The last two years have been a roller coaster for the ecommerce industry. Merchants have dealt with spikes in overnight demand due to online shopping surges, stockouts from component shortages, shipping delays, supply chain issues, and big transportation cost increases.
Here are our four success stories from 2021.
Triple Overall Growth with a Dropshipping Model
Really big growth can be good or bad, depending on your supply chain partners and the quality of your fulfillment practices. For Aura Frame, that growth meant they saw an opportunity to get into new sales channels. With retail stores doing a tremendous amount of business online, plus starting to open up their doors again at the beginning of 2021, the team at Aura decided to start dropshipping to select retailers.
Josh Auerbach, Chief Operating Officer of Aura Frames, explains how dropshipping has increased their overall sales volume because they could turn products around faster, which means having more sellable units available during times of high demand.
“It’s not like we’re growing 10% or 15% a year, I’m talking doubling, tripling, sometimes quadrupling the year-over-year sales growth. That’s a tremendous amount of business. We shipped a really amazing number of units in the fourth quarter and all of it went really smoothly because of high service levels, turn-around time, and quality control.
It’s profit that we might otherwise be missing. We’ve been able to sell units that arrive at DCL in mid-December because they are adept at turning them around for delivery so quickly so that our customers get them for Christmas. Those are sales that we otherwise would have lost, which is a very significant revenue benefit.”
Expand Retail Accounts with Quality Fulfillment
Some smaller brands who are used to fulfilling everything in-house don’t realize that when you begin to outsource fulfillment you’re putting your product into someone else’s hands. That lack of control can be scary, but when you choose a partner who aligns with your brand needs it can propel you into new sales channels and how you scale without sacrificing quality or accuracy. maude has spent 2020 and 2021 adding many new retail accounts, and with DCL’s experience in retial fulfillment, they are continuing to add more and more.
“At maude we recognize that whatever we’re putting out, whatever we’re communicating to the world is exactly how we think and act behind the scenes. We recognize that there has to be a symbiotic relationship between our branding and our fulfillment. What’s most important is that everyone gets the whole picture for the customer.”
Upsell During the Holidays by Adding Customization
Now that the holiday rush is over, it’s time to start planning for next peak season. For brands looking to really wow their customers during the holiday season, it’s important to test out any new processes before orders start ramping up. One of the best ways to improve customer satisfaction is through quality fulfillment, once that’s set adding personalization can really set your brand apart from the rest. By adding customized messages to holiday gifts Aftershokz not only improve customer satisfaction but increased profits as well.
“We sent thousands of gift messages or gift bags over the course of our holiday sales. It’s great, it’s an upsell. We’re happy with the execution because it elevates customer experience and ultimately increases our profits. It took over two months to plan, which is actually a relatively quick turn-around for what we accomplished. It’s impressive. It was really something big.”
Increase Average Order Value with Fulfillment Technology
The concept of bundling products isn’t a new one in the fulfillment or ecommerce space. It’s a great way to cross-sell products at checkout, especially for CPG or beauty brands. Virtual bundles, is a newer concept though. Through modern tools, a seller can assign products to a bundle via inventory management software so that the fulfillment provider can execute that bundle (and new SKU) as its ordered. Virtual bundling offers sellers more flexibility at a lower cost to execute. Gloss Ventures uses them throughout the year.
Quinn Roukema, Co-founder of Gloss Ventures, says, “We sell a variety of bundles on our websites—we use them as upsells because they increase our average order value quite a bit. Plus they give us a lot more flexibility. Being able to bundle products has been really helpful for us.”
If you’re looking for a 3PL with fulfillment centers in cities across the US, we own and operate facilities in The Bay Area, Los Angeles, and Kentucky. Use DCL’s national footprint of warehouses to distribute your inventory across the country to reduce transit times and save on shipping costs. If you need fulfillment or shipping support and want to partner with DCL Logistics, we’d love to hear from you.