The Importance of Data for E-Commerce Logistics: How to Use Data Analytics to Improve Your Supply Chain

The Importance of Data for E-Commerce Logistics: How to Use Data Analytics to Improve Your Supply Chain

By Nick Bartlett on May 17, 2024
Collecting data and using it to make better business decisions is critical for e-commerce retailers. Here's why and how you can do it easily.

As the e-commerce market becomes increasingly competitive, it becomes more important to sell your products through multiple channels and work with various logistics providers all over the globe.

With this added complexity comes the need to figure out how to manage all the extra channels and providers, not to mention how to do it efficiently. 

What is the key for e-commerce retailers to have success in today’s fast-paced environment?  Data.

Collecting, analyzing, and making informed decisions based on data collected from your supply chain activities is one of the most important resources in giving your company an edge over the competition. 

Collecting and analyzing data on your logistics can help your business in many areas, including

  • Optimizing inventory levels
  • Making delivery as efficient as possible
  • Bargaining with carriers
  • Reporting on supply chain activities & sustainability

In order to get the data you need to make those informed business decisions, you need to use software systems that can collect data on your supply chain constantly. 

In this article, we’ll run through the specifics on each one of those points; why they are important, and how data can help you better manage and make decisions concerning each one.

Plus, we’ll discuss some of the best ways you can collect and analyze data on an ongoing basis. Read on for more!

Read about CBIP's Adaptable 4PL Logistics Services

Optimizing inventory levels

The average stockout rate among e-commerce businesses can be as high as 10%. If you aren’t optimizing your inventory and keeping track of what you have, you are missing out on sales.

It isn’t easy to know how much stock to have on hand. Many before the pandemic were proponents of the just-in-time method, while post-pandemic many DTC retailers began storing large amounts of stock to avoid the supply chain issues of COVID times.

However, it isn’t just about keeping more stock than you need or just enough to satisfy orders for the next month or so. Nowadays, it's all about forecasting demand; utilizing predictive analysis of historical data to find the right stock levels for every item, at every time of year.

Nearly three in four retailers struggle with accurately predicting demand, which leads to shoddy restocking methods, and possibly money wasted on unnecessary storage.

How can you improve fulfillment?

Last-mile logistics is notoriously difficult and inefficient. Software developers and carriers have been working on making the last mile of logistics more efficient since the burst in the growth of e-commerce in the 2010s. 

One of the most effective tactics is using AI software that can take data from various sources- weather, traffic prediction models, and historical delivery time data, to optimize delivery routes like never before.

Bargaining power with carriers

This past year in North America, shipping rates for the major carriers rose around 6 percent — more than that if you consider all the small increases in surcharges and new fees tacked on. 

The rise in rates and competitiveness in the e-commerce space means that you have to get creative to cut costs where you can. That means using data to gain leverage.

How? By using the one bargaining chip that works best with the carriers when you want them to reduce your rates: Historical shipping data. To get the best rates, you need to have the data to hand over to your carrier. 

Sustainability reporting

This year was a big year for ESG reporting standards. In the EU in particular, some major changes in requirements are underway.

 For large listed companies, reporting on what goes on in their supply chain is now mandatory. For smaller listed companies, the standards are different, since their resources are considerably smaller, but the EU is still requiring the smaller companies to report on certain activities at a later date.

The new reporting requirements have not become a reality everywhere yet, but we are entering an era in which it seems likely that it soon will. For e-commerce companies of any size, it’s important to start thinking about how you will collect that data now before the requirement begins.

How to collect data

When it comes to collecting data on your supply chain actions, you need a centralized platform that can integrate with all your logistics providers. This may come in the form of a WMS (warehouse management system), TMS (transportation management system), or OMS (order management system.

Although the names differ and they all cater to different areas within logistics, all three of these software have similar purposes at their core: automate processes and collect data constantly to create reports.

