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Top 10 ways to deal with customer complaints

How to turn client complaints into a winning opportunity for your business.

At SBC Fulfillment we always strive to provide excellent customer service. After all, we are in a service business. Several of our clients are ecommerce companies, and SBC provides their order fulfillment from our Atlanta warehouse. Whether you’re a large company or small business, you’re likely to have to deal with a client complaint at some point. It’s not always a reflection on your business approach; if you’re juggling several clients at once the odds are that there will be at least one person who isn’t completely satisfied at any one time.

While it’s easy to play the blame game when things go wrong, if you want to keep the client the best thing is to remain professional and tackle problems quickly and methodically. Solving a problem effectively can also be a great opportunity for your business to create happy clients and perhaps even generate new referrals.

Top tips

1. Quick thinking: Once you receive a complaint, don’t leave it. Reply to the letter, email, phone call, blog post or tweet as soon as possible, no matter how outrageous you might think it is.

2. Observe and take note: Try and be open-minded and understanding about the situation. Write down anything you feel is important and ask questions.

3. Make an apology: Regardless of your opinion, offering some form of apology can help. While in some cases it may not be legally advisable to apologise, you can still say ‘I’m sorry you feel that way’, ‘I’m sorry that wasn’t our intention’, or ‘I am sorry for your inconvenience’. This shows your sympathy and may help to calm the situation.

4. Be composed: In high stress situations it’s easy to become irritable, but if you allow this to happen you might say something you regret which could have repercussions for the business. If find yourself becoming irritated, suggest that you’ll call the client back and try to take some time out for yourself to calm down.

5. Be positive: Try and take an optimistic approach to the problem and focus on what you can do to help rather than what you can’t do.

6. Think of your business: Whilst you are dealing with a complaint, show genuine concern. This could help turn the situation into a positive outcome, helping with future business dealings and ultimately aiding your reputation as a company.

7. Communicate regularly: Keep your client in the know if the problem cannot be solved straight away. They will only become irritated if they don’t know what’s happening, so stay in contact and explain how you’re tackling the problem.

8. Own the problem: If the problem is yours, take responsibility for it solve it as best you can. If it’s not down to you, find out who is involved and make sure you delegate it properly so that all parties know who is responsible for correcting it. As the first point of contact, the client  or customer will be looking to you for answers, so make sure you address that straight away and don’t just leave them hanging on.

9. Discover the reasons: As well as solving the problem in the here and now, it’s important to understand why the problem happened so it can be avoided in the future. Make a note of lessons learnt and see what you can do to change your processes to ensure it doesn’t happen again.

10. Serious complaints: If you’ve tried to resolve the problem without success, it might be time to call in a third party such as a legal adviser who can offer more impartial advice and a new perspective on the problem.

Top 10 ways to deal with customer complaints

How to turn client complaints into a winning opportunity for your business.

At SBC Fulfillment we always strive to provide excellent customer service. After all, we are in a service business. Several of our clients are ecommerce companies, and SBC provides their order fulfillment from our Atlanta warehouse. Whether you’re a large company or small business, you’re likely to have to deal with a client complaint at some point. It’s not always a reflection on your business approach; if you’re juggling several clients at once the odds are that there will be at least one person who isn’t completely satisfied at any one time.

While it’s easy to play the blame game when things go wrong, if you want to keep the client the best thing is to remain professional and tackle problems quickly and methodically. Solving a problem effectively can also be a great opportunity for your business to create happy clients and perhaps even generate new referrals.

Top tips

1. Quick thinking: Once you receive a complaint, don’t leave it. Reply to the letter, email, phone call, blog post or tweet as soon as possible, no matter how outrageous you might think it is.

2. Observe and take note: Try and be open-minded and understanding about the situation. Write down anything you feel is important and ask questions.

3. Make an apology: Regardless of your opinion, offering some form of apology can help. While in some cases it may not be legally advisable to apologise, you can still say ‘I’m sorry you feel that way’, ‘I’m sorry that wasn’t our intention’, or ‘I am sorry for your inconvenience’. This shows your sympathy and may help to calm the situation.

4. Be composed: In high stress situations it’s easy to become irritable, but if you allow this to happen you might say something you regret which could have repercussions for the business. If find yourself becoming irritated, suggest that you’ll call the client back and try to take some time out for yourself to calm down.

5. Be positive: Try and take an optimistic approach to the problem and focus on what you can do to help rather than what you can’t do.

6. Think of your business: Whilst you are dealing with a complaint, show genuine concern. This could help turn the situation into a positive outcome, helping with future business dealings and ultimately aiding your reputation as a company.

7. Communicate regularly: Keep your client in the know if the problem cannot be solved straight away. They will only become irritated if they don’t know what’s happening, so stay in contact and explain how you’re tackling the problem.

8. Own the problem: If the problem is yours, take responsibility for it solve it as best you can. If it’s not down to you, find out who is involved and make sure you delegate it properly so that all parties know who is responsible for correcting it. As the first point of contact, the client  or customer will be looking to you for answers, so make sure you address that straight away and don’t just leave them hanging on.

