web analytics

The Role of Omni-Channel in the Logistics Industry

Posted on 31. Aug, 2015 by in 3pl

The Role of Omni-Channel in the Logistics Industry | XL Logistics Blog

Omni-channel, or omni-channel retail, is a method of delivery across all lines from anywhere to anywhere. It incorporates shopping options as diverse as retail stores, internet sites, catalog shopping and phone orders.  It is an important development in the logistics industry that has evolved to meet the needs of today’s mobile consumer, who might order over the internet, for instance, but wish to pick up the item in the store. Omni-channel provides for a seamless experience to the customer and is one of the hottest topics in the logistics industry.

Prior to the advent of omni-channel, retail merchants relied on multiple channels for fulfillment, then they moved to cross-channels. Omni-channel goes one step beyond and seamlessly incorporates selling across all channels with an integrated back end system, thus providing the full retail commerce experience to the customer. It allows brick and mortar stores to also fulfill online orders, allowing them to serve a dual purpose both as a retail location and a fulfillment center. This reduces costs of shipping from less centrally located warehouses, and reduces shipping time.

Essential Components of an Effective Omni-Channel System

To insure a positive customer experience, an omni-channel system needs to seamlessly integrate different elements of the delivery system that were formerly operating independent of each other such as:

The omni-channel system is a customer-centered approach that takes into consideration what the customer would do. Most retail operations are currently still using a multi-channel approach but are taking steps to provide a more integrated internal system.

Successful Implementation of an Omni-Channel System

In order to make a successful move from a multi-channel system to an omni-channel system, the retail establishment needs to:

  1. Develop an omni-channel strategy
  2. Look for gaps in the different elements of the delivery system
  3. Integrate these disparate elements into a cohesively working internal system

One of the most important goals in the current retail environment is to integrate each of the disparate elements of the order and delivery system into a single cohesive whole that will be able to respond effectively to the expectations of today’s mobile consumer.

If you are reading this on any other blog than XL Logistics Blog or via my RSS Feed, it is stolen content without credit.
You can find me on Twitter via @LogisticsDan
Come and visit our blog at http://xllogisticsblog.com/

Share Button

Tags: , , , , , , , , , , ,

No comments.

Leave a Reply

CommentLuv badge