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SB-Roadshow-David-Fulfillment

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Fulfillment

Fulfillment

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  • Conclusions from UPS survey-a customer experience study conducted by comscore

    To provide perspective for retailers on consumer behavior in today’s fluid shopping culture, UPS commissioned this research with comScore for the third consecutive year.

    “Convenience dominates the shopping”
    Landscape online and in store
    Comprehensive information is essential
    Technology adoption changing the dynamics in unexpected ways
    Logistics plays a key role all along the path to purchase

    The shopper and their mindset “flex shopper” demands”:
    Convenience
    Efficiency and communications
    The right information
    Personalized Shopping

    Key take Aways-
    94% of all online shoppers have done something to qualify for free shipping
    80% think free shipping is the most important thing for online shopping
    Most common ways - adding more to the cart, replacing with higher priced good, searching for promo codes, etc

  • The Value Chain-Single platform to search, shop, ship and share-customization

    Pre Transaction-
    Your account-Your preferences-
    Shipping Rates and Policies-what is cost to ship and flexibility
    Amazon prime-shipping solution, rewards
    Manage your content and Devices-engagement

    Post Transaction-
    a. Email notifications-order, process, shipping
    b. Packing Slip with critical customer and recipient information, gift messages customer service garuantees and contact info, return policy and return label, Bar Code technology used by warehouse to pick, pack and ship order-communicate to all systems
    c. Returns and replacements
  • UPS Customization-flexible delivery options-get home delivery on schedule

    Why UPS®? With a fleet of nearly 100,000 vehicles, largely the famous brown package cars we’re all so familiar with, UPS® is a recognizable and trusted carrier.

    Its vast network includes nearly 2,000 shipping facilities, 40,000 drop boxes and more than 4,500 UPS stores.

    With its innovative technology and broad portfolio of solutions, UPS® is paving the way in delivering customer-driven solutions. 

    In 2014 alone, the company is investing heavily to expand capacity and modernize its delivery hubs. 
  • Customization-Flexible Delivery Options

    UPS My Choice® is Available to Your Customers The UPS My Choice® program provides customers with the visibility, flexibility and control necessary to manage home deliveries around their busy lives, helping avoid the disappointment associated with missed deliveries.

    2.5 Million Customers strong, the program has been shown to significantly reduce the need for multiple delivery attempts, resulting in an improved experience for package recipients.  We strongly suggest you promote the UPS My Choice® program in your marketing materials to ensure your customers are receiving the best experience possible from your winery.
  • Fast & Precise

    So lets pull back from same day delivery and see what is considered “standard delivery” these days.

    Here are a few of the top 25 internet retailers as identified by Stella Service, a kind of consumer reports monitoring service for eCommerce companies.

    These are the times from placing an order, until deliver are the consumers address.

    Each company is well under three days, and they all use a Under-promise/ over delivery strategy by beating he promised delivery window…which in Zappos’ words, is a deliberate attempt to “WOW” the customer.
  • Fast and Precise-warehouse expansion and automation

    2012 Acquires Kiva Systems

    2013 20 new warehouses

    8 in CA, 4 in TX, 2 in NY Metro


    Speedy delivery and effective fulfillment operations are such a strategic part of Amazon’s business they recently purchased the leading warehouse robotics and automation company, Kiva Systems for $700M, in an effort to push the development of technology that improves shipping times while reducing errors.

    These little orange pods you see are robots bringing racks full of good directly to the person filling the box, rather than the picker walking around the entire warehouse.

    In addition, to testing same day service in CA and WA, and building robots, Amazon has plans to open fulfilment centers near every major metro areas in the US. Essentially putting all their fast moving products right in your backyards for next day delivery.
  • Modern Fulfillment Process –technology enable employees

    Bar Code Technology
    Employees are responsible for four basic tasks: unpacking and inspecting incoming goods; placing goods in storage and recording their location; picking goods from their computer recorded locations to make up an individual shipment; and shipping.

    A central computer which records the location of goods and maps out routes for pickers plays a central role; employees carry hand-held computers which communicate with the central computer and monitor their rate of progress. A picker with their cart may walk 10 or more miles a day.
  • Transcript

    • 1. 160 Days Until Christmas
    • 2. Convenience and the Flex Shopper
    • 3. Search, Shop, Ship and Share
    • 4. UPS Customization
    • 5. Convenience and Flexibility
    • 6. Actual Delivery Times: Zappos.com- 2.0 days Newegg.com- 2.3 days HPShopping.com- 2.5 days Amazon.com- 2.7 days Sonystyle.com- 2.8 days Site listed:  4-5 days  4-7 days  5-7 days  3-5 days  5-7 days Shipping: Under Promise, Over Deliver
    • 7. Amazon Expansion and Automation
    • 8. Modern Fulfillment Process
    • 9. Retail Default-Free Shipping
    • 10. Customization
    • 11. Santa Barbara Wineries are Geographically Disadvantaged
    • 12. Get Closer to Your Customers
    • 13. $19.99 $21.99 $24.99 $29.99 20% off Equivalent Shipping Incentives
    • 14. david.dennigmann@winedirect.com || Mobile-805-975-5115