Why Retailers Need Distributed Order Management

Why Retailers Need Distributed Order Management

What is Distributed Order Management (DOM)?

Distributed Order Management (DOM) is an omnichannel approach to order fulfillment used to streamline shipping and handling for online retailers. So, orders reach the customers on time at the minimal possible cost.

Usually, it is brought into effect via software that uses logic-based rules to orchestrate and optimize the order fulfillment process across multiple channels, locations, and partners. Retail distributed order management systems are essential for retailers who want to meet customer expectations and deliver a seamless shopping experience.

In this blog post, we will explore the benefits of DOM for retailers, key features of distributed order management, how it supports a customer-centric retail strategy, and the challenges in implementing it.

Benefits of Distributed Order Management

DOM offers several advantages for service providers who want to improve their order management and Supply chain capabilities. Some of these benefits are:

Improved customer experience: DOM enables agents to offer more options and flexibility for customers, such as buying online, picking up in-store (BOPIS), shipping from the store (SFS), curbside pickup, same-day delivery, etc. It also allows business to provide accurate and consistent information about product availability, order status, delivery options, and tracking across all touchpoints.

Increased inventory visibility: A Distributed Order Management System (DOMS) provides a quick insight into orders. It helps retailers optimize inventory allocation and replenishment based on demand patterns, reduce stockouts and overstocks, and avoid markdowns and lost sales.

Improved order accuracy: Distributed order management for B2B ensures that orders are fulfilled correctly by applying logic-based rules that consider customer preferences, inventory availability, shipping costs, delivery times, etc. It also reduces errors and delays caused by manual processes or siloed systems.

Efficient order fulfillment: Management systems software automates and streamlines the order Product delivery process by routing customer orders to the best order completion source based on predefined criteria. It also enables faster and cheaper dispatchment by leveraging existing resources such as stores or warehouses.

Improve your omnichannel experience with DOMS

Customer-centric Retail and DOM

Customer-oriented retail focuses on understanding and meeting customers’ need and expectations throughout their shopping journey. It aims to create loyal buyers who repeat purchases and recommend the brand to others.

Order Management Benefits

DOM supports customer-first retail by enabling storekeepers to create a seamless omnichannel experiences for their purchasers 

The importance of meeting customer expectations

Customers today expect fast, free, and flexible delivery options when they shop online or offline. They also expect accurate information about the product they are looking to buy, its availability, order status, delivery options, and tracking across all touchpoints. DOM helps proprietor meet these expectations by giving them visibility and control over their order supply chain process.

How DOM Supports a Customer-centric Retail Strategy

DOM retailers provide customers with a seamless omnichannel shopping experience, often improving their satisfaction and loyalty. For example, merchants can use DOM to offer BOPIS, which enables users to buy online and pick up their orders in-store at their convenience. This option not only saves shipping costs and time for both parties but also increases store traffic and cross-selling opportunities for business owners. Another distributed order management example is SFS, which allows distributors to use their stores as mini distribution centers and ship orders from locations close to shoppers. Again, this option reduces shipping costs and time and improves inventory utilization and turnover for suppliers.

Distributed Order Management DOM System-Market_Size-and-Forecast[1]

Key Features of a Distributed Order Management System

A DOM system typically comprises four main components which optimize order management and shipment completion. These are:

Order orchestration: This solution optimizes order execution across different channels and sources. It can integrate with headless commerce platforms and leverage cloud distributed order management (DOM) to determine the best order handling strategy for each order.

Inventory management: It provides a 360-degree view of channels, locations, and partners. It also tracks inventory levels and movements in real-time and syncs the updates across all systems. Furthermore, it also helps optimize inventory visibility and accessibility based on demand patterns and business objectives.

Order fulfillment: It helps execute the order flow management process by routing orders to the best fulfillment source based on predefined criteria. It communicates with external systems, such as warehouses, stores, 3PLs, carriers, etc., to initiate and monitor the order delivery process.

Order tracking and visibility: It is an essential feature of a distributed order management software; which enables dealersto optimize their order processing across multiple channels and locations. With order tracking and visibility, resellers and customers can access real-time information about the status and progress of orders from placement to shipping. Thereby improving customer satisfaction and loyalty!

Order tracking and visibility also help marketers plan their Warehouse management and supply chain operations based on data demand and supply.

