The consumer electronics sector is growing with rapid developments in technology, product innovation and falling prices, it has become a more competitive industry than ever before. In the United States, consumer electronics sales forecasted to have a compound annual growth rate (CAGR) of over 6% between now and 2024.
The beauty industry is a $532 billion sector of the economy that is experiencing rapid growth. This growth is largely due in part to the rise of e-commerce and omni-channel sales with projections to reach $863 billion by 2024. Such growth of B2C and B2B sales makes manufacturing supply chain management and order fulfillment more important than ever before.
Opting to outsource you warehousing and logistics needs can be a smart decision. Leveraging the resources and expertise of a third-party logistics company can be a significant strategic advantage. However, like with any major business decision, making the best choice is important. Here are a few things you need consider when choosing a third-party logistics partner.
The most labor and cost intensive action in your distribution center is order fulfillment, specifically manual fulfillment. According to Martin Murray’s “Order Picking in the warehouse”, the cost of order picking can be as much as 55% of a warehouse’s total operating cost. Furthermore, manual fulfillment can consume 65% of an employee’s time. Understanding the impact this has on your bottom line can lead to making some new investments and changes to relieve the costs that go into these tasks.
For 83% of warehouse managers’ their top priority is to lower operations costs. This is not unusual when you consider the massive shift occurring from brick & mortar retail to e-commerce. The footwear industry is a prime example. No longer is going to the mall for a pair of shoes a consumer’s first choice. Many consumers now prefer shopping from the comfort of their home or the convenience of a mobile device.
As an e-commerce company, leveraging a streamlined supply chain is a crucial advantage over traditional brick-and-mortar outlets. Leveraging data and visibility technology can have a direct impact on pricing strategies as well as fulfillment and delivery optimization. Using the data your customers provide allows you to stop estimating shipping quotes or offering options you “think” they want. Here are five ways your distribution data can make your supply chain stronger.
Home electronics manufacturers are making strides in technology, affordability, and accessibility, reaching record revenue levels. In 2018, sales were up 3.9% from 2017, exceeding $318 billion. However, this uptick in sales has not come along without its challenges. In addition to increased competition, consumer demands are also on the rise. Creating a supply chain that keeps costs low, products moving and customers happy has become more difficult. Here are a couple of ways to increase the efficiency of your home electronics supply chain.
In 2018 apparel increased 14.7% to over $103 billion. It was largest single e-commerce product category, making up 19.7% of total retail ecommerce sales. And although revenue across apparel categories is only expected to rise in the future, consumer demand and increased competition is making it more challenging to increase profit margins.
The cosmetic industry was valued at $532 billion in sales in 2017, according to Globe News Wire. It is projected to $863 billion globally by 2024. This upward trend proves cosmetic companies are generating great demand for their products. The challenge in the health & beauty supply chain is to produce and provide the supply when and where it is needed. As companies compete for this growing revenue stream, product fulfillment management is separating itself as a strategic advantage.
As major electronics and appliance manufacturers continue to develop new and improved products at a rapid pace, the industry’s landscape and challenges are also evolving. To navigate these changes, there are a few things that consumer electronics and appliance companies should keep in mind when it comes to order fulfillment and shipping.
In the August 17th-23rd issue of the Memphis Business Journal, Steve Fallon, General Manager at Barrett Distribution's Memphis facility was featured as a panelist of the Distribution and Logistics Table of Experts.
Social media has revolutionized the way we communicate. E-commerce has forever changed the way we shop. The proliferation of these convenient and engaging technologies is also creating a ripple in the way that money is raised, campaigns are funded and capital is generated. Through platforms like Kickstarter, crowdfunding can be an option for small startups and large, established businesses alike. However once the money has been raised, fulfillment can become a major obstacle.
The barrage of home runs that were hit during the late 90’s was a result of batters having extra power. The era of PEDs changed the way fans think about baseball and changed the way the game is played. In the NFL, new rules to increase safety for players have also changed the way this sport is played. With more protective rules for quarterbacks, scores have risen and defenses have been forced to adapt in order to avoid penalties. These are two examples where shifts in control and power have altered the state of competition. The same is very true in the world of business-to-business e-commerce. Consumers have never had more power than they do right now, and there are no signs of that slowing down. These 8 facts support the changing landscape of e-commerce retail and how you can play by these new rules.
Consumer demands are evolving like never before; and developing technology is meeting, and fueling these demands. The ability to search, shop, buy from anywhere means that businesses need to be more agile than ever. One key position in every supply chain is the warehouse, and it is within these walls that the solution to new and expanded consumer demands can be found.
