Logistics Hacks for Small E-commerce Businesses in India

In the past few years, India has emerged as the 3rd largest ecosystem for startups globally with about 1,12,718 DPIIT-recognized startups spread across 763 districts of the country as of 2023. The country is home to 108 unicorns(startups founded after 2000 with a valuation of about USD 1 billion), which explains the country’s booming entrepreneurial spirit. 

If we were to analyse the major factors which are leading to the boom in Indian startup culture, one of the most crucial factors would be the rapidly evolving logistics and shipping industry which is leading the way forward for small, medium and large-scale enterprises. 

Logistics and shipping are crucial aspects of any business that demands great planning, coordination, and regular monitoring. While a large-scale business has infinite resources to handle shipping and logistics operations on its own, a low-budget business, particularly startups, finds it difficult to manage these operations independently. They neither have the required resources, nor the skills to do so.

So how can a small-scale business fulfil its logistics and shipping requirements? Does it involve hiring multiple logistics service providers or is it something which can be handled with a carefully planned strategy? All your answers will be answered in this blog, so stay tuned until the very end to explore some of the best logistics hacks for your small-scale business! 

What’s The Role of Logistics In A Business?

Any service-based business, be it small or large-scale, needs a way to make its products reach its target customer base located in diverse geographies. Not only that, the first stage of every business starts with the manufacturing of goods, for which you need to source raw materials from different suppliers. Procurement of raw materials is one hell of a task which demands well-established supply chains, through which goods can be moved from one place to another. 

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This is where the logistics come in. Logistics is an umbrella term that is entirely concerned with planning, coordinating, controlling and monitoring the end-to-end process of transporting goods and commodities. Right from the manufacturer to the distributor, every player involved in the supply chain relies on logistics to meet the demands and get the business going! 

Here Are Some Logistics Hacks For Your Low-Budget Business In India 

  1. Hire a Logistics Company in India

When just starting in the business with a limited budget at hand, do not overburden yourself with the decision of handling shipping and logistic operations on your own. Outsourcing is a smart move for small-scale businesses, i.e., hiring a third-party logistics provider to look after your shipping and logistics. 3PL providers are the ones taking care of nearly every aspect of logistics on your behalf, with a team of professionals and a skilled workforce who are familiar with the industry inside out. 

NimbusPost, India’s leading provider of tech-driven shipping and logistics solutions has the most innovative approach to handling logistics and supply chain management for eCommerce businesses of varied scales. Particularly for small-scale businesses, NimbusPost is an economical option. 

  1. Automate Everything

In today’s ultra-globalized world, technology is the key to achieving productivity. Be it building a product or getting it processed and prepared for the end customer, choose technology to achieve optimization in every step. 

With the rapid integration of new-age technologies in the global shipping and logistics landscape like AI, blockchain, predictive analytics, robotics, IoT, augmented reality, etc, it has become easier for supply chain and logistics companies in India to bring about an innovative approach towards addressing the major challenges in the supply chain management and logistics! 

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If you invest in automation today, it will make your e-commerce business more agile and adaptive towards upcoming challenges and trends which will shape the future of logistics. 

  1. Switch to Sustainable Packaging

Sustainability and eco-consciousness are becoming the new trends of the 21st century. To save money on packaging material that would go outdated in the future, prefer environmentally-friendly packaging options for your eCommerce business. Governments all across the world are readily bringing legislation and policies to replace and entirely ban unsustainable packaging material to reduce carbon footprints. Not only that, they are also offering incentives to businesses, encouraging them to adopt eco-friendly business practices and zero-waste policies. 

So don’t waste your money on such material which would incur heavy losses to your business. 

  1. Utilise Regional Warehouses

Inventory management and warehousing are something that doesn’t come easy on the budget. If you don’t have strategically located warehouses and fulfilment centres, you will certainly have to bear the repercussions of expensive inventory and warehouse management. 

Consider setting up regional warehouses in strategic locations to reduce shipping costs and delivery times. This can also help in managing inventory more effectively.

  1. Provide Multiple Payment Options 

Offer multiple payment and shipping options to enhance customer satisfaction, and carefully evaluate the feasibility of cash-on-delivery in different regions. It not only increases your conversion rates but also appeals to a wider audience with enhanced brand visibility. 

What Else To Keep In Mind?

As a small-scale business owner, one always has their hands tight on the budget. But to make way for your e-commerce brand in the highly competitive market, you have to prioritize investing carefully in the logistics and shipping operations because, in the end, its efficiency is going to decide the fate of your customer service. 

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Try engaging with a shipping aggregator like NimbusPost which brings you economical shipping services in addition to the option of choosing among India’s top courier partners.