Ecommerce warehouse management: how upgrading your setup can make you more competitive
We’re often so engrossed in developing quality products and successful go-to-market strategies that logistics might feel like an afterthought when it comes to the supply chain. It’s not as glamorous, we get it. Yet, investing time in your ecommerce warehouse management system setup could be your secret ace.
Think of it this way: better logistics isn’t an indulgence – it’s a catalyst for success. Imagine swift, accurate order fulfillment, no more stock-out horror stories, and a smoother customer experience.
In this article, we explore ecommerce warehouse management in depth, so that you can make informed decisions about your tooling and processes — and set your logistics up for success.
Let’s dive in!
What is ecommerce warehouse management?
Ecommerce warehouse management is the system that coordinates inventory, order fulfillment, and shipping within your online business. It’s your control tower, ensuring products are stored efficiently, orders are accurately picked, packed, and dispatched, and stock levels stay updated in real time.
This system plays a pivotal role in the supply chain by optimizing the flow of goods from the warehouse to the customer, reducing errors, and ensuring timely deliveries. Plus, it’s vital to prevent those pesky “out of stock” messages and guarantee customer satisfaction.
Essentially, it’s what keeps your online shop’s back end ticking over nicely, letting you focus on growing your ecommerce business.
If you’re after a more detailed overview of what exactly warehouse management is, take a look at our comprehensive webinar:
What is an ecommerce warehouse management system?
An ecommerce warehouse management system, or WMS, is software designed to manage and streamline the storage, movement, and tracking of products in your warehouse.
It coordinates everything from receiving inventory to order fulfillment and shipping, ensuring your stock levels are always accurate. With a warehouse management system, you can automate tasks like picking, packing, and inventory updates, which reduces errors and speeds up order processing.
Want to understand more of the basics of warehouse management systems? Take a look at our recent video:
What are the benefits of upgrading your warehouse management system?
Upgrading your warehouse management system can feel like a big step, but the benefits are absolutely worth it.
It goes far beyond simply keeping things organized, you can boost your entire operation, from handling more orders to keeping customers happier. Whether you’re a growing business or just looking to sharpen things up, a better system means smoother processes, fewer mistakes, and more room to expand into new markets.
1. Scalability
Let’s face it – every thriving ecommerce business reaches that pivotal moment: do you stay small or scale up?
If you’re ready to leap into bigger territories, upgrading your warehouse management system is essential.
Why?
Because scaling means more orders, more inventory, and more complexity. Your trusty spreadsheets just won’t cut it when you’re juggling multiple sales channels and processing larger volumes. This is exactly what Heather VanLoon, Warehouse Manager, RCX Sports experienced before teaming up with SkuVault Core.
“Previously we were doing things on spreadsheets, not efficiently at all. With Skuvault Core, we’re turning over hundreds of thousands of jerseys in 24 hours – huge result!”
Imagine your team trying to navigate a growing inventory and process an influx of orders without breaking a sweat, it sounds pretty stressful, right?
A robust warehouse management system is akin to hiring an extra set of hands (or ten). It helps you automate tasks, organize your stock, and handle more orders efficiently. No more lost products, missed shipments, or unhappy customers. With the right system in place, you can manage growth seamlessly, ensuring you keep up with demand while maintaining the quality your customers expect.
But it’s worth noting that scaling doesn’t just equate to selling more, you need to make sure everything behind the scenes runs smoothly, too.
2. Efficiency
When it comes to running a smooth ecommerce operation, efficiency is everything.
A well-organized warehouse management system can turn chaos into calm, helping you process orders faster and more accurately. No more running around looking for misplaced products or double-checking inventory levels. Instead, automated systems handle stock updates and track every order with precision.
With a better setup, fulfillment times are reduced, and errors like incorrect shipments or missing items are minimized. This means happier customers and fewer returns to deal with. Plus, an efficient warehouse system keeps your staff on track, allowing them to focus on the tasks that matter most. Upgrading your warehouse management system speeds up your processes while cutting down on costly mistakes.
