Desvendando os segredos de negócios diretos ao consumidor bem-sucedidos

1. QR Codes and RFID: the battle of smart labels in e-commerce

Previously, the barcode had almost exclusive use in the field of product identification for e-commerce. At Bigblue, for example, we use barcodes. We have been looking into the implementation and use of this new RFID technology in order to have a perfect identification and traceability process.

The QR Code and RFID are therefore 2 different concepts but with 1 identical objective. The QR Code is a small black and white logo, printable and accessible to all. RFID labels come in the form of a sticker with an integrated chip which requires a special reader. Used for identifying products, people (with passports) and even animals (in countries where identification is mandatory), the number of sales in the RFID market has increased by 40% since 2005.

These are two different technologies with their own unique characteristics. As an e-merchant, choosing between these two options can sometimes be complicated. It all depends on the size of your company and its stage of development. The advantages and disadvantages will vary depending on your situation!

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2. The QR Code: automatic identification in flash code 

QR codes, in the form of a sticker or label, can communicate much more complex data than bar codes. Indeed, they can direct the user's device to a certain website or application. But that's not all, they can also contain the binary code of a complex image and include up to 4,296 characters of text. 

Well established in the French market on a daily basis, QR Codes are used in 71% of cases. But once again, its quality depends on the circumstances in which the QR Code is used. 

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The advantages of the QR Code

Between easy access and guaranteed durability, the use of QR Codes can be a guarantee of quality in the long term.

Its ease of access and high performance

The great popularity of the QR Code is largely due toits accessibility. Indeed, unlike RFID, the QR Code can be read using a smartphone or adapted software. You and your customers can therefore snap them and trace any product. 

Moreover, as 56% of French people own a smartphone, and the fact that total transparency is required, the accessibility of the QR Code is a considerable asset! Not to mention the fact that more and more applications rate products according to their composition as obtained via the QR Code. For example, if you sell artisanal shampoos, your buyers will be able to check the quality of their purchases by snapping the QR Code on the shampoo bottle.Transparency is a real boost for your reputation!

Its resistance to any test in mass distribution

In addition to being accessible and effective, QRCodes have a universal dimension as it is a technology used on all continents, whether by suppliers, vendors or customers. If your suppliers are mainly located in Asia, it might be preferable to opt for traceability via QR Codes since this is the dominating identification technology.

QR Codes are also considered very resistant as 30% of the QR Code must be in view for it to be detected. If your shampoos based on natural products come from far away and tend to get damaged during delivery, the QR Code is a good alternative: this technology is water and tear resistant. 

Finally, one of the major advantages of the QR Code is its affordable price. Being well implemented on the market, the QR Code can be provided free of charge on many websites. Obviously, you can also subscribe to a QR Code generator, to ensure the durability and quality of your QR Codes. Their production does not require any particular technology, as you only need to print them, just like barcodes. It's as simple as that!

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Disadvantages of the QR Code

Like any product, QR Codes are not perfect. While they are easy to use, they can cause some inconvenience in everyday life which can waste valuable time for e-merchants.

Manual management of technical codes

Unlike RFID, QR Codes must be scanned individually.For example, to make inventories in your warehouse or to prepare an order, your employees must have the product at hand in order to scan the barcode. If the order includes 5 shampoos, your employee will have to scan each product in turn. Of course, such a manual process can lead to errors and stock-outs.

For example, if one of your orange blossom shampoos isa huge success, but the QR Code does not work properly, you may only realize this once your stock has run out. Some logisticians only use QR Codes without adding the use of RFID to overcome the risk of errors. It's a risky bet for your orders, and for your stock management!

Complicated logistics too! 

As a general rule of thumb, the QR Code is used more as a marketing strategy in the form of a link to an advertising video, a promotion, or a website. It is therefore not always a means of identification in itself, as it can be used in addition to a traditional bar code.

From a purely marketing point of view, the integration of a QR Code on your products must be thought over at length. Indeed, it will often be placed on the primary packaging of your product. However, a QR Code of the wrong color, placed without decoration, can harm the overall aesthetic of your product. It is therefore important to think about its location (avoid the edges so as not to cut off the QR Code, make sure it measures at least 2 cm x2 cm, etc.) and its design. This creative step can become complicated, especially if you sell small bottles of shampoo or hair care with very little space!

Finally, being able to write more than 4,000 characters is not a necessity in logistics. And knowing that the usefulness ofQR Codes for e-merchants is purely logistical in nature, it is not always the most appropriate technology.

Bigblue Tips: As a first-time e-merchant, using QR Codes can be an excellent, modern, and easy to use alternative. This is especially a good idea if your products tend to be delivered with damaged or wet labels. On the other hand, it is important to pay attention to the quality of the QR Code and the teams that create and scan it so as to reduce the risk of error!

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3. RFID: the high-speed smart label

RFID is an identification technology in the form of a small tag containing a microchip, wrapped in plastic or paper for protection.The microchip stores all the data assigned to it (the weight, dimensions, and manufacturing costs of the product in question) in order to meet transparency requirements. 

There are two types of RFID with different properties and characteristics, both popularized in the 2000s. "Passive" tags, powered by an RFID reader, do not require an internal power source and have an extremely long lifespan. And "active" tags, have an internal battery located in the microchip.

Again, no technology is perfect: each, including RFID, has its advantages and disadvantages.‍

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The benefits of the RFID solution

In addition to its aesthetic dimension, RFID has everything to please: spontaneous and immediate tracking, which saves you precious time!

Real-time inventory management

One of the main advantages of RFID and especially of active tags is the immediate update of movements and the evolution of products.Indeed, active tags are based on the "read-write" principle, unlike QR Codes.

This means that at any time, the coding and content of the active tag can be changed remotely: everything changes!

In addition, RFID technology has a more futuristic and modern aesthetic which customers appreciate, and it integrates much more easily into the product design than a QR Code. Thanks to the exchange of electromagnetic waves, it is no longer necessary to think about the location and integration of the RFID symbol in the primary packaging!

Saving time and reading distance of codes

From a purely pragmatic point of view, RFID is much more practical than QR Codes. It's simple: you can scan the code of all your products at the same time from a distance. Whether it's through a box or behind a wall,RFID works! So, when doing your inventory, you don't have to take all your shampoos out of the box to count them —you walk into a room and instantly know the number of bottles. Active tags can be scanned up to  1000m away!

Another advantage: reading the labels is much easier.Whether the label is 30cm or less than 1mm, the result is the same. The scan is done quickly and efficiently.

Finally, unlike QR Codes, with RFID you can scan an infinite number of references at the same time so there is no need to take your hair care products out to scan the barcodes one by one. Scan without limits!

More concretely, Decathlon uses RFID technology at the checkout to scan an entire trolley according to the weight and magnetic frequency of the products without customers even needing to take the items out.

Less manual work means fewer errors and more time! Not to mention that RFID gives you perfect stock tracking so that you can know where each product is at any given time.

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Disadvantages of the RFID chip

As all is not rosy, the RFID chip also has its drawbacks: between its investment price and its weakness in the face of certain external behaviors, RFID is not always the right solution.

The initial investment in the electronic label

This is a technology that requires a fairly large financial investment when it is installed. RFID cannot work without RFID readers and magnetic terminals, whether for active or passive tags. And getting these readers installed can sometimes be expensive.

Similarly, the price of the tags themselves varies according to your needs: the higher the reading range, the more expensive the price. To give you an idea, a passive label for a normal product costs between 0.05 and 0.1 US dollars. If you have a large stock, this can quickly become a large expense!

RFID chips, sensitive to external factors 

Based on the exchange of radio frequencies, RFID can be weakened by external factors such as humidity, liquids, and magnetized metals. This means that if you choose RFID as an identification technique for your home-made shampoos, it is essential to ensure that your packaging is strong.

If one bottle of shampoo leaks onto other bottles, there is a high risk that the microchip, which is very sensitive to liquids, will malfunction.

In the same way, RFID should be handled with care: this traceability technology can be targeted by hackers who  may try to obtain information about your products. Make sure to be careful!

Bigblue Tips : The RFID badge is a very good option if you have large volumes of orders and your data and product compositions are not sensitive.Indeed, the time that is not wasted scanning individual products can be cleverly used for other areas of your business. The cost of investing in RFID technologies can then be worth it. It all depends on you and your e-commerce!

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4. RFID VS QR Code: digitization in the modern e-commerce era

The QR Code and RFID are two identification and traceability technologies which serve the same purpose but do not meet the same needs and problems—it all depends on the nature of the company.

