from selling items you don’t have, and makes the whole process primarily accurate, which is important for speed.
Finally, we need quick coordination with reliable shipping carriers to send out orders promptly.
When all these elements work together, orders can be handled within just hours.
There are also other tips
Companies with well-established fulfillment processes not only have efficient workflows and automation in place, but they also use other strategies to speed up shipping. They’re worth mentioning.
Send inventory to multiple fulfillment centers
Process-savvy companies often distribute inventory across multiple warehouses to ensure products are closer to customers, significantly reducing delivery times. To do that, of course, you need to have several warehouses at your disposal. If you do, or have a 3PL partner that does, you can place products in different locations based on customer demand and make sure they are always close to customers. This reduces the distance products need to travel, resulting in faster delivery times and lower shipping costs.
Technology-enabled 3PL providers like ShipTop use multiple locations and AI algorithms to determine the optimal warehouse for your inventory.
Set up a cut off time
Most of those who are experts in order fulfillment, use a simple strategy: decide on a specific time each day after which orders may be processed on the next business day. In practice, it means, you give yourself a clear deadline for when orders need to be picked, packed, and shipped. This helps you stay organized and ensures that your team knows exactly what needs to be done by the end of the day.
Work with reliable shipping partners
Think of it like choosing trusted friends to help you out. Major carriers and couriers, like ShipTop partners, UPS, Canada Post, USPS, FedEx, and DHL enable fast, even same-day, deliveries. These logistics giants have the extensive infrastructure, scale, and resources necessary to efficiently provide rapid delivery services.
Make sure you track everything
Finally, to make the entire process fast, you need to make sure that, above all, it is correct. Thus, it is recommended to monitor the entire fulfillment process in real-time, from the warehouse to the customer’s doorstep. It includes detailed updates at each milestone, such as when an order is picked, packed, shipped, and delivered. This helps you address the issues promptly and keep customers informed about their order status.
Why does everyone want faster shipping?
At first, the demand for same-day shipping might seem something like a good-to-have luxury option, but over the past several years, we are seeing it become almost a mandate in some areas and markets. Why is that?
First of all, consumer expectations are like Pandora’s box – once opened, it’s very difficult to set the demand back in time. Companies like Amazon have already ripped the box open. As of now, 96% of customers define “fast delivery” as same-day delivery, while a whopping 61% of eCommerce shoppers would like their packages to arrive within 1-3 hours. Earlier delivery means earlier and faster shipment, so multiple businesses now need to adapt to the standards set by trailblazing companies by optimizing the previous links in the supply chain.
The good thing is that with proper tech and procedures in place (of which we will talk soon), the rewards are promising. The most obvious one is enhanced customer retention, but motivation is also a real result. About 49% of shoppers say the availability of same-day delivery makes them more likely to shop online. The mechanism is simple: when a consumer understands that their potential order will arrive predictably fast, they are more confident in placing their order, while the brand gets to use that initial “I want it” impulse that marketing can create. This, in turn, helps increase sales volumes.
Another important aspect is avoiding cart abandonment. In eCommerce, the “full cart” moment is typically the one when the shopper stops thinking about the product itself and starts evaluating the merchant. In fact, 56% of abandoned carts are blamed on delivery concerns, intrinsically tied to shipping.
In essence, the consumer dictates same-day delivery, which is impossible without same-day shipping. The importance of word-of-mouth reputation, amplified by social media and brand reviews, then makes it profitable for brands to seek possibilities of at least same-day shipping to meet the standards.
How ShipTop offers same-day fulfillment
ShipTop is an omnichannel fulfillment provider for various online brands and retailers, including Grace and Stella, Bursera, Koston, Nonny and many others. In 2023, ShipTop was recognized as the most innovative eCommerce fulfillment company. Utilizing various automation techniques and an advanced system for inventory and order management, ShipTop helps eCommerce businesses grow.
Our collaboration with multiple carriers and couriers, including UPS, Canada Post, USPS, FedEx, and DHL, enables us to offer same-day shipping. Orders placed before 1 pm PST qualify for same-day fulfillment, while orders placed after 1 pm PST will be fulfilled the following day.
As a fulfillment producer we ensure quick and efficient order fulfillment and are always working to speed up our delivery times.
Curious about ShipTop’s retail fulfillment services and shipping capabilities? Request additional information.
