UK Online Seller Meetup

A meetup event for UK online retailers was hosted by Christoph and Lisa from Iwoca last night . It was great success - with lots of tips and information (and food and drinks!) provided by various industry experts. Ian Walker from 3P Logistics was also invited to be one of the guest speakers. His presentation focused on what, when and why to outsource, and this leads to much interesting and engaging discussion. 

To return the favour, we are aiming to host another meetup event next month or so. Again there would be guest speakers, Q&A and discussion sessions, and networking opportunities with like minded people. Please join our meetup group for further announcement! 
http://www.meetup.com/NORTH-WEST-ONLINE-RETAILERS-MEET-UP-GROUP/

Linnworks reviews (and partnership with Royal Mail)

Multi-channel selling becomes much easier with the provision of automated interfaces. When outsourcing, one should always choose a reputable service provider, with attention to the system they use as well.

As a partner of Linnworks, which is a reliable order management system for e-commerce, 3P logistics have always fully utilized its function to ensure secure and seamless data synchronization between our clients and ourselves. The feedback has been exceptional. 

Its excellency is once again confirmed by the reviews from many customers on Trustpilot website.

Linnworks scores a 8.9 out of 10

Reviews are mostly 5 stars.

It has much better reviews than its competitor Channeladvisor. 

Linnworks and Royal Mail have recently partnered with a direct integration to help retailers automate the shipping processing of their tracked and untracked mail parcels. A bonus for our clients. For more information please goes to: http://tamebay.com/2013/02/linnworks-announce-direct-royal-mail-integration.html

3P Logistics are proud to be a partner of Linnworks. Our I.T. systems are at the heart of our service offering, whilst our flexible storage capability and fast moving pick pack operations are complemented by a wide range of distribution services to suit most demands. 

M-commerce. It is getting bigger.

Have you considered M-commerce?

M-commerce is getting more and more popular these days. According to TolunaQuick, the percentage of people using mobile phones for shopping has increased from 13% in 2011 to 25% in 2012. As the number of smartphones increases and the perceived safety of m-commerce improving, we can assume the figure to go up again in 2013.

The graph below segmented the age groups of 1000 respondents. We can see that younger people are more likely to shop with their mobile phones. So if your products are targeted at the younger age group, a well designed mobile site would probably be beneficial.

Graph from E-consultancy

The report also finds out that 43% of UK respondents have used their mobile to compare prices and look at product reviews. Maybe you can consider putting this function into your mobile site to boost traffic too?  

$21bn! So... what is so 'great' about Amazon?

Three days ago, The Guardian reported that Amazon was 'expected to reveal a cash pile of up to $9bn sales'. Three days later, we realise we are all fooled. Amazon 'unveiled record Christmas takings of $21bn', which is equivalent to £13bn.  This has resulted in a $12.4bn cash pile for the leading online retailer. 

Starting as an online bookstore, Amazon has worked hard to expand its trading product range, taking market shares from both bricks and clicks rivals over the years. Now you can basically find anything on their website. This makes us wonder - how does Amazon achieve its leading position in the market?


Amazon Stock. (adopted from CNN Money)



1. Stubborn on vision, flexible on details.
According to Jeff Bezos, the founder of Amazon, stressed on the importance of being both stubborn and flexible. I interpret the 'stubborn' as 'persistence' when you experiment, and 'flexible' as 'creative' when you have to come up with different solutions to a problem.  I guess this applies to every single successful entrepreneurs, such as Steve Jobs and Zuckerberg.

2. Expands by experimenting
Amazon leads the market by being innovative. They are the first few companies who offers free shipping, monthly shipping plans Prime, Kindle the reading tablet, etc. Of course there are failures too such as the auction function and the A9 search, which you may not even have heard of. However, trail and error is the only way to go through to reach success. Never be afraid to experiment, as Bezos said 'what is dangerous is not to evolve'.