The QR Code is quick to implement in an e-commerce and is also inexpensive. Very practical for a beginner e-commerce! On the other hand, if you already have a barcode system, the benefit/cost ratio may not be high enough to take the initiative to change all your products. 

RFID, on the other hand, is very effective on a large number of products. This technology helps to avoid stock and ordering errors.However, it is also more sensitive to external factors that can even make it unusable. This is the solution of the future, but it remains difficult to afford for small e-businesses.

Between QR Code and RFID, there is no perfect solution. But you can go for the one that fits closest to your needs and those of your business. Select the option that suits you!

1. Efficient storage of technical textile products

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While in-store sales are falling by 1 to 3% in the textile sector, the opposite is true for distance selling. Indeed, nearly 40% of French people bought clothes online during the 1st quarter of 2019.

Fashion e-commerce brands, unlike other sectors, have to manage product seasonality, changing trends, etc. All of this has a significant impact on the storage of clothing and accessories. Focus on this issue of the fashion supply chain! 

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2. Clothing storage for a web shop: different from a traditional business? 

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Storing textiles involves selecting the right storage method according to the constraints imposed by the nature of the garment.

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The different storage techniques in the clothing industry

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As with any product, there are different ways of storing within the warehouse depending on the nature of the accessories and their category. 

The storage of sensible garments with an easily wrinkled material often involves suspension of the product. Whether on specific racks or simply on hangers, this category of ready-to-wear requires special management in order to avoid damaging the garments before they are sent off. For example, if you are selling a duck blue V-neck shirt, it will probably fit best on a hanger.

On the contrary, to store less sensible garments (which can therefore be folded, such as cotton t-shirts), you can combine the hanging garment technique with shelf storage. Simply fold and flatten the products and classify them according to their nature. This e-commerce storage solution saves a certain amount of space in the warehouse and allows you to handle a fairly large number of orders per day. It is frequently used for clothes that are not fragile, but also for shoes and accessories.

In all cases, the use of dynamic racks allows you to store and select your products more efficiently.

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Bigblue tips : When choosing a logistician or warehouse to work with, it is important to look for a suitable infrastructure for textile storage. Make sure you ask yourself: does the warehouse have mechanized hanger racks or structures for overhead storage?

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Constraints related to the textile sector

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As an e-merchant in the fashion industry, the choice of storage method is not always yours. The selection of a warehouse or logistics provider is therefore not only up to you, but also and above all depends on the nature of the products.

For example, more and more luxury clothes and accessories are being sold and bought on the internet. Nearly 57% of luxury customers make their orders on the internet, which is leading to strong growth in the haute-couture market. The problem is that luxury products do not cost the same as mid and low-end products. The risk of theft is therefore much higher. For example, if your duck blue shirt is made of pure linen, it might be better to store it in the middle of the warehouse or in more secure places. At Bigblue, we take the preservation of your high value products to heart by providing secure boxes for you to use.

Beyond the fraudulent risks associated with storage, clothing has other particularities. Unlike cosmetics, they must be sorted by size in order to keep a clear view of the state of your stocks. If you choose to work with a warehouse, it is impossible to make a mistake: each size is identified by a SKU (stock keeping unit, which represents products or product categories). For example, a SKU is used as identification for your blue duck shirt in size 38. Easier to prepare your orders and follow your stocks in real-time!

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Bigblue Tips: If you are in need of storage, it is better to create a specific SKU for each color and size, to make it easier to identify the product. This avoids mistakes when preparing orders and greatly reduces the risk of returns or exchanges. In a simpler way, you can get rid of this responsibility by delegating storage to a logistician. Logisticians, like Bigblue, can take care of the organization and storage of your products. That way, you can concentrate solely on sales and marketing!

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3. Inventory management, the fundamentals of internet commerce

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Beyond the pure and hard storage of your products, you must also think about stock management. This can quickly become complicated in the fashion industry due to changing demands and seasons. It is therefore more prudent to define the supply thresholds and quantities to be acquired as your business evolves.

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Keeping up to date in the textile industry 

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Right now, fast fashion is all the rage. Large retailers such as Zara and H&M take an average of 15 days to create a new product, belonging to a new fashion. Consequently, fashions and trends change very quickly.

As e-merchants, it is therefore important to make a balance so as not to produce too many clothes at the risk of ending up with a"dead" stock of obsolete items on your hands.

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Bigblue Tips: As an e-merchant in the fashion industry, it's important to plan and anticipate your stocks and orders to acquire the right products in the right quantities. You then have the choice between taking an empirical view (based on factual data, sales figures of the products you like most) or a forward-looking view (factual and taking into account forecasts related to economic circumstances and demand trends). It's up to you to choose the one that suits you best!

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Avoid stock-outs for your e-business

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As an e-commerce shop that manages its own stock, you may find yourself faced with a stock shortage. This phenomenon is linked to a data gap between the virtual and physical stock, an erroneous estimation of orders, loss of products, etc.

So, if your blue duck shirt is a huge success as summer approaches, and you don't take the necessary steps to cope with the demand, you may run out of stock. And an out-of-stock situation in times of high demand can have a big impact on your sales.

You can't control your supplier's production, but you can plan surplus stocks to offset the ups and downs of sales and product releases. Again, it all depends on the garment you want to sell, and the customer reaction!

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Bigblue Tips: To avoid any risk of stock shortages, you can set up stock alerts to keep an eye on quantities in real time, and even create automatic restocking.

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By doing so, you avoid having to go out and check the stock situation every morning. Many software programs exist and some of them automatically trigger a new order as soon as a minimum threshold is reached:this is the point-of-order method.

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Distribute products and inventory across all your point of sale channels

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If you manage an omnichannel brand (combining in-store sales and an e-commerce platform), stock management can be optimized. For example, analysing your consumers' behaviour can help you determine whether your duck blue V-neck shirt is selling more in-store or on the internet.

By studying these statistics, you can adapt your purchases and your stock distribution according to the most advantageous distribution channels. 

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Bigblue Tips: As an e-commerce brand, analyzing your sales and internal data is an open door to economic growth and an optimal customer experience. And this optimization is achieved by allocating the stock of your products in your shops or warehouses more efficiently! 

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4. Commercial management of returns 

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The stock of clothes and accessories is not only done before the preparation and sending of orders. As an e-merchant, it is also important to think about returns and their management.  

Whatever the reason for the return (size, defect, etc.) it is essential to set up an entire returns management process. From checking the condition of the product to the return of defective clothing (recycling, donation, etc.) to standard returns… The entire returns policy must be studied!

Let's imagine the hypothesis in which one of your customers buys the duck blue shirt on your internet sales site. Depending on whether its seams are fragile, or the size does not match, the return address will not be the same. For the sake of transparency and to avoid unnecessary logistics, it is important to clearly communicate your return policy.

You can use software (ERP or WMS) that manages all returns and product returns internally. In all cases, returns and exchanges must be easy and fast so as not to disappoint the customer and avoid wasting precious time. This is called reverse logistics.

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Bigblue Tips: To avoid any misunderstandings, we advise you to setup a very precise charter for the verification process of returned products.Make sure you communicate effectively about your return policy to inform your customers as well as possible (for example, about return times and refund deadlines).

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Reverse logistics is a crucial step in the supply chain: some practices are far preferable to others and can make a difference to your reputation. Think about it!

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5. Internet sales of textile materials: product storage, a cornerstone of e-commerce 

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In the textile and clothing sector, digitization is becoming increasingly widespread. Consumers now tend to order their clothes and accessories over the internet rather than going to a store. 

As a result, the number of fashionable e-commerce brands is increasing and the demands on logistics, especially storage, are becoming more and more pressing.

Warehousing in the textile sector obviously involves selecting the right way to store products when preparing orders according to their nature. But storage does not stop there!

As an e-merchant in the ready-to-wear sector, it is important to study the best techniques to limit errors and increase stock visibility: dynamic racks, creation of SKUs, etc. And above all, we must not neglect the storage of returned products. From the management of unsold goods to the repair or distribution of defective products in outlets, a whole range of options is available to you.

Think about your entire storage process in order to promote the conservation of your products and the satisfaction of your customers!

1. Online sales and storage of cosmetics: more difficult than other products?

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Today, nearly 8 out of 10 young people change their consumption habits based on the advice of influencers, especially when it comes to cosmetics. Among all marketing channels, this one remains the most effective and easy to exploit in the beauty field!

