Order processing is one of the most important parts of any eCommerce business. The margin for error in this area is very little. eCommerce companies these days are outsourcing their order processing services. There are a number of reasons why you would like to do the same.
4 Reasons To Outsource Order Processing Services:
(1) Cost Reduction
Cost reduction is one of the primary reasons to outsource the order processing service. Significant infrastructure size is required to set up the order processing division within your company. The infrastructure costs are very high and could cost your company a fortune. Once the infrastructure has been set up, you also need to hire the staff and pay them their monthly wages. Again, this will cost you a great deal of money. But the expenditures do not end here. There are innumerable overheads that you need to take care of.
You can easily avoid all of this by outsourcing the order processing service at a fraction of the cost. Outsourcing can save you considerable amount of money (nearly 30 to 40% of what you would spend on your own team.) The outsourcing companies already have the infrastructure and the trained employees to take care of the job.
(2) Better Order Management
Order processing is not just a single job; it entails innumerable other tasks. You have to coordinate with many other departments such as transport and shipping. But, when you outsource the order processing services, you transfer the burden from your shoulder to the outsourcing company. They take care of all the orders and the related logistics. In simple terms, outsourcing makes order processing more effective and efficient. This in turn ensures elevated levels of customer service.
(3) More Focus On The Core Business
As an eCommerce data entry company, your primary objective is to drive qualified traffic to your portal and increase the conversion. When a visitor to your site completes the transaction and buys a product, it adds to your revenue. So, your core job is to drive the sales and increase the revenue. But, just like every other business, the eCommerce business has many other non-revenue generating departments and jobs to take care of. Order processing is a demanding job and can steal a large portion of your focus, which you would have otherwise given to your core business. However, by outsourcing this job, you can focus better on your revenue-generating tasks.
For the outsourcing company, order processing is the core job and thus they have every reason to divert all their resources to it. As a result, you get better quality services too.
(4) Outsourcing Companies Offer All-Inclusive Services
Another reason why you would want to outsource the order processing services is that you will get end-to-end solution. Whether it is order fulfillment, procurement management, payment transaction processing, shipment processing, return order management, order tracking, order status reporting, or inventory management, the outsourcing company will take care of it all. Their employees are trained to take care of the various aspects of order processing. It means that once you have outsourced this service, you can have the peace of mind.
