What Thanksgiving Weekend 2015 Means for Your Business

Thanksgiving 2015 falls on November 26th. It’s a time to be with family and friends, treat yourself to delicious treats, and, in recent years, start hunting for deals. From Thanksgiving on through to the 30th of November are four of the year’s biggest shopping days, and although sales numbers as a whole continue to rise, there’s been a dramatic shift to getting shopping done online.

Last year, physical retail sales dipped 11% from 2013’s total.¹ While physical stores may be suffering, IBM’s U.S. Retail Black Friday Report 2014 boasted a 63.47% increase of online sales year-over-year (YoY) on Thanksgiving and a 9.48% increase YoY on Black Friday.² Across 2014’s holiday weekend, shoppers flooded digital channels, spending over $4.5 billion.³

As an online business, what does this mean for you?

1. You need to prepare your website for heavy traffic volumes.
   Building on trends established from last year, sales volumes are set to increase again, but physical retail stores may share an even lesser share of the commerce. Consumers are going to be out in force, but more than ever before, they’ll turn to their computers, smartphones, and tablets to make the sale. Make sure your website is ready for heavy traffic volumes so you don’t have to turn anybody away.
2. Your order fulfillment company must be ready for anything.
   For every digital checkout completed, there needs to be a physical reaction of shipping those goods to your consumers. Late November into early December is the single more important time of the year for 3rd party logistics companies to be highly performant and responsive.
   
   Vision Consumer Products Fulfillment runs their fulfillment warehouses with a mix of proven expertise and advanced technology to ensure that everything you sell gets out the door quickly. If your 3PL isn’t equipped to do the same, then it might be time to consider switching.

With each passing year, Thanksgiving Weekend becomes a bigger shopping spectacle. You want your business to be part of these record-shattering days, and you need a 3PL provider to back you up.

Vision Consumer Products Fulfillment has decades of experience and industry expertise in consumer products fulfillment services.  No matter who your customer is, we treat your customer as our own. We know what makes a raving fan out of an individual customer, as well as what makes a business partner trust you with their business. Call or email us to learn how. We’re certain we’ll be the best fulfillment warehouse partner you have ever had!

http://visioncpf.com
CPFSales@VisionMediamgmt.com

¹ http://www.nytimes.com/2014/12/01/business/thanksgiving-weekend-sales-at-stores-and-online-slide-11-percent.html?_r=2
² http://www-01.ibm.com/software/marketing-solutions/benchmark-reports/black-friday-report-2014.pdf
³ http://www.statista.com/statistics/266104/online-retail-spending-on-thanksgiving-black-friday-and-cyber-monday/

FedEx Fuel Surcharge Déjà Vu

Effective 2 November 2015, FedEx is adjusting its fuel surcharge index.  Experiencing some déjà vu? That may be because just nine months ago, in February 2015, FedEx adjusted its fuel surcharge index.  

This time around, fuel surcharges for FedEx Express/International will increase 1.5% to 1.75%, while FedEx Ground surcharges will increase 0.5% – 1.0%.¹ These are in addition to the fuel surcharges implemented in February.  And the hits just keep coming: FedEx also announced increased shipping rates effective 4 January 2016, with FedEx Express, Ground, Home Delivery and Freight, all increasing by an average of 4.9%.²

You have to get your products into your customers’ hands, so you have no choice but to ship.  So, how will these changes affect your planning? What are your options for managing rising shipping costs?  How can you proactively address your logistics management?  

Before you panic and start taking the hit to your bottom line, talk to your 3PL fulfillment partner.  A great fulfillment partner can help; transportation is the backbone of their business, and they’re on top of the trends and working on ways to optimize their options to their partners’ benefit.  Talk to Vision, we can help you understand and plan for your transportation future.

---

Exciting news: Vision will be at the SEMA Show November 3^rd through 6^th in Las Vegas www.semashow.com.  The SEMA show is the premier automotive specialty products trade event in the world!  If you’re thinking about going, let’s connect!  661-702-5050.

Vision Consumer Products Fulfillment has decades of experience and industry expertise in consumer products fulfillment services.  No matter who your customer is, we treat your customer as our own.  We know what makes a raving fan out of an individual customer, as well as what makes a business partner trust you with their business.  Call or email us to learn how.  We’re certain we’ll be the best fulfillment warehouse partner you have ever had!

http://visioncpf.com

                                                             

CPFSales@VisionMediamgmt.com

¹ http://www.mytotalretail.com/post/oops-fedex-increases-fuel-surcharges-products-effective-nov-2-2015/

² http://www.mytotalretail.com/post/fedex-announces-2016-general-rate-increase-changes-shipware-analysis/

How to Reduce Your Abandoned Shopping Carts

According to the Baymard Institute (baymard.com), 68% of all ecommerce visitors abandon their shopping carts – leaving behind merchandize valued at approximately $4 trillion!¹  How can you reduce this trend, and close the sale with your customers?  Fortunately, the same research tells us that 63% of those abandoned carts are recoverable.  Following are three significant reasons causing those abandons:

• Not ready to buy yet 16%
• Having to create a new user account 23%
• Unexpected shipping costs 28%

Addressing just one of these factors can have a positive impact on your sales, so let’s look at the biggest factor – unexpected shipping costs.