A TMS is typically used more by carriers and other transportation companies, useful for tasks like:

  • Optimizing routes
  • Tracking shipments
  • Managing carriers

The WMS is for internal use, and helpful for tasks like managing stock levels, tracking stock movement throughout a warehouse, and forecasting product demand peaks. They are particularly good for helping plan how much inventory to keep on hand, saving you from overspending on storage and making stock-outs less likely.

Then there’s the OMS, which is often capable of managing and collecting data on the entire supply chain journey - from order to delivery. If you can find a great OMS, this platform will be able to collect data and create reports on most of the tasks that the TMS and WMS handle.

CBIP has a new OMS to help you collect and analyze logistics data

For those wondering how to collect and take advantage of data from their logistics operations, look no further. 

CBIP Logistics has created an in-house OMS that can manage the entire logistics process end-to-end, all while collecting data from every step of your logistics and providing you with the most important KPIs to help grow your business.

You might wonder how we are able to collect data on your entire logistics operation so seamlessly. As a global 4PL, we do not own any of the logistics assets we work with (for instance, the warehouses). Instead, we have a vast network of independent providers we work with. 

Although those providers are not owned by CBIP, we take care to make sure that each one of the providers we work with is integrated into CBIP’s OMS platform. All their technology, all the data from their in-house systems, feeds into our platform and ends up in your portal.

Want to learn more about CBIP’s new OMS, or just want to take advantage of a totally free logistics consultation with one of our own? Reach out today,

About Author

Nick Bartlett

Nick Bartlett is CBIP’s director of sales and marketing. His expertise lies in marketing, supply chain management, and corporate retail experience. He honed his skills over 10+ years working across the Asia Pacific region and beyond.

Nick keeps a close eye on new markets and believes successful business operations come through value-based relationships.


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Every e-commerce brand or seller is a little different. So, the best way for us to provide you with a detailed quote is to fill out our online questionnaire here and from here we can walk you through the various options available to you with CBIP Logistics.

No, we do not charge the higher fee associated with long-term storage. No matter how long the goods remain in our warehouse. They are charged the same rate for inventory storage.

Yes! We can store your inventory and replenish Amazon as necessary, helping you adhere to Amazon’s strict rules and regulations for packaging, labeling and shipping.

We charge for storage by either cubic meter, sqft or per pallet / racking space per week. It depends on the request from the customer as one-size doesn’t fit all. It would be better if you schedule a call with us

We provide a variety of services in the logistics landscape which includes Ocean Freight, Airfreight, Domestic Delivery, Warehouse & Distribution and Customs Clearance & Brokerage.

We offer several types of warehouses that are tailored to your requirements and vary among countries, e.g. Bonded Warehouse, General Warehouse, Consolidated Warehouse and Distribution Center.

Yes, you can track it from our platform by using the “Log In” function and access to “B2B” which is dedicated to track any shipment you have with us. This is a real-time platform which integrates with some major carriers so from here you can get the visibility of vessels on the globe map.

  • Origin Management: digital PO management and connected suppliers supported by agnostic 3PL vendor management capabilities.

  • Shipment Tracker: real time tracking also vessel tracking to let you know where the goods are.

  • Destination Management: platform manage the delivery to Distribution Centre and update frequently on platform.

  • Paperless Handling: we centralize the document hub on the platform for shipment-by-shipment. From here you can get the full documentation of a particular shipment within a click.

We offer the consulting services to enterprises who looking for either:

  • Optimizing their existing operations for cost, operation & performance effectiveness.

  • Scale their B2C or B2B business

Yes, our consulting services range from completing assessments on existing business, strategy & planning, tendering & RFP development, vendor selection and transitions & special projects.

Every business, we have a dedicated Account Manager who is the focal contact point that you can get in touch for daily operation.

Greenhouse gases (GHGs) are any gases that contribute to climate change through the effect of global warming (carbon dioxide, methane, nitrous oxide, and more). As more of these gases are released, the atmosphere traps more heat from the sun every year. This is causing the climate to change. GHGs and carbon dioxide (CO2) emissions are often used interchangeably with carbon emissions when talking about the climate.

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