Distribution is the process in which products are transferred from the seller to the buyer. If we take the concept to the area of marketing we will talk about logistics as it is a broader concept. This is the area that deals with the processes necessary for the issuance of orders, warehouse management, post-delivery service and any problem that may arise from the process. Next, I will try to discover its main characteristics and its importance in ecommerce.
The most common problems in purchases made through the Internet, according to the AECEM-FECEMD (Spanish Association of Electronic Commerce), are:
From the graph, the conclusions are:
- Errors in delivery create unsatisfied e-clients and damage the company’s image
- Bad logistics can mean the loss of e-clients
- The profitability of the sales process is determined by the logistic cost
- In order to offer a good service, the supplier must be managed correctly, delivery times, costs and after-sales service
That is why the main demands of current e-clients are:
We can also meet with technological challenges when talking about logistics and e-commerce:
IN STORAGE.
– Order-picking systems must be oriented towards small orders.
– Have a quality shipping packaging (packaging, labels, etc.)
– Agile stock management
– Offer short response times
IN THE DISTRIBUTION.
– Quality in delivery
– Have an emergency service
– Create complementary services: delivery notices, new payment methods …
IN LOGISTICS INFORMATION SYSTEMS.
– Planning of delivery times
– Route planning and optimization
– Tracking systems
– Integrate logistics information systems in the virtual store
Definitely, logistics is one of the most important aspects to have in an account for any company and is a great challenge it comes to the development of e-commerce, because it opens up business options globally. Therefore, companies must be more demanding with themselves and take into account all the aspects described above to optimize their logistics processes.
The blog of Logistics at MGEPS at UPV 