However, if you want to develop your presence on the cosmetics market, there are many constraints related to storage. Between the sensitive content of the products, their perishable nature or their luxurious ingredients, here are a few tips for the ideal storage of the beauty products you sell!

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2. Storage—a weak point in the cosmetics sector 

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The storage of perfumes and cosmetics involves various constraints which stem from the nature of the products. It is therefore important to choose THE right storage technique adapted to your cosmetic product.

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The different storage techniques

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There are different ways to store your cosmetics depending on the available quantity of your products. Adopting a storage technique according to your cosmetic products is one of the keys to the success of an e-commerce and can lead to many savings!

You can simply store your cosmetics on pallets. The idea is to place your stocks of products in the warehouse of your choice and stack them in a particular order. Pallet storage is perfectly suited to large quantities of product, as the aisles are organized to accommodate a maximum number of pallets. Only this storage method is mainly used for B2B trade. 

In a more flexible way, you can also store your cosmetic products by following the principles of picking. This technique is ideal if you receive a large number of orders on a daily basis. In the same way as palletization, it allows you to store your cosmetics in a warehouse but makes them more immediately accessible. 

In addition, you can combine the picking method with shelving. This technique is based on the principle that your products are always accessible for completing orders. For example, if one of your customers orders red nail polish and face cream, your order clerk will simply walkthrough the warehouse to retrieve the ordered products.  

In order to save time, increase productivity and limit losses, some warehouses specialize in picking cosmetic products and implementing frequent checks. Liquid or gas leaks, temperature, exposure to sunlight... By storing your cosmetics in specialized warehouses, you greatly minimize the risk of loss.

Bigblue tips: Before signing a contract, it is important to find out about each warehouse or partner you would like to work with. Some warehouses and logisticians are better able to take care of your products. Choose a partner who listens to you and who is suited to your products!

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Packaging and storage constraints

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The storage method does not necessarily depend on your choice, but also very much on the nature of the products. Some cosmetics require a particular storage method which may be more expensive or complicated to set up. 

For example, the storage of luxury cosmetics or expensive products does not involve the same constraints as low-end cosmetics.For example, if you sell a premium face cream made of caviar, its unit price will be much higher. However, a high unit price is likely to lead to theft. In such cases, it is safer to store your high-quality cream in a secure area of the warehouse to reduce the risk of them being stolen. Whether it is specialized warehouses or rooms locked with a code, there is a whole range of solutions for storing luxury cosmetics!

That said, storage differences do not only depend on the value of the goods, but also on their nature. Indeed, some cosmetic products (such as soaps and shampoos) may sometimes require storage under special circumstances, to maintain their cosmetic stability and not to deteriorate. Some warehouses specialize in special storage and have numerous tests and bins to control the preservation of your products.

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Bigblue tips: It is important to pay attention to the storage conditions of your products. Make sure that your warehouse or storage space keeps your cosmetics in their original packaging, in a dry place away from sunlight and moisture. Cosmetics shelf-life is relatively long, but poor storage conditions can shorten it significantly. Do not risk damaging your products! 

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3. Inventory management: a puzzle for a cosmetics brand 

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In addition to storage techniques and their implementation, the maintenance and monitoring of stocks must also to be taken into account. And the management of cosmetics stocks is not always a simple matter!

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The basic principle: First in First Out 

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The FIFO method (or FIFO: First in First Out) limits the risk of storing out-of-date products. The first products in will be the first to be taken out: stock management is based on a perfect rotation! That way, there will be no loss of product due to lack of sales.  New goods enter your warehouse through a different area than your unloading area to avoid any mix-ups. 

The FIFO inventory management method is the most widely used method for cosmetic products. Indeed, these items are considered perishable as they lose s their quality over time. For example, the red nail polish that you sell will lose some of its superb quality after more than 3years of conservation. It may become dull, difficult to remove or simply dry.

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Bigblue tips: When setting up your stock management system, make sure you work with a logistician and/or a warehouse that is equipped to handle the FIFO method. A lot of equipment such as dynamic racks or dynamic racks allow you to rotate stocks with a reduced margin of error!

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IT management software, B-A.BA in logistics for a cosmetics company

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The FIFO method is supposed to save you money by limiting product losses. But only if it is properly implemented and managed! If you take care of your own stock management, you can install a powerful management software in your warehouse.

This is an ERP (or PGI: Progiciel de Gestion Intégré),which allows you to keep an eye on the evolution of your stocks on a daily basis. As an e-commerce business, it is preferable to choose a high-performanceERP, rather than relying on a complex excel document on which changes must be made manually. For example, if you sell a batch of 10 red nail polishes to a store, the employee in charge of the order will not need to note the release of the goods: the ERP does it automatically. Automation means safety!

Bigblue tips: The choice of ERP is entirely up to you: there is a whole range of ERP systems to suit the size and structure of your company. Some of them are even free of charge, and can be implemented at the broader internal level of your e-commerce, giving you access to all your supplier contracts, all orders, stock reports... In short, a complete look at your logistics, on your tablet or smartphone!

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Cosmetics sales and batch management

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In the cosmetics industry, products are managed in batches. In other words, instead of having 50 individual cans of varnish, you have 5 batches of 10 cans. As cosmetic products are perishable, this allows for quick traceability and identification. 

This is why it is advisable to assign the same SKU(Stock Management Unit) to an entire batch of products from the same production cycle. This is a code assigned to identify and find different products in your warehouse. 

The particularity of cosmetic products is that they have 2 SKUs: the first one corresponding to the product itself (nature, color, size, etc.) and the second one to its batch (date, production cycle, etc.). Incase of a recall linked to a production problem, it is possible to easily identify the products. Let's imagine that batch n°12 of our red varnish is not the right shade. It is possible to find the batch thanks to its SKU without having to scan all the items in the "red varnish" category.

Bigblue tips: If you are well established on the cosmetics market, we advise you to find a tailor-made solution for your stock management. Whether it's the installation of SKUs or dynamic shelving, you should find the right compromise, adapted to your e-commerce so you don't get lost in the batches, stock entries and exits!

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4. Product storage: cornerstone for successful entry into the world of cosmetics

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Cosmetic products are demanding in terms of storage.They require a special method of storage and strict storage conditions. Many constraints that do not exist in the storage of other products, such as dry products!

Each category of products sold online have particularities that vary according to their nature or their quantity. No matter what you choose to sell on your e-commerce site, it is important to take your time to set up your storage policy. Also, take some time to select a logistician who listens to you and who knows how to adapt his actions according to your needs and your products. 

The storage stage in the logistics chain that should not be neglected, especially when you sell cosmetic products. So, think about entrusting this management to a logistics professional!

1. Transport and delivery of your package: deliver products and improve your image! 

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Delivery is one of the crucial steps in the logistics of an e-commerce business as it is the very last thing that customers face before making a purchase and receiving their product.

And if losing a customer due to a bad delivery experience is one thing, the impact can be even greater on your bottom line. In fact, 28% of internet users who have suffered inconvenience following the delivery of a product talk about it around them. And word-of-mouth can cost the reputation of an e-commerce business!

So how to deliver? And where to? Should we export? How to manage returns? So many questions that are essential to develop a good shipping system! 

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2. An efficient and clear delivery process

As an e-commerce business, it is important not to leave anything to chance regarding your entire delivery process. The idea is to leave no doubt in the minds of your customers, so that they feel sufficiently supported to order on your site without any fear. And there are a number of important aspects to the clarity of the delivery process.

First of all, it's best if your shipping and return terms are crystal clear. Describe them in detail on your site and try to contextualize certain situations. For example, if you sell organic cosmetics, detail your shipping and return policy. Delivery times, refusal of refund if the product has been used... Be exhaustive!

It is also preferable to offer a wide range of delivery options. At home, at a drop-off point, by appointment... 84% of internet users say they are ready to change their site if they don't find a delivery option that suits their needs. Success lies in diversity!

Adaptability is also one of the sine qua non conditions for a successful delivery service, particularly when it comes to packaging. Indeed, more and more customers do not hesitate to express themselves on social networks if the packaging sent is not adapted to the product. Between over packaging and shipping small products in large boxes, the brand image of some e-commerce takes a heavy blow! So, don't hesitate to design a whole range of different packaging, in order to adapt them as well as possible to the products you send. 