3. Focus on customer experience
Bezos once said that their goal is 'to be the earth's most customer-centric company'. Amazon always focus on improving the online shopping experience. Look at every single details when you buy something from Amazon, then you can see how tailored everything is - from the layout of the webpage to the small fine prints at the bottom. This has completely changed the traditional way of online retailing which simply displays the product with a shopping cart. 

We cannot deny the success of Amazon's vision and business strategies. However, this still does not explain the $21bn? 

This particular paragraph on The Guardian may have explained it:

"Amazon has put this money out of reach of the tax authorities by managing its European operations from Luxembourg. Profits collected in the UK and other major markets are funnelled out via a network of subsidiaries, in the form of royalty payments for intangibles such as use of the brand or technology developed inhouse.

With politicians in recession-hit economies looking to balance the books, Amazon's savings could take a hit. The British prime minister David Cameron took to the stage at the Davos summit to call for companies to pay "proper taxes", and the French and American governments are pursuing Amazon directly."

Well, where are the moral principles?

Holy Grail of E-commerce Conversion Optimization

A checklist for anyone practicing e-commerce. There are 91 points to take in - a lot, but we are talking about conversion rate (real money) here! You may not agree with all these, but afterall it does not hurt to do some extra reading. 

Click to enlarge (save and zoom to read)

Image adopted from cueblocks.com

Royal Mail Fuel Surcharge

Ouch. Just saw this news on the Royal Mail website. It is understandable though - since the cost of fuel has been increasing these days. It is also a good way to cover other costs simply by using the term 'fuel surcharge', since it seems more acceptable than any other reason. In fact, many other couriers have added surcharge into their services already so it is only a matter of time that Royal Mail joins its competitors. As suggested by Tamebay, the fuel surcharge will 'simply bring them into line with other carriers'. 

The question is, would the fuel surcharge lead to a loss of customers? 

Royal Mail has good authority and is considered reliable. It is relatively cheap as well. However, it has a record of postal delays (for example after strikes), and that other couriers are offering something extra such as free collection service or free tracking. It would be a no-brainer for customers to switch to better options if Royal Mail matches the price of competitors by adding the surcharges. 

Looking at John Lewis...

My boss is a big fan of John Lewis. When he wants to bring up an example of a successful company, he always mentions John Lewis. Indeed, it has done such a good job to evolve with the market, achieving its leading position in the retail industry. John Lewis boosts their high standard of customer services - a recent survey even states that 75% of British people trust John Lewis as if it was a bank. The company's success is not limited to just the high street. This year, John Lewis has experienced a whopping 44% increase in online sales. 

So what have they done? Today we will have a look at their online store.  

1. Design
Never underestimate the power of a well presented product page! First of all, it has detailed description for the product. Ratings are also displayed so shoppers can research on the product on just on one single page. This can also give them a 'peace of mind' on both the product itself and the retailer. Secondly, just like Amazon, there are recommendations displayed, which can encourage cross-selling. 

Extremely long product description on the left. Reviews on top right, and recommendations bottom right.

2. Easy site navigation
Again this is for convenience. It is easy to understand, and it is consistent on all pages. There is a search bar available. Pretty simple stuff but essential. Even if you are selling on Ebay or Amazon, make sure products are categorised clearly so they can be found easily, and are search bar friendly. For effective and professional webstore design and listing services, consider outsourcing to 3P Logistics. 

3. Delivery options
I cannot stress how important a quality delivery service is. This is the key to impress your customers because people usually pay the most attention when or after money is involved. They would be eagerly waiting for their products after they spent. John Lewis has a wide range of delivery options such as next day, named day, collection etc., and it is free with you spend £50. 

List of delivery options. Lots of options, and clearly explained. 

4. Early Christmas Sale
A pretty obvious reason to buy from John Lewis. 'Next Sale' was the top search term on Christmas days. Please ensure you put this keywords into your listing/ webpages for SEO purposes!

Of course there are much more factors that result in John Lewis's success. If you want some guidance, or simply want to discuss your business with us, please feel free to contact 3P Logistics.