Forums: Discussions for entrepreneurs and small business.

dan,

a new topic about how fulfillment works (without making it a blatant commercial!) would be really cool for our community. please consider that.

Rich Sloan
Co-Founder, StartupNation

 

Rich,

 

It is my pleasure to start a discussion on the benefits of a fulfillment program.  For a simple background on fulfillment the true definition is: the storage, management, and timely distribution of a customer’s materials to its distribution outlets or end users.

 

What capabilities a fulfillment company handles will vary but the basics include: receiving your product or literature, checking for damage or shortage, inventorying your goods in their warehouse, perform route inventory stock levels, receiving your orders (via internet, phone, or fax), if needed kitting or assembly of goods, pulling goods from stock, packaging of goods and shipping of goods, emailing customer with tracking number or shipment status, handling returns and customer service issues.  And throughout this entire process, giving you the client the ability to view all activity via real time reporting.

 

After many years of experience in this field I can tell everyone that, no two fulfillment programs are the same.  A fulfillment program is (or should be) tailored to the specific circumstances that surround the company, product, end user, information gathering process, payment & shipping method, etc… (you get my point).  With this being said, there are fulfillment companies that are better or specialize in certain areas, so make sure to provide as much information up front as you can.  Picking a fulfillment company is more than finding a company that can ship you stuff; it is teaming up with a business partner that can either make your life/job easier or supply you with enough problems to drive you over the edge.

 

There are many reasons to partner with a fulfillment company.  Of which, allowing you to focus on your core business and concentrating on growth is probably the biggest.  If you’re spending your time shipping, tracking, packaging, ordering materials, etc… it is taking away time and money from what you do best, running your business. 

 

One last point, make sure that the company you choose provides you with the management tools to see what is going on.  You should have access to real time reporting that includes: order status, inventory levels, backorders, tracking numbers, returned items, payment history, etc…

 

Please feel free to ask any questions and if I can’t help I will certainly point you in the right direction.

 

Dan Coll

Rapid Fulfillment  

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Product & Literature Fulfillment Experts Dan Coll, President Rapid Fulfillment, Inc. 461 Cochran Road, Suite 300 Pittsburgh, PA 15228 dan@rapidfulfillment.com www.rapidfulfillment.com

yes,  I agree, You need the right match.
One of the things I`ve yet to come to terms with is how far away from the home office is too far. It seems the greater the match, the greater the distance between client (me) and the fulfiller. Could you tell me how far your clients are away from your location.

Jeff,

Great question, however not so cut and dry to answer.  My company is based in the East (Pittsburgh, PA), one of my larger clients is less than two blocks away and another is in California and plenty inbetween.  Again I think that it goes back to the specifics of the project.  I can tell you that if you select a fulfillment company on the opposite coast to handle that 1/2 of the country you will see a dramatic savings in shipping and faster delivery times.  As far as the distance between client and fulfiller, I truely don`t believe that it should matter, in most cases.  With web-based software a client can see what is going on 24/7 in real time.  I also do work for one of the "Big Three" auto makers that are sending to all parts of the country in equal measure, so as long as our work is accurate they are happy.  Hope this helps.

Dan

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Product & Literature Fulfillment Experts Dan Coll, President Rapid Fulfillment, Inc. 461 Cochran Road, Suite 300 Pittsburgh, PA 15228 dan@rapidfulfillment.com www.rapidfulfillment.com

For what it is worth, I`m with eFulfillment Service -- a Michigan-based fulfillment house that services primarily small and medium sized companies, along with start-ups, and we work with clients throughout the United States and Canada. My position is that distance is really not an issue if, as Dan says, the fit with the fulfillment company is a good one. Given the diversity of services available out there, and the degree of specialization that one can easily find in the fulfillment industry, it is really worth working to find a company that fits your needs well -- and then the issue of distance itself will be much less of a consideration.

All other things being equal, you will probably do better working with a company that is roughly located in the middle of the United States over a company on the coasts, if a national distribution plan is on the table.

Another issue really is cost -- you will find as you shop around for fulfillment companies that the fee structures and services are all over the place. My advice is to contact many companies for quotes before deciding on where you want to take your business.

Jordan (jordan@efulfillmentservice.com)

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eFulfillment Service, Inc.
www.efulfillmentservice.com

Hi

In my experience if you get to a size where you need it - a good fulfilment center is essential. It should have the capacity to offer the customer service representatives too - nothing is more frustrating than a customer being passed around the country. Again, depending on a size a center with both East & West Coast sites is a great option.

Best Wishes

Lee

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Making International & Domestic sales easy on a No gain, no fee basis. Benenift from the management of Snowflake Media who have generated sales of over $300 million in the past 6 years. www.snowflakemedia.co.uk www.yournightoff.com