A GUIDE TO EXPAND YOUR E-COMMERCE QUICKLY
This guide is intended to serve as a roadmap for companies wishing to expand their supply chain activities to benefit from the growth of e-commerce in Europe.
RECENT YEARS HAVE BEEN MARKED BY THE EMERGENCE OF LARGE ECOMMERCE COMPANIES …
It is no secret that e-commerce is growing rapidly.
… but it is the large markets that are absorbing most of that growth
… however, you will receive great advantages with your own B2C channel
Direct contact with your customers to highlight your corporate brand.
Generate more value. Sell without commissions, without marketplace fees.
Flexibility.
No limitations due to strict marketplace restrictions.
Independence. The decisions of third parties are not affected
Where to start?
The guide will explain:
The importance of achieving a Logistics Strategy from the outset
The three main challenges that may arise
Success stories
Validation checklist, with the conditions to be fulfilled by a logistics partner
Logistics Strategy from the outset
Not all companies are at the same point in the e-commerce implementation process, but early logistics planning is crucial for all companies.
“My company is growing rapidly. Our in-house solutions have worked for us so far, but now that we are doubling our turnover every six months, we face operational challenges and delays in our quality, delivering on time and giving our customers a great experience.
“My company has been doing well and growing fast. But we want to accelerate our e-commerce launch plans and start selling now through our own European online stores, without conventional intermediaries. We need an experienced and knowledgeable partner to help us manage the launch properly, and to grow and expand our business successfully.”
Not all companies are at the same point in the e-commerce implementation process, but early logistics planning is vital for all of them.
ACTION
Analyze your logistics vision and strategy (including technology requirements) at the beginning of the e-commerce implementation phase. By establishing a sound logistics strategy, you can optimize your operational skills and save costs. Develop your logistics strategy from the start.
CONCLUSION
Access to the right logistics infrastructure and processes are critical to delivering a seamless customer experience, saving costs, delivering quickly and increasing resilience. Operational agility offers companies significant strategic advantages to be competitive and adapt quickly to changing economic and social trends.
What are the main challenges of your own e-commerce channel?
CHALLENGE 1
PROVIDE A PLEASANT USER EXPERIENCE
Online shoppers now have much higher expectations.
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Percentage of shopping carts abandoned because products wait too long or shipping costs are too high.
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Porcentaje de crecimiento de los ingresos que se espera obtener si se ofrece entrega al día siguiente
To meet these expectations, you must ask yourself if you can offer the following:
- Next day delivery in your key markets
- Visibilidad de principio a fin (desde que se hace la compra online hasta que se entrega)
- Gestionar las devoluciones de forma rápida y eficiente
ACTION
Look for a partner that has a network of warehouses that are close to your customers, that invests in digitization to provide visibility, and that can screen returns in major markets and get them back in stock quickly.
CHALLENGE 2
Combating seasonal fluctuations in demand
Peak demand on weekends or at specific times of the year, or increased demand from new product launches, is very important. Some retailers typically account for 50% of total sales in the last months of the year, while other retailers such as DIY, gardening and sports peak much earlier.
To meet these expectations, you must ask yourself if you can offer the following:
- Next day delivery to major markets
- End-to-end transparency (from online purchase to delivery)
- Managing returns quickly and efficiently
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Percentage of e-commerce companies that we consider one of the most important challenges faced by peak activity.
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Percentage of annual sales normally recorded during Black Friday and the vacation season.
ACTION
Find a partner who can design the infrastructure and processes to respond to changing demand.
CHALLENGE 3
Providing efficient and sustainable order delivery
If you cannot deliver your products and services to your customers quickly, efficiently and, above all, sustainably, then there is nothing wrong with that. In this respect, companies planning to offer e-commerce in Europe will benefit from using a network of logistics centers that enable fast delivery and solutions that are as environmentally friendly as possible.
Evaluate if you can do the following:
- Access to locations strategically located close to your customers
- Find a carrier in a local market that guarantees next day delivery.
- If possible, provide alternative fuel supply options
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The main e-commerce markets in Europe are the United Kingdom, Germany, France, Italy and Spain.
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Percentage of UK shoppers who are more likely to buy from competing retailers when they offer more sustainable shipping options.
ACTION
Organice el acceso a la infraestructura física necesaria para cumplir con las obligaciones de sus clientes. Para ofrecer productos y servicios en otros mercados europeos, debemos pensar en cómo cumplimos con las expectativas de los clientes en un área mucho más amplia de la que trabajamos anteriormente.
How to successfully launch your B2C
E-commerce channel
Considers applying strategies based on "pragmatic agility".
This strategy allows organizations to limit their initial outreach to specific products/services and geographic locations, learn from the process and apply that information to rapidly expand that reach.
This limited proof of concept allows retailers to take the first step in their e-commerce strategy rather than embarking on a full digital transformation.
1. Define the scope of your plan.
Design proofs of concept with limited parameters (SKUs, geographic locations, etc.) for testing and learning.
2. Execute the plan.
Prioritize the factors that directly affect your customers and assign responsibilities rather than tasks.
3. Understand the plan and adapt it.
Continue to adjust your plan by monitoring appropriate metrics and performance indicators that will give you more detailed information.
Checklist of requirements to be met by the
e-commerce business logistics partner
Checklist
Establishing the infrastructure and skills that e-commerce companies need to operate in different European countries is not an option for most companies. Therefore, a more realistic alternative is to create strategic partnerships with experienced and professional partners.
The member must be able to meet the following requirements:
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Deliver next day delivery to your main European markets
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Scale up your services to meet demand during peaks of activity
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Providing visibility from online store purchase to delivery
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Manage returns quickly and efficiently
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Provide an environmental solution for customers
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Use data to improve inventory levels
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Partnering with local carriers in different European markets.
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Implement logistics centers in new markets in a matter of weeks
THE REWARD:
Are you ready to overcome the challenges of e-fulfillment?
Setting up your own e-commerce channel is complicated, especially in a European retail market controlled by large e-commerce companies with large capabilities and infrastructure.
Those who manage to overcome the hurdles will enjoy a great reward:
- Autonomy and flexibility offered by being independent.
- The means to generate more value to your business
- A direct and transparent link with your customers.