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Ecommerce 3PL Order Fulfilment 101: How It Works and Why It Matters

  • Writer: Packitle 3PL
    Packitle 3PL
  • Aug 14
  • 3 min read

Updated: Aug 14

ECOMMERCE 3PL MELBOURNE

Fulfilment isn’t just about getting orders from Point A to Point B, it’s the engine behind customer satisfaction, brand loyalty, and scalable growth in ecommerce.

Whether you’re just launching your online shop or reaching the point where packing boxes is taking over your life, understanding how ecommerce fulfilment works (and why it matters) can save you time, money, and customer complaints.

In this guide, we’ll explain what ecommerce fulfilment is, how it works behind the scenes, and why getting it right is crucial to your brand’s long-term success.


📦 What Is Ecommerce Fulfilment?

Ecommerce fulfilment is the end-to-end process of receiving, packing, and dispatching online orders to customers. It includes:

  • Inventory storage (warehousing)

  • Order processing

  • Picking and packing

  • Shipping and delivery

  • Returns and exchanges

You can manage fulfilment yourself (in-house), outsource it to a 3PL (third-party logistics provider), or use a hybrid model depending on your business needs.


🔄 How the Fulfilment Process Works (Step-by-Step)

Here’s how a typical ecommerce fulfilment process flows:

1. Stock Is Received and Stored

Your products are stored in a warehouse, either your own or within a 3PL’s fulfilment centre.

2. Orders Are Synced Automatically

When a customer places an order on your ecommerce site (Shopify, WooCommerce, Amazon, etc.), the order is automatically synced with your fulfilment system.

3. Items Are Picked and Packed

A team picks the correct items, packs them securely (often using your brand’s packaging), and prepares them for dispatch.

4. Shipping Labels Are Generated

Shipping labels are created based on delivery time, destination, and the best available rates.

5. The Order Is Dispatched

The parcel is handed off to the chosen courier (Australia Post, FedEx, DHL etc.), and the customer receives tracking details.

6. Returns Are Managed (If Needed)

If a customer returns an item, the fulfilment system processes the return, restocks the product, or triggers a refund.


📬 Whether it’s a mug or a mattress, every ecommerce order typically follows this same structure.

🧠 Why Ecommerce Fulfilment Matters More Than Ever

Fulfilment isn’t just operations, it directly affects your brand reputation, repeat customers, and revenue.

Here’s why it matters:

🚀 Customers Expect Fast Delivery

Thanks to Amazon and Australia Post, AU shoppers increasingly expect fast, often next-day delivery - even from small brands.

🛒 Delivery Costs and Delays Kill Sales

Studies show that nearly half of abandoned baskets are due to high delivery costs or long delivery times.

📉 Poor Fulfilment = Lost Customers

Late parcels, damaged goods, or a lack of tracking can result in negative reviews, refunds, and customers who never come back.

📈 Fulfilment Enables Growth

You can’t grow your brand if you're stuck packing orders every evening. A streamlined fulfilment system frees you to focus on product development and marketing.


🧰 In-House Fulfilment vs Outsourcing: What’s Right for You?

Here’s a quick comparison:

Feature

In-House Fulfilment

Outsourced (3PL)

Start-Up Cost

Low

Varies

Time Investment

High

Low

Speed & Efficiency

Slower

Faster (due to automation)

Control

Full control

Shared control

Scalability

Limited

Highly scalable

🎯 Fulfilling fewer than 100 orders per month? In-house may still work. But once you scale, a 3PL often becomes more efficient and more cost-effective.

🗺️ Types of Fulfilment Models

There are three main types of ecommerce fulfilment:

1. Self-Fulfilment

  • You store and dispatch all orders yourself

  • Best for small shops or handmade goods

2. Third-Party Fulfilment (3PL)

  • You send your stock to a fulfilment centre

  • They handle storage, picking, packing, and delivery

  • Ideal for growing brands that want to scale without hiring more staff

3. Dropshipping

  • No stock or warehouse needed

  • Orders go straight from your supplier to your customer

  • Low risk, but reduced control and lower profit margins

⚙️ Ecommerce Platform Integration

Most ecommerce platforms integrate easily with 3PLs and fulfilment tools. Benefits include:

  • Real-time order syncing

  • Automatic tracking updates

  • Stock visibility across warehouses

  • Branded packaging and documentation

Popular platforms that connect seamlessly with fulfilment systems include:

  • Shopify

  • WooCommerce

  • BigCommerce

  • Amazon Seller Central

  • Wix

  • Etsy (with apps)


✅ Pro tip: Choose a 3PL that connects directly with your platform for hands-free fulfilment and live updates.

📊 Key Fulfilment Metrics to Track

Whether you fulfil in-house or outsource, you should monitor these KPIs:

  • Order Accuracy Rate

  • On-Time Dispatch Rate

  • Average Fulfilment Time

  • Inventory Turnover

  • Return Rate

  • Customer Satisfaction Score

These figures will help you spot issues and measure the performance of your fulfilment operation or 3PL partner.


🔚 Final Thoughts

Fulfilment might not be the flashiest part of running an ecommerce brand — but it’s one of the most important.

A smooth, scalable fulfilment process is what transforms a small shop into a serious brand. Whether you’re doing it yourself or ready to partner with a reliable 3PL like Packitle, understanding the basics of ecommerce fulfilment will set you up for long-term growth.


📣 Need Help With Ecommerce Fulfilment?

Packitle helps ecommerce brands across the Australia and New Zealand scale faster with reliable, affordable, and customer-focused 3PL services.



 
 
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