Unlocking E-commerce Growth: A Deep Dive into Shopify Fulfillment Network (SFN)

Shopify has changed the way businesses sell online. Over 5.46 million stores are built with Shopify. But how Shopify stands out on customer’s expectation with the Shopify fulfillment center (SFN). Let’s explore.

What is Shopify Fulfillment Network (SFN)?

The Shopify Fulfillment Network (SFN), as the name suggests, is a fulfillment service created by Shopify that provides you with a place to store inventory, an order management system (OMS), and all necessary arrangements for faster delivery of products. It was basically Shopify’s version of Amazon FBA (Fulfillment by Amazon). SFN, essentially, is Amazon Prime from the perspective of a Shopify AI store: It offers the tools that merchants may need to provide two-day (or faster) delivery to customers.

SFN is different from other third-party logistics (3PL) providers because it integrates directly into a Shopify store, making the SFN network of fulfillment centers a one-stop solution for all merchants within Shopify’s fast-growing community.

Features of Shopify Fulfillment Network

Shopify Fulfillment Network simplifies shipping by connecting you with reliable logistics partners. This means you can ship your products anywhere, save time on fulfillment tasks, and boost your business growth. Here are some of the key features:

1. Your fulfillment network needs to be a nationwide one.

SFN has a system of highly located fulfillment centers throughout America and Canada. It allows you to distribute your inventory across Shopify fulfillment warehouse locations, which helps in minimizing costs and shipping time. You can also take help of Amazon repricer tool which can adjust and automate pricing for faster selling.

2. Seamless Shopify Integration

The biggest advantage of using SFN is that it perfectly integrates into your Shopify admin panel. Merchants can check order status, track inventory balance, and keep an eye on shipments—all from one place. With this integration, one can get real-time updates on inventory, order statuses, and delivery progress, improving the B2B eCommerce fulfillment process from top to bottom.

3. Guaranteed 2-Day Delivery

SFN offers a 2-day delivery guarantee for qualifying orders through its vast network of fulfillment centers, which reduces lead time. For Shopify merchants, the speed of this competitive shipping can mean more conversions and even repeat business as shoppers increasingly demand quick and dependable delivery.

4. Stock & Returns Management

Shopify Fulfillment Network inventory management can have visibility of their stock across multiple warehouses. This also makes restocking items much easier. Not only does SFN fulfill orders, but it also manages returns, including inspections, repacking, and restocking.

5. Flexible Contracts

SFN does more than the usual order fulfillment. Shopify Fulfillment Network benefits include full-fledged logistics management, including Shopify warehousing, inventory control, and even a Shopify distribution center.

Here are the main services provided by the Shopify Fulfillment Network:

• Inventory Storage: Merchants whose applications have been accepted can have their products housed in SFN fulfillment centers. For customers, this is convenient and optimized storage as close to the launch area as possible, meaning less time from the point of order to when they receive it.
• Shopify Order Fulfillment: SFN takes care of picking, packing, and shipping an order from the nearest fulfillment center when it is ready to be shipped, allowing the customer to receive that order on time.
• Shopify Fulfillment Network returns management: SFN manages all returns, from product inspection to restocking. Merchants can monitor returns directly from their Shopify dashboard.

How Does Shopify Fulfillment Work?

Shopify store owners have a simple, hands-off option to manage their fulfillment process. Here is how it works in a few steps:

• How to Apply: Shopify reviews and accepts applications based on product types (it does not support perishable goods, regulated items, or hazardous materials) and order volume (typically works with merchants processing between 10 and 10,000 orders per day).
• Inventory Submission: After approval, merchants mail their goods to the correct Shopify fulfillment centers.
• Accurate Inventory Management: In real-time, track your low stock with SFN.
• Automated Order Fulfillment: Whenever a purchase is made, SFN triggers order fulfillment by picking, packing, and shipping it from the closest fulfillment center.
• Reverse Logistics: SFN takes care of returns and restocking for a nominal fee as necessary.

Shopify Fulfillment Network Pros & Cons

SFN, like any service, comes with pros and cons. Here’s a breakdown:

Pros

• Simplicity and Integration: Seamless integration with the Shopify store lets you manage your fulfillment services right from the Shopify admin.
• Flexibility: Unlike traditional 3PL services, SFN does not lock businesses into long-term contracts, allowing for the ability to scale or pivot strategies.
• 2-day Delivery: To ensure quick delivery times, SFN offers 2-day delivery, giving online retailers an advantage over their competitors.
• Returns Handling: Managing returns can be difficult, but with SFN, it is easy and efficient to check the returned products and restock them.

Cons

• Limited Eligibility: SFN is selective when it comes to the kinds of products it will store and ship. Retailers with more than 2,000 SKUs or selling perishable items are not eligible.
• No Custom Packaging: SFN does not provide custom packaging like many 3PL services. For brands that depend on distinctive packaging for branding, shipping directly to SFN will be necessary.
• Just Off the Starting Grid: Launched in 2019, SFN is less established than decades-old giants. Some small businesses prefer working with a more proven partner.

How Much Does the Shopify Fulfillment Network Cost?

Shopify Fulfillment Network pricing is based on the space required, the number of orders that need to go out, and the add-ons you use (return management, etc.). Shopify has partnerships with the biggest carriers (such as UPS and USPS), which is why they often offer discounted Shopify shipping rates.

Merchants looking to leverage SFN can visit Shopify’s pricing page or can contact Shopify for a customized quote specific to their type of business.

Is the Shopify Fulfillment Network Right for You?

For small and mid-sized eCommerce businesses, especially those that need fast, reliable shipping and a simplified approach to logistics management, SFN provides an effective one-stop Shopify fulfillment solution. However, larger or more unique businesses with complex fulfillment needs may want to look into other Shopify 3rd-party fulfillment options that provide additional customization and flexibility.

If you’re a merchant want to get into SFN, here are some key questions to ask:

• Are your products eligible for SFN?
• Are your customers highly dependent on the 2-day delivery guarantee?
• Do you need unique packaging solutions?
• Can they support my inventory (How many SKUs do you have?)

Conclusion

Shopify Fulfillment Network (SFN) integration is a service that handles your inventory storage and order fulfillment, partnering with Flexport for efficient shipping. You can easily integrate SFN into your Shopify store to outsource fulfillment, track orders, and manage inventory. Flexport offers fast, affordable shipping, handles returns, and distributes your inventory across multiple fulfillment centers for quicker delivery.

SFN is suitable for businesses based in the United States that sell products that meet Flexport’s packaging and product restrictions.

If you’re ready to take your Shopify logistics to the next level, apply for the services provided by Shopify’s warehousing and shipping arm (Shopify Fulfillment Network) now! Contact us at Ignitiv for expert Shopify Fulfillment Network (SFN) integration and implementation services.

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