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Tired of Customer Complaints? Discover the Kitting Solution

Kitting is a warehousing process where related items are bundled together into a single package or kit. This pre-assembled kit is ready to ship as soon as an order is received, streamlining the fulfillment process.

Let’s understand kitting with an example:

Imagine you’re shopping online for beauty products. You order a lipstick from one seller, nail polish from another, and a face mask from a third. These items are shipped to a central warehouse. Instead of picking, packing, and shipping each item separately, the warehouse waits for all three items to arrive and combines them into a single package. This process, called kitting, saves both time and money.

Isn’t it a brain-consuming process? Was the traditional fulfillment technique better?

The traditional method of order fulfillment was not only time-consuming but also costly. This example will answer all your “HOWs” and “WHYs” —

Scenario: An online bookstore sells novels, textbooks, and study guides. Customers often buy a novel along with its corresponding study guide.

Traditional Fulfillment vs. Kitting Approach

Traditional Fulfillment:
Without kitting, when a customer orders a novel and its study guide, the fulfillment team would:

  • Locate: Find the novel and study guide separately in the warehouse.
  • Pick: Pick each item from its designated location.
  • Pack: Pack each item individually.
  • Ship: Ship both items separately to the customer.

Kitting Approach:
With kitting, the bookstore would:

  • Bundle: Combine the novel and its corresponding study guide into a single kit.
  • Assign SKU: Assign a unique SKU to the kit.
  • Store: Store the kit in a designated warehouse location.


Now, when a customer orders the novel and study guide, the fulfillment team simply:

  • Locate: Find the kit using its SKU.
  • Pick and Pack: Pick and pack the kit as a single unit.
  • Ship: Ship the kit to the customer.

Wondering What an SKU Is?

SKU stands for Stock Keeping Unit. It’s a unique identifier assigned to each product in a retailer’s inventory, similar to a product’s barcode or serial number.SKUs typically combine letters and numbers, designed to be easy to read and understand. Examples of SKUs include:
  • Simple SKU: 123456
  • SKU with product details: ABC-123-RED-L (where ABC is the product category, 123 is the product number, RED is the color, and L is the size)

The Importance of SKUs in Kitting:

SKUs (Stock Keeping Units) play a crucial role in kitting for several reasons:
  • Accurate Product Identification: SKUs ensure the correct items are included in each kit, preventing errors and ensuring customer satisfaction.
  • Efficient Inventory Management: SKUs help businesses monitor inventory levels accurately , ensuring they have enough components to assemble kits.
  • Optimized Kitting Processes: SKUs automate kitting, reducing human error and enhancing efficiency.
  • Cost Control: SKUs help identify and eliminate unnecessary kit components, reducing costs and improving profitability.
  • Data Analysis: SKUs provide data on kit sales, popular combinations, and customer preferences, informing future kitting strategies.

Benefits of Kitting:

  • Faster Order Fulfillment: Pre-assembling kits reduces the time needed to pick, pack, and ship, leading to faster turnaround times and improved customer satisfaction.
  • Reduced Errors: Kitting minimizes errors by ensuring the correct items are included in each package, preventing mistakes like missing components or incorrect quantities.
  • Lower Costs: Streamlined fulfillment through kitting reduces manual steps, handling, and shipping costs.
  • Enhanced Customer Satisfaction: Customers receive all necessary items in a single shipment, reducing the inconvenience of multiple deliveries.

Worst-Case Scenarios Without Kitting:

  • Delayed Orders: Picking and packing individual items extend order processing times, leading to customer dissatisfaction and lost sales.
  • Higher Costs: Manual labor involved in separate picking and packing increases labor costs, and shipping multiple packages is more expensive.
  • Inventory Inefficiencies: Tracking inventory levels and usage is harder without kitting, potentially leading to stockouts or excess inventory.
  • Customer Experience: Delays, errors, and multiple shipments can negatively affect customer experience, reducing satisfaction and loyalty.

Conclusion:

PPFD is a leading provider of kitting and fulfillment services, dedicated to streamlining operations and enhancing customer satisfaction. Our expertise, state-of-the-art facilities, and dedicated team ensure that your orders are handled with precision and care. With competitive pricing, efficient processes, and exceptional service, PPFD is the ideal choice for businesses seeking to optimize their fulfillment operations. Partnering with PPFD can reduce costs, improve order accuracy, and elevate the overall customer experience.

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