How to Ship 2-day and Next-day Without Breaking the Bank (E159)

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The Business Of eCommerce

Business


Michael SeneDirector of Sales at Deliverr Bio: Michael Sene is the Director of Sales with Deliverr. He works with more than a dozen fulfillment specialists, oversees the onboarding of all new sellers, and helps those sellers increase revenue through current and new sales channels. Sponsors: Spark Shipping Links: https://deliverr.com Transcript: Charles (00:00): In this episode of the Business of eCommerce I talk with Michael Sene about how to ship today or next day without breaking the bank. This is a business e-commerce episode 159. Charles (00:19): Welcome to the Business of eCommerce the show that helps e-commerce retailers start launch and grow their e-commerce business. I'm Charles and I'm here today with Michael Sene. Michael is the director of sales at deliver where they help retailers get faster next day or two day shipping on all their products. I think they're doing something new here, and it's pretty interesting to see how, as a independent retailer, you can actually get next day, two day shipping to try to really compete with the big guys like an Amazon or a Walmart. And this is something that's becoming more and more important in the game of retail. Now folks are expecting it and it's something that people are just becoming very used to. So they've really changed the model they're using technology to do this. I think it's kind of interesting chat to kind of go into how they're doing this and to put some thought into where as a retailer, you want to be now, and in the future, when maybe the expectation goes from two days to one day or one hour, wherever it is. And he kind of talks about that and kind of get you in that mind space of thinking, what do I want to be now and in the future. So it's going to show, so, Hey, Michael, how are you doing today? I'm Michael (01:25): Doing great. I'm doing great. Thanks for having me. Charles (01:27): Yeah. Awesome. I have you on, I think this topic is very timely on fast shipping. This is, this is the era of the whole shipping pocalypse where we've seen a lot of people struggle with this. So it's good to kind of talk through this. Speaker 2 (01:41): So we're talking. Oh yeah. It's it's Charles (01:45): I think Amazon, especially this year has kind of got us all addicted to like quick shipping, right? So two day shipping, we talk about that next day shipping. And I think a lot of retailers want to provide this on their own and everyone's kind of struggling to, how do I get from my standard ups ground? You know, that could take a week and try to like, bring that down to close it, to match Amazon or compete. And you can pay that you can pay for air obviously, but doing that affordably, I think it's kind of a trick and I think you have some experience with us, right? Michael (02:17): Yeah, I do. I think you bring up a great point just to start. When you think about the problem is you need to do it at a low rate and really fast. And I think everyone's trying to tackle this problem from your big retailer to your smaller Shopify merchants, your e-commerce merchants on marketplace. Everyone's trying to solve this. I think the issue is they're taking at it the wrong approach, right? When you think about it to get today at a low rate, your items need to be in at least four to five warehouses to get next day and same day, your items need to be in 10 to 18 different warehouses. And a lot of large retailers are overly invested in their current setup. That's for retail, right? And the position of their FCS are not in the right places. So, you know, getting to that same day or next day is a, is a massive challenge of capital that you would have to invest in. Michael (03:07): And your smaller merchant, you know, naturally wants to do this, but doesn't have the capability. And then when you think about companies that are offering this, you really have, Amazon is the only one. And when you think about what deliver has is we...