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First-party logistics might be the next big thing for e-commerce

Everyone is currently wondering where the e-commerce companies are heading and where the industry as a whole is shifting towards. We have seen that the trend of shopping majorly from PCs has gone and people have started to shop from mobile devices too.

Also, this means that the impulsive shopping trends have increased a lot which is good for e-commerce. Apart from that, there are innovations in the logistics and retail commerce that have added to the growth of e-commerce.

Now, there is a new report on the trends in e-commerce where it says that the next big thing in e-commerce might be a shift to first-party logistics. With this, we mean by shipping products from the company that is selling it. If we take an example of Amazon, it is one of the companies that does first-party shipping a lot. Since they have their arm of logistics, it is not a big deal for them. However, the other e-commerce platforms rely on logistics partners such as FedEx, UPS and other international brands. This means that the problem of margins, delivery delays and handling arises.

So to take more control of e-commerce delivery, it is best that the first-party delivery trend rises. However, the problem is that it is hard to set up an individual delivery infrastructure for emerging e-commerce companies. Having said that, the returns of first-party packages are immense as revealed by this report. For instance, you can make sure to optimize the delivery of your products such that the cost is minimal and the delivery time is also reduced.

Delivery is also a way in which Amazon has been adding new customers and retaining their old customers. Thus, the new e-commerce players could take a leaf out of Amazon’s book and do the same. Also, the fact that Amazon and Walmart have to pay for no fault of their own in delivery means they are shifting to first-party delivery.

Sonali Minocha
Sonali Minocha
Passionate about Innovation and Technology. I love to contribute to high impact projects/ products. I have co-created/contributed to technology solutions touching 100 million ++ humans. I am also fond of e-commerce & PIM solutions. As editor of eCommerceNext, I am bringing news, events, opinions, experts, reviews from the world of e-commerce and PIM Besides technology and innovation, I am usually involved in setting up and running complex operations and human capital systems. I have been grateful to be acknowledged by getting “Great Places to Work – Top 100”, “Great Places to Work – Top 50”, “Great Place to Work – Top 5” awards for my company. I am a people and relationship person and bring in a balance of empathy and realistic solutions. I thrive on building processes and building control systems. I led the team that achieved CMMI Level 3. I have managed large teams and in-turn managed projects worth 15-20 Million (Annually) Want me to cover an interesting story around eCommerce or PIM? Reach me on

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