There are various ecommerce business challenges that an owner faces in their day-to-day operations. The reasons might be anything- from the unavailability of resources or budget constraints or any others. However, when ecommerce businesses juggle about these things, they find it difficult to focus on more important areas such as business development, marketing, and process redefining. However, there is a solution that can address these pain points easily and effortlessly. All you need to do is to go for ecommerce process outsourcing.

What is EPO?

Ecommerce Process Outsourcing is a concept of outsourcing single or multiple e-commerce operations and processes to a third-party. Ecommerce process outsourcing is the best thing that comes to your way when you are a new in the industry with limited budget and insights.

We need to understand it with an example. For example, you have just started an ecommerce business for a range of products you manufacture. What are the challenges you will face?

You need to hire a web development company that offer high-quality website design and development services.
If you want to develop a mobile app, you need to hire a mobile app development company too.
You need to collaborate with the third-party shipping service providers.
You need to hire resources for inventory and logistics management.
You need to hire a team of individuals who will take care of product categorization, product mapping and other crucial product related tasks and operations.
If you are using a marketplace such as Amazon, you also need an in-house team of marketing to stay strong in the cut-throat competition.

Now, do you find it logical and practical solution to hire such professionals for all the operations discussed above or it is feasible to outsource these operations to a third-party ecommerce service provider? Obviously, the second option is the better one, don’t you think?

Here, the third party is well-equipped with all the resources and tools and technologies to accomplish the processes and they also have the best brains in the market for the particular business domain. They will leave no stones unturned to offer you the best outcomes.


What are the advantages of outsourcing your ecommerce business operations?

Well, there are plenty of advantages to outsourcing your ecommerce business operations. Some of them are:

Focus on your core

Once you don't have to worry about inventory, tomorrow's social media postings, and making various reports after evaluating your strategy, you can focus on your core aspects of the business such as business development, finding new sellers and keeping your eyes on details. Outsourcing your ecommerce to the third-party, you can expand your business, find new territories, add new products and services, diversify your business and do many other core things which add the value to your business. Let the third-party outsourcing company handle all the complexities of handling the operations.

Invest less capital

When you outsource your ecommerce business operations including warehousing, inventory, logistics, technology implementation, fulfilment, returns, refunds, marketing and customer support, you are actually saving upfront costs by not investing in various establishments such as platform implementation, systems integration, web design and development, back-office support, logistics and marketing strategies. When you outsource your operations to the third party with all the resources and tools to manage them, they just need to start as they are equipped with the required resources.

Increase productivity

Being a single business with limited resources, it is unlikely to achieve the dynamic economic scales that a full-service ecommerce service provider can offer to you. When you are working singlehandedly, you might not get the best prices for various things such as packaging, shipping, web development, payment processing, taxation solutions, web servers and warehousing and storage. You also find it difficult to manage a wide array of important components such as conversions, localization, subscription management, product fulfillment, and order management. Your outsourcing partner will help you out to manage all these tricky things and in turn, improve the productivity to the next level.

Reduce risk

Everything you do for your business must have the professional value or it will sink your brand. One negative experience and a user will not look at your brand again. When you are focusing more on your ecommerce rather than your core business, you are enhancing the risk factor. Hiring an outsourcing ecommerce partner will help you to focus on your core responsibilities.

Accelerate Innovation

When you are free from your ecommerce operations and hectic maintenance processes, you can utilize this time in launching new products, penetrating in new territories, customer acquisition and improving deals and offers. It would be impossible if you are working on your own. It accelerates innovation to a great extent and helps you to grow your business.

Conclusion

The ecommerce industry is booming with rapid growth and this is the best time to grab the opportunity and make your stamp. Hiring an ecommerce partner to take care of tricky processes and operations will help you to streamline these processes and improve the customer experience while you are focusing more on the business development area.