Challenges in Implementing DOM

While DOM offers many benefits for vendors, it also comes with some challenges that need to be addressed before its implementation. Some of these challenges are:

Integration with existing systems: A Distributed Order Management Solution requires integration with various existing e-commerce enabling platforms, such as point-of-sale terminals, inventory management systems, warehouse management systems, shipping carriers, etc. It can be complex and time-consuming, depending on the compatibility and scalability of these systems. In addition, enterprise need to ensure that their systems can communicate seamlessly with each other and the DOM system without compromising on data quality or security.

Data management: DOM relies on accurate and real-time data about inventory, order status, customer preferences, delivery options, etc. storefronts must ensure their data is consistent and reliable across all channels, locations, and partners. They also need to manage large volumes of data generated by DOM and use analytics tools to derive insights to optimize their Supply chain management performance.

Staff training: Implementing a DOM system often involves changes in processes and workflows for staff involved in order packaging, such as store associates, warehouse workers, customer service representatives, etc. traders must train their staff to use the DOM system properly. They also need to provide ongoing support and feedback to ensure that their team can adapt to changing customer demands and expectations.

Cost considerations: A Distributed Order Management platform involves upfront costs for development and ongoing costs for maintaining and upgrading it. Distributed order management companies must evaluate the return on investment (ROI) of implementing DOM based on increased sales, reduced shipping costs, improved customer satisfaction, etc. They must also consider the trade-offs among different shipping management options and choose the one that best suits their business goals and customer needs.

Distributed Order Management FAQs

Distributed Order Management (DOMS) is a crucial strategy that automates order routing, splitting, and inventory management. It streamlines fulfillment efficiently and enhances the supply chain. DOM systems offer a centralized platform for managing multiple sales channels and expediting stock replenishment. It simplifies inventory and order management functions, ensuring that the right products are delivered to the right customers quickly and cost-effectively.

While an OMS oversees the process of orders from sales, pricing, payment validation, stock management, and invoicing, DOM goes a step further by intelligently allocating the best storage point for processing each order based on the company’s delivery criteria. It can include factors such as speed, profitability, or environmental impact.

Retailers must handle complex order supply chain management scenarios seamlessly to avoid canceled or delayed orders that could cost them, customers. Distributed Order Management (DOM) enables business operators to automatically route complex orders to the best fulfillment locations based on configurable rules, including:

  • Split shipments,
  • Proximity,
  • Profitability,
  • Capacity controls,
  • Item type,
  • Order status tracking
  • Same-day delivery, and
  • Dropshipping rules.

Conclusion

DOM is a powerful way for retailers to build a seamless omnichannel shopping experience and meet customer expectations for convenience, choice, and speed by enabling them to optimize their order fulfillment process. However, implementing DOM also requires careful planning and execution to overcome challenges such as integration, data management, staff training, and cost considerations.

If you are a seller who wants to improve your order management and routing capabilities and deliver better customer experiences, consider implementing a DOM system.

You can start by evaluating your current order synchronization process and identifying areas to improve. You can also consult experts like Ignitiv, who can help you choose or develop a suitable DOM system for your ecommerce business.

author: Name of Author     Date:Jun 2,2021

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Ignitiv, a leading eCommerce agency is proud to announce the addition of a new customer, United Hardware. Ignitiv will deliver to United Hardware, a state-of-the-art eCommerce solution powered by Kibo Commerce’s Unified Commerce platform. United Hardware aims to use eCommerce as a driver for, both, business growth and enhancement of customer experience. Once live in Q3 2021, the site will allow customers to get rich product information, check for availability in nearby stores and buy online to pick up in stores. Store managers will also get the flexibility to communicate their offers and promotions.

Doug Audette, CEO of United Hardware, said, “Building a modern personalized eCommerce site is a strategic push to enable our dealer stores to present a better omni-channel experience for our customers”.

Rajib Das, CEO of Ignitiv, added, “With our home improvement industry eCommerce solution built on Kibo, we are delivering, within budget and time the solution that enables United Hardware to execute on growth and customer experience”.

United Hardware Distributing Co. is a dealer-owned corporation based in Plymouth, Minnesota which provides distribution services for about 610 member-owned stores operating under the Hardware Hank trade name.

