Over the past four years Dick's has been using omnichannel fulfillment, which is a combination of in-store ordering, great in-store shopping experiences, using vendors to ship inventory to customers, and finally shipping in-store orders to customers for free. This has greatly improves Dick's inventory turn. The biggest part of this which i will be focusing on is the ship from store that started back in 2012. This is a great thing for the company because it allows them to get online shoppers their requested items faster then before. Data shows that 75% of the orders placed were delivered to customers within a 15 mile radius of the store it was ordered from.
The way this process works is when a customer starts shopping online they now get connected to any inventory in any store. This can become more convenient to the customer because if they choose a store that is closer to them they will receive the item quick then if it comes from a vendor from across the country. By searching specific store there also is a better chance that the customer will find the item they are looking for which will help meet the customer demand and improve customer satisfaction. Also this helps Dick's use its inventory a lot better and that means less overhead. Shipping inventory from the store makes better use of the inventory holding costs that they payout for their warehouses and etc.
Soon Dick's is going to implement online/pickup in-store options for people who order larger things such as workout machines. Also this is a good way to get people to drive to the store where they might end up buying more stuff once they arrive. This process also will help lower transaction fees that are associated with the vendors.
Supply Chain
In order for this to be successful Dick's needed to make sure its supply chain process was set up well enough to handle this. They have set up systems to help track local and international packages, keep up on what the vendors are doing, and help to control costs, and provide good information on the productivity of Dick's network. Soon Dick's will finalize this process the way they want and it will greatly improve the already good process of ordering online. Not only does the customers get satisfied but Dick's does as well.
In order for this to be successful Dick's needed to make sure its supply chain process was set up well enough to handle this. They have set up systems to help track local and international packages, keep up on what the vendors are doing, and help to control costs, and provide good information on the productivity of Dick's network. Soon Dick's will finalize this process the way they want and it will greatly improve the already good process of ordering online. Not only does the customers get satisfied but Dick's does as well.
Source:http://risnews.edgl.com/retail-news/Dick-s-Ship-from-Store-Lowers-Cost,-Increases-Speed88521
No comments:
Post a Comment