Omnichannel order fulfillment is a double-edged sword. On one hand, you have multiple methods for fulfilling customer orders, and customers can choose whether they want orders shipped to them or picked up in store. This flexibility helps to make customers happy.
On the other hand, retailers have seen upwards of a 300 percent increase in what it costs to serve omnichannel customers.
According to the Retail Industry Leader Association’s annual survey, as reported in Supply Chain Quarterly, executives identified controlling supply chain costs as a top priority, with order fulfillment and omnichannel costs being a part of the reason.
The good news is that tools exist to help reduce omnichannel order fulfillment costs and complexity. These tools leverage advanced capabilities like artificial intelligence, cognitive computing, and predictive analytics to optimize order fulfillment processes.
The transparency provided by these tools can help companies drastically reduce the cost to serve their omnichannel customers while still meeting consumer expectations of speedy delivery.
While there is no magic bullet to cost reduction, let’s take a look at three ways companies can use these advanced capabilities to improve the way they fulfill orders.Continue reading