A well-designed ecommerce site focused on the user experience can support your efforts to close sales.  Your billing and shipping page should provide multiple shipping time options, with the delivery time and cost clearly displayed.  Set the least expensive as the default.  Include descriptions and input examples for input fields – you want to make completing the forms as simple as possible, and not leave room for questions or errors that result in the customer walking away from the cart.  And always provide an option to select the shipping address as the same as the billing address – never make your customer input the same information twice!

Your 3PL fulfillment partner can help you fine-tune your shipping options and ensure that you meet your shipping deadlines, to help maximize your cart close rates.  They can be a key partner in crafting your inventory and shipping strategies.  Talk to your partner today, and start recovering those abandoned carts today!

Exciting news: Vision will be at the SEMA Show November 3rd through 6th in Las Vegas www.semashow.com.  The SEMA show is the premier automotive specialty products trade event in the world!  If you’re thinking about going, let’s connect!  661-702-5050.

Vision Consumer Products Fulfillment has decades of experience and industry expertise in consumer products fulfillment services.  No matter who your customer is, we treat your customer as our own.  We know what makes a raving fan out of an individual customer, as well as what makes a business partner trust you with their business.  Call or email us to learn how.  We’re certain we’ll be the best fulfillment warehouse partner you have ever had!

http://visioncpf.com

CPFSales@VisionMediamgmt.com

¹ https://econsultancy.com/blog/66680-top-10-digital-marketing-stats-from-this-week/?utm_source=Econsultancy&utm_medium=email&utm_campaign=5922660_1836-daily-pulse-us-2015-07-10&dm_i=LQI,3IXYC,9O32IC,CN17Z,1

Fulfillment Best Practices - The Foundation of Your Supply Chain

Technology is changing the world by the day, if not by the hour.  It’s easy to get caught up in the hype, and focus on automation, or the latest, greatest software.  But all of these are only as good as the underlying basics – best practices aren’t called that by chance.  Fulfillment best practices form the underlying foundation that allow you to take advantage of that latest technology, or utilize that cool new software package.  “A best practice is a method or technique that has consistently shown results superior to those achieved with other means, and that is used as a benchmark.”¹ Or in other words, get the basics right, and you have a strong foundation to grow on.

What, you may ask yourself, are the basics for supply chain that you should be focused on?  As Bob Trebilcock, Editor at Large for Logistics Management, discussed on 19 May 2015, inventory management rests on three main points: warehousing, transportation, and labor – Trebilcock’s “three-point stance”.² But what are the best practices for these areas?  And how do you implement them?  This is where a 3PL partner can lead the way.  A great 3PL will be operating on best practices – they improve their efficiency and profitability, and that translates to better operations for their clients.  Talk to Vision today, to learn how you can leverage our best practices and fulfillment excellence.

Vision Consumer Products Fulfillment has decades of experience and industry expertise in consumer products fulfillment services.  No matter who your customer is, we treat your customer as our own.  We know what makes a raving fan out of an individual customer, as well as what makes a business partner trust you with their business.  Call or email us to learn how.  We’re certain we’ll be the best fulfillment warehouse partner you have ever had!

http://visioncpf.com

CPFSales@VisionMediamgmt.com

¹ https://en.wikipedia.org/wiki/Best_practice

²http://www.logisticsmgmt.com/article/supply_chain_management_remember_the_three_point_stance/blogs

Stacking your B2B pitch deck for success

Congratulations!  You finally got your foot in the door to present your product line to your dream big box retailer (e.g. Walmart, Target, etc.) and you’re putting together your presentation and the team to deliver it.  This is your big chance to break into B2B (business to business) commerce.  But what else can you do to stack the deck in your favor and convert that presentation into an order?

First, know that the demands of B2B (business to business) e-commerce differ significantly from those of B2C (business to consumer).  B2B fulfillment tend to be heavily weighted towards accuracy – typically requiring compliance with a very detailed and exacting “routing guide” provided by the retailer.  Failure to follow these specifications can result in very large penalties, or “charge backs” – and too many problems can derail future orders.    

