Business Daily Media

Men's Weekly

.

What Are The Three Main Functions Of Product Fulfillment


Product or order fulfillment is the primary function of all online and ecommerce businesses. Their efficiency in providing this service determines their success.Delivering orders safely and timely is what makes product fulfillment a challenge. However, there are a lot of 3rd party providers who do the job much more effectively. The right product fulfillment company can transform customer service and order satisfaction. All product fulfillment services have the following three functions.

1. Receiving

Once the customer places the order, the first step is to receive the goods. The goods can arrive from the warehouse, vendor, or directly from the factory. The job is to make sure you receive the same product as ordered. The staff will first check the product description and then count the inventory. Any discrepancies are dealt with on the spot.

Once order detail matches the inventory, the staff will pack and store the shipment for its Final mile deliveryThe shipment is labeled and kept safe until the date of its delivery. After that, the team must manage and check the inventory for the duration of its storage. This process is also called inventory storage. Receiving the goods and then storing them goes hand in hand and makes up the initial stages of product fulfillment.

2. Processing

The second function in product fulfillment is order processing. When an order is received, the information is relayed to the product fulfillment company. The customers place the orders online; therefore, processing them without mistakes is necessary. In addition, the staff will make sure that the packaging and other order details are met before shipping the product. This is a crucial part of a product fulfillment service, and many resources are devoted to this function.

Another major part of the processing function is to manage the returns. Also known as returns processing, here the company deals with returning goods.For example, a product fulfillment company will get in touch with the customer and communicate details about shipping the product back to the warehouse. Returns processing is usually an aftersales service; however, they make up an integral part of the processing function of product fulfillment.

3. Shipment

This is the last function of product fulfillment and requires a bit of logistical know-how. After the order is processed, it's time to ship it. The order is picked up from the warehouse and sent to a shipping company. This is where you will save some money if you act a bit smartly. Usually, a good shipping company will offer routes that are safe, quick, and deliver your order on time. Before shipment, the order is checked once again, so there is no room for any errors. Once all the requirements are fulfilled, the order is shipped. You will receive an order number and an estimated date of arrival. Again, the safety of the products is the responsibility of the shipping company.

All the major online retailers have a smooth product fulfillment function.This allows them to process orders and ship them quickly, reaching their destination on time, resulting in increased sales and profits.

2025 Thryv Business and Consumer Report - Australian small businesses show grit under pressure

Australia’s small businesses are powering ahead with optimism, resilience and discipline, however, mounting pressures on costs, wellbeing and cons...

Security by Default: Why 2026 Will Force Organisations to Rethink Cloud and AI

financial accountability to how they run cloud and AI, according to leading Australian systems integrator, Brennan. Based on customer insights...

UNSW launches plan to help Aussie startups scale overseas

UNSW Launches Global Innovation Foundry to Scale 100 Australian Startups Internationally New initiative provides startups and spinouts with direc...

Payroll Under Pressure: Why Mid-Sized SMEs Struggle to Keep Pay Accurate

A year after wage theft reforms came into effect, Australian businesses have increased their focus on payroll compliance, but confidence in pay accu...

Refunds to Revenue: AI and loyalty perks help retailers in post-holiday hangover

Australian retailers are turning to artificial intelligence to simplify and automate returns and exchanges, while strengthening loyalty programs a...

Stop reading from the script: Why authenticity is the customer success secret weapon

I’ve been in customer service for years now. As my team has grown, the number one piece of advice I give is to be your...