Dropshipping allows you to act as a middleman. Customers order from your website, and the manufacturer or wholesaler handles the fulfillment.<\/p>\n\n\n\n
Zappos, the largest online shoe retailer with yearly revenues of $2 billion, actually started with dropshipping<\/a>. They relied on manufacturers to ship products directly to their customers. But eventually, they ran into problems.<\/p>\n\n\n\n Here\u2019s what Tony Hsieh (CEO of Zappos) says about dropshipping:<\/p>\n\n\n\n \u201cThat system [dropshipping] never worked very well. We didn\u2019t have 100% accurate information about our vendors\u2019 inventory, and because their warehouses were all over the country, delivery times weren\u2019t predictable.\u201d<\/p>\n<\/blockquote>\n\n\n\n Had Zappos not decided to invest in their warehousing operations, their business likely wouldn\u2019t be as successful as it is today.<\/p>\n\n\n\n The same principle applies to your ecommerce<\/a> business as well. To grow your business, you\u2019ll need to put in the time and effort to scale. That includes making key changes to operations and workflow processes.<\/p>\n\n\n\n Before we dive into specifics, let\u2019s first examine the current state of ecommerce.<\/p>\n\n\n\n More consumers are shifting more of their spending online than ever before. It\u2019s not hard to see why, given the convenience of online shopping.<\/p>\n\n\n\n You can simply search online to find a store, add a product to your shopping cart, and have it mailed right to your doorstep\u2014all just with a few clicks and in less time than it takes to make a cup of coffee. <\/p>\n\n\n\n Just how big is ecommerce?<\/p>\n\n\n\n Huge. <\/strong><\/p>\n\n\n\n Global ecommerce is estimated to make up 18.1% of global retail sales<\/a> in 2021. And that figure is only projected to grow.<\/p>\n\n\n\n Retail ecommerce sales are exploding worldwide. And businesses are indeed taking steps to adapt to this trend. 48%<\/a> of B2B organizations now offer their full product lines online.<\/p>\n\n\n\n Starting any kind of business (even dropshipping) is by no means easy. An estimated 9 out of 10<\/a> start-ups fail. But it can also be incredibly rewarding as you watch your efforts start to materialize.<\/p>\n\n\n\n However, there\u2019s only so much you can do on your own. Scaling an ecommerce business requires human capital. You\u2019ll need to start thinking of adding new members to your team to oversee certain operations and streamline processes.<\/p>\n\n\n\n Here we\u2019ll take a look at how to build your ecommerce team and provide tips for managing a successful ecommerce business.<\/p>\n\n\n\n Managing an ecommerce business on your own just isn\u2019t sustainable. There are simply too many roles to fill and not enough time in the day. With a strong team, you\u2019ll be able to multiply your efforts and grow your business to new heights.<\/p>\n\n\n\n Here are the roles you\u2019ll need to build a capable ecommerce team:<\/p>\n\n\n\n The director of ecommerce oversees entire operations and handles core tasks that are vital to a company\u2019s development. Their responsibilities include developing strategic plans, managing partnerships, and making key decisions. They may also have a part in planning and overseeing promotional campaigns.<\/p>\n\n\n\n There are plenty of tools available to build an ecommerce store. But if you want to customize your layout or integrate advanced functionality like filtering options, you\u2019ll need a web developer. This individual ideally has experience with the ecommerce platform<\/a> your store is running and knows how to code in languages like HTML and JavaScript. Look for a web developer who also has experience with web design, and maintaining marketing automation and CRM softwares<\/a>.<\/p>\n\n\n\n IT technicians typically work behind the scenes, but their contributions are no less important. Their responsibilities include diagnosing computer problems, setting up new equipment, and performing maintenance. Additional tasks include configuring backups and implementing security measures. They may also train new employees on how to utilize the digital infrastructure properly.<\/p>\n\n\n\n Inventory managers keep a close eye on stock levels and place orders when inventories dwindle. This individual is also in charge of stocking products and ensuring they get to their destination on time. The inventory manager frequently coordinates with the director of ecommerce on approving orders and the IT technician to keep the data synced with the inventory system.