9. Discover the reasons: As well as solving the problem in the here and now, it’s important to understand why the problem happened so it can be avoided in the future. Make a note of lessons learnt and see what you can do to change your processes to ensure it doesn’t happen again.

10. Serious complaints: If you’ve tried to resolve the problem without success, it might be time to call in a third party such as a legal adviser who can offer more impartial advice and a new perspective on the problem.

Tags: customer service | ecommerce | order fulfillment | atlanta warehouse

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As a business owner getting your website on your potential customer''s radar requires getting the right signal to major search engines. By now, you may have tried to Digg, tweet and even StumbleUpon the correct solution for marketing your business. Here are 5 simple steps that you can take to bring more traffic to your website.

1. Publish your website

There are a couple of ways for search engines such as Google and Yahoo to find your site. One way is through creating and publishing new content. This could mean hiring a company or individual to write industry related articles, blogs or newsletters. Search engines like Google look for new content and if tagged properly (we will get to that in a bit) will allow potential customers to find your business.

2. Use social networking sites

Chances are you have already joined or rather been prompted to join social networking sites such as Facebook and Twitter. If you have not already now would be a good time for your business to join. Social networking giant, Facebook allows you to create a profile, group page and even a fan page so that friends, family, clients and potential clients can find your business. Additionally, you can post those articles, videos or newsletters to your profile or group page.

3. Sharing your content

One of the most important steps beyond creating new content from your site is sharing them through an online sifter that enable content to be easily published by web categories ranging from technology to travel. Browser add-ons such as Shareaholic can be easily and safely downloaded and will save countless hours of posting separately.

4. Tag you''re it

Beyond posting and sharing your articles adding the proper tags to your website content ranks high. A tag is a term or keyword that helps describe an item and enables posted content to be found through searching or browsing. In most cases, share sites such as Digg and Reddit will suggest tags before your item is completely posted. The best way to do this is to put yourself in the position of someone that would search for your services.

5. Search and update your site

Increase your link popularity by finding the correct keywords for your website. Search engines look at the first block of encountered text and then display those first few lines on the result search pages. You can increase your page ranking at zero cost to your business by keeping your first paragraph of text to around 300 words with 8 percent of those words as keywords.

Tags: market | promote | website | social networking | sites | how

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by Angela Cavallari Walker

In the wake of Haiti's deadly earthquake on January 12, 2010, an estimated three million people are in need of food, water and medical supplies. The unconfirmed homeless rate is anywhere from 200,000 to 1.5 million, says the American Red Cross. So far, fundraising campaigns have been successful, but that is just the first step of many when it comes to the tedious task of delivering these products into the hands of those in dire need.

Logistics volunteer organizations such as the American Logistics Aid Networks or ALAN play a critical role in the herculean effort to get these items into areas ravished by disaster. ALAN acts as the primary contact for donated products, equipment, and services such as warehousing, material handling, and transportation. The non-profit organization was founded in response to the aftermath of Hurricane Katrina.

Back then, there was not a system in place to communicate and distribute disaster donations to areas most impacted by devastation. “I saw most of the relief groups have things that they did not expect to arrive," says ALAN President, John Menzies. ALAN developed a system using an Aidmatrix platform that enables both state federal relief agencies to post supply chain needs. The portal matches NGO needs to ALAN sponsors and volunteers. An NGO or a non-governmental agency refers to any group with no representation of government. “As an organization we want to support a specific need by an NGO," says Menzies.

Currently, military and government agencies control most of the supplies that go in and out of Haiti.  Menzies describes Haiti's logistical status as a pull situation rather than a push. For Haiti, the real challenge right now is priority setting and getting supplies there. Overall, Menzies has been pleased with the progress in Haiti as donations continue to flow in through product matches. “We''ve helped our NGOs connect and helped some people on the ground by enabling relationships to get things done.”

Click here to view and track the logistical progress of these supplies delivered to Haiti

Tags: Haiti | logistics | operations | air freight | shipping

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Jan 28, 2010 -

Decoding and minimizing the cost structure of shipping is a challenge for many ecommerce companies and any business that sends more than a handful of packages every year. Each day may bring a new set of customers with varying demands, making it difficult to project requirements and craft savings strategies. But even if your small-package shipping volume is less than Amazon’s and seems more complex, your company may be able to save on shipping costs.

