Omnichannel Supply Chain Fulfilment Guide: What and How it is Done

Omnichannel Supply Chain Fulfilment Guide

Think online marketing is easy, think again! With growing digital penetration, customer satisfaction has taken a new meaning in the last decade. To meet consumers’ changing needs and preferences, brands are turning to omnichannel supply chain fulfilment. 

Customers in the digital age want their buying experience to be seamless. From the initial search to multi-channel optimisation, they want a hassle-free journey. Omnichannel retailing is no longer an option, it’s the basic necessity to fuel growth. 

In this blog, we’ll understand the what and how of omnichannel supply chain fulfilment. 

What is Omnichannel Fulfilment? – A Closer Look

Fulfilling orders from a single store is easy, however, the game changes when items are sold across multiple sales channels, stores, and eComm marketplaces. Omnichannel fulfilment involves allocating inventory to different stores to prevent over and understocking. 

This requires distribution centres and storage facilities to sync orders for seamless customer delivery. But, wait, what are its benefits?

  • High order efficiency.
  • Strict operational accuracy
  • Happy customers because omnichannel supply chain fulfilment means they get faster home-delivered goods. 
  • Accurate tracking to identify areas for enhancing delivery services.
  • Fostering a strong brand image because consumers know they can get multi-level picking options like curbside pickup, in-house store purchase, regional and international shipping, etc. 

How to Create Omnichannel Supply Chain Strategy

Omnichannel is the buzzword in the eCommerce industry. Most multi-channel retailers include it as a key business strategy. Unify inventory management and enhance logistics to deliver an unparalleled customer experience. How will you achieve this? Here is a basic guide to getting started.

1. Manage Your Inventory

Every retailer’s inventory requires a foundational shift to eliminate complex workflows and legacy infrastructure. Built a uniform and easy-to-access system by connecting sales channels across fulfilment centres, warehouses, transit, and store shelves. Integrate AI solutions to replace existing inventory technology and avoid point-to-point integration because it increases time, and cost, and is inflexible. 

2. Fuel Newer Options

Once the omnichannel supply chain fulfilment is unified, enhance the existing sales channels by incorporating newer options into your shopper’s journey. Promote product availability directly on the product detail page. Create promotional marketing campaigns via emailers, site banners, and SMS to advertise your newer order fulfilment options. 

Consider integrating shipping software at each point of sale for instant in-store pickup and same-day delivery. 

3. Pick, Pack, and Ship

Your supply chain is a network of operators working hand-in-hand to deliver items on time. Thanks to the modern inventory system, the unified tracker allows you to track inventory in real-time. To activate omnichannel supply chain fulfilment, your staff should be adequately trained to handle orders from pickup options like in-store purchases, online shopping, and curbside. 

To initiate Omnichannel distribution, take the following steps.

  1. Rely on Data – Use big data analytics as your information oil. Gather data from WMS, OMS and other inventory management software in a single dashboard. This will help you to improve order efficiency and enforce SOPs at the start. 
  2. Assemble the Team – Using a tool that enhances your employees’ tasks is a win-win situation. Workers can align their daily activities across shipping centres by focusing on top-priority orders. 
  3. Workflow Integration – Pick and pack is the initial journey of the entire supply chain process. Integrate tools with third-party logistic providers to facilitate smoother dispatch. 

Wait, don’t forget the importance of communication.

4. Customer Feedback

Shoppers’ loyalty is based on communication. Omnichannel supply chain uses branded communication to update customers regarding changes in delivery plans. This is not the siloed notification alert, it is a post-purchase strategy powered by connected systems. 

Here’s a brief overview of the entire process.

  1. Whether the order is picked from the store or shipped from warehouses, dynamic alerts/notifications create stronger customer satisfaction. A sudden change in the delivery date? No problem, sending a real-time text, message, or email can foster a sense of user loyalty. 
  2. Brand messaging should be consistent across sales channels by measuring the activity of each fulfilment centre. 

5. Connect Under a Single System

The transition to omnichannel eCommerce fulfilment starts by dividing the task into bite-sized workstreams. Dozens of individuals, and teams work together to manage the shipment and delivery of products. Prioritise systems that offer seamless tool access with varying user control. 

Use a single app to execute multiple logistic workflows like scanning, indexing, picking, packaging and final delivery. User-friendly apps, vision systems, and API tools are the building stack of modern inventory fulfilment. 

Where are you heading off? We’re not done yet. Let’s explore the major types of omnichannel supply chain centres. 

Omnichannel Fulfillment – The Different Scenarios

Retailers and customers have different needs and preferences, thus, giving rise to different omnichannel supply chain centers. Let’s look at the common examples. 

1. BOPIS

Retailers have multiple shopping centres and the Buy Online Pick In Store(BOPIS) facility allowing customers to purchase items online and pick from a nearby store location. This eliminates the waiting time for shipping. 

2. In-app purchases

Tired of retailers taking you to third-party websites or apps for final payment? Nowadays, online brands allow customers the flexibility to purchase from their mobile apps. They can browse and buy directly within the app, offering a seamless and trustworthy brand experience. 

3. eCommerce Marketplaces

Brands can collaborate with online marketplaces like Amazon to expand their reach. You can still enjoy seamless shopping without losing out on brand creditworthiness. Omnichannel supply chain at its best, right?

4. Interactive Touchpoints 

Watch-and-buy shopping no longer elevates customer experiences. Want to grab their full attention? Offer interactive kiosks or touchpoints in websites and mobile apps. They provide additional product info and personal recommendations in visually appealing displays and flexible options for purchase. 

5. Ship To Anywhere

Whether it’s your local shopping store, your home, or a nearby distribution centre, brands offer omnichannel supply chain fulfilment that suits your needs. 

6. 3PL

Third-party logistics providers are specialised supply chain managers handling omnichannel supply chain fulfilment. Brands hire these third-party vendors to leverage their expertise and to free up their time and resources. 

Now, let’s explore the FAQs section of the blog. 

FAQs – Omnichannel Supply Chain Fulfilment Guide

What are omnichannel fulfilment solutions?

Smart solutions streamline the picking, packing, and shipping of items across multiple sales channels and marketplaces. This is done to sync the activities under a single platform to facilitate smoother customer delivery. 

What’s the difference between multichannel and omnichannel?

It’s easy to get confused between multichannel and omnichannel. But, remember the former deals with pre-defined pathways that don’t necessarily integrate within the shopping journey. And the latter includes integrating technology with the supply chain to manage evolving customer demand.  

What is required in omnichannel supply chains?

They need to be adaptive, and flexible and should be capable of supplying bulk orders to distribution centres and at the same time shipping individual items to customers. 

Why use omnichannel?

The right omnichannel strategy will create continuous data-driven feedback channelling from individual sales pathways, ultimately enhancing the logistics network. 

Final Message 

Despite supply chain disruptions, customers expect the product they ordered online will be delivered within one or two days. Incorporating an omnichannel supply chain strategy using the tactics discussed earlier will build resilience in your logistics network. For those struggling with supply chain bottlenecks, don’t hesitate to get in touch with Qodenext to upgrade your supply chain networks.