Automated Ecommerce Fulfillment: The Gift That Keeps Giving

In an ideal ecommerce world, it all goes down like this: Customers resonate with your brand. They find you online, offline, or wherever you sell your product. Many times, they’re so excited about their potential purchase that they head to a brick-and-mortar location to touch it, try it, and… think about it. Ultimately, they reach an emotional tipping point and buy. Woohoo!

And once they make their purchase, the fulfillment process begins. While it may not seem like it, getting products from point A to point B is incredibly hard work. It takes a number of systems in place, and experienced operations professionals to support each order.

Omnichannel brands benefit from having systems that maximize operational- and cost- efficiencies, visibility, and brand experiences. Automated ecommerce fulfillment integration speeds the process along—a win for business and customers alike.

If you’re not on board with automated ecommerce fulfillment and the strategies behind it, here’s what you’ve been missing.

What Is Automated Ecommerce Fulfillment?

There’s more to technology than nano chips and ChatGPT, though we love them both. Online companies rely on fulfillment, warehousing and distribution centers that use automated technologies throughout their facilities.

With automated systems in place, the fulfillment process starts as soon as a purchase is made. The order is automatically sent to a partner’s warehouse technology where associates locate the product amid a sea of inventory, pull it, and move it through appropriate packing, and kitting (if needed).

Next, the product is scheduled for transport and delivery depending on the type of shipping being offered by the retailer, and the customer’s choosing. That’s a lot of steps made possible by many people.

Automated ecommerce fulfillment pools those steps into a single system, streamlining order processing, warehouse and inventory management, picking and packing, shipping, and subsequent returns. And with the time and cost savings it provides, there are more opportunities to expand operations (or take a vacation!)

5 Benefits of Automated Fulfillment in Ecommerce

Once an ecommerce brand adds automated technologies into its processes, positive shifts become obvious across the entire operation.

1) Optimizes order cycle and delivery times

From the moment an online shopper clicks “Yes” in the shopping cart, the clock starts to tick blurring the lines between customer expectation and brand reality. By honing order cycle times to meet with seamless delivery, ecommerce companies not only hold the keys to quintessential shopping experiences, they define it.

This is where automated warehouse management and inventory management systems crunch fulfillment cycle times. When product can be easily located, retrieved, picked, packed, and shipped, customers receive goods in the manner and timeline initially promised, cultivating brand trust and long-term loyalty. And workforce efficiency can increase cash flows and internal optimism across the warehouse floor.

2) Personalized end-customer experiences

Capturing buyer personas accurately helps brands understand who their shopping audiences are and what products are more likely to engage their interest. IMS and WMS assist in nurturing those relationships through the tracking mechanisms they provide, and the information gathered about purchase preferences. Upon delivery, customers can receive automated email messaging confirming purchases received, and include other product offers matching their unique customer profile.

3) Automates reporting and data visibility

Accountability and accuracy are hard to come by without automated technology in place. For online businesses already benefiting from these systems, the real-time data received enhances demand forecasting, inventory planning, carrier choice, and overall reliability.

With increased visibility across every step of order fulfillment processing, knowing where SKUs are helps notify logistics partners and customers where their order is in the delivery journey.

When delays happen, due to product defects, loss, or other disruptions, fulfillment centers can quickly identify affected lots and pallets, removing them from the inventory. And through technology, product units are recounted and updated across the supply chain. If needed, alternative locations are recommended to find more product and avoid stockouts.

4) Reduces human error

It can happen in an instant—a text, a phone call, a coworker needing help. Whatever happens to draw attention away from order fulfillment can derail product accuracy, timely delivery, and brand reputation.

With automated fulfillment systems, being human won’t get in the way of flawless execution. Process automation can also raise the bar on quality control through RFID (Radio Frequency Identification) labeling and barcode scanning, escalating lead times while protecting brands and consumers.

5) Provides fulfillment cost reductions

If you were to weigh the cost of doing ecommerce business with automated order fulfillment compared to without, the difference may surprise you. In addition to savings on storage and shipping, operations achieve KPI improvements, reduce labor costs, and work toward greater profitability. Want to scale? Automated order fulfillment can get you there faster.