Understand the shipping environment

A first step to saving money is to understand the shipping environment. Here are some basic rules of major small-package players, namely UPS and FedEx:  

• Rates are based on industry-wide, small-package tariffs (standard rates).
• Percentage discounts (often 10%) off standard rates are available to companies with customer accounts.
• Tiered-discount rate structures are also available; these discounts are based on rolling averages (such as 3-month rolling average) so that companies with high volumes over various periods of time can receive additional discounts.
• Extra charges a/k/a accessorial charges, additional charges, and surcharges may add dramatically to standard rates. These charges include fees for home delivery, oversized dimensional weight (so that the tariff-rated weight or DIM weight that determines shipping charges is different than the actual weight), delivery to remote locations, pick-up at non-account locations, and fuel surcharges.
• Service-level standards are tracked, monitored, and reported so that companies can communicate specific delivery dates (or at least, narrow windows of expected delivery dates) to their customers.
• Packages are tracked from pick-up through delivery. Tracking information is visible to business customers and consumers as well as companies arranging shipment.
• Contracts may be severed, and put up for bid and renegotiated, with 30 days notice; check your current contract for details.

Analyze your shipping requirements

Next, consider the nuances of your business’s shipping requirements. Are many of your shippable products oversized? Are many of your customers in remote locations? Do your customers plan their purchases well in advance of their needs or do they often need rush shipments? Do you service businesses or consumers? Do your competitors offer free shipping? Consider what will most benefit your company in terms of cost structure and service levels.  

Negotiate (or renegotiate) contracts

Then, advise your representatives that your small-package shipping business is up for bid and negotiate contracts based on your company’s unique shipping challenges.  

Rates and discounts that can be negotiated include:

• Percentage off standard rate;
• Tiered-discount rate structures based on shipping volume;
• Lower surcharges for home deliveries;
• Higher size-measurement thresholds for oversized items (for example, certain larger-than-usual items may qualify for standard rates and avoid accessorial charges);
• Information technology allowances that can fund the purchase of computer workstations that support order fulfillment processes.

Making a decision on which carrier to use exclusively (or mostly) can be difficult as rates probably won’t be quoted in a way that invites apple-to-apple comparisons. Your company might get a higher standard-rate discount from one carrier but greater concessions on accessorial charges from another carrier. Additional factors to consider are pick-up times, claims settlement processes, and adherence to service-level standards. Your specific business needs should guide the analysis of proposals. And, though, your company can use both UPS and FedEx but splitting volumes will mean less opportunity for volume-based discounts.  

Consider benefits and disadvantages of using the USPS

Certain types of shipments may be served most effectively through the United States Postal Service (USPS), which offers the following advantages:

• Low costs on media mail for books, video tapes, CDs, and DVDs;
• Flat-rate fees of standard-sized boxes (supplied at no charge) rather than charges per weight and distance.

Companies that ship small parts and media, and those that ship frequently to remote locations (including Hawaii) and APO/FPO addresses may find that USPS rates are significantly lower than other small-package carriers. However, value-added services, such as real-time tracking and guaranteed service levels, may not be available. Again, knowing your customer and defining your goals in regard to shipping is essential to making a good decision regarding rates and services.  

Find more discounts

Businesses of all sizes may be able to negotiate discounts off standard rates. In addition to contract negotiations, companies can also save these ways:

• Investigate advertised promotions on UPS and FedEx websites;
• Pay FedEx invoices using American Express OPEN Business Card;
• Get pre-negotiated group discounts through membership in trade organizations;
• Install specialized shipping software, provided by companies such as Endicia or Stamps.com, for USPS shipments.

Don’t stop scrutinizing shipping costs after you’ve negotiated a contract. Audit your invoices to verify that your company is receiving agreed-upon discounts; challenge discrepancies. Make periodic reviews to discover nuances associated with calculation of shipping charges. Study your shipping mix to detect trends, such as greater and greater volumes going to remote locations or fewer requests for oversized items; then adapt your negotiation strategies and shipping plans to keep costs low, year after year.

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by Angela Cavallari Walker

According to a survey conducted by The Logistics & Supply Chain Forum, a large percentage of companies are not currently working with a 3PL or third party logistics company.

Of those surveyed, 23% felt that other fulfillment options were a better fit for their companies. One cited reason for this response was the belief that business owners could better control the level of service, cost and quality. Almost half of the other respondents had not even taken the time to review or weigh the option of using a third-party logistics provider.

Fulfillment outsourcing offers many opportunities for companies to control the shipping and fulfillment process without the hidden headaches associated with managing a warehouse, staff and equipment. Most fulfillment outsourcing now includes access to technological offerings such as a Warehouse Management System (WMS.) These systems are integral to the success of managing the storage and movement of inventory in a warehouse and depending on the level or tier can cost anywhere from $35,000 up to $2,500,000.

For fulfillment outsourcing companies such as, SBC Fulfillment, it was important to offer all the access to this technology as well as the control that business owners seek. "Technology continues to be a big driver in our service offerings," says SBC President Brian Schoenbaechler. SBC refers to their Warehouse Management System, SmartTurn as the "glass warehouse" effect, where companies still have the control to view what is going on with their inventory anytime from anywhere.

More reputable fulfillment services companies, such as SBC Fulfillment offer a dedicated client account manager and a customer service support team. By outsourcing their fulfillment, business owners are better able to hold fulfillment companies accountable to a higher level of service.