Adding a strategic 3PL partner to your team demonstrates not only your understanding of B2B logistics requirements, but also your dedication to making the relationship work efficiently from the get go.  It’s just one more factor that weigh in on the side of the “Yes, let’s do business” equation – and it’s a factor you can control.   At Vision, we have decades of expertise with hundreds of successful retail program implementations under our belt.  Ask us specifically about our successful history of chargeback management.

Vision Consumer Products Fulfillment has decades of experience and industry expertise in consumer products fulfillment services.  No matter who your customer is, we treat your customer as our own.  We know what makes a raving fan out of an individual customer, as well as what makes a business partner trust you with their business.  Call or email us to learn how.  We’re certain we’ll be the best fulfillment warehouse partner you have ever had!

http://visioncpf.com

CPFSales@VisionMediamgmt.com

Why go 3PL?

Business is always competitive, but the current environment of rapidly evolving technologies makes it even more so these days.  Product development, customer acquisition, global competition – there are so many areas you need to execute with excellence - but is logistics one of them?  Should it be?

Using a 3PL fulfillment company (a third-party logistics provider) allows you to outsource part, or all, of your supply chain management functions.  Basically, you outsource the storage of your product (warehousing) as well as the fulfillment, or shipping of your product to the end consumer (fulfillment).  By outsourcing logistics to a firm for whom supply chain management is the focus, you’re able to capitalize on their experience, infrastructure and industry relationships.   A 3PL can provide a flexible and scalable logistics solution option, helping you manage the changing demands of seasonal highs and lows and growth.  Rather than trying to navigate the swiftly evolving transportation environment of today with no map, a great 3PL partner can guide you to solutions for managing rising transportation costs and supply chain challenges, allowing you to focus on your product rather than how to get it where it needs to be - and that can be key to your company’s success.  So go 3PL and talk to Vision – we can help you understand and plan for your transportation future.

Vision Consumer Products Fulfillment has decades of experience and industry expertise in consumer products fulfillment services.  No matter who your customer is, we treat your customer as our own.  We know what makes a raving fan out of an individual customer, as well as what makes a business partner trust you with their business.  Call or email us to learn how.  We’re certain we’ll be the best fulfillment warehouse partner you have ever had!

http://visioncpf.com

CPFSales@VisionMediamgmt.com

Business 2 Consumer Success Strategy

While most companies selling directly to consumers can be referred to as B2C companies, since the dotcom boom of the late 1990s, it has come represent an e-commerce model involving a financial transaction or online sale between a business and aconsumer. The demands of B2C (business to consumer) e-commerce differ significantly from those of B2B (business to business).

First, the opportunities to drive efficiencies of fulfilling and moving product in bulk that are found in traditional logistics disappear, to be replaced by direct-to-consumer orders that are one-by-one and require a pick, pack and ship operation.  Second, e-commerce sales are highly promotion driven, resulting in large swings in order volumes (even changing from day to day).  And last, online orders tend to be unpredictable, both in terms of overall volumes and product popularity (a single mention in the right social media venue can drive sales through the roof unexpectedly).  Add in the ever-changing delivery environment (e.g. Dimensional Weight Pricing, aka DIM), and a partner experienced in supporting a B2C e-commerce fulfillment lifecycle becomes a strategic necessity to make your B2C model successful.

Vision Media Management can help you manage the B2C e-commerce challenges of individualized orders and quickly changing volumes through effective use of technologies such as intelligent order sequencing, predictive packaging, and pick to voice adaptive technology. Call us to learn more about the B2C strategies we offer to support your e-commerce business – which can result in reduced costs and an improved customer experience.

Vision Consumer Products Fulfillment has decades of experience and industry expertise in consumer products fulfillment services.  No matter who your customer is, we treat your customer as our own.  We know what makes a raving fan out of an individual customer, as well as what makes a business partner trust you with their business.  Call or email us to learn how.  We’re certain we’ll be the best fulfillment warehouse partner you have ever had!

http://visioncpf.com

CPFSales@VisionMediamgmt.com

What Is 3PL Fulfillment?

You’ve probably seen or heard the term 3PL tossed around when the conversation turns to logistics.  But just what is a 3PL?  According to Wikipedia, “A third-party logistics provider (abbreviated 3PL, or sometimes TPL) is a firm that provides service to its customers of outsourced (or "third party") logistics services for part, or all of their supply chain management functions.”  But what does that actually mean?  And why should you even care?

The logistics provided by a 3PL can include warehousing, transportation management software, freight rate negotiation, in-depth reporting, forecasting, freight bill auditing and more. In some instances, a 3PL will specialize in certain industries, or types of logistics such as international commerce.  There are many benefits a 3PL can bring to your organization.