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_{Bigblue Tips
‍Try to be as transparent as possible with your customers to avoid any disputes. The idea is quite simple, but nevertheless essential:the more you can be sure of your customer's interests by accurately describing the shipping conditions, the less likely you are to get justified complaints if you don't provide them with the right information. Not to mention the fact that 98% of internet users want to reorder from a site if the delivery went well!}

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There are many little tips to improve your delivery process on a daily basis. Don't miss a chance to boost your customer base!

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3. Choosing the right parcel delivery service

Once your shipping policy is set, then comes the choice of delivery services. If you want to create a community and satisfy all your customers, it is essential to offer a variety of delivery options. Again, diversity is the key to success!

Obviously, it is prudent to offer "classic"delivery services. Nearly 58% of orders placed on the internet recommend home delivery which is particularly popular with online shoppers. Finding an organic day cream ordered on the doorstep is priceless! As a more pragmatic and more environmentally friendly approach, don't forget the delivery at a delivery point-the second most popular option for consumers.

You can also stand out from your direct competitors by offering more innovative delivery services. Nearly 85% of internet users would like to see more express and appointment delivery appear on e-commerce sites.These options allow your customers to order an organic cosmetic from your catalogue and receive it when they want it. Whether within the hour or within a selected time slot, carriers offering such services generally operate locally-customer satisfaction and reduced risk of absence.

It is good to know that if you choose to use a carrier on a regular basis, you offer yourself the right to renegotiate fares to obtain discounts. This will show on the total price of the delivery and will be appreciated by your customers!

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_{Bigblue Tips
‍When selecting your delivery services, the idea is to think about what your customers prefer. But not only that! We also advise you to think about what's best for your e-commerce based on your monthly shipments and the structure of your business.} 

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Choosing the right delivery service can lead to many savings!

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4. Have a package delivered abroad

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Exporting your products abroad is good news for your e-commerce! It marks the progress and development of your business. However, it is not quite as simple as that. Making deliveries in France and abroad does not involve the same questions. In order to make sure you don't plant your business abroad, it is essential to answer certain questions.

First of all, regardless of your delivery service and the carrier chosen for your deliveries in France, your choice may be different abroad. If you wish to export your organic cosmetics to Germany for example (a country where returns are particularly numerous), your choice of logistics partner will not necessarily be the same. Make sure you adapt your carrier according to the destination country you are targeting.

Likewise, depending on the country of export, you may have to look into the calculation of the costs incurred for your shipments. Customs duties, storage charges, 10% VAT and postage vary between borders and exporting to certain countries may not be worth it financially.

It is also best to find out about the laws in force in the destination country. Some products (such as medicines or jewelry) are not allowed across certain borders. Perhaps your cosmetic products will not be accepted?

Finally, if you wish to ensure the success of your establishment in a foreign market, it may be worthwhile to carry out a competitive intelligence.  Find out about the expectations of local customers and adapt your offer to what pleases the most! Observe your competition and the practices anchored in the customs of the destination country.

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_{Bigblue Tips
‍To make sure that you don't make any mistakes when choosing a carrier for your destination country, you can call on a logistician who is familiar with international regulations, such as Bigblue for example. Delegating delivery to a logistician allows you to minimize the risk of complaints (95% of which concern delivery and after-sales service) and product returns.}

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Exporting abroad is one thing, but success is another! Make sure you have your back covered, by asking for information beforehand.

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5. Conquering the Swiss market

Of all the international markets, the Swiss market is particularly interesting for French e-commerce. Indeed, it is a country where French is spoken, and where the population tends to order a lot online(e-commerce grew by 53% from 2012 to 2017). That said, it is also a country where regulations are quite different. And its successful implementation requires certain precautions!

For example, customs fees vary greatly, and shipment to Switzerland requires particularly rigorous official declarations. It is therefore important to find out more about the subject, at the risk of not seeing your cosmetics arrive at their destination.

From a more technical point of view, it is also more prudent to adapt your website to the requirements of the Swiss population.Between the languages spoken and the currency used for payment, every detail counts so as not to discourage a customer's attraction to your organic beauty cream!

Once you have done your research, we advise you to be 100% transparent with your Swiss customers. The delivery time may be extended, and additional taxes may be applied for any product shipment withinSwitzerland. And if your customers buy on your e-commerce site, it is important that they do so with full knowledge of the facts.

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_{Bigblue Tips
‍Exporting e-commerce to Switzerland is quite unique, not least because the constraints vary from region to region. Whether it's the official language or the currency used, the place of delivery can make a big difference. You have to be extra careful!} 

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There are many specificities linked to e-commerce delivery in Switzerland. But it's all a question of knowing what you're getting into! Make sure you find out about these intricacies to avoid any risk.

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6. Successful parcel shipment, without neglecting product returns

The logistic work of an e-commerce does not stop at the delivery: it is also necessary to think about product returns in case of a problem. And to attract more and more customers and stand out from the crowd, your return policy must be concrete! Clear, flexible but always competitive, return policies are not to be taken lightly. To make sure you create a flawless return policy, it is preferable to facilitate customer returns without provoking them.

To begin with, make sure you write your return conditions in such a way that there is no room for doubt. For example, you can dedicate an entire page of your e-commerce site to explaining returns, or even set up an FAQ that answers all the most frequently asked questions.

At the time of shipment, you can adapt the choice of your packaging not only to the product, but also to the return! If one of your customers orders a deodorant alum stone from your catalogue, make sure to ship it in a re-sealable cardboard box so that it can be reused  in case of return. In addition to being positive for the planet, your customers will appreciate the gesture.

In order to minimize the risk of forgetting or making a mistake, you can outsource the entire return part of your logistics. Many specialized logisticians can take care of it and act as an intermediary between you and your customers. Whether it is for the return or refund deadlines, the addresses to which to send the parcel... A long-term investment for minimizing errors! 

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_{Bigblue Tips
Whether it's delivery or return of your products, always think about what you can do to make life easier for your customers. Don't hesitate to create real-time alerts for the progress of the package delivery or return. Transparency is the mother of safety!} 

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Returns are an essential element of e-commerce logistics and it should not be neglected. As with delivery, there are many details to take into account, and many pitfalls to avoid. But it's all a matter of preparation!

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7. How to make a success of your parcel delivery as an e-commerce?

There are many different and varied tips to achieve success in e-commerce shipping, both for delivery and returns. But this requires a great deal of research upstream.

As an e-commerce merchant, it is best to find out about the best carriers to select, the countries to set up, and the delivery options that appeal, in order to work methodically on your delivery and return policy.

Having a concrete delivery process will not only bring you new customers, it will also help you build customer loyalty and an attractive reputation. So, don't neglect this point of your logistics: work on it!

1. How to manage returns and reshipment of ordered products?

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Whether it is accessing information on the brand's website, trying to get your head around the return policy, or tracking your returned package—everyone has been confronted with a difficult product return experience.

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But as an e-merchant it is important to keep in mind that 20% of customers do not finalize their order if the return policy is not clear or if it is not satisfactory. And 20% of your buyers, that's not nothing!

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It is therefore possible and even preferable to improve the customer experience as much as possible at all levels. Between the writing of the return policy, its implementation and customer support, you have plenty to do. 

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2. Return policies: simplicity and customer service

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About 55% of internet users have abandoned a purchase because the return policies were not clear enough. Writing return policies is not to be taken lightly! From mandatory clauses to the right wording, here are some tips for writing your return policies.

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Legal and mandatory rules for all orders and returns

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Between the cooling-off period and the implementation of returns, return policies are governed quite strictly by law. Take your time to understand them!

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What is the withdrawal period?

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When a customer buys a product online, it is called a "distance selling". However, for online sales, the law provides a withdrawal period of 14 days as a basic principle and it is open to each customer. 

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During these 14 days, the customer is completely free to change his mind about his purchase and return the purchased product to you. He is then not obliged to justify his decision to withdraw.

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When retracting, the customer must:

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• Notify you of his decision within 14 days of receipt of the goods.
• Return the product to you within 14 days of declaring it.

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How to implement returns?

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The customer must also be informed of the possibility of retraction before he proceeds with the purchase. It is therefore necessary to provide a return policy which the customer can easily take note of.

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This return policy is very important! Indeed, if you do not clearly inform your customer about his right of withdrawal, then the customer has an additional period of one year to return the goods.

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If a customer decides to return the product to you, you have the obligation to reimburse it. This refund must include all expenses incurred by the customer during the purchase. In other words, you will have to reimburse the price of the goods as well as the shipping costs related to its delivery.