Perhaps the most surprising feedback from this survey is the amount of opportunity still on the table for both the fulfillment and 3PL industries.

Tags: warehousing | outsourcing | fulfillment | 3PL | WMS

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by Angela Cavallari Walker

According to a statement released by AmericasMart Atlanta, the U.S. economy presents a positive outlook in the new year for the retail industry. The giant marketplace will host eight shows throughout 2010 featuring local and international vendors.

The Atlanta International Gift & Home Furnishings Market Show held earlier this month set new benchmarks and record buying. One reason for this upward trend is the expansion of new product categories and product introductions. Increasingly, retailers, manufacturers, and importers looking to gain exposure of their newly introduced products are turning to these shows to debut their wares.

Exhibitors continue to be a mixed bag of specialty shops, first-timers, multi-store retailers and longtime AmericasMart vendors. One newcomer, Cumberland Designs was able to successfully promote two new products. The online retailer carries a line of collegiate logo products including: pumpkins, wax and LED candles.

Cumberland partnered with SBC Fulfillment last year to design and create their website using Magento-a leading eCommerce software. Additionally, SBC handles Cumberland's fulfillment services including: warehousing, kitting, packaging and shipping.

AmericasMart hopes that this momentum will continue to bring back confidence for consumers and retailers in and beyond 2010.

Tags: fulfillment | magento | retail | georgia | ecommerce | economy

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The manufacturing sector is being transformed by automakers and others looking for a superior distribution network.

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Technology trends and news by Matt Bowman
December 15, 2009 | Comments (2)
Short URL: http://vator.tv/n/c6c

What do you get the person who wants it all, and has no time for fun? Entrepreneurs are by nature hard to please, but these productivity tools just might just do the trick. This year, a blossoming of App stores and SaaS companies means there are plenty new products in the time-saver and ROI-booster aisles. If there’s a special startup owner in your life, you might try giving him or her one of the following gifts. If it falls flat, remember that rapid iteration is key.

Not all of these can actually be purchased on behalf of someone else, so you might need to make a creative gift card… or hack into your entrepreneurs’ accounts.

1) One-year membership to Jigsaw. With instant access to millions of complete business contacts, Jigsaw is an efficient way to get the digits of big-deal decision-makers, and grow marketing and sales lists. Beats digging around company websites, and crowd-sources the database to keep contact info up-to-date. Its point system for updating other people’s contact info also provides a way to milk value from your own database. A year’s supply of 350 contacts costs $250.

2) Backblaze subscription. Unlimited online data backup for one computer that is super easy to use. Military-grad security keeps your data locked up remotely, so when your laptop gets crunched or stolen, you’re all good. Don’t tell your recipient it just cost $5/ month.

3) Drop.io Plan. Simple online private sharing and real-time collaboration for the business team. For $19 / month, in addition to the free ability to create file links accessible via the web, email, phone, fax, and widgets, you get custom branding and templates, central management, and an activity stream to see who accessed what when. Perfect for the virtual office.

4) Business card reader. So many entrepreneurs still don’t use a card reader, that the collective time wasted typing in biz cards to address books probably reaches a few milliennia. Save a few lifetimes; buy a biz card reader. The Business Card Reader iPhone App ($6) is the top paid business app, but this isn’t the best solution if you’ve got a ton of cards to process—in that case go with a physical device and delegate the digitization.

5) Ambiance iPhone App. This does one simple thing: provides background noise to help you sleep or focus. Listen to an Alabama garden, Pacific snowstorm, or crowded bowling alley while you work at the coffee shop. One of my personal favorite apps. For $0.99, you’ll help that type-A relax for the rest of his or her life.

6) SocialOomph service. The proliferation of social tools has catalyzed a milgnant matasticization of social obligations. Time your status updates, outsource Twitter follower growth, identify the most important interactions to have… optimize your “professional social life” under control with Social Oomph.

8) Credit on Crowdflower. Mundane tasks can be a waste of time not only for entrepreneurs, but for their team members. Get those dead-simple but time-consuming, someone’s-gotta-do-it tasks outsourced on the cheap using Labor-as-a-service startup CrowdFlower. You’ll need to create an account and add some credit to get your entrepreneur started.

9) Infodome subscription. One of the biggest pain-points for small business is the collaborative virtual database—how do you get even the less-tech savvy people on your team using it, but without screwing things up? There are no good free solutions, and entrusting a startup-that-might-not-make-it with your database can make an entrepreneur feel a little queezy. Infodome just raised funding, has been building their product in stealth for the last two years, and has an intuitive interface. Get him started with a $20/month subscription.

10) WifiTrack iPhone App. How many times is an entrepreneur in some unfamiliar neighborhood after a biz meeting and in need of Wifi? This app pinpoints the free hubs in your area. Simple and the one-time $0.99 beats a $50 / month data plan. 7) Phone conferencing service. Phone conferences are essential for business, it’s often too tempting to go with a “free” conferencing services—but those are such a hassle either by limiting particpants, forcing cumbersome sign-ups, or yielding spam calls that the catch is often not worth the “free.” Your entrepeneur probably can’t bear the thought of paying for this, so you’ll need to buy it for him / her. Here’s a decent subscription plan. http://www.infiniteconferencing.com/flat-rate-conference-call.asp

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Internet Retailer Asks: Open for Business?