How Does Automated Fulfillment Show Up In Ecommerce?

There are many automated fulfillment technologies that fast-track operations in warehouses, order fulfillment, delivery, and returns management. They can be tangible to the touch, or evident in the real-time solutions they provide. Here are some examples:

Robots/autonomous Vehicles

Machine Learning (ML) is gaining popularity among brands that need to move volumes of product quickly and efficiently—their margins rely on it. In the warehouse, robotic cranes and forklifts move across aisles in synchronicity, storing and pulling product, optimizing space, yet requiring little human interaction. Cobots work alongside people, assisting in picking and packing orders, increasing production efficiency and accuracy.

Streamlined Integrations

Smart warehouses facilitate faster delivery times, which ecommerce customers expect and believe are part of the convenience they pay for. An AI-enabled inventory management system works like a watchdog, taking account of inventory, adjusting to inflows and outflows, and ensuring product availability where and when needed. And with all that work being done on your behalf, breathing a sigh of relief is the welcome change you’ve hoped for.

Mitigating Security Risks 

Even savvy and trusting online shoppers have concerns about their personal information being shared across the web. A lack of operational security impacts your ecommerce business and your customers. Automated technology integrates seamless experiences and cyberthreat protections. Technology systems can analyze purchasing behaviors and flag suspicious activity, reducing the incidents of fraud.

Rule-based Technologies 

Sales and marketing gain traction with automated technology too. By programming various if-and-then scenarios into the shopping cart experience, shoppers can qualify for select offers, perks or special communications.

Referred to as rule-based technologies, once specific purchase conditions are met, the system can generate a discount offer, add a free product, or prompt a customer notification that their purchase amount is close to meeting the required amount.

On the back end of order fulfillment, rule-based tech programming can also find cost-effective and time-efficient shipment services available for each package, making online shopping sweeter. This type of technology can also be used to add sample products or a thank you note to VIP orders.

Automated Ecommerce Fulfillment Adds Flexibility and Scalability 

In December 2024, WSI’s omnichannel fulfillment partner ShippingTree (acquired by WSI in February 2024) released a new platform feature for its customers called Automations. For merchants wanting flexible workflows to meet their changing needs, the app gives them easy access to create them.

Automations enable merchants to: 

• Add, remove, or change products on orders, ASN’s, and returns

• Upgrade shipping methods

• Create reporting schedules

• Receive existing inventory and order reports via email

To learn more about how Automations works, check out the details here.

What to Ask Your 3PL Partner Before You Scale 

You may not think your ecommerce business needs automated fulfillment now, but you’ll want to know it’s there when the time comes.

Here’s a punch list of questions to ask your third-party logistics provider to ensure they have the capabilities and capacity to grow your business:

1. Is there automated fulfillment software in use?

2. What kind of technology integrations are in place?

3. Are there rule-based tech options?

4. How does your fulfillment technology work when giving real-time visibility and data reporting?

5. Does your shipping selection software include estimates and label printing?

6. Do you have robots or cobots on site and is that an added cost?

7. What are the cybersecurity and threat protections reducing incidents of fraud, from shopping cart through delivery?

As important as the above questions are in choosing the right order fulfillment and logistics partner, using your intuition throughout those exploratory conversations can be the glue to seal the deal or move on to the next. If something doesn’t feel right, it usually isn’t.

Continuous Improvement Is Fundamental to Success 

If a 3PL provider seems more interested in a transactional relationship than a strategic partnership, they may not have your back long-term.

Todd Dorschner, WSI Director of Infrastructure Cybersecurity and Information Technology, is an advocate for continuous operational improvements and says, “Security and IT are the flour in the cake, not the frosting.”

Whether you’re a seasoned omnichannel retailer or up and coming ecommerce brand, never settle for anything less than a 3PL that can drive order fulfillment efficiently and be a direct extension to your brand.

WSI has a deep understanding of ecommerce fulfillment and shipping. With our industry-leading tools and forward-leaning technologies, together, we can help you scale your business to new heights.