Because logistics is their core competency, they can deliver cost and time savings while providing a depth of experience based knowledge and industry relationships.  You use the 3PL’s equipment and infrastructure, rather than building your own, which lowers your capital commitment.  And key to managing the changing demands of seasonal highs and lows and growth, a 3PL can provide a flexible and scalable logistics solution option.  Given the swiftly evolving transportation environment of today, a partner who can bring solutions to managing rising transportation costs and supply chain challenges can be key to your company’s success.  Talk to Vision – we can help you understand and plan for your transportation future.

Vision Consumer Products Fulfillment has decades of experience and industry expertise in consumer products fulfillment services.  No matter who your customer is, we treat your customer as our own.  We know what makes a raving fan out of an individual customer, as well as what makes a business partner trust you with their business.  Call or email us to learn how.  We’re certain we’ll be the best fulfillment warehouse partner you have ever had!

http://visioncpf.com

CPFSales@VisionMediamgmt.com

How To Manage Rising Freight Costs

As Mike Regan, Chief of Relationship Development for TranzAct Technologies, recently discussed on www.logisticsmgmt.com, transportation costs could see rate increases of 15% to 20% over the next three years. 

There are multiple trends driving these increases, but among the key points are the change to Dimensional (DIM) parcel pricing by UPS and FedEx (among others), the impact of meeting expanding regulatory requirements (think safety, fuel efficiency and emissions reductions), and no end in sight to the challenges in driver recruiting and retention, which is pushing labor costs higher and impacting capacity.

Add in the changing delivery demands such as increasing last-mile volume and tight capacity supply for some niches, and it seems a given that transportation costs are going nowhere but up.

Rising freight costs impact the bottom line.  So – have you briefed your c level executives regarding the future of transportation costs?  No one likes to be blind-sided, especially by bad news.  As the saying goes, “Bad news doesn’t age well.”  Executives want the opportunity to proactively look for solutions rather than dealing with fallout.  They also need to accurately forecast and plan for the future and that means it’s critical that they have this information.  But how do you know what’s going to impact your organization?  What are the options for managing the future changes and increased shipping costs?  You know your boss is going to ask – and that’s where a great fulfillment partner can help.  Transportation is the backbone of their business, and they’re on top of the trends and working on ways to optimize their options to their partners’ benefit.  Talk to Vision – we can help you understand and plan for your transportation future.

Vision Consumer Products Fulfillment has decades of experience and industry expertise in consumer products fulfillment services.  No matter who your customer is, we treat your customer as our own.  We know what makes a raving fan out of an individual customer, as well as what makes a business partner trust you with their business.  Call or email us to learn how.  We’re certain we’ll be the best fulfillment warehouse partner you have ever had!

http://visioncpf.com

CPFSales@VisionMediamgmt.com

The Impact of Dimensional Weight Pricing

2015 saw the implementation of Dimensional Weight Pricing (DIM) on ground packages smaller than three cubic feet by FedEx and UPS.  DIM is calculated by multiplying length by width by height (all in inches) and dividing the result by a “DIM factor,” which is currently 166 for domestic shipments for FedEx and UPS.  Previously, the rate ground parcels smaller than three cubic feet was based on actual weight – given that its estimated that up to 75% of the most used box sizes fall into this category, some industry experts expect an average increase of approximately 30% fro

m the change to DIM pricing.  And that’s on top of the 4.9% annual increase taken for 2015 by FedEx and UPS!

So what if you don’t have a plan to manage the impact from Dimensional Weight Pricing?  Or you’re not sure the plan you have is actually working?  It’s not too late to take action – and if you don’t have the expertise in-house to manage all the factors, as noted by Kevin Fletcher, SVP for Kenco Transportation Services, “A logistics partner with expertise and success in engineering parcel solutions might be an option. The right partner will have comprehensive analysis resources and tools, a solid grasp of the market from both carrier and shipper perspectives, deep understanding of parcel-pricing models, senior-level relationships with carriers, and robust dashboard and reporting capabilities.”¹  And that is where Vision can help – this is what we do, day in and day out, optimizing solution options to build the best combination to meet the needs of our partners.

Vision Consumer Products Fulfillment has decades of experience and industry expertise in consumer products fulfillment services.  

No matter who your customer is, we treat your customer as our own.  We know what makes a raving fan out of an individual customer, as well as what makes a business partner trust you with their business.  Call or email us to learn how.  We’re certain we’ll be the best fulfillment warehouse partner you have ever had!

http://visioncpf.com

CPFSales@VisionMediamgmt.com