#unitedhardware #ecommerce #leadtheexperienceeconomy #ignitiv #kibocommerce

 

Coastal Construction Products Partners With Ignitiv and Kibo to Jumpstart eCommerce Growth

“With this solution, we want to establish and sustain digital leadership in the construction industry." - Tim Lavinder, Director of Digital Strategy at Coastal

CUPERTINO, CALIFORNIA, US, May 28, 2021 /EINPresswire.com/ -- Ignitiv, a leading eCommerce agency, and Kibo, the leader in unified commerce, are announcing that Coastal Construction Products has selected Ignitiv and Kibo to jumpstart their B2B Commerce growth with Kibo’s Unified Commerce Platform. Coastal’s B2B Commerce solution will combine unified omnichannel B2C-like experiences with streamlined B2B processes. Coastal’s business customers will get personalized product information, rich associated content, real-time inventory updates, customer and job-specific pricing, and the ability to order quickly and in a streamlined manner – all leading to a superior experience.

Coastal will also benefit from a seamless integration between Kibo and Prophet21 ERP software using SimpleApps’ REST API.

Tim Lavinder, Director of Digital Strategy at Coastal, said, “With this solution, we want to establish and sustain digital leadership in the construction industry. Our goal is simple - deliver real and unique value to our customers through a tool that puts their needs first.”

“Coastal’s strategy to create unified ecommerce experiences for their customers is the best way forward in our omnichannel world, continually improving performance and process at across every customer touchpoint. We’re excited to partner with Ignitiv and Coastal as part of their integrated, data-driven approach,” said Brian Wilson, COO, Kibo.

“Great mobile-first design that optimizes the customer journey, a platform that combines Commerce, Order Management and Personalization, and comprehensive integration to ERP are the three levers we are using to build a platform for growth for Coastal Construction Products,” said Rajib Das, CEO of Ignitiv.

Coastal Construction Products is one of the largest independent distributors of caulking and sealants, waterproofing, concrete repair, and fire protection products in the United States. With roots going back 40 years, Coastal Construction Products has worked with its construction industry customers across the Southeast and the Caribbean, assisting them with quality materials and support.

About Ignitiv
Ignitiv is a full service agency that combines strategy, digital marketing, technology and customer analytics expertise to help craft integrated digital experiences that deliver more customers, more revenues and more profitability. Ignitv is the partner of choice for Home Hardware, Canada Post, United Hardware and Bi-Mart.

About Kibo Commerce

Kibo is the only extensible, unified commerce platform that delivers personalized, omnichannel experiences. The platform combines AI-driven personalization from industry leaders Monetate and Certona, omnichannel commerce for B2C and B2B models, enterprise-grade order management, and AI-driven point of sale. Global clients like Office Depot, Taco Bell, and Patagonia rely on Kibo's API-first, microservices-based architecture to support a wide range of commerce strategies, including headless commerce, that meet high growth goals and customer expectations at a manageable cost of ownership.

#ignitiv #leadtheexperienceeconomy #coastalconstruction #ecommerce #kibocommerce #unifiedcommerceplatform #prophet21

online shopping

Bi-Mart accelerate to omni-channel growth with Ignitiv and Kibo

CUPERTINO, CALIFORNIA, US, March 1, 2022 /EINPresswire.com/ -- Ignitiv, a leading eCommerce agency, and Kibo, the leader in unified commerce, are pleased to announce the successful implementation of “buy online, pick up in store” (BOPIS) at Bi-Mart.

Across its full brick-and-mortar presence, Bi-Mart can now sell its product assortment online, allowing member customers to pick up orders from either Bi-Mart or Cascade Farm and Outdoor stores. Customers may also place orders at CascadeFarmAndOutdoor.com and pick up from any Bi-Mart store they choose, adding value and convenience to their shopping experience.

Click here to Read More

#Bi-Mart #Bi-Martaccelerate #ecommerce #leadtheexperienceeconomy #ignitiv #kibocommerce

 

United Hardware to fuel eCommerce growth with Ignitiv and Kibo

Ignitiv, a leading eCommerce agency is proud to announce the addition of a new customer, United Hardware. Ignitiv will deliver to United Hardware, a state-of-the-art eCommerce solution powered by Kibo Commerce’s Unified Commerce platform. United Hardware aims to use eCommerce as a driver for, both, business growth and enhancement of customer experience. Once live in Q3 2021, the site will allow customers to get rich product information, check for availability in nearby stores and buy online to pick up in stores. Store managers will also get the flexibility to communicate their offers and promotions.

Doug Audette, CEO of United Hardware, said, “Building a modern personalized eCommerce site is a strategic push to enable our dealer stores to present a better omni-channel experience for our customers”.

