Friday, 29 March 2024
Business

What is Kitting, and How Does it Benefit E-commerce Fulfilment Services?

Kitting

If your business relies on eCommerce fulfilment services for order delivery, kitting can significantly optimise the customer experience. But what is kitting, and how does it benefit your business? Let’s dive into all the pivotal details so you can make an informed decision about choosing to kit for your business- 

What Is Kitting? 

Have you ever noticed that despite ordering products from different vendors, eCommerce fulfilment services deliver them in the same package? This kitting process has various benefits for the eCommerce fulfilment company and vendors.

Kitting involves grouping related items together to create one single item and then selling it as a package. For instance, if you sell digital cameras, you could offer a kit that includes the camera, batteries, memory cards, cleaning cloths, and an instruction booklet. This way, customers don’t have to buy each item separately; they can get everything they need in one purchase. 

Benefits of Kitting for eCommerce Fulfilment Services

There are several benefits of kitting in eCommerce fulfilment services, including time and cost savings. Below are a few advantages of kitting for vendors and the 3PL companies in Melbourne-

Maximum Space Utilisation

One of the main advantages of kitting is that it enables maximum warehouse space utilisation. All items sold as a kit will be moved to a new location and kept close so the staff can easily pick them up. It enables more free space where the apparel fulfilment companies can add in more stock and provide better services to the clients.

Increased Productivity

The overall activity needed to ship several SKUs is typically reduced by kitting procedures. They are selected, packed collectively, put together, and supplied to clients in fewer boxes. All these steps speed up your order fulfilment procedures, lowering the possibility of errors and accelerating order completion. Kits can reduce costs while increasing operational efficiency.

With kitting, even auxiliary operations move more quickly. By putting together standardised kits, you can plan for precise weight and shipping requirements, which will help you better manage your finances and streamline your spending. 

Reduced Operation Costs

eCommerce businesses frequently discover that shipping goods in the fewest boxes are more cost-effective. It means that it will often be less expensive to convince someone to buy two goods from you and ship them together than to sell and ship each item separately. By not having to pay a second shipping fee to your chosen carrier, you may give clients a discount while making more money. If self-fulfilling, using a single box also lowers material and labour costs. Working with a Ecommerce fulfillment 3PL company in Melbourne or elsewhere can also enable you to cut expenses because, frequently, shipping two distinct orders will cost considerably more than adding extra SKUs to an order.

Kitting also helps reduce packaging costs because fewer boxes are needed when multiple items are packaged together in one kit versus sending out individual items separately.

Quick Delivery

Bundling your products into kits can also streamline and significantly improve delivery. Automation will reduce your typical fulfilment time and the possibility of human error. It might save time and money to weigh the completed products and print shipping labels before the order is delivered.

Top-notch Packaging

Kitting is also an excellent strategy for reducing the packaging cost for an eCommerce company. You can pack your things collectively in a custom-sized box instead of putting each SKU separately into standard-sized boxes that can be excessively large. Your shipments’ size and dimensional weight may decrease as a result. Additionally, it reduces the expense of supplies like packaging tape and box fillers, which might mount up if your shipping volume is sufficiently high. One way kitting might increase your profit margin is by lowering the amount of packing you use. You can take advantage of a 3PL provider’s specialised packaging options by outsourcing assembly and kitting services to them. 

Error-less Delivery

Kitting also reduces shipping errors because there’s less room for mistakes when packing one large package versus several smaller ones. Meanwhile, mistakes during packaging can be detrimental as customers may get angry due to wrong order delivery and refrain from reordering. Also, many eCommerce companies take returns seriously; if your return rate is higher, it will impact your rating. 

Happy Customers

Customers who buy kits instead of individual items save time by not having to source all the separate elements themselves. It enhances the convenience, and they look forward to ordering the kit in future also. It also saves them money because kits often come with discounted pricing compared to buying everything individually. 

When the products from the same order reach the customer on different days and in separate packaging, they have to spend a lot of time streamlining them. Also, the customers face major inconveniences when trying to dispose of the extra packaging that arrives with each order. Quick delivery and less packaging can make your customers happy and eager to shop with you.

Conclusion

Kitting offers numerous benefits for eCommerce fulfilment services. By bundling related products into convenient kits, businesses can reduce packaging costs while increasing customer satisfaction by streamlining their product selection process. Ultimately, this leads to improved sales and customer loyalty over time, which makes investing in kitting an excellent long-term strategy for any business looking to optimise its eCommerce operations.

Top Notch Kitting and Assembly Services for All Your Needs

Efficient Services Group offers exclusive kitting and assembly services for all our clients. We take adequate care to assemble and ship the products in the most professional order and help your business soar to new heights.

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