Internet Retailer asks whether or not you’re Open for Business? In this article, Internet Retailer focuses on some of the key benefits of using an Open Source eCommerce platform, focusing on Magento, such as great Return on Investment (ROI) and a quick time to market and how to weigh those considerations when it comes to your unique situation.  The article highlights action sports retailer Zumiez and how they were able to, in a very short span of time, transform their online channel into a true marketing vehicle, using Magento Enterprise Edition.

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More than just logistics managers, 3PLs are adding value in the form of strategic partnerships.

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The novelty of shopping on the Internet has worn off, and today’s customers are sophisticated and discerning. Because the competition is always just a mouse-click away, you need to make sure your site is the very best it can be. Because if you do not do e-commerce right, your visitors will find someone who does. Try not to make any of these common mistakes:

1. Trying to sell the wrong product online.

Not all products will sell successfully on the Internet. Inexpensive products that require a shipping charge are typically not worth selling, particularly if they can be easily purchased in most local stores. Other products, such as specialized high-end clothing, may be more difficult to sell because people prefer to try them on. Research how other e-commerce sites have fared with similar products and what tactics that have used to entice shoppers into ordering online.

2. Lack of marketing.

Just because you have a product and a Web site does not necessarily mean anyone will find it. You need to market your site both online and off. Focus on your company’s competitive advantage, and do your best to convince the customer that you are offering a great deal.

3. A poorly designed Web site.

In their haste to get online quickly and start selling, too many e-commerce novices do not display their wares well. Many would-be Web designers crowd their sites with too much information or cram too many items on a single page. A professional-looking site that features a dozen items with clear photos and descriptions is more effective than one that includes 50 sales items all bunched together. Also, be wary of too much color, Flash animation, or graphics that can slow downloads.

4. Falling behind the times.

If you do not keep your site current, you will lose out to competitors that do. Stay on top of the industry and post new items often. If customers visit your site over the course of several weeks or months and nothing has changed, they may assume the site is no longer maintained, and they may look elsewhere. A successful e-commerce site is one that stays current and appears vibrant.

5. Poor checkout procedures.

Once your customers decide what they want to purchase, it should be easy to go to the shopping cart and pay without having to answer questions or jump hurdles. Make completing the transaction as easy and painless as possible.

6. Not testing your site.

All the links on your site, including product descriptions, photos, the shopping cart, feedback, and others, should be routinely tested to make sure they work.

7. A hard-to-find or nonexistent privacy policy.

Although most people will not actually read your privacy policy, some shoppers will want to know what you will do with the information you collect.

8. Poor order fulfillment.

Word travels fast on the Internet, and just one or two unhappy customers can do irreparable damage to your reputation. Before you launch your site, make sure you are prepared to fill the orders your customers place, and do your best to deliver your product in a timely fashion.  SBC Fulfillment can help you here!

9. Straying from your objective.

If your goal is to have an online children’s furniture business, do it; don’t start selling patio furniture or antiques. Too many e-commerce sites lose their primary focus and start spreading themselves too thin. Stick with your area of expertise.

10. Poor customer service.

Perhaps this is the most significant area of all. Web consumers today are very conscious of customer service, and they are apt to go elsewhere if they feel you are not providing them with the level of service they deserve. If you heed only one thing from this list, make it this one. Provide excellent customer service and your satisfied customers will spread the word.

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It’s that time of the year again, where we look back at the year that was and look forward to the year ahead. We formally launched Logistics Viewpoints on January 26, 2009 and thanks to all of you, our readership today is almost 5X greater than it was in February, and we’re getting an average of about 2 new email subscribers per day. What were you all reading? Below are the top ten postings (in terms of page views) so far this year:

1. Crocs: From Revolutionary Supply Chain to Almost Bankrupt
2. Walmart’s ‘Win-Play-Show’ Assortment Strategy
3. UPS Getting a Bailout (So Says FedEx)
4. A Google Approach to Supply Chain Management
5. Is it possible to accurately calculate Total Landed Costs?
6. Video Game Technology Comes to Warehouse Management Systems (WMS) Market
7. Performance-based Outsourcing in Logistics
8. Who Is The Best Logistics Service Provider (3PL)? 
9. Explaining the Value of Logistics to the CEO 
10. Initial Thoughts on Walmart’s Sustainable Product Index

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The list goes from the title receiving the most votes to the one that received the least….but no book is any less important.

1. Groundswell (by Charlene Li): This title was the overwhelming winner in the poll. I cannot argue that wonderful case studies and the concise, direct approach of the book. It is so small but packed with so much useful information.