Rajib Das, CEO of Ignitiv, added, “With our home improvement industry eCommerce solution built on Kibo, we are delivering, within budget and time the solution that enables United Hardware to execute on growth and customer experience”.

United Hardware Distributing Co. is a dealer-owned corporation based in Plymouth, Minnesota which provides distribution services for about 610 member-owned stores operating under the Hardware Hank trade name.

#unitedhardware #ecommerce #leadtheexperienceeconomy #ignitiv #kibocommerce

online shopping

Bi-Mart accelerate to omni-channel growth with Ignitiv and Kibo

CUPERTINO, CALIFORNIA, US, March 1, 2022 /EINPresswire.com/ -- Ignitiv, a leading eCommerce agency, and Kibo, the leader in unified commerce, are pleased to announce the successful implementation of “buy online, pick up in store” (BOPIS) at Bi-Mart.

Across its full brick-and-mortar presence, Bi-Mart can now sell its product assortment online, allowing member customers to pick up orders from either Bi-Mart or Cascade Farm and Outdoor stores. Customers may also place orders at CascadeFarmAndOutdoor.com and pick up from any Bi-Mart store they choose, adding value and convenience to their shopping experience.

Click here to Read More

#Bi-Mart #Bi-Martaccelerate #ecommerce #leadtheexperienceeconomy #ignitiv #kibocommerce

b2b Kibo Partner

 

The Kibo solution will help Fortis Life Sciences maintain the customer orientation and agility it values while building scale and capacity for future customers.

CUPERTINO, CA, US, September 26, 2022 - Ignitiv, a leading eCommerce agency, and Kibo, the leader in unified commerce, are pleased to announce the successful implementation of Fortis Life Sciences’ commerce solution.

Fortis Life Sciences offers customers in the research, diagnostics, and therapeutics markets world-class reagents, tools, and materials, globally.

Fortis' business strategy is to provide its customers with the best-in-class experience and quality products. A dedicated effort to realize this core vision required Fortis to identify and implement the best commerce solution available to enable their customers a real-time search and find product discovery.

The goal was to streamline the customer's buying process by allowing purchase ordering handling and easy customer registration, seamlessly integrating into their current enterprise systems.

"With our new Kibo Commerce solution, implemented with Ignitiv's partnership, we have been able to rapidly deliver a customer-friendly ecommerce experience in support of our company's mission and vision.", said Andy Wolf, Chief Technology Officer, Fortis Life Sciences. "I thank Ignitiv and Kibo for helping us implement this scalable solution quickly."

"We greatly enjoyed working with Ignitiv to implement our modern, unified eCommerce solution at Fortis Life Sciences," said Ava Aprin, Head of Global Partnerships, Kibo. "The Kibo solution will help Fortis Life Sciences maintain the customer orientation and agility it values while building scale and capacity for future customers."

Rajib Das, CEO, Ignitiv, also said, "With this solution, Fortis now provides its customers with a frictionless buying experience and exceptional service and support across channels. We are delighted to partner with Kibo and Fortis Life Sciences to implement a state-of-the-art solution that brings significant value."

About Fortis Life Sciences

Fortis Life Sciences is a strategic platform company founded in 2020, with the mission of offering world-class products coupled with best-in-class customer experience. Over the course of the two years, the company has built a portfolio of high-quality products and brands serving attractive end markets including diagnostic, therapeutic and research discovery. Fortislife.com.

About Kibo Commerce

Kibo is the only extensible, unified commerce platform that delivers personalized, omnichannel experiences. The platform combines AI-driven personalization from industry leaders Monetate and Certona, omnichannel commerce for B2C and B2B models, enterprise-grade order management, and AI-driven point of sale. Global clients like Office Depot, Taco Bell, and Patagonia rely on Kibo's API-first, microservices-based architecture to support a wide range of commerce strategies, including headless commerce, that meet high growth goals and customer expectations at a manageable cost of ownership.

About Ignitiv

Ignitiv is a full-service agency that combines strategy, digital marketing, technology and customer analytics expertise to help craft integrated digital experiences that deliver more customers, more revenues and more profitability. Ignitiv is the partner of choice for Home Hardware, Canada Post, United Hardware, Fortis Life Sciences, and Bi-Mart.

#ignitiv #leadtheexperienceeconomy #fortislifesciences #fortisforyou #B2B #ecommerce #kibocommerce #unifiedcommerceplatform