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Subscription boxes are one of the hottest trends in e-commerce right now, and it’s not too late to jump on the bandwagon and make some money off of it. However, it’s a little more work than many other types of e-commerce when it comes to order fulfillment and shipping. Use these four tips to polish your delivery processes for a more successful subscription box business.
- Look for Adjustable Contracts
With any subscription service, it can be tricky to estimate future demand because even one well-placed bit of promotion can swell your subscribers by thousands from one month to the next. Choose a shipping provider that can handle you changing your order fulfillment contract on a regular basis. Many companies penalize customers who go from shipping 10,000 packages to 1,000 packages in the course of a few months, but many are happy to scale up and down as your growth dictates.
- Set Up a Generous Schedule
Since subscription boxes are primarily sold on a monthly arrangement, you’ve got approximately two weeks to tabulate demand and order supplies. This allows you to stay flexible with supplies, but keep in mind that it’s always possible to discover your products are out of stock only days before the boxes must be shipped out. Always have backup suppliers available and give yourself at least two or three days in your schedule for ordering alone.
- Stock More Packaging
It’s tempting to order one size of boxes with your amazing box art, but what happens when that amazing product you got a great deal on doesn’t quite fit? Stock a number of different box sizes, all custom printed to match your company’s unique image, to avoid these issues. Respond to any sudden increases in subscriber numbers promptly so you’re not caught out. Soft packaging like envelopes and wraps are also a good option.
- Don’t Overpromise
Many subscription box companies generate huge numbers at first but can’t maintain repeat subscribers. It’s often a matter of quality alone. Getting great deals does give you a chance to profit, yet the wrong products will cost you your entire customer base. At the very least, don’t overpromise on what you’re including in each package to avoid high expectations and a disappointment cycle.
Looking for a new warehousing and distribution center to manage your subscription box company’s order fulfillment? Get in touch with us at Evans Distribution Systems today.