Tim Parry and Fred Lizza Discuss “Ship From Store” and Other Timely Multichannel Retail Order and Inventory Management Topics at IRCE 2013
Posted by: Laura Hills, VP Marketing
Multichannel Merchant’s Senior Content Manager Tim Parry had a chance to meet with Dydacomp’s CEO Fred Lizza at the Internet Retailer Conference and Exhibition (IRCE) 2013 in Chicago earlier this month. During the video interview, Fred discussed Dydacomp’s customers’ top concerns for the remainder of 2013 as they start to prepare for the holiday season, including the future of the “Ship from Store” model, the integration of the front- and back-ends of eCommerce businesses, as well as Fred’s thoughts on the Marketplace Fairness Act.
Highlights of the interview include:
- Fred shared that merchants are continuing to recognize the need to handle an increase in orders through additional channels with the same or even fewer resources. To meet this demand, they are continually looking for ways to streamline their order processing, fulfillment and inventory requirements.
- Fred discussed how multichannel order management is the back office hub connecting third party and disparate systems to support payment processing, shipping, inventory management, customer service and other aspects of fulfillment to simplify eCommerce.
- In regard to the Market Fairness Act, Fred explained that imposing sales tax on Internet sales is not the main issue for merchants. Rather, merchants are concerned about the complex administrative burden that this could become, and they are looking for the best way to handle the new record keeping and collection requirements. Etailers want to run their business, not file tax returns and reports for the hundreds of jurisdictions where they’ll be required to collect sales tax.
- Fred observed that online merchants have learned how to use “Free Shipping” to steer sales volume and to change buyer behavior. He noted the free shipping wars that pervaded the 2012 holiday season will likely not be repeated this year, as buyer incentives will be used as a promotional tool tied to order thresholds.
- The “Ship from Store” concept that is popular among large retailers has now been adopted by SMB merchants as well, who utilize third party drop ship or fulfillment networks to ship from the nearest warehouse. This allows online merchants to provide the rapid shipping that customers have come to expect without having to maintain the inventory in a centralized warehouse.
- Fred is seeing more synergy between the front end (marketing) and back end (fulfillment) operations. Dydacomp is forming relationships with online eCommerce and web builders to enable marketing and fulfillment to create a tight coupling and a seamless end-to-end process for merchants. The best results are seen when marketing campaigns are easily fulfilled with a tight coupling between customer identification, marketing and fulfillment.
You can see the full interview featuring Fred Lizza and Multichannel Merchant’s Tim Parry at www.youtube.com/watch?v=Q8Kx1Mq_o6k.