So, whether you’re packing orders or updating stock levels, everything runs like clockwork, keeping your business on the path to success.
3. Market expansion
Upgrading your warehouse management system unlocks the potential to reach entirely new markets.
With a more efficient setup for storage, packing, and shipping, you can fulfill orders faster, which means happier customers and more repeat business. But speed isn’t the only benefit. A solid warehouse management system also helps you expand your reach by allowing you to ship to more regions and handle higher volumes without sacrificing accuracy.
The possibilities? Faster shipping times, reduced errors, and the ability to serve customers in new locations.
With improved logistics, your business is growing and you’re breaking into new markets that may have seemed out of reach before. Integrating with third-party logistics providers means you can even expand internationally, all while maintaining control over your inventory and ensuring smooth operations.
The right system turns market expansion from a daunting task into a seamless, achievable goal – and that’s exactly what Spreetail experienced with Linnworks.
The full-service ecommerce acceleration partner needed to open its European distribution center in a matter of weeks, and they needed a warehouse management system that was up to the task, and quick. Want to see how Linnworks rose to the occasion? Read the full case study, here.
“With Linnworks, we’re able to have 100% data visibility and transparency, so we can identify where the inefficiencies are and drive the cost out of the system through those kinds of initial inefficiencies. I think that’s one of the things that we truly enjoy.”
– Mehmetcik Kalay, European CEO, Spreetail.
When is the right time to upgrade your ecommerce warehouse management system?
If your safety stock is overflowing and your current space can’t keep up, then that’s a pretty clear indicator that you need more capacity – whether that’s through additional warehouses or better management tools.
Are you spending the majority of your day fulfilling orders rather than focusing on strategy? It’s likely time to reassess your system and let automation take over routine tasks.
Feeling disorganized, with work spilling into personal spaces? A dedicated setup can help separate home from business.
Finally, if you’re experiencing rapid growth – whether that’s from expanding product lines, sales channels, or adding new warehouses – your current system might struggle to keep pace. A robust warehouse management system like Linnworks or SkuVault can centralize operations, making scaling much smoother and helping you stay organized as your business grows.
What are the top ecommerce warehouse management systems?
Choosing the right warehouse management system is the next crucial step for any ecommerce business in this sequence, whether you’re just starting out or scaling up.
Only with the right system in place can you can streamline your operations, reduce errors, and improve customer satisfaction. Likewise, with the wrong solution, disaster can strike. Popular Australian retailer, Woolworths, had several store’s shelves left bare after a recent warehouse management system upgrade went wrong. You can read the full story, here, but the general idea? Pick the right provider or you may end up in big trouble.
So, let’s take a look at some of the systems you can bank on…
1. Linnworks
Linnworks is an all-in-one inventory and order management solution designed to help businesses streamline operations end-to-end. It connects your sales channels, including ecommerce platforms like Shopify and Amazon, with your warehouse operations, automating key tasks like stock updates, order processing, and shipping. You can keep everything in sync, reducing manual errors and speeding up fulfillment.
One of Linnworks’ standout features is its ability to manage multichannel selling.
Whether you’re handling orders from your own website, third-party marketplaces, or brick-and-mortar stores, Linnworks centralizes your operations in a single place. It also offers real-time data insights, helping you make smarter decisions on stock levels and order management.
“The Linnworks team really understands complex ecommerce. They migrated our inventory and product data, inventory levels and warehouse management system. There were no issues whatsoever with our inventory. It was 100% accurate, worked straight away and we experienced no downtime.”
– Rich, Co-Founder, Source BMX.
Integrating with shipping carriers and providing advanced reporting tools means Linnworks ensures that your business runs smoothly, improving both efficiency and scalability.
2. SkuVault Core
SkuVault Core is a cloud-based warehouse management system that focuses on optimizing inventory control and reducing errors.
Its user-friendly interface makes it easy for your team to learn and use, while powerful integrations allow seamless operation across multiple platforms. SkuVault constantly syncs with your inventory data in real time, ensuring stock levels are always accurate. This prevents common issues like overselling or understocking, helping you meet customer demand without hiccups.
