A recent survey revealed that 93% of all business executives believe that their ability to build and maintain trust improves their bottom lines. Unfortunately, only about 30% of consumers say that they “highly trust” companies, leaving a significant trust gap to overcome.
For companies in the supplement industry, gaining customer trust can prove particularly tricky. Unfortunately, a handful of common supplement fulfillment issues can erode consumer trust and impede customer retention. Issues around shipping delays, incorrect orders, or expired products can impact repeat sales.
That’s why when you are looking for reliable supplement fulfillment services, you’ll want to choose 3PL experts like Relentless Fulfillment who specialize in fast, accurate, and compliant supplement fulfillment services.
Why Fast and Accurate Supplement Fulfillment Matters
People take supplements to boost their health and fill gaps in their daily nutritional intake. The key word there is daily. Because people rely on these products for their ongoing health, they do not appreciate any gaps that late deliveries could create.
Furthermore, because customers are entrusting their health to your brand, any errors in their orders—whether related to shipping, picking and packing, or accidentally sending out products near or past their expiration dates—will erode their trust and affect your brand’s credibility.
Perhaps the most important reason why fast and accurate shipping matters, however, is the fallout that delays and errors can have on your online reputation.
There are two major factors in play here. First, 99.75% of online shoppers read reviews. That means if your brand receives negative reviews, any potential future customers are almost guaranteed to see them. Second, people are more likely to leave negative reviews when they have bad experiences than they are to leave positive reviews when they have good ones. Sadly, that means negative reviews can quickly outpace positive ones.
Taken together, these factors mean that unreliable fulfillment can lead to more lost customers than simply the ones directly affected by the error. One or two bad reviews related to fulfillment can be enough to slow orders and endanger your company’s future.
The Role of Compliance in Supplement Fulfillment
The FDA regulates both dietary products and nutritional supplements. According to these regulations, both manufacturers and distributors must participate in meeting requirements for compliance.
That means that these firms are responsible for evaluating the safety and labeling of their products before marketing to ensure that they meet all the requirements of the Federal Food, Drug, and Cosmetic Act as amended by DSHEA and FDA regulations.
Because of the strictness of FDA oversights, any failure in compliance could carry serious consequences. Anything from mislabeling of products to incorrect packaging could result in recalls or legal risks—neither of which would help your brand.
For this reason, your supplement fulfillment partner should be able to articulate the systems and policies they have put in place to protect both of you by maintaining the strictest compliance standards.
How Fulfillment Affects Subscription-Based Supplement Brands
Customers are definitely in their subscription era, signing up for monthly subscription-based memberships for everything from online streaming services to personalized life coaching to nutritional supplements. And while subscriptions can prove a powerful tool for creating a steady revenue stream, subscription success hinges on one thing: customer retention.
One of the cornerstones of success for subscription-based supplement brands is timely recurring shipments. A study of Key Performance Indicators (KPIs) demonstrates that on-time deliveries have been directly linked to increased customer satisfaction.
For the most part, a satisfied customer is a loyal customer with no reason to cancel their subscription. Because it costs five times as much to attract a new customer as it does to retain the ones you currently have, you must incorporate strategies to prevent customer churn.
Addressing fulfillment-related issues is a simple way to do this.
To prevent fulfillment-related customer churn, always pay attention to the issues behind complaints, negative reviews, or the reasons your ex-customers have given for cancelation. If the problems your customers articulate stem from fulfillment issues, it’s time to change your 3PL partner.
Best Practices for Improving Supplement Fulfillment
To improve your approach to supplement fulfillment, first ensure that you’re already following best practices.
Step 1: Implement better inventory tracking and forecasting.
These days, you can let inventory management software do most of the heavy lifting. Then, use real-time inventory management methods to sync your sales across platforms. This will grant insight into whether you currently have enough product in stock and help to improve your demand forecasting over time.
Step 2: Streamline fulfillment to reduce errors and delays.
If you’re still handling all your own fulfillment, learning how to streamline your methods to reduce errors and delays could be quite the undertaking.
You could start by reading up on the latest information on the following:
- Order Management Systems (OMS)
- Optimized inventory management methods
- Automated picking, packing, and shipping options
If all that sounds overwhelming, you do have another option. You can integrate with an experienced 3PL provider like Relentless Fulfillment for all your supplement fulfillment needs, leaning on our optimized warehouse and fully streamlined shipping methods to increase customer trust and land more repeat sales.
Practice 3: Choose a 3PL that specializes in supplement fulfillment.
While there are plenty of good 3PL providers to choose from, supplement brands looking for fulfillment services must take extra caution as they decide whom to partner with. As we have already indicated above, supplements require special care that some other standard products may not. Therefore, any 3PL offering services to a supplement brand must prove that their staff and facilities are up to the task.
What to look for when choosing a 3PL for your supplement fulfillment needs:
- Proof of industry experience. What other supplement brands has the 3PL provider worked with in the past? Can their team provide any testimonials from satisfied partners in your industry?
- Proof of compliance. Does their pitch reflect that they understand the unique compliance needs of supplement brands like yours? Do their current warehousing set-ups and shipping methods reflect an understanding of those needs?
- Proof of inventory tracking and lot control systems. Ensuring that orders are pulled from the right lots is especially important for products with expiration dates—like supplements. Have they taken this dynamic into consideration?
3 Reasons Why Switching to the Right 3PL Can Improve Retention Rates
Now, it’s time to combine everything we have discussed to uncover three ways that switching to the right 3PL can improve retention rates for your supplement brand.
Reason 1: A Reliable 3PL Reduces Order Errors and Improves Delivery Times
While automated order processing will accelerate the fulfillment process, key warehouse management principles can reduce errors.
Here at Relentless Fulfillment, that looks like this:
- Supporting lot control methods like FIFO (First-In-First-Out) and FEFO (First-Expired-First-Out)
- Implementing structure storage methods with strategic SKU organization
- Instituting barcoding and relying on real-time inventory updates
- Optimizing our picking and packing processes for both speed and accuracy
Reason 2: A Fulfillment Partner That Understands the Supplement Industry Brings Added Benefits
Because we already understand the supplement industry, you will not have to educate us on how best to meet your needs. Instead, you can rest easy, relying on our industry knowledge and expertise to help grow your business.
We have already thought through:
- Regulatory compliance
- Specialized storage needs
- Lot tracking control methods
- Picking and packing optimization
We have the infrastructure and the key systems in place to handle your fulfillment needs.
Reason 3: Switching to an Optimized Fulfillment Provider Leads to Cost Savings
By outsourcing your supplement fulfillment needs to a fully optimized 3PL provider like Relentless Fulfillment, you’ll be able to handle more orders with increased speed and accuracy. In this way, you can simultaneously diminish the “churn” of dissatisfied customers, boost your brand’s reputation, and add new subscription-based customers—increasing your supplement brand’s revenue as a result.
Let Relentless Fulfillment Work for You
If you’ve experienced sales losses due to inaccurate or late shipments, it’s time to make a change. Partner with a 3PL provider who understands how fulfillment affects consumer trust and leads to repeat purchases.
Here at Relentless Fulfillment, we’re excited to demonstrate how our streamlined systems could work for you. We specialize in fast, accurate, and compliant fulfillment, making us the ideal partner for supplement brands.
To learn more about how our custom warehousing and 3PL support can improve your e-commerce revenue, come learn more about all we have to offer. Request a custom quote today!
