Retail fulfillment can be overwhelming — juggling inventory, meeting delivery deadlines, and more. It might even make you want to give up. But here’s the kicker: skipping out on retail could mean missing 73% of your potential sales. Just look at Nike — only 27% of their revenue will come from DTC (or Direct-to-Consumer) ecommerce sales this year. Don’t leave that massive chunk of sales on the table!
We’re here to make the entire retail fulfillment process much less daunting – even simple! Let’s dig in.
“Brands need a multichannel selling strategy that meets consumers where they want to shop.”
What is Retail Fulfillment?
Retail fulfillment is all about getting your products from a warehouse to the shelves of physical stores, or virtually available on their website or online marketplaces. It includes managing inventory, packing orders, shipping them out, and handling returns.
When DTC and ecommerce brands consider expanding into retail, they need a system that efficiently manages these tasks and ensures products reach retail stores and shoppers smoothly across both physical and digital channels.
Why DTC and Ecommerce Brands Need to Expand into Retail
Expanding into retail allows DTC and ecommerce brands to tap into a broader shopper base, increasing visibility and sales. Retail stores provide a physical presence where shoppers can experience products firsthand, which can lead to higher conversion rates. Additionally, presence on a retailer’s website can help you capture different market segments.
Let’s go back to the Nike example. Over the last couple of years Nike began moving away from its retail partnerships to focus on DTC. In a recent interview with CNBC, Nike’s CEO John Donahoe acknowledged that switching its focus to DTC was a mistake.
“We recognize that in our movement toward digital, we had over-rotated away from wholesale a little more than we intended,” Donahoe told CNBC’s Sara Eisen. “We’ve corrected that. We’re investing heavily with our retail partners.
Expanding into retail doesn’t mean abandoning the DTC model; it’s about finding a balance. By leveraging multiple channels, brands can maximize their reach, enhance customer experiences, and drive sustained growth.
Challenges of Expanding into Retail Fulfillment
1. Managing Inventory Across Multiple Channels
There’s no doubt that expanding into retail introduces complexity in managing inventory. Brands must ensure consistent stock levels across various channels, from online stores to physical retail locations.
2. Ensuring Timely and Accurate Deliveries
As brands expand into retail, they may face increased pressure to meet delivery expectations across a broader geographic area. This involves coordinating with multiple carriers, optimizing delivery routes, and managing warehousing efficiently. Delays and inaccuracies can lead to shopper and retailer dissatisfaction and a damaged brand reputation, making effective logistics management essential.
3. Synchronizing Online and Offline Operations
One of the significant challenges in retail expansion is synchronizing online and offline operations. Brands must ensure that ecommerce platforms, physical stores, and warehouse management systems are integrated. This synchronization is critical for providing a unified shopping experience, maintaining accurate inventory records, and streamlining order fulfillment processes. Disjointed systems can result in operational inefficiencies and lost sales opportunities.
How a 3PL Supports DTC and Ecommerce Retail Fulfillment
Partnering with a 3PL (third-party logistics provider) that specializes in retail fulfillment can help you navigate these challenges effectively. Here’s how a 3PL can streamline your retail fulfillment operations:
Distributed Fulfillment Network = Improved Transit Times & Costs
A distributed fulfillment network can drastically improve transit times and shipping costs by positioning inventory closer to your top retailer locations end shoppers. A 3PL, like GoBolt, that leverages a network of strategically located fulfillment centers, ensures that products are stored and shipped from locations nearest to your shoppers and retail partners.
Scalable Fulfillment Infrastructure: Adapting to Increasing Volume
As your brand grows, your fulfillment needs are sure to scale. Whether your brand is experiencing seasonal spikes or sustained growth, a 3PL’s flexible solutions ensure that your operations continue to run smoothly without disruptions. This scalability allows brands to meet growing demand without compromising on service quality or delivery times. Increased sales is the goal, and your operations shouldn’t work against you.
Technology: Visibility and Integrations
A 3PL’s technology can offer visibility into your inventory and shipments. At GoBolt, our inventory tracking and reporting allow you to monitor inventory levels, order statuses, and shipment progress. This allows you to keep an eye on stock levels and ensure you don’t stock out.
Additionally, integrations with industry partners like Orderful helps facilitate faster, more efficient, and cost-effective retailer onboarding and order processing, reducing the risk of errors and improving operations.
Experience with Retail Requirements
Navigating the complex requirements of retail partners can be daunting. A 3PL’s expertise in meeting these standards ensures that your products comply with all necessary packing, labeling, and loading procedures. Through partnerships with solutions like RetailReady, a 3PL can help reduce chargebacks, improve retailer relationships, and ensure the quality and compliance of B2B orders. This experience is invaluable when launching and maintaining retailer relationships.
How GoBolt Simplifies Retail Fulfillment for DTC & Ecommerce Brands
GoBolt goes beyond the typical 3PL and offers tailored solutions that make retail fulfillment easier for DTC and ecommerce brands. From advanced technology integrations to sustainable delivery options, here are a few unique ways GoBolt ensures a smooth, efficient, and compliant retail fulfillment process:
Sustainable Delivery Options
GoBolt offers sustainable last mile delivery choices allowing brands to align with shopper expectations and reduce their overall environmental impact. Our fleet of electric vehicles, optimized delivery routes, and carbon sequestering initiatives significantly reduce Scope 3 emissions.
Returns Processing
Efficient returns processing boosts shopper satisfaction and keeps your operations running smoothly. GoBolt’s returns management service integrates with your existing systems to handle returns quickly and accurately, saving you money and ensuring items are restocked faster.
Enhancing Efficiency and Compliance
GoBolt’s integrations with platforms like Orderful and RetailReady simplify complex processes and ensure compliance with retailer requirements.
| Orderful Integration: Simplify EDI Processes |
| Efficiency: Orderful reduces the complexity of EDI integrations, allowing brands to manage their trading partners and transactions from a single platform. |
| Cost Reduction: The centralized EDI solution cuts down expenses associated with traditional EDI systems, such as manual data entry and custom integrations. |
| Faster Onboarding: Orderful’s platform enables quick onboarding of new retailers, allowing brands to start selling faster and scale their omnichannel presence. |
| Improved Accuracy and Efficiency: Automation of EDI processes reduces errors, leading to more accurate data and better relationships between brands and retailers. |
| Expanded Trading Network: Orderful’s pre-connected network of retailers allows brands to expand their reach and engage with a wider range of partners, supporting a true omnichannel strategy. |
| RetailReady Integration: Ensure Compliance with Retailer Requirements |
| Reduce Chargebacks: Minimize financial penalties by ensuring accurate order processing and compliance with retailer specifications. |
| Improve Relationships: Strengthen partnerships with retailers through consistent and reliable fulfillment practices. |
| Faster B2B Order Processing: Accelerate the handling of bulk orders, enhancing visibility and data reporting. |
| Quality Assurance: RetailReady’s software digitizes routing guides and SOPs, guiding operations through precise packing, labeling, palletization, and loading procedures tailored to each retailer’s specific requirements. This ensures high-quality standards and operational compliance, reducing errors and improving retailer relationships. |
Final Thoughts
Retail fulfillment doesn’t have to be a complex and scary challenge. With the right 3PL partner, like GoBolt, you can simplify your operations, exceed retailer and shopper experiences, optimize your fulfillment strategy across multiple channels, and reach that 73% of sales you’d otherwise be leaving on the table.
Ready to expand into retail fulfillment? Connect with GoBolt today to discover how our solutions can simplify your logistics.