2. Trust Agents (by Chris Brogan and Julien Smith): This was the second place winner and my own personal favorite. A great book filled with straight forward advice, no nonsense action plans and most importantly it focuses on many of the ethical aspects we can sometimes forget when marketing via social media channels.

3. The New Rules of Marketing and PR (David Meerman Scott): Our third place winner is a definite must-have for marketers and non-marketers alike. This book is packed with straight talk from DMS on how to really ride the wave rather than having it crash on top of you.

4. Social Media Marketing in an Hour a Day (Dave Evans): Are you a Marketing VP desperate to find a way to prove the effectiveness of social media marketing to the big boss? If that is the case, then this is ABSOLUTELY your book. It contains a great blueprint for pitching upper management on the importance of taking the leap into the social media world.

5. Crush It (Gary Vaynerchuck): Got heaps of passion and want to cash in? If this is your outlook, our fifth place book is the perfect fit for you!

6. Inbound Marketing: Getting Found Using Google, Social Media and Blogs (Brian Halligan, Dharmesh Shah and David Meerman Scott): The title is uber popular with the folks polled and I can understand why – it is written by those innovators at HubSpot. My advice, check out HubSpot first and if you like what you see, get the book. In my opinion both are a slam dunk.

7. The New Community Rules (Tamar Weinberg): If you are looking for a great read packed with facts, figures, case studies and applicable information…check Tamar’s book out. I love it!

8. The Social Media Bible (Lon Safko and David K. Brake): If you are a marketer, I really suggest going out and buying this book. This book is a great quick reference guide to all of the different online avenues, their strengths and weaknesses in addition to what they can mean to your business. A great way to group information and understand concepts quicker. Highly recommended!

9. Six Pixels of Separation (Mitch Joel): Another popular book with the masses, this one focuses on blending the world of social media, marketing, digital marketing, branding and more.

10. Socialnomics (Erik Qualman): If you are someone who likes a more research based approach at explaining how the social media is affecting our professional and personal culture, this book is for you.

Honorable Mentions: these books were just outside of the top ten…meaning they are still worth it!

• The Whuffie Factor (Tara Hunt)
• Me 2.0 (Dan Schwabel)
• Tribes (Seth Godin)
• The Viral Loop (Adam L. Penenberg)
• Twitter Power* (Joel Comm)
• The Virtual Handshake (David Tetan and Scott Allen)
• Twitterville (Shel Israel)

My sincere hope is that this list gives you a touch of inspiration to pick up one of these wonderful titles and learn more about this wonderful world of online marketing.

http://www.chrisgomedia.com

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Tags: holiday | fulfillment | recession | consumer | economy | outsourcing | storage

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UGA: Increase in shipping should help local economy slowly recover

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by Angela Cavallari Walker

According to a recent study conducted by Performics, online shopping got an early start this holiday season.  "2009 Online Buyer Econ

omic Trends" found that one in five consumers got a jump on the bustling season starting as early as September. Of those shoppers, 29% started sooner than prior years.

The confusion and stress of traditional black Friday shopping has pushed consumers to keyboards instead of parking lots.  "You have to decide what is worth your time and frustration," said online shopper Denise Wall.  For Wall, no-hassle ordering and free shipping were big factors for shopping at home this holiday.

Wall decided against standing in line for more than two hours at a local Wal-Mart, and stayed home to peruse online ads in her pajamas instead. Online shopping trends have E-commerce retailers scrambling to meet the early demands of consumers. Popular stores such as Lands End and Zappos.com promoted their black Friday sales and wares to compete with more traditional brick-and-mortar retailers like Wal-Mart and Target.

By outsourcing their fulfillment needs, online retailers can compete in a hard economy and make a lasting impression during the busy holiday season. "Retailers are able to concentrate on product development and marketing," says Brian Schoenbaechler President of SBC Fulfillment.

Fulfillment companies offer more than just pick-pack-and-ship operations, and the E-commerce industry has taken notice. Full-service fulfillment solutions are now specialized to meet the unique requirements of retailers. This year, SBC rolled out a new E-commerce application called Magento Connect, which allows online retailers to directly tie-into SBC''''s fulfillment products.

"We can offer online retailers the leverage to make a lasting first impression for their business during the peak holiday season and throughout the new year,” says Schoenbachler.

To learn more about fulfillment services click here

Tags: christmas | online | fulfillment | ecommerce | shopping | holiday

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In this article by BARBARA TAYLOR in the NY Times.

The Knack: How Street-Smart Entrepreneurs Learn to Handle Whatever Comes Up
By Norm Brodsky and Bo Burlingham
I love Norm’s articles in Inc. I can’t believe I haven’t read his book.

The Tipping Point: How Little Things Can Make a Big Difference
By Malcolm Gladwell
I need this book to sit on the shelf alongside the Malcolm Gladwell book that I do own, Outliers: The Story of Success. Then I need to read them both.

