As the growth of eCommerce stimulates competition, speed to market may help create recognition and increase customer base. To achieve the ultimate speed to market, many online retailers look to BPO.
The worldwide eCommerce market has been growing exponentially in recent years.1 According to Channel Partners™, online retail sales will hit $1.6 trillion in 2016 and about $3.5 trillion in 2019.1 The amount spent on eCommerce technology, according to Forester, is $2.6 billion worldwide today and is expected to double by 2020.1 With the rise of the eCommerce market, increasing speed to market is becoming a strategy to help online retailers stand out from the competition.
“Speed to market is critical for the online retailer,” says, CEO of DR Republic, a global business process outsourcing provider. “In a fast changing world, speed to market will help differentiate your business from the other players and make you look like leaders in the industry.”
A quick speed to market enables businesses to be the first to engage a customer about a new product or idea and become well-positioned to capitalize on opportunities when they arise.2 A UPS study indicates that, while same day delivery is currently a niche market item, the demand for such services will increase over time.3 In fact, consumers are not willing to wait as long today for a package to arrive than they were in 2012: 7.4 days versus 5.9 days.3
While people expect things faster, millennials want things immediately and for free. A UPS study shows that 10 percent of millennials preferred two-day shipping in 2014. Today, 20 percent prefer two-day shipping.3 This trend is expected to continue as technology enables faster and faster delivery.
If an online retailer experiences a decreased speed to market, it may hurt their business and their reputation. Khan states that decreased speed to market allows competition to reach customers with new products or ideas first, positioning them as the leader in innovation. With that, even with a substandard product, the first to market dominates.
“The question is: How does an online retailer become more flexible in an ever-changing business environment?” adds Khan. “How do you pin-point opportunities, handle risks and respond quickly to changes in this business environment? Business Process Outsourcing has helped many achieve the quickness and nimbleness they need to compete.”
As customers look for ways to increase customer satisfaction with speed to market, the worldwide market for Business Process Outsourcing (BPO) is expected to rise to $220 billion by 2020.4 According to a study by Global Industry Analysts, Inc., “some of the benefits gained from outsourcing business processes include low operating costs, streamlined and better automated processes, improved flexibility to scale operations, access to expertise and new technologies, and better analytics to improve operations.” 4 Outsourcing is becoming a standard strategy as competition grows and puts an increase of pressure on profit margins.4
DR Republic offers a complete BPO, turnkey solution for online retailers looking to create or extend their network. With economies of scale, DR Republic allows companies to accelerate growth without incurring a huge additional cost. Additionally, as an owner or manager, free time is limited; by outsourcing, business owners can focus on core competency.
As the market for eCommerce retail technology surges, urges online retailers to consider outsourcing as a fixed cost, effective way to communicate and operate online. DR Republic brings extensive strengths to the market, including the breadth of service it offers, its subject matter expertise and business intelligence capability, and a vibrant, entrepreneurial culture. DR Republic offerings include comprehensive call center solutions, digital media solutions, direct response trial, digital franchising and social media marketing.
About DR Republic :
DR Republic is a global business process outsourcing provider with extensive experience in call center operations, digital media solutions, and direct response solutions. By using its integrated channel management capabilities and highly-trained staff, DR Republic develops and deploys inbound and outbound customer support fully integrated with its clients’ marketing campaigns. Digital media solutions include website design, digital franchising, fully functioning eCommerce operations, and the creation of interactive, immersive and responsive social media campaigns across different platforms. DR Republic is also highly experienced in the area of direct response trial, consistently delivering improved customer satisfaction, increased customer retention, and better order value. To learn more about DR Republic and its capabilities, please visit https://www.drrepublic.com.
- Beeck, Wilfried. “E-Commerce Now: A Wide World of Channel Possibilities.” Channel Partners Online. N.p., 10 October 2016. Web. 19 October 2016.
- “Speed to Market: Why is it so Important?” Prisma Graphic. Web. 19 October 2016.
- “Speed to Market: Meeting Customer Expectations for ‘Last Mile’ Delivery.” Retail Dive. N.p., 20 September 2016. Web. 19 October 2016.
- “MCP- 1533: Business Process Outsourcing: A Global Strategic Business Report.” Global Industry Analysts, Inc. N.p., 2 April 2015. Web. 19 October 2016.