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However, it is possible to make the customer responsible for paying the return shipping costs. But beware! In this case, the customer must be warned before his purchase that he will have to pay these costs himself. If the return policy does not contain this information, you will have to pay the return costs yourself.

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Please note: as soon as you receive the goods, you have 14 days to make this refund. In the event of a late refund, the amount of the refund will be increased by:

• 10% for a delay of less than 30 days;
• 20% for a delay of between 30 and 60 days;
• 50% for a delay of more than 60 days;

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Exclusion of returns

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Nevertheless, for certain goods, the right of withdrawal is excluded. This is the case when:

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• The goods have been personalized for the consumer;
• For reasons of hygiene or health protection, the goods may not be resold to another customer;
• It is unsealed or customer-installed computer software. 

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However, where the right of withdrawal is excluded, you must indicate this in your privacy policy.

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Bigblue tips: Do you still have questions about your return policy? Not sure how to write it? If so, online legal services such as Avostart can put you in touch with a specialist lawyer quickly, so that you can find answers to all your questions.

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3. Make returns and serve your brand image

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Beyond their purely legal dimension, return conditions are a very powerful marketing tool, as 95% of internet users recommend a brand if the return of products has been facilitated.

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In other words, if the customer feels understood and has the right to change his mind, and that the refund procedure is fast, he will be less hesitant to go ahead with his purchase on your e-commerce site. For example, if a customer wants to order a mug for Father's Day, and your return policies are clear and accommodating, not only will he go through the checkout process more easily, but he will also talk about it to those around him!

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So, increase sales and improve your brand image. Two reasons not to skimp on writing your return policy! To be optimal, your return conditions must be clear, flexible, and competitive.

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Clearly stated conditions

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72% of consumers say they would buy more online if the return procedure was simpler and more accessible. To make your return policy a marketing lever, we therefore advise you to use a vocabulary that is accessible to everyone.

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It is also important to answer the simplest questions, those that all consumers ask themselves: return deadlines, possible exchanges, product return steps, refund period, tracking email to notify the customer of the progress of the return...

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Keep it simple and concise. A few sentences should be enough to provide your client with the answer they're looking for.

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Flexibility of returns 

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Customers greatly appreciate the adjustment of returns according to the period. For example, during Black Friday or the Christmas period, perhaps it makes sense to extend the originally planned return period by 14 days.

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For example, ready-to-wear brand Headict allows 14 days for a refund, and up to 30 days for a credit note or exchange. Even more concretely, Zalando extended their return period to 100 days during the Covid health crisis. So, if you sell mugs for Father's Day, you can increase your return period 3 weeks before the event, to facilitate any exchanges or refunds. 

A competitive policy

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Standing out is always good for your e-commerce. And with a competitive returns policy, you will attract a lot of customers and increase your conversion rate!

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Here again, it is a question of adapting according to circumstances and periods. For example, you can set up a system of free returns in the weeks leading up to Father's Day. If you do this and extend the return period, your personalized mugs will sell like hotcakes!

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Bigblue tips: 60% of buyers prefer a purely automated process so they can schedule their returns on their own. To satisfy them, be sure to describe the return procedures precisely and set up automatic return forms!

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4. The implementation of tools to enable the return of purchased products

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1 product out of 4 sold online is returned, compared to just 10% of goods in traditional trade. To satisfy your customers, in addition to tackling the theoretical dimension of your return policy, you need to put in place tools for its practical application.

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Improving the process internally

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As an e-commerce owner, you have many tools at your disposal to facilitate returns. They are more or less simple to set up, you just have to choose the ones that suit you!

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The creation of a return form

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As stated, consumers like to handle product returns from A to Z. From this point of view, it is therefore a good idea to create an automated and easy to fill out return form.

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Plan to ask questions about the whys and hows of the return in order to improve and solve this problem in the future. You can even turn this form into a conversion channel. For example, if your customer bought a mug for Father's Day but it's too small, you could offer them a range of larger mugs.

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A well-written return form can increase your conversion rate: you might as well take advantage of product returns!

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The creation of a page dedicated to returns 

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Information is the key to successful e-commerce. So, make sure you create a page on your e-commerce site entirely dedicated to returns and their conditions. For example, you can list the different stages of the return, and even schematize them! The better your customers can visualize the steps, the better your communication will be.

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You can even include an FAQ about returns to answer your buyers' questions efficiently and concisely. 

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For even more originality and personalization, it is even possible to communicate these steps in a physical way! In the package containing the Father's Day mug, you can, for example, slip a flyer, which lists and illustrates all the return steps.

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The conception of an adapted packaging

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50% of 18 to 24-year-olds buy on the internet with a view of returning certain products. Both for your image and for the respect of the environment, it makes sense to design reusable packaging for returns.

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Therefore, it is preferable to send your products in a box that can be closed and used for the return of your products. This will prevent your buyers from returning their products in old boxes from an old order which may be much too large for the product. This practice is not very good for the environment. 

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Setting up a tracking system

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As with delivery, it is important to remember to inform your customers of the progress of their return. If you have read our article on the 9 do's and don'ts of delivery, you already know that customers are reassured when they are informed in real time. 

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You can therefore set up a parcel tracking system so that they can follow the progress of their return live. Applications such as 17track exist to track your parcels, without going through the carriers' sites (in France and abroad).Simple to set up, and ideal to make life easier for your customers!

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Attach the return label when sending the goods.

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This possibility is not really unanimously accepted by e-merchants, because it is a double-edged sword. Some brands (especially fast fashion brands)include the return label in the parcel sent. This makes the return procedure easier in case of a problem: no need to print the slip, just stick it on the parcel.

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However, attaching the label can be a false good idea. Indeed, for a return to be handled by the distributor, both the transport label AND the return slip are required. So even if you include the return slip in the package of your mug, your customer will have to print the shipping label (specifying what's in the package, the value of the mug, addresses, etc.). If he doesn't read the return conditions correctly, he won't think about it: this will lead to logistical problems and delays. So, attaching the return label is not just a good idea!

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Don't forget that the presence of the return slip plays a decisive role in the return of a product. Not attaching it can therefore help to limit returns, at the very least not to encourage them.

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The inclusion of the return price

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Again, this is a double-edged sword. Nearly 80% of consumers want a free return: such a policy therefore makes it possible to satisfy the majority of your customers.

That said, it greatly encourages returns. Even the slightest doubt about a product will make consumers likely to return it. This can also lead to abusive returns: when an internet user buys several items (several sizes of jeans, for example), with a view of returning some of them. And this is not good for your stock and logistics, nor for the environment! 

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Some e-commerce brands have therefore found a happy medium: in France, returning a product is free, but the second one has to be paid for.

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Bigblue tips: By setting up a FAQ, you reduce the number of repetitive customer interactions, and you give yourself the opportunity to improve your logistics and marketing. Investigate the reasons for returns and the questions asked, and adapt your e-commerce site to what you find! 

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For example, when writing your product sheets: 22% of returns are linked to the product image not accurately reflecting the product advertized. By analyzing the problems according to the products, you will increase your awareness of ways to improve your e-commerce.

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Optimizing returns through outsourcing 

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When facilitating your return policy, you are not obliged to do everything yourself. You can outsource the whole logistical part.

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Collaboration with specialized partners

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Some professionals have become experts in the field of product returns.Companies like Shoprunback, Return Magic and Revers.io can take over your reverse logistics, to take the weight off your shoulders. 

Their job is to automate returns and to be an intermediary between you and your customers. And when you consider that the average return time in France is 22 days, it may not be a bad idea to bank on speed!

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Using the services of a logistician

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Depending on the logistician you work with, the difference can be quite significant in terms of returns. 

Some logisticians, such as Bigblue for example, take care of all reverse logistics, from returns to shipping. They take care of the entire logistics process and notify your e-commerce and customers in real time of the progress of their returns.

Bigblue tips: 5% customer loyalty can increase your profits between 25% and 55%. Whether by word of mouth or by reordering from you, customer service plays a huge role in retaining your customers! Investing in the outsourcing of returns management can therefore become beneficial for your turnover in the long term, provided you use the right logistics specialist. 

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5. The proper management of returned products, at the service of your turnover!

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As an e-commerce brand, it is possible to improve your returns process on different scales, depending on your opportunities for development. The ultimate goal is to optimize your customers' experience, and at the same time, your brand image.

To achieve this, you can improve the way you write your return policy, focusing on clarity and flexibility in order to stand out from the crowd. It is also advisable to dedicate an entire page of your e-commerce site to return policies to help your customers to see clearly and place orders with full knowledge of the facts.