Quality control is another key feature of SkuVault, allowing for rigorous product inspections before shipping, which reduces returns and boosts customer satisfaction. Additionally, its advanced reporting tools provide valuable insights into inventory trends, sales performance, and warehouse efficiency. You can make informed business decisions and continuously improve your operations.
3. ShipBob
ShipBob is a third-party logistics provider (3PL) designed to integrate seamlessly with ecommerce platforms, offering fast and reliable order fulfillment.
One of the solution’s key features is its distributed inventory system, which allows businesses to store products across multiple fulfillment centers. So, you can reduce shipping times and costs by ensuring orders are sent from the closest location to the customer.
ShipBob also simplifies returns management, making the process smooth for both you and your customers. With streamlined returns, businesses can increase customer loyalty and encourage repeat purchases. ShipBob also offers end-to-end tracking, providing real-time visibility from the warehouse to delivery. This transparency allows quick issue resolution and boosts customer satisfaction.
4. Oracle Warehouse Management
Oracle Warehouse Management is a top-tier solution known for its advanced inventory tracking and supply chain capabilities. It integrates seamlessly with various business software systems, making it easier to manage operations across multiple platforms. This platform excels in scalability, allowing businesses – small or large – to grow without sacrificing efficiency.
The solution’s real-time inventory tracking ensures accurate stock data and product availability, which supports effective management and quick decision-making. The system also features cross-docking capabilities, transferring incoming goods directly to outbound gates, reducing storage time and increasing warehouse efficiency.
Oracle also helps with labor management by optimizing workforce allocation, ensuring the right tasks are handled by the right people. This leads to improved productivity and lower labor costs, making Oracle Warehouse Management a powerful choice for businesses looking to enhance their logistics and warehouse operations.
5. ShipHype Fulfillment
Seeking a comprehensive warehouse management software for small to medium-sized businesses? ShipHype Fulfilment handles everything from storage and packing to shipping and returns for your business.
ShipHype integrates seamlessly with popular ecommerce platforms, allowing businesses to outsource logistics while maintaining full control and visibility over their operations.
The inventory management system helps prevent overstocking and stock-outs, ensuring product availability and reducing storage costs. It also offers custom packaging options, allowing businesses to add a personalized touch to enhance brand identity and customer loyalty. In addition, its returns management system provides a seamless process for both you and your customers, making returns easier and improving customer satisfaction. With these features, ShipHype not only streamlines fulfillment but also boosts customer loyalty and encourages repeat business.
Streamline your operations with the right warehouse management system
Upgrading your warehouse management system is a smart move, and it can be a game-changer for your ecommerce business.
Whether you need a streamlined, all-in-one solution like Linnworks or a robust inventory management tool like SkuVault, these platforms can help you cut down on errors, speed up fulfillment, and scale effortlessly.
Ready to make your operations run smoother? Book a demo with Linnworks today and see how they can support your next phase of growth.
FAQs
What is ecommerce in warehouse management?
Ecommerce in warehouse management refers to the integration of online sales channels with warehousing operations. This ensures efficient storage, picking, packing, and shipping of products ordered online, facilitating timely deliveries to customers.
How to build an ecommerce warehouse?
To build an ecommerce warehouse, you need to:
- Assess your product range and inventory needs.
- Choose a strategic location close to suppliers or customers.
- Design the layout for efficient product flow.
- Utilise inventory management software and implement systems.
- Equip with necessary tools and technologies for picking, packing, and shipping.
- Train staff in e-commerce operations and customer service.
What is e-logistics for warehouse management?
E-logistics for ecommerce warehouse management refers to the digital solutions and tools used to optimize the movement and storage of goods within a warehouse. It often includes systems for tracking inventory, optimizing routes, automating order processing, and ensuring seamless coordination between online sales and physical inventory management. Essentially it is an online hub where you can manage and control warehouse operations from.