<\/p>\n\n\n\n Digital marketing managers play a pivotal role in boosting brand awareness and driving traffic to product pages. They oversee digital marketing campaigns on channels such as search, email, and social media. This individual often collaborates with the director of ecommerce to plan and develop marketing campaigns in line with current objectives. To ensure efficiency, they may also work alongside other associates and make use of various social media management tools<\/a> for these tasks.<\/p>\n\n\n\n In a perfect world, customers would order from your site and be completely satisfied with their purchase. However, problems inevitably arise. Ecommerce brands often employ customer service<\/a> representatives to answer phone calls and process orders and issue refunds. Additional tasks include handling customer complaints and responding in a timely manner.<\/p>\n\n\n\n It\u2019s important to have a clear understanding of your business\u2019 financial health. 82%<\/a> of companies fail due to poor cash flow management. Accountants are tasked with tracking funds that flow in and out. They also work closely with the director of ecommerce and inventory manager to control costs and budget accordingly.<\/p>\n\n\n\n Business analysts gather data and work closely with the director of ecommerce on key strategy decisions like determining which markets to enter. These individuals also work to identify and address any bottlenecks that could be hindering growth. Their contribution helps ecommerce businesses implement new processes that can improve their overall efficiency.<\/p>\n\n\n\n A productive business is ultimately more profitable. Even a single change to current workflow processes can have a more positive impact on your bottom line. <\/p>\n\n\n\n Here are some steps towards creating a more productive ecommerce business: <\/p>\n\n\n\n Building relationships with your vendors takes time. But it can have a lasting positive impact on your business. Good vendors understand that mutual relationships benefit their business as well. For example, partnering with a pick and pack fulfillment service<\/a> can optimize vendor relationships by improving business operations, reducing costs, and providing industry expertise, benefiting both businesses and the service provider.<\/p>\n\n\n\n Regularly check in with your vendors and even meet them in person at their offices, if at all possible. Ask if there is anything on your side that you can do to make things easier for them. Doing so can improve workflow processes and result in reduced operating expenses. Be sure to maintain communications, even if problems arise. Vendors will want to know if customers are having issues with their products.<\/p>\n\n\n\n Meetings allow you to discuss important issues with your team and define objectives for the coming months. But they can also cost<\/a> your business big time if you don\u2019t create a meeting policy. The key to having more productive meetings is to establish an agenda that outlines all the items to be discussed and desired outcomes. <\/p>\n\n\n\n Avoid wasting time on back and forth email scheduling by using a Google Calendar integration with the work management software you use. That way, you can easily schedule meetings and send invites to your team.<\/p>\n\n\n\n Giving constructive feedback is crucial to your teams\u2019 ongoing development. It provides them with an opportunity to learn from their mistakes and prevents any possible misunderstandings. But feedback also works both ways. <\/p>\n\n\n\n Encourage your employees to leave feedback and listen to what they have to say. Here\u2019s what Brian Tracy<\/a> says about active listening, \u201cEvery time you fail to use listening skills and withhold your close attention from another person when they are talking, you make them feel valueless and unimportant.\u201d <\/p>\n\n\n\n If your team is remote, use collaboration tools like Slack or GoToMeeting to facilitate communication with your team and LastPass<\/a> to share passwords with your employees easily.<\/p>\n\n\n\n Gone are the days of simply clocking in and out, or noting down an 8-hour workday. That kind of data doesn’t tell you much anyway. Instead, opt for an online time tracking tool\n
Current state of ecommerce<\/h2>\n\n\n\n
![\"A](\"https:\/\/beebole.com\/blog\/wp-content\/uploads\/2020\/03\/Global-retail-sales-2015-to-2021-700x394.jpg\" "\\"\\"")
Building your ecommerce team<\/h2>\n\n\n\n
1. Director of ecommerce<\/h3>\n\n\n\n
2. Web developer<\/h3>\n\n\n\n
3. IT Technician<\/h3>\n\n\n\n
4. Inventory manager<\/h3>\n\n\n\n
5. Digital marketing manager<\/h3>\n\n\n\n
6. Customer service representatives<\/h3>\n\n\n\n
7. Accountants and finance<\/h3>\n\n\n\n
8. Business analyst<\/h3>\n\n\n\n
Steps towards a productive ecommerce business <\/h2>\n\n\n\n
1. Optimize relationships with vendors<\/h3>\n\n\n\n
2. Create a meeting policy<\/h3>\n\n\n\n
3. Leverage employee feedback<\/h3>\n\n\n\n
4. Know where your team’s time goes<\/h3>\n\n\n\n