Outsourcing Fulfillment May Be Company‘s Smartest Move

Topics:
Strategic Management Tools
Tags:
Channel Management,
Web Site Development,
Web,
Sales Strategy,
Sales Force Management,
Sales,
Outsourcing,
Marketing,
Keller International Publishing,
Internet,
...
Source:
SupplyChainBrain.com

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Overview: SmartBargains, entering its second year of combing overstock, liquidation and closeout sales for products to post on its web site, felt it made good business sense for someone else to shoulder the cost of warehousing and fulfillment infrastructure. Relinquishing control of its fulfillment operation to an outside party may turn out to be one of the smartest moves that SmartBargains ever made. Finding deals and putting them up on the web is its strong suit, not fulfilling orders. The company’s buyers scour its network of manufacturers, retailers, discount houses, liquidators and jobbers in search of overstock, closeout and liquidation sales. Items are presented to customers at deep discounts on the SmartBargains web site. Rapid growth continues to help SmartBargains maintain a high level of customer service and optimize its cash flow as the Boston-based company forges its way into its second year of operation, but fulfillment clearly is not a core competency.

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Format: HTML | Date: Feb 2002 | Pages: 1

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