Integration between stores is the basis of the ship from store concept. Find out more about this strategy that supports the omnichannel distribution network.
Did you know that 60% of Brazilians already consume in a hybrid wayThe data comes from the research "Consumer opinion on omnichannel experiences" and reveals the need for companies to prepare to meet new demands. Among the most used strategies is Ship From Store (SFS).
Is your company prepared for this?
So, what is Ship From Store?
In this strategy, physical stores function as distribution stock points omnichannel. In other words: the inventory of physical stores now also includes online orders, instead of this role being played by the distribution center.
The strengthening of e-commerce has brought challenges for logistics operations, such as waiting time. This process plays a fundamental role in the decision to place a new order: reduced delivery time and the option to pick up in a physical store are the main factors that influence the customer experience.
The ship from store model is designed to meet this demand. It allows for same-day deliveries, also known as same-day delivery, without the need for a dedicated center for this purpose.
Advantages of SFS
Ship from store is an intelligent management system that generates benefits for retail:
Fast delivery
THE freight is a decisive factor in consumer choice. According to the consultancy PwC, 40% of consumers They are willing to pay a higher shipping cost as long as the product arrives quickly at their home. On the other hand, only 461% of consumers in general are satisfied with the delivery times of their online purchases.
This profit opportunity, along with increased customer satisfaction, has made ship from store so popular in retail. This method allows for same-day delivery or for the customer to pick up the product at the store.
Loss reduction
In 2019, the loss rate in the retail sector was 1.38% on the net revenue of companies. The surprising data comes from Brazilian Association for Loss Prevention (ABRAPPE), and are equivalent to approximately R$ 21.46 billion.
These losses occur for several reasons:
● Cargo theft or shoplifting
● Loss of goods
● Delay in delivery by suppliers
● Check or card fraud.
With the adoption of Ship From Store, the stock is not in one place. Therefore, if one of them has problems, another can meet the demands.
Increase Profits with Ship From Store
Using physical store inventory for online sales generates a considerable reduction in logistics costs. Consequently, companies have shown an increase in profits.
It is important to highlight that SFS needs to be implemented with other strategies. Investment in omnichannel allows you to improve the entire customer experience, eliminate disposable processes and increase integration between stores.
