Outsourcing Fulfillment During the Holiday Season Can Help E-commerce Brands Triple Their Revenue: A Case Study

The holiday season represents the most lucrative period for e-commerce brands. With sales skyrocketing during November and December, businesses often face unprecedented demand. While this spike is exciting, it also presents a host of logistical challenges. For many brands, outsourcing fulfillment to a specialized fulfillment company has become the secret weapon to scaling operations, meeting demand, and maximizing revenue potential.    

Surging Demand and Operational Bottlenecks  

Our featured brand, *Glow And Candles*, specializes in handmade candles and seasonal gift sets. Despite being a relatively small operation, their unique products have earned them a loyal customer base.

However, during the previous holiday seasons, Glow And Candles struggled with:  

-Inventory Management: Stock shortages disrupted sales momentum.  

-Order Fulfillment Delays: Shipping bottlenecks led to late deliveries, damaging customer trust.  

-Customer Service Strain: Complaints surged due to late or incorrect orders, overwhelming their small team.  

In 2022, Glow And Candles anticipated even higher demand, forecasting a 70% increase in holiday orders. Recognizing their limitations, they decided to partner with a fulfillment company to streamline operations.  

Glow And Candles chose Fulfillment Plus as their 3PL partner. This decision allowed them to offload critical tasks such as inventory management, order packing, and shipping. The partnership began in September, giving the brand ample time to integrate systems and prepare for the holiday rush.  

Here’s how outsourcing to Fulfillment Plus transformed Glow And Candles’s holiday operations:  

1.Streamlined Inventory Management  

Fulfillment Plus provided a state-of-the-art warehouse management system (WMS), which enabled Glow And Candles to track inventory in real-time. This feature ensured:  

– Accurate Stock Levels: Avoiding both overstocking and stockouts.  

– Automated Alerts: Notifying the team when inventory reached critical thresholds.  

– Efficient Reordering: Allowing Glow And Candles to restock fast-selling items seamlessly.  

By leveraging these tools, Glow And Candles maintained consistent stock levels, ensuring customers could order their favorite products without encountering “Out of Stock” messages.  

2.Efficient Order Fulfillment and Shipping 

Fulfillment Plus’s advanced fulfillment centers processed orders faster than Glow And Candles’s in-house team ever could. Features included:  

-Pick-and-Pack Accuracy: Orders were packed with precision, reducing errors.  

– Same-Day Shipping: Orders placed before noon were shipped the same day, delighting customers.  

-Discounted Shipping Rates: Fulfillment Plus’s partnerships with major carriers translated into savings, which Glow And Candles passed on to customers.  

3.Improved Customer Service

With fulfillment handled externally, Glow And Candles’s team focused on customer service. They proactively communicated with customers, provided personalized support, and resolved issues promptly. This shift elevated their customer experience, leading to glowing reviews and repeat purchases.  

The Results: Tripling Revenue During the Holiday Season  

By partnering with Fulfillment Plus, Glow And Candles achieved remarkable growth during the holiday season. 

Key outcomes included:  

1. Revenue Growth

GGlow And Candles’s revenue tripled compared to the previous year, growing from $150,000 to $450,000 during the holiday season. This surge was driven by:  

– Increased Order Capacity: Fulfillment Plus handled 3x more orders than Glow And Candles could manage in-house.  

– Fewer Stockouts: Improved inventory management allowed for uninterrupted sales.  

– Faster Shipping: Delighted customers placed repeat orders, boosting overall sales.  

2. Customer Satisfaction 

The brand saw a 40% increase in positive reviews and a significant reduction in complaints. Customers praised the fast shipping, accurate orders, and excellent communication.  

3. Operational Savings 

Outsourcing fulfillment to Fulfillment Plus reduced Glow And Candles’s operational costs by 25%. Instead of investing in warehouse space, staffing, and equipment, they paid a predictable fee, freeing up capital for marketing and product development.  

Why Every E-commerce Brand Should Consider a Fulfillment Company During the Holidays  

Glow And Candles’s success story highlights the transformative impact a fulfillment company can have on e-commerce operations.

Some benefits of outsourcing fulfillment during peak seasons:  

1. Scalability  

As orders surge during the holidays, fulfillment companies can scale operations effortlessly. Their infrastructure is designed to handle fluctuating demand, ensuring your business never misses a sale due to capacity constraints.  

2. Faster Time-to-Market

Fulfillment companies streamline the entire logistics process, from receiving inventory to shipping orders. This efficiency reduces lead times, allowing you to meet tight holiday deadlines.  

3. Enhanced Customer Experience 

With accurate order fulfillment and faster shipping, customers enjoy a seamless shopping experience. Positive reviews and word-of-mouth recommendations further amplify sales.  

4. Cost Efficiency  

Investing in in-house logistics during peak seasons can be expensive and inefficient. Fulfillment companies provide economies of scale, reducing costs while improving service quality.  

5. Focus on Core Business  

Outsourcing logistics enables brands to focus on what they do best—product development, marketing, and customer engagement—while leaving the complexities of fulfillment to the experts.  

Key Considerations When Choosing a Fulfillment Company  

Not all fulfillment companies are created equal. To maximize benefits, e-commerce brands should consider the following factors:  

1. Technology Integration: Choose a fulfillment company with robust software that integrates seamlessly with your e-commerce platform.  

2. Location of Fulfillment Centers: Strategic locations ensure faster shipping and reduced transit costs.  

3. Scalability: Ensure the company can handle your peak season volume.  

4. Reputation and Reviews: Partner with a fulfillment company known for reliability and accuracy.  

5. Customization: Look for services tailored to your brand’s specific needs, such as branded packaging or gift wrapping.  

Scaling Holiday Success with a Fulfillment Plus  

Glow And Candles’s decision to outsource fulfillment transformed their holiday season into a record-breaking success. By partnering with a fulfillment company, they overcame operational bottlenecks, delighted customers, and tripled their revenue.  

For e-commerce brands aiming to scale during the holidays, outsourcing fulfillment is a strategic move that delivers immediate and long-term benefits. With the right fulfillment company, your brand can focus on growth, leaving the logistical challenges to the experts.  

As you plan for the next holiday season, consider how Fulfillment Plus could help your business achieve similar success. The key to scaling efficiently and sustainably might just lie in outsourcing your fulfillment operations. 

Get a quote today – https://www.fulfillmentplusny.com/contact-us/