10 TIPS 1 CHOOSE THE RIGHT FULFILLMENT MODEL.
Optimizing Direct-to- Consumer Operations
Direct-to-consumer has transformed into a frontline revenue engine. Faster delivery demands, higher return rates, and rising last-mile costs make logistics the battleground.
ensure you’re not paying more than expected based on oversized packaging. Continually solicit feedback from carriers, and evaluate damage claims and unexpected dimensional charges to uncover overlooked inefficiencies and unlock further cost savings long term. 9 UNDERSTAND THE RIGHT KPIs. Monitor granular takes on fulfillment speed, costs, performance, and return rates. Make understanding key performance indicators (KPIs) and acting for continuous improvement part of your logistics playbook. Schedule routine reviews to share insights cross- functionally, keeping teams focused on progress and encouraging swift corrective action where needed.
In-house, 3PL, or hybrid? Brands that need to scale up quickly without heavy capital investment should look to outsourced models. In-house fulfillment offers greater control over quality but may come at a higher cost. Companies opting for hybrid models should leverage product and market segmentation to balance their fulfillment strategy.
5 MAKE INVENTORY TRANSPARENT. Track on-hand inventory across stores, nodes, and third parties, then include what’s in transit. A real- time view of on-hand and projected inventory can be used in collaborative decision making. This level of visibility helps avoid excessive inventory, supports smarter allocation during demand spikes, and improves fulfillment reliability overall. 6 SPEED UP WITHOUT BREAKING THE BANK. Use regional carriers to strategically capitalize on their effective costs and speedy services in specific markets. Consider investing
2 DESIGN A SMARTER NETWORK. More brands are investing in multiple regional nodes, often specific to their fastest moving products, to increase shipping speed and reduce handling and costs. Don’t forget that stores make a great node for fulfillment. 3 ORCHESTRATE ORDERS AND PROMISE DATES. A modern order management system (OMS) can route orders to the best fulfillment center with an accurate promise date when considering historical speed, cost, and inventory patterns. It’s essential for peak season agility and multi-node success. 4 COLLABORATE ON FORECASTING. Shared data builds trust and efficiency. Stay close to supply chain planning to offer data- driven input to increase the accuracy of demand forecasts. In return, share forecasts with fulfillment partners and carriers to prepare for demand spikes or disruptions.
models to enable intelligent downgrades that still meet delivery promises. 7 DIVERSIFY LAST-MILE OPTIONS. Mix national and regional carriers and augment them with crowdsourced options. This reduces the risk of relying on a single carrier, while offering scalability (especially during peaks) and a variety of delivery options for customers. 8 SIMPLIFY AND OPTIMIZE PACKAGING. Right-size packaging to lower DIM weight and improve truck efficiency. Consider automation or pre-kitting to reduce labor. Think you have this optimized? Double check your parcel spend to
in technology that offers predictive time-in-transit
10 HANDLE RETURNS LIKE A PRO
Make it easy for the customer but efficient for you. Digitize return flows, analyze causes for future deflection, and restock quickly to protect revenue. Transparent, self-service return portals reduce friction for customers, while automated triage accelerates refunds and resale readiness.
SOURCE: TARA BUCHLER, PRINCIPAL, STRATEGY, JBF CONSULTING
6 Inbound Logistics • October 2025
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