Competition across all sectors is higher today than ever before. The internet and highly sophisticated supply chains have made the world a smaller place meaning that consumers have more new options, and demands on a daily basis. This continuing trend means that businesses need to find ways to differentiate themselves, and added value remains a top solution to this challenge. This means the supply chain in any organization has an opportunity to become a competitive advantage by including value-added features.
The health and beauty sector is a $64 billion industry in the United States alone. From big box stores to boutiques, to pharmacies on every corner, and now with the emergence of e-commerce, getting the massive amount of SKUs to where they need to be, when they need to be there is more challenging than ever. This is why supply chain visibility is so important to success. Here are three reasons why visibility is so crucial when it comes to health and beauty logistics.
From little leagues to rec leagues to schools to the pros, not to mention, local stores and big box outlets; keeping athletes big and small dressed and equipped to perform their best is no small feat. While sporting goods are reaching farther and wider than ever before, along with an increased demand from consumers requiring faster and cheaper delivery, a focus on efficiency and sustainability has never been more important. Taking a new approach from an operational and environmental perspective provides cost savings and increased performance. Here are three actions that can improve the sustainability of your sporting goods supply chain.
If you go to a ballgame and don’t recollect where you parked, your phone can lead right to the parking spot. For your supply chain, similar technology can help you track and determine when and if a delivery will arrive on schedule.
People are busier than ever. Any company’s success is largely based on how they fit into their consumer’s bustling schedule. This boils down to whether you can get your product to where your consumer needs it and most importantly when they want it. A perfect example of this is the major inconvenience of needing your car repaired. Whether it’s sitting in the driveway or waiting at the mechanic’s, getting the right parts to the right place is essential.
Over 72 holes of a golf tournament it is quite astounding how the last few strokes can be shaped by the hours and days spent before. A lost ball here, a penalty there, a long putt when it matters most; while these events can seem insignificant at the time, their impact on Sunday’s leaderboard can be substantial. E-commerce fulfillment is very similar. All of the automation, visibility, and supply chain management that goes into fulfilling an order ultimately depends on what happens during that last mile. While avoiding the water on 18 can be a challenge on the links, last mile delivery can pose a threat to a successful e-commerce supply chain. Here are a few challenges that remain for last mile delivery.
The consumer electronics (CE) market hit an all-time high in revenue last year of $211.3 billion, a two percent increase from the previous year. CE is expected to grow again by over one percent this year. Another exciting trend in this sector is the growth of the role that e-commerce is playing. In 2012, the e-commercechannel accounted for $49 billion of CE sales. That number is forecasted to eclipse $108 billion by 2018.
The automotive part supply chain is growing and changing rapidly. From warehousing to fulfillment to transportation, this high velocity sector needs to be well managed from a distribtuion standpoint. This video explains how to leverage logistics strategies to provide the best service possible.
Getting the right product to the right location at the right time is crucial in any type of supply chain. However it is absolutely critical when it comes to the fulfillment, distribution, and transportation of perishable goods. Each partner in the supply chain from producers to distributors to retailers needs to have specific inventory strategies to ensure the safety and quality of each item. Here are three ways to safeguard your perishable food supply chain.
Businesses used to mail out catalogs to consumers. Each season, something new, bigger than a phonebook and full of glossy pages that featured every size and style you could imagine arrived on your doorstep.
Keeping a logistics budget on plan in an e-commerce world can be a complicated task. It requires on demand forecasting and real-time accounting for changes in fulfillment related expenses and customer expectations. The recent change in dimensional weight charges is a prime example of a circumstance that directly impacts budgeting and operations, especially for e-commerce companies.
The growth of e-commerce has continued to increase, and with it, so have the challenges posed by omni-channel fulfillment. In fact, the third quarter of 2016 saw online sales account for 11.3% of total retail sales; this was up from 10.9% in the second quarter. With no signs of slowing and with this sector taking a larger piece of overall sales, the time has come for your warehouse and fulfillment center to adapt as well.
By 2018 over 1.35 billion online originated deliveries are expected to be made annually. Clothing and footwear are expected to maintain the highest percentage of these deliveries. As the volume of these orders continues to grow, so will the importance the last mile delivery. The “last mile” is defined as the movement of people and goods from a transportation hub to the customer’s door. With online retail making up 10% all purchases, supply chains have adapted to address the challenges of omni-channel fulfillment. But as consumers discover more options, and demands in terms of speed, cost, and convenience increase, this last mile can create new obstacles.
The specialized parts sector within the automotive supply chain is currently growing at a rate of 8% each year. Much of this growth is stemming from a rise in popularity in do it yourself auto restoration and repairs.