“Commodity” versus “value-added” order fulfillment

By: Jim Pettinger, President of UCanTrade, Inc.

Third-party fulfillment warehouses have existed for many years, originally developing to handle “mail order” from various catalog companies, large and small. However, with the recent explosion of e-commerce and other internet sales, it’s become a whole new ball game. A major trend is the differentiation between low-cost, high-volume “commodity” sales, mainly to consumers, and higher-price, lower-volume sales, both to consumers and businesses (e.g., retailers). Typically, the latter require a variety of “value-added’ services because their customers have more clout and can request special services, such as unique packaging, price tags and point-of-sale materials. Unfortunately, many “newbies’ to the fulfillment game are caught in between because they have few sales and need “hand-holding” as they learn the ropes. We usually recommend they invest in some initial hand-holding from a value-added fulfillment company while they work through their initial marketing, product and packaging issues.

Naturally, the largest and most prominent example of a modern commodity fulfillment operation is “Fulfillment by Amazon” (FBA). If you’re new to the game, it’s worth doing some research via Google to fully understand the requirements and costs (fees, surcharges and returns).

TradeTips blog is published by UCanTrade, Inc., your cross-border experts since 1984.

Subscribe to our TradeTips Newsletter for the latest import/export events and trade news, and/or call us at (360) 380-6900.

UCanTrade
Website: www.UCanTrade.com
Phone: 360-380-6900
Email: info@UCanTrade.com
Twitter: @UCanTrade

Order Returns – Cause and Effect

Attributed to the overwhelming increase in e-commerce holiday orders, UPS has hailed January 5th ‘National Returns Day’ because of the volume of product returns it manages during the first week of January – in particular on the 5th.

Ecommerce is on the rise and it’s not only putting increased pressure on shipping couriers like FedEx and UPS but the entire supply chain (Related Article: A Logistics Revolution). While business increases all parties struggle to adapt to the demand. In order to ‘stay ahead of the curve’ both shipping giants have partnered with specialized companies, like UCanTrade, Inc., to better control the costs and challenges presented by “reverse logistics”.

Further, their specialized third party logistics (3PL) partners work closely with retailers/e-tailers to establish (among other things) an effective return policy to best maximize their profits. “[An] easy-to-use returns experience should be one of several retail strategies to enhance customer loyalty and manage the cost of returns processing,” said UPS chief marketing officer Teresa Finley.

This is especially true for Canadian (e-commerce) companies exporting their goods to the U.S. and selling to American consumers; notorious for their high customer service expectations. An effective return policy can give exporters a competitive advantage not only with other Canadian businesses but also with US retailers as well. (Related Article: Return to Sender – What’s Your Policy?)

Consider your supply chain, the cause and effect of returns and then manage it in both directions – there AND back.

UCanTrade, Inc. is a boutique, third-party logistics and warehousing services provider situated 15 minutes south of the B.C. / Washington State, Blaine border crossings. Proudly providing business and logistics services to Canadian importers and exporters, since 1984.

TradeTips blog is published by UCanTrade, Inc., your cross-border experts since 1984.

Subscribe to our TradeTips Newsletter for the latest import/export events and trade news, and/or call us at (360) 380-6900.

UCanTrade
Website: www.UCanTrade.com
Phone: 360-380-6900
Email: info@UCanTrade.com
Twitter: @UCanTrade

(Source Article)

B.C. Businesses Cut Cross-Border Costs

“Canadian companies want to consolidate several small shipments into a larger one to minimize customs clearance costs,” says Jim Pettinger, UCanTrade, Inc.’s president and CEO. “This is where UCanTrade can step in and provide cross docking services and work in conjunction with our client’s U.S. Customs Broker to expedite this process at a low cost.”

Further, UCanTrade’s state-of-the-art warehouse and shipping facility, conveniently located on I-5 only 10 minutes (24 km) from the border in Blaine, WA, is strategically positioned to help British Columbia businesses save money. Our cross-docking, ‘pick-and-pack’ and third party logistics (3PL) services, combined with years of cross-border experience, give our clients a competitive advantage. By eliminating the border, Canadian businesses lower their shipping and handling costs whereby increasing their profits.

Noteworthy, if you are making acquisitions in the United States, ask your vendor if they offer free delivery to addresses in the U.S.  If they do, call us for cross-docking services and you could save thousands on freight fees and international shipping charges.

Get in touch with the logistics experts at UCanTrade, Inc. today, and find out how your company can save money with cross-border cross-docking and 3PL services.

TradeTips blog is published by UCanTrade, Inc., your cross-border experts since 1984.

UCanTrade
Website: www.UCanTrade.com
Phone: 360-380-6900
Email: info@UCanTrade.com
Twitter: @UCanTrade

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Improve your marketing productivity by outsourcing to a “3PL” provider

By: UCanTrade Staff

Many small/medium companies have learned they can’t do it all, especially in today’s Internet-driven world of international trade.

In the world of logistics* and supply-chain management, ‘3PL’ means ‘third-party logistics’ – a logistics company hired by either buyers or sellers to reliably coordinate and deliver their goods, either in part or entirely, to their customers.

In today’s global marketplace, 3PL partners play a key role in a business’ supply chain and are especially relevant when selling to a foreign market. Cost effective manufacturing, packaging, shipping and distribution can make or break overall sales success; which when expanding a business abroad, can be exacerbated further by diverse and complex import/export regulations.

At UCanTrade, YOU can trade! We specialize in supporting Canadian exporters/importers with US business and logistics services including: (E-commerce) Order Fulfillment & ‘Pick-N-Pack’, Cross-Docking, Value Added Parcel Forwarding, Warehousing and Storage, Freight Management/Transportation Services, Mail Services and more. We exist to help Canadian businesses market and distribute profitably in the USA.

Subscribe to our TradeTips Newsletter for the latest import/export events and trade news and/or follow us on Twitter @UCanTrade.

*Logistics is the management of the multi-directional flow (and storage) of goods and related information from the point of origin to the point of consumption. The purpose is to satisfy customer requirements as efficiently and reliably as possible. Good logistics is crucial to customer satisfaction and business profitability – it gets goods and material where they need to be when they need to be there.

TradeTips blog is published by UCanTrade, Inc., your cross-border experts since 1984.

UCanTrade
Website: www.UCanTrade.com
Phone: 360-380-6900
Email: info@UCanTrade.com
Twitter: @UCanTrade