If these options are complicated to set up on your scale or if you want to delegate the reverse logistics to a professional, you can outsource this service by calling in a specialist logistician. 

The work of an e-merchant doesn't stop at the delivery of a product-you have to look further, and put yourself in the shoes of your buyers, from A to Z. What is the ideal service for your customers?

Between delivery times, competition, and logistical dependence on the supplier, dropshipping can be more complicated than it seems.Before embarking on this venture, it is therefore prudent to weigh up the pros and cons.

Advantages and disadvantages of dropshipping 

Dropshipping is a very advantageous business model to start up at the very beginning of an activity. Indeed, access to the dropshipping market is facilitated by the numerous platforms and is almost completely free of charge.

It is only once dropshippers have their foot in the door that they become aware of some practical drawbacks. Between the financial aspect, the interdependent relationship with the dropshipping supplier, the competition, and the logistics, dropshipping is not the goldmine you expect it to be. And before taking the plunge it's a good idea to know all the ins and outs.

The financial aspect: advantageous or costly?

The first aspect to take into account before jumping into the lion's den: the financial aspect. If dropshipping is not profitable for X or Y reason, perhaps we should reconsider the question?

The advantages

At first glance, dropshipping is clearly a plus for easing into the e-commerce scene. Whether you choose to set up a dropshipping website, or go through a dropshipping platform, the initial investment costs will be low.

The creation of a website is made easier by the existence of many CMS whose prices are very low.

Moreover, according to the dropshopping principle, the dropshipper (and therefore you) has no land, equipment, or stock costs to bearthe burden of: this is the responsibility of the provider you have chosen!

Between the absence of payment for the production chain, packaging design, and delivery, the financial difference in expenses compared to traditional e-commerce is substantial. 

Not to mention the fact that a dropshipping e-commerce has a higher scalability than a traditional e-commerce! Let's imagine you are working with a supplier who produces UV machines for nail polish application. During the Christmas period, you receive a lot of orders for this UV machine. If you were a normal e-commerce company, you would be out of stock. With dropshipping, suppliers produce in bulk which means no downtime!

The disadvantages

But all is not rosy in the financial world of dropshipping. Indeed, not incurring storage and delivery costs has a fairly significant impact on your margin per order.

To buy a UV nail machine, your customer pays for his product on your site. Once you have received the money from your customer, you place the order yourself with your supplier. So even if you don't need to advance cash, since you are only an intermediary, the margin is less. 

Having said that, it is not because your action is minimal that your involvement is also minimal, since it is the seller (you) who is responsible for the 2-year legal guarantee following receipt of a product.

In the same way, when the customer pays, all costs must be included in the general price list. So, for intra-community trade, you must apply the intra-community VAT at the right rate, without making any mistakes. If you don't do this, you run the risk of having to pay a hefty fine!

Bigblue tips: If you're just starting out on the e-commerce scene, dropshipping can be interesting. Nevertheless, since margins are eaten up compared to traditional e-commerce, it's important to make sure the cost/benefit balance is on the right side. 

Logistics management: delegation or unavoidable weight?

The second attractive aspect of dropshipping: the logistical dimension, which is very minimal compared to online shops.

The advantages

Since your supplier takes care of production and delivery, you are not in charge of carrier management or packaging.

And although it may sound simple, not being in charge of logistics is a major thorn in the side of many e-merchants! Indeed, the choice of carriers, the palletization, the organization of the rounds... All this can quickly turn into a nightmare, especially if you are just starting out in the trade.

The disadvantages

But as every advantage comes with a disadvantage, the logistics of a dropshipping activity is not that simple to manage!

According to the principles of dropshipping, you are only responsible for the transmission of the order. This means that you have no control over the presentation and condition of the packages. However, if there is a problem during delivery or reception, your customer will contact you directly. If your supplier has a UV coating machine delivered in a dented and damp package, YOU are in charge of the after-sales service, even if you are not the cause of the problem!

And when you see that almost 20% of the products ordered in France are returned to the warehouse, you quickly realize that there is indeed a huge element of logistics management in dropshipping. Not to mention the fact that in the event of a product return, they are sent directly back to you. This means you can still end up with a stock on your hands!

Moreover, you have no control over delivery times. Asa general rule, dropshipping deliveries take between 15 days and 1 month (and with COVID, it's getting worse and worse!). However, 72% of French people want next day delivery, which does not necessarily fit with the constraints of dropshipping. 

Finally, forget the small gestures and personalization towards your customers: you don't have access to the parcels! So, you can't put 1 small flyer here, 2 or 3 advertising pens there... Personalization is very limited.

Bigblue tips: Some dropshippers have problems with their suppliers.To prevent this from happening to you, you can directly delegate the logistics management to a logistician who is familiar with this. This way, the 10% return margin is handled professionally, and you always have a say.  

Working with a wholesaler: freedom or constraint?

Every dropshipper works in collaboration with a supplier, whether he is a generalist or a specialist in a product area, such as nail cosmetics for example. Dropshipping is a service to both parties: the supplier sells its products without having to focus on marketing, and the dropshipper gets a commission without having to worry about production and logistics. It's a win-win situation!

But like any business relationship, it comes with advantages and disadvantages.

The advantages

The most important thing about working hand in hand with a supplier is that you don't have to worry about the production, logistics, and delivery of your products. Knowing that you are interested in e-commerce, and that the core business of commerce is... selling! And not production.

This way, you can concentrate solely and fully on the work of your brand image, and on the marketing dimension of your e-commerce site. Optimization of your UV machine product sheets, traffic acquisition, customer retention, loyalty building... All this without having to worry about the purely technical side of production. 

Disadvantages

In theory, being able to count on someone in a business relationship is very positive: dropshipping is therefore a good exchange of good practices which should go well. In practice, suppliers tend to lead the way.

The number of dropshippers has exploded in recent years. As a result, there are more dropshippers than suppliers. Some wholesalers (in particular the larger ones in the market) therefore tend to impose rather strict guidelines on their dropshippers. And failure to comply with these guidelines can lead to the termination of your contract.

They have full control over the selected carriers(although you may be more familiar with local carriers), packaging, and price variations. This means they have control over the goods. Basically, even if you spend 3 months writing product sheets for an entire category of UV lamp machines, your supplier can choose at any time to change the color of the product, or simply to stop selling it. And for you, you end up with 3 months of work lost!

To overcome this kind of problem, you can work with several suppliers. This would allow you to expand your product catalogue on your website. That said, it also means that if your customer orders a UV nail machine and a weather station, they may not receive them in the same package. An order can centralize different suppliers, and they may arrive at different times. This is not good for your image!

Bigblue tips: In the supplier-dropshipper relationship, communication is the key to success. Make sure you maintain a good rapport with your wholesaler, and you will be aware of any changes! 

Competition: an open or closed market? 

The final point to consider before going into dropshipping, and not the least is competition! As mentioned above, there are more and more people getting into dropshipping. This allows the market to turn at a crazy speed! Subsequently, however, this also makes it more complicated to access.

The advantages

More and more dropshippers are going into business, all hoping to prosper. But they all buy from the same wholesalers! This means that your competitors have nothing more than you have: they sell the same thing. So, to stand out, you can throw yourself body and soul into working on your brand image and the marketing dimension!

In addition, you can analyze your competition to see what customers like, what they buy most, and the most flourishing formulations, etc. In short, dropshipping allows you to enter a new market with full knowledge of the facts, instead of running in blind. All this without investing a penny!

If you choose to do dropshipping in a niche market, you can add other products little by little, and study the reception of your customers. Ideal for anticipating your future catalogues! 

The disadvantages

The fact that your competitors are on the same level as you can be a positive thing. But it also means that your products are no more special than theirs. This can make it difficult to find your place in an already crowded market.

You can of course turn to dropshipping platforms which make on average 10% more turnover than a simple dropshipping site. But the competition on marketplaces is even tougher than on the net! Standing out from the crowd therefore implies a certain amount of work.

Bigblue tips: Dropshipping is an ideal business model to start a business or a market. But it's only afterwards that things get more complicated. So why not take advantage of the advantages without suffering the disadvantages? 

You can enter the e-commerce market thanks to dropshipping, then once you have your dropshipping business installed, you can then take over part of your production. The right balance between e-commerce and dropshipping, an explosive cocktail of success!

Do you want to give e-commerce dropshipping a try? 