The New Rules of Marketing and PR: How to Use News Releases, Blogs, Podcasting, Viral Marketing and Online Media to Reach Buyers Directly
By David Meerman Scott
I was a marketer in corporate America for many years, and am even more passionate about marketing now that I’m a small-business owner. The game is certainly changing, and I won’t be left behind.

The Buyout of America: How Private Equity Will Cause the Next Great Credit Crisis
By Joshua Kosman
I can’t resist a title like this. (You had me “Private Equity.”)

Trust Agents: Using the Web to Build Influence, Improve Reputation, and Earn Trust
By Chris Brogan and Julien Smith
I credit Chris Brogan’s blog and tweets with teaching me most of what I know about social media marketing.

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Tepid demand, ocean capacity shortfalls, and tougher product safety rules have set up the toy business for a lump of coal this season.

By Mark B. Solomon

Link to original article

It's not every day that trade association executives talk candidly about the economic pressures facing the industries whose interests they are paid, often handsomely, to represent. But Jeff Bergmann, chief operating officer of the Cincinnati-based Toy Shippers Association (TOYSA), could not sugarcoat his response to a query about the outlook for toy sales this winter.

"It's not going to be a very good holiday season for our members," he said in a late October interview. Bergmann has valid reason for concern. According to a mid-October survey from the National Retail Federation (NRF), the typical U.S. consumer will spend $682 on holiday items this year, down 3.2 percent from 2008 and the lowest level since 2003. (The survey didn't solicit responses specific to purchases of toys.)

Not surprisingly, a separate NRF paper that tracks U.S. containerized ocean traffic entering U.S. ports has reported the weakest activity since 2003, as worried retailers pare back new orders in response to tepid end demand.

"We see stock levels (at retailers) that are significantly lower than in previous years," Eric Levin, executive vice president of Techno Source, a Hong Kong-based toy and game manufacturer, said in late October.

Levin said the financial crisis stands to reshape the entire supply chain landscape for the toy business. Traditionally, retailers placed their orders early in the year and suppliers shipped holiday stock throughout the summer for delivery to stores by early September. This year, retailers concerned about buying too much too soon spread their orders over a five- to six-month period that began in July and ran through November, Levin said. This has wreaked havoc on many supply chains, which were ill-prepared to make the adjustment, he said.

The executive said it's too early to tell if the shifts in order patterns are a one-time event in response to the downturn, or the start of a long-term trend. If it's the latter, "it will change a lot of the business flow in Chinese factories going forward," he said.

The retailers' cautious stance is not new. In 2008, toy import tonnage from China—by far the main source for U.S.-sold toy and game products—declined 8 percent over 2007 levels, according to consultancy IHS Global Insight. By contrast, import tonnage from China in 2007 rose 14 percent over 2006 levels, the firm said. It has not made projections for 2009's import activity.

Tight capacity
Weak demand is not the only challenge facing the toy industry. Another is a shortage of ocean liner capacity. In response to the global downturn and a non-compensatory pricing climate, a number of ocean carriers have taken ships out of service, leaving toy shippers and importers hard pressed to secure cargo space when they need it. TOYSA's Bergmann lauded the steamship lines for being flexible and accommodating to his industry's needs, but acknowledged the group has fielded "a few calls" from members looking for capacity during peak season and not finding it.

Should the space become available—and steamship lines can quickly get mothballed vessels back in the water if demand warrants—it will likely cost more to procure. Or at least it will if the carriers have their way. In August, the toy supply chain was hit with a $500 rate increase per forty-foot equivalent unit container (FEU); most of that increase has stuck. That increase was followed by a peak-season surcharge and "equipment repositioning" charges, as carriers look to shore up their bottom lines any way they can.

The third-party logistics service providers (3PLs) have been the main targets of the carriers' rate hikes. That's because so-called beneficial cargo owners—typically manufacturers or retailers—had language in their contracts barring rate increases or absorption of peak-season surcharges.

Bergmann noted that 3PLs are absorbing the increases or trying to pass them on to their customers. Some shippers have accepted relatively small increases from the 3PLs, he added.

Bergmann said TOYSA believes carriers just want to return to some level of pricing normalcy and are not looking to gouge his members. But that's little solace to an industry already facing sluggish demand during its most important selling period. "It's quite a conundrum for us," he said.

Get in gear!
The toy industry's challenges won't stop when Santa Claus packs it in for another season. In August 2008, President Bush signed legislation requiring that by this February, manufacturers and importers must certify that their toys have been tested and are in compliance with mandatory safety standards. Importers are required to have compliance certifications available to inspectors at the time the products are examined.

The legislation arose from several incidents in recent years involving the safety of U.S. toy imports, notably a 2007 incident when Mattel Inc. had to recall nearly 1 million Fisher-Price toys after discovering its supplier had coated their surfaces with lead paint.

David J. Evan, a New York-based attorney who advises companies on the new law, said the testing process and the potential for negative test results could disrupt the supply chain at any point. If inspectors snag a non-compliant product or product component, the goods can't be distributed until the affected item is removed or replaced. This could result in shipment delays, product recalls, and stockouts, Evan warned.

