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How does shipping management influence online selling?

One of the key aspects of online selling is Shipping management. It will not be an overstatement to say that shipping contributes to 50% of an online shopping experience.

If you wish to validate this, just browse through Amazon or any popular marketplace. Most of the negative comments on any listing would either be on the quality of the product or bad shipping experience.

Shipping is so integral to online selling that Flipkart, one of the most popular online marketplace made its fortune on great shipping in its initial years.

These trends w.r.t. shipping keeps repeating within the e-commerce industry every year.

Recently, we have stumbled upon a shipping software user report by Software reviews firm Software Advice. The report highlights the importance of shipping software for 200 merchants dealing with online selling on a daily basis.

There are a number of interesting findings highlighted in the report. Let’s browse through some of them. Please note that these data sets are derived from the US market alone.

What are the most time-consuming factors within shipping?

Managing orders and generating labels are the most time-consuming tasks within shipping management. According to the report, these two alone contributes to 54% of the total pie.

Most Time-Consuming Aspects

 

In fact, app usage data for Orderhive validates this fact. We see that users spend a lot of time managing their orders and creating shipment labels within the app.

Apart from that, finding the best rates, managing returns, analyzing operational data and tracking accounting information also make it to the list.

A majority of the respondents are found to have been using a third party or a custom system to take care of their shipping management.

What are the most common benefits derived from Shipping Software?

Being able to import the user data in a single go makes life a lot easier for merchants. It helps them in numerous ways.

  1. Allows merchants to quickly batch and ship
  2. It helps them to automate the order management process
  3. Enables sellers to juggle between different shipping companies to get the best possible price
  4. Easily sync accounting data
  5. Accurate tracking
  6. Greater customer satisfaction


On a global scale, however, the priorities shift a little. When it comes to international shipping, merchants often benefit from accounting data sync much more compared to finding cheap shipping rates.

Sellers also benefit from accurate tracking in international e-commerce.

Most of the respondents in this report are contributed by the four major states in the US. These are Florida, California, Texas and New York.

Taylor Short from Software Advice nicely sums up the entire report-

“Most of our survey audience already uses some kind of shipping software to streamline their processes and find better rates. Only 14 percent of users perform shipping manually, but any company that needs to ship high volumes need to automate so they can satisfy customers.

Shipping isn’t necessarily a difficult process, just one that consumes a lot of time. Managing all the orders coming in can be a huge bottleneck: 35 percent of buyers say this is the most time-consuming part of shipping. Fortunately, order automation and quicker batching are the most common software benefit for 50 percent of users.

We also found that the range of your shipping can make a difference in the benefits you experience. For those who regularly ship within the U.S., shipping software is likely to help you find cheaper rates. Whereas global shippers with high order volume see benefits in easily syncing their accounting data to analyze and reduce shipping costs.”

You can access the full report here.

Companies offering multi-channel inventory management software make sure that irrespective of the country of the user, they get to ship the packages using the most economical options available.This is why it is no wonder that most of these software including orderhive, features a list of shipping integrations to make things easier and cheaper for the user/seller.

Arup Dey

Arup Dey

Arup works as Content Marketing Manager for Orderhive. Apart from running Orderhive's digital strategy, Arup likes to write deep and incisive articles on topics across a wide spectrum.

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