Dropshipping is a real springboard within e-commerce.Unlike e-merchants, dropshippers have no stock, delivery, or e-commerce logistics to manage. They therefore do not suffer any indirect losses, whether they are financial or time related.

Having said that, dropshipping is far from a perfect business model: it has many disadvantages, which can really slow down commercial activity. No matter what you expect from dropshipping and your status in e-commerce, it is important to consider the advantages AND disadvantages before jumping into the deep end!

Many dropshippers and dropshipping trainers claim to make sales worthy of the biggest millionaires. But in France, as elsewhere in the world, the turnover of dropshipping seems to remain lower than that of traditional e-commerce.

So, is dropshipping more than just a springboard into the world of e-commerce?

1. Before starting dropshipping: what are the costs involved?

In theory, dropshipping means you don't have to bear the costs of logistics, stock management, delivery, etc. 

However, in the reality of its application, dropshipping can be costly in other respects, including: 

• The management of the online shop or the account on an e-commerce platform
• Advertising on social networks
• The boost of a too-low conversion rate

If you are hesitant about dropshipping the outcome can be simple: if the total amount of commissions you collect is less than or equal to your business expenses, then no. Dropshipping is not going to be profitable for you.

In reality, dropshipping is not as simple as some dropshippers claim. Before you start, or in order to take stock of your business, it may be essential to take a close look at all your expenses and income to find out whether dropshipping will really be profitable. Not sure where to start? That's what we're here for! 

2. Create a dropshipping website 

What attracts entrepreneurs to dropshipping the most is the freedom from logistical burdens. With that said, dropshipping still requires a small investment.

Let's take the hypothesis that you want to sell one of the flagship dropshipping products in 2019: a pocket translator, that small electronic object that translates instantly, without an internet connection. Todo so, you need a place to sell it, an attractive spot.

The creation of a shop website on the internet

From the very beginning of your business, you can invest in the creation of a dropshipping e-commerce shop in your name.

Today, creating an e-commerce site can take only a few hours and cost a small amount of money. You will probably have to pay a few dozen euros to get one of the best web hosting providers.

You can directly go through Shopify, the king of dropshipping, which is a fully automated site, to guide you in the creation of a site that suits you. All you have to do is pay a subscription fee and follow the steps by selecting the backgrounds and themes that best suit your brand image!

There are many themes on Shopify to suit the style of your business. Light, dark, sleek, stylish ... there's a theme for everyone. 

Not forgetting that there are even simpler solutions than managing a website, to get started in dropshipping. 

Subscription on a dropshipping commerce platform

As far as dropshipping is concerned, it is possible to launch a sales platform. Some examples include Shopify, Prestashop, and Woocommerce--there is a whole panel of them, you just have to choose the one that suits you!

On Oberlo (little sister of Shopify) or Dropizi (French dropshipping platform), all the steps are carefully listed. So much so that in less than 2 hours, you can launch your own dropshipping site!

The significant advantage of using platforms, in addition to their free and accessible nature, is the prospects for development. Indeed, to stand out from your competitors on a platform, you can invest more money in order to have access to particular plugins.

In terms of support, these platforms allow you to select the right e-commerce provider to sell even more pocket translators.Depending on the reputation and opinions of the suppliers, the platforms offer you the wholesaler that best meets your expectations. A straightforward path, for a few dozen euros!

Bigblue tips: When you start your dropshipping business, sales will be slow in the beginning. We advise you to immediately reinvest what you earn in maintaining and improving your site or account on the platform.

3. Manage the end customer and user experience

When a product is present on several dropshipping sites, it is necessary to stand out from the competition.

As a dropshipper, make sure that customers want to buy pocket translators on your site, not someone else's site, even if the product is exactly the same. Think marketing strategy and customer acquisition!

The constraints of managing a dropshipping site

While getting into dropshipping is greatly facilitated by platforms, it still requires some maintenance.

As a dropshipper, it is your responsibility to put products online, like the new Pocket Translators you just received, and to promote them while managing orders.

This means that after-sales service is up to you, not your supplier. And since it costs 7 times less to retain a customer than it does to attract a new one, it is better to make your customers want to recommend you!

Even if you don't have to take care of the delivery, it's up to you to manage the returns if customers use their 14-day right of withdrawal, for all orders within the European Union.

Between the setting online, the maintenance of the site and the after-sales service, the management of a dropshipping site becomes immediately more energy consuming. But that's not all, as marketing is also part of your responsibility!

The increase in conversion rate with SEO

When it comes to conversion rates, the platforms are pulling ahead. While Shopify has a conversion rate of around 1-2% (depending on dropshippers), Amazon's low average is around 10%.

No matter which platform you choose, boosting your site's SEO will always attract customers. Indeed, SEO (Search EngineOptimization) is a complicated art which requires special involvement and mastery. 

Take the time to train yourself in SEO and create a great web marketing strategy. Keyword search, image optimization, ergonomic UX, netlinking... Many dropshippers abandon SEO without waiting for results.

SEO is useful for writing the product sheet of your pocket translators. All your words should be chosen with care. You should use a consistent semantic field: "instant translator", "translation application", "direct translation" or "available in all languages".

That way, the search engine will take you to the top of the search results page! 

SEA optimization to get ahead of the competition

Where SEO works over time, paid referencing (SEA orSearch Engine Advertising) is a real springboard for popularity.

To be sure to be THE most popular dropshipping site, you have to secure your place at the top of the search results. To do so, try to buy the main keyword of the item you are selling on Google AdWords. For example, buy "pocket translator" for a limited time. Buying a main keyword, coupled with a good natural SEO = an explosive cocktail!

From more of a marketing point of view, customer acquisition can be done through targeted publications or retargeting. On social networks with Facebook Ads or on search engines with Google Ads advertising banners.

Paid referencing and sponsored advertising can greatly increase your traffic, and therefore your conversion rate. Be aware of this small downside however--with the rise of dropshipping, the cost of advertising explodes year after year.

Bigblue tips: Before you start dropshipping, it's best to take the time to learn the ins and outs. Not only about what dropshipping involves, but also about natural search engine optimization and after-sales service techniques.

Improving your traffic and conversion rate is one of the most complicated parts of dropshipping, and it's not innate. You have to play by the rules of the search engine and according to customer requirements if you want to attract internet users!

4. Advantages and disadvantages of dropshipping compared to traditional e-commerce

Getting into the dropshipping business is quite simple. But at the end of the day, is dropshipping better than traditional e-commerce?

In theory, dropshippers can focus fully on marketing since the logistics management is the responsibility of the supplier. This is true for the vast majority of cases. However, the reality can be very different. In case of a problem, your customer will not send his pocket translator back to the supplier. He will send it back to YOU, even if you did not initiate the delivery. This means that you may end up with a stock on your hands. And it will be up to you to manage the cost of returning or reselling the product. 

Moreover, the dropshipper is only a "reseller". This means that, in contrast to traditional e-commerce, he only has a choice of certain product categories. He cannot therefore sell items that standout, such as a pocket translator that cannot be found on the market. As a result, competition as a dropshipper is quite strong, whether in a niche or general market. Where the average e-merchant can compensate with originality, the dropshipper has to use pure marketing techniques to stand out. And this can seem quite redundant in the long run.

Finally, a dropshipper and its wholesaler are interdependent. So, it's a double-edged sword: if you select a supplier with whom you have a good relationship, that's great news! You can then negotiate purchase price. Otherwise, your dropshipping business may suffer. And unlike traditional e-commerce, it can be difficult to go elsewhere.

Bigblue tips: To make sure you can delegate the logistics burden without any unpleasant surprises, there is an e-commerce solution which does not need to do dropshipping: go through a logistician! An expert in the field of deliveries, returns and shipments, a logistics specialist knows the regulations of international logistics can takeout the thorn in your side.

That way, you can focus all your energy on the purely marketing dimension of your dropshipping site, as well as on optimizing your brand image!

5. How would you like to make money with dropshipping?

Dropshipping is a business model that can be profitable in the long term. But from there to making a fortune from your couch, there's a whole world out there!

Some people say that dropshipping has stopped working since 2014. In reality, with the increase in the number of suppliers and dropshippers, the rules of the game have simply changed. 

Today, dropshipping is a solution that allows you to get started in the world of e-commerce, but it requires more work. Indeed, a dropshipper must invest and find the means to boost his conversion rate.

If a dropshipping site is not properly maintained, the expenses will soon exceed the commissions earned, and the business will no longer be profitable.