The New York-based Toy Industry Association has developed what it calls an industrywide process—which includes extensive product testing—to ensure compliance. In October, the group announced that manufacturers could start applying for certification under its new "Toy Safety Certification Program." Toys certified under the program are expected to appear on store shelves in 2010, the association said.

Amy Magnus, district manager at A.N. Deringer Inc., a St. Albans, Vt.-based customs broker, freight forwarder, and 3PL, said manufacturers and importers should expect government inspectors to be aggressive in enforcing the law. Magnus added that other agencies aside from the Consumer Product Safety Commission (CPSC) now have the power to place manifest holds on cargo to satisfy their own requirements. She suggested that companies seek the help of a broker or an import specialist to avoid stiff fines for non-compliance.

Evan said the CPSC is adding staff at U.S. ports, which will result in more inspections. If a product is stopped at a port due to compliance issues, the CPSC and the U.S. Bureau of Customs and Border Protection will conduct a field test and send samples to CPSC facilities, where examiners can place a hold on the goods until they determine if the product is in compliance. Goods that fail the compliance test will not be released into U.S. commerce.

Levin of Techno Source said toy manufacturers must balance the ability to test thoroughly with the need to quickly move products through the process so they can hit store shelves on schedule. They must also convince retailers to accept testing reports that manufacturers already have on file so they can avoid paying for the same tests to be re-run for each retailer, he added.

"If every retailer begins to require tests be re-done just for them, it will create significant unwarranted expenses and delays," Levin warned.

Regardless of the different issues that could potentially fracture industry interests, Levin said all the players are on the same page as to the overriding priority.

"We as an industry are all aligned in wanting to ensure that toys are safe for kids," he said.

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By Kate Vitasek and Joseph Tillman

Link

For many people, it's not Christmas without watching "A Christmas Story," a movie about a nine-year-old boy named Ralphie who goes to great lengths to make sure Santa brings him a BB gun for Christmas. And not just any BB gun. What Ralphie wants is a Red Ryder Carbine-Action, 200-Shot Range Model BB gun with a compass in the stock and a thing that tells time (a sundial in the stock of the gun).

Ralphie's story is likely to carry some resonance for supply chain professionals. In many ways, it captures the essential challenges of order fulfillment —understanding the customer's expectations, meeting those expectations, and measuring customer satisfaction.

It's clear from the start what it will take for the supplier (Santa) to satisfy his customer (Ralphie). Santa has to make sure the order arrives complete —for example, he can't forget "the compass in the stock and a thing that tells time." He has to deliver it on Christmas morning. And he has to see that the gun comes undamaged and with the instructions (documentation) included.

In the language of order fulfillment, what Ralphie's looking for is the classic "perfect order" —one that arrives on time, complete, and damage free, with the correct documentation and invoice (if applicable). Santa's challenge is to make sure his execution of that order is flawless.

Nothing less than perfection
But how can Santa tell if he's performing to expectations? One way would be to calculate the order's score on the Warehousing Education and Research Council's (WERC) Perfect Order Index (POI). To calculate a POI score, you simply multiply the four key "perfect order" metrics together: percentage delivered on time × percentage shipped complete × percentage shipped damage free × percentage shipped with correct documentation.

Although a number of industry organizations have adopted the POI as their standard for measuring performance, the index also has its critics. Some have challenged the formula's "multiplier" effect, arguing that it inflates the significance of a single failure. A score of 0 on just one of the metrics (say, the order is delivered an hour late) drops the overall POI score down to 0, effectively canceling out the supplier's achievements in the other three areas.

But we argue multiplying is the purest way to look at an order from your customer's —not the shipper's or the supplier's —perspective. If the order doesn't meet all of the customer's expectations, the supplier has failed. Period. You don't get partial credit when you fail the customer.

For example, what if Santa left Rudolph at home and encountered thick fog in Northern Indiana, delaying the order's arrival until after lunch on Christmas day? Regardless of whether Santa got everything else right, Ralphie would be an unhappy customer. That disappointment would be reflected in the order's POI. Santa would get a 0 for on-time delivery, netting him an overall POI score of 0.

The customer-focused measure
In Ralphie's case, it all works out in the end. Santa meets his customer's expectations on all counts, fulfilling both Ralphie's order and his dreams. But not all customers are so lucky. WERC's most recent survey of warehousing and distribution professionals found that respondents only shipped perfect orders 87.5 percent of the time.

Part of the problem may be that not all suppliers are as attuned to their customers' expectations as Santa is. While some companies have worked hard to define their customers' fulfillment requirements, others are still dragging their feet.

If you haven't developed your own definition of your customer's perfect order, we recommend you default to the WERC definition. It's hard to argue with the premise that most customers want what they ordered, when they wanted it, how they wanted it, with an accurate invoice.

If you think this definition is too strict, we urge you to think of Ralphie. Achieving the perfect order is not out of reach. Just ask Santa.

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