Category Archives: B2C

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EDI and How it Helps Service You and Your Clients

What is EDI?
EDI stands for Electronic Data Interchange. This is the idea of businesses electronically communicating information verse what used to be communicated through paper. The typical data interchange is based on purchase orders and invoices.

Retailers require all data to fit their standardized format. If not done properly, it can cost you precious time and create unnecessary chargeback fees. Fulfillment Plus accurately interprets and then translates all data so that it is formatted properly. In fact, just about all larger retailers such as Walmart, Target, Walgreens, etc. require EDI be used for each order regardless if a fulfillment company is used or not. If you’re looking to work with the bigger retail chains than EDI is a system you can’t avoid.

The Benefits of EDI
EDI is standardized. It is a universal (though very antiquated) system. Thereby making it much more efficient as the steps are the same no matter what retailer. Not only does it save time because all transactions are standardized, but it decreases the margin of errors.

Requirements for Being EDI Compliant
EDI compliance involves either buying or outsourcing the following components*:

  • Software for communications
  • VAN service for EDI transmission
  • Mailboxing of EDI transactions
  • Mapping and translation software
  • Installing upgrades to software as needed
  • Mapping labor
  • Testing with EDI trading partners
  • Upgrades for new versions required by trading partners

How EDI Works
A buyer prepares an order within the retailer’s purchasing system and has it approved. Next, the EDI order is translated into an EDI document format called an ‘850 purchase order’. The 850 purchase order is then securely transmitted to the supplier either via the internet or through a VAN (Value Added Network). This is all done without human interaction.

This will ensure speed and accuracy in all transactions, all while saving money usually spent on labor. Errors due to illegible faxes, lost orders, or incorrectly taken phone orders are all eliminated, saving your staff and company valuable time from handling data disputes. Not only will labor costs decrease, but other costs associated with paper, printing, reproduction, storage, postage, and document retrieval are all reduced or eliminated when you switch to EDI.
In conclusion, EDI is a very valuable and resourceful system to work with. It not only helps you acquire leads but also makes your transactions run much smoother. Fulfillment Plus offers EDI along with many other benefits for our clients such as; assembly work to packing and shipping your product anywhere in the world, as well as promotional programs and social media. Whatever your business needs, we have the knowledge, expertise, and contacts to make sure your job gets done right the first time.

 

* Source of information here

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The Evolution of Fulfillment

In the past, it used to be that ecommerce fulfillment was almost 100% retail and etail businesses.  Slowly but steadily, B2B enterprises are jumping into the market and are becoming a much larger part of the fulfillment world.

Historically, fulfillment has been considered to be the “back-end” of an operation, a necessary cost after everything else has been decided.  That old-fashioned approach changed drastically during the E-Commerce era. It started to put a huge toll on companies because they could not keep up with the volume of orders or had limited space to house the inventory. This in result also puts a strain on other parts of the business. In addition to solving these issues, the realization that fulfillment is indeed a place where other strategic imperatives, such as brand building, maintaining a relationship and driving down costs, can be achieved.  Once this message started spreading, it did not take B2B companies long to realize that the exact same imperatives are applied in their business model.

Many astute marketers from both B2B and B2C, now consider fulfillment to be just as important as any other component of a marketing initiative.  An obvious example of this is how the use of the internet has been incorporated into the fulfillment processes, resulting in strategic or integrated fulfillment systems.

The client who sells direct to the consumer and the client who sells to other businesses, each demand a high level of service, along with specific technological and reporting needs.  But, it is the fulfillment partner that can create the exceptional customer experience (either consumer, or business) that gains the competitive advantage.

Over the years, consumers have evolved from a product-led to a consumption-driven economy.  In today’s competitive environment, it is the fulfillment provider’s responsibility to create an exceptional customer experience for their clients.  The way in which products are received, whether by a consumer, or a business, is the VERY first impression the recipient has of a business.

Fulfillment, by definition, is that part of the business process that plans, implements and controls the efficient, effective forward and reverse flow of goods, services and related information from the point of origin to the point of consumption in order to meet customer’s requirements.  What is important to recognize is the means by which the B2B client demands satisfaction, are very different than those of a B2C company.

Whether Business to Business or Direct to Consumer, achieving a great client experience is the cornerstone of client satisfaction.  Fulfillment Plus Inc. not only exceeds its reputation in client satisfaction, but we are also top of the line when it comes to our in-house technology and the ability to handle requests of any nature. We are not your typical “cookie cutter” fulfillment center, but instead the fulfillment center that caters to your needs and demands.