Want to give it a try? Here are 3 mistakes you should avoid making when starting a dropshipping e-commerce website:

• Don't believe everything you hear, and don't think you're going to make a fortune doing nothing: dropshipping takes work and patience.
• Don't think that you are exempt from involvement in the logistics side: whether it is for returns, customs or delivery charges, you may always have to do some logistics management in one way or another.
• Don't lower the selling prices of products: if you do this in order to attract more customers, remember that it will lower your margin rate at the same time. So, you have to find a middle ground, the profitable price.

So, before you start, ask yourself: are you organized and motivated enough?

In order to "greenify" their logistics management, some companies have found diverse and varied solutions at different levels. And their final objective is simple: to reduce their environmental impact.

Whether it's through packaging, goods transport, technological innovations or other opportunities, there is a whole range of options for going green as an e-merchant. You just have to find the one that's right for you!

1. Transport management and ecological global logistics: a miraculous green solution for e-businesses

The concept of the green supply chain has gradually taken root in people's minds. It consists of setting up company-wide attempts to measure and minimize ecological impact.

Whether it's for regulatory, ethical, or financial reasons, as an e-commerce brand you have the opportunity to take action on your environmental impact at different levels. It all depends on the size of your company, its structure, and the allocated budget!

Even if protecting the environment by modifying your supply chain may involve some investments (time and financial),your efforts will soon be rewarded! Indeed, consumers have the same awareness as entrepreneurs: in 2019, 70% of French people claimed to have selected certain brands over others based on their social and ecological commitments.

From product returns to sourcing, through to packaging, road transport of goods and new technologies, there are many avenues for development. With the help of your logistician or your logistics service providers, identify THE solution that will suit you!

2. Production management and green sourcing

The implementation of greener logistics sometimes requires questioning an entire production logistics organization. Although this can be daunting, the reality is not so unachievable. The proof is that the Cabaïa, Loom and Né à brands have designed all or part of their supply chain with the aim of reducing their environmental impact.

As for the "production" link in their supply chain, they use only local materials. For example, if you make and sell a light pink tailored shirt, you can have it made in the EU(which means much less transport), under the supervision of the eco-labels you rely on. 

Eco-labels are a good way to express your ethical values, in order to be transparent with your buyers. Eco-labels can be applied at different levels of the supply chain, be it production, labor, delivery, or sourcing.

And even if your raw materials come from outside the European Union, you can import them by sea freight, instead of by air. Even if your customers have to wait a few more days, no one will die when it comes to a shirt!

Eco-friendly sourcing and production are becoming more and more important in e-commerce supply chains. Over the years, brands have become more aware of their environmental impact, and the slow industry is starting to take over from the fast concepts (fast fashion, fast food, fast cooking, etc.). 

3. Eco-packaging for cost-effective shipping and packaging

Once the production is finished, then comes the packaging. E-commerce companies tend to wrap their products in plastic tape to ensure that they arrive in good condition. But this is a bad idea if they want to maintain their image and ethical stance! 

You can use reusable and recyclable materials. In certain forms, plastic is for example 100% recyclable. But you can also use alternative materials to plastic: all-natural, milk-based, soluble... There is something for every industry!

Otherwise, other fairly common materials such as cardboard can be recycled in certain contexts. But be careful with cardboard--do not use tape! Add even a small piece of tape to your cardboard, and it is no longer recyclable.

In a purely quantitative way, some e-commerce brands tend to practice over packaging which harms the environment as well as the company's image. For example, if you want to send the light pink tailored shirt to your customer, it is better to adapt the packaging to the product. A shirt is not a fragile object, nor is it bulky. You can therefore easily wrap it in a recyclable plastic pouch or in a small foldable cardboard box.

Even if it is important to have the customer's interest in mind, don't forget the environmental impact of your packaging. Think of all the innovative solutions, which you may not be aware of yet!

4. The implementation of new technologies in your IT logistics network

Beyond the practical side, the theoretical dimension of supply chain management implemented through e-commerce can also have major ecological consequences. But thanks to the emergence of technological innovations, companies are solving this problem little by little!

Brands and companies have developed many technological tricks to reduce their environmental impact at all stages of the supply chain management.

When placing an order, some e-merchants use augmented reality,  so that their buyers can envisage themselves wearing a product. To take the example of the pale pink shirt you sell, if your customer can create an avatar according to their measurements, it will be easier for them to see the reality of the product. That way, there is less risk of return!

If they like the virtual visualization of the shirt, your customer will place an order. And once again, the use of anew technology can help you. There is a lot of software available to help your employees in the warehouse, whether it is to help minimize the risk of order errors, or to optimize the palletization of your means of transport.

To go even further, reducing your carbon footprint can start at the very beginning of your e-commerce creation.Indeed, creating a website implies the use of a computer server. But servers can be a real ecological disaster. To remedy this situation, you can find out how to choose a green host for your e-commerce site that shares your ethical principles.

Between the reduction of returns, better data management, and many other solutions, technological innovations are pushing the green supply chain further and further within everyone's reach!

5. Environmentally-friendly modes of freight transport 

Once your slim-fitted shirt is manufactured, packaged and ready for shipment, the crucial moment comes when you decide on your mode of transport.

Due to the vital urgency of some deliveries, many brands deliver their products by airplane. But for delivering a simple shirt (no matter how pretty it is), maybe it's not worth the rush? Express delivery is fashionable, but ecologically it is not necessarily the right solution.

Many e-merchants choose to go with road deliveries. This is one of the most polluting means of transportation and is the most used (especially because of the last kilometer). Fortunately, many environmentally-friendly alternative means of transport are being introduced little by little.

For example, instead of using only trucks, you can work with a local carrier who uses cargo bikes or electric cars. Similarly, some large cities such as Paris are equipped with warehouse ships, which allow goods to be stored on a barge for delivery to the nearest relay points. All this while limiting CO2 and polluting gas emissions!

Even more concretely, you can rethink your delivery scheme by delivering your products to a collection point in an urban area instead of home addresses. These large warehouses are accessible to the public and allow buyers to come and collect their orders directly and try their products on the spot. For example, your customer will be able to try on their pale pink shirt to see if it is the correct size for them. This way, there is no back-and-forth on the back roads, and no last mile problems!

More and more revolutionary ecological means of transport are appearing on the e-commerce scene. From drone deliveries to bicycle deliveries, there is a logistics solution that suits you!

6. Logistics services to minimize product returns

Beyond the mode of transport to reduce the number of returns, you can take action on an even larger scale. Nearly 40% of clothes ordered on the internet are returned to the supplier-- it is impossible not to think about the greenhouse gas emissions that contribute to air pollution. However, as an e-commerce company, you can use different levers to reduce and better manage your product returns.

It is possible to tighten or adjust your return policies. Free returns are now the norm which is excellent for customer service, but very bad for the environment. To minimize the resulting environmental damage of free returns, it is possible, for example, to set up a depot in large cities. For example, if one of your customers buys a light pink slim-fitted shirt on your site, but it turns out to be the wrong size, they can simply pack it back up again and drop it off at their local collection point.Then your carriers come by once a week to collect all the packages and send them back!

Other common reasons for product returns  are discrepancies in product expectation versus reality and the wrong addresses on shipping labels. As an e-merchant, by describing your pale pink tailored shirt in great detail, you reduce the risk of customer disappointment, and therefore the risk of a return.In the same way, before confirming any order you can set up an address verification software. Indeed, many parcels are returned to the sender because of a wrong address.

Some e-merchants go even further, and link eco-friendly returns and eco-packaging, giving a new lease on life to their packaging. Thus, the packaging of your tailored shirt can become a jewelry box, a vase outline, or a drawer decoration. 

The options are endless for rethinking your returns management and for the continuous improvement of your eco-responsible image! And it's not the only step in your supply chain that can change. 

Whether it's for procurement, packaging, delivery or transportation, more and more e-businesses are tending to put environmental issues ahead of financial ones. This is what we call being eco-responsible!

7. Having an efficient and ecological logistics project: dream or reality?

Green e-commerce logistics is not an unrealistic utopia. In fact, it is a concept that can be implemented in all e-commerce businesses, including yours. Whatever the structure and capabilities of your eco-responsible brand, you can act on your own scale.

From reducing returns to implementing transport software, packaging, and production, you can completely change your entire supply chain, or simply improve it ecologically, link by link.

When it comes to green supply chain management, there are solutions for everyone and at all heights. So, consider your options: which ones can you implement at YOUR level?