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Logistics & Warehousing for Cosmetics: Challenges, Returns, and Packaging

SWIL by SWIL
Mar 16, 2023
in GST Updates, Warehouse Management
Reading Time: 6 mins read
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Warehousing for Cosmetics

The personal care and cosmetics market has developed recently, and the availability of more than one distribution presents new logistical and storage issues. The cosmetics and personal care sector have changed recently, much like the fashion sector. 

Every day, a steady stream of new items enters the market, and they are offered on several button channels on different platforms. In the past, only the counters of significant department shops carried high-end cosmetics. You may get less-priced deodorant and everyday necessities like toothpaste at the pharmacy. 

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Consumers may still purchase these items from various retail places today. Still, they can also go to a company’s website, an eCommerce site like Amazon, or even join up for subscription services to get them regularly. Challenges have always existed in the cosmetics sector. Vendors need to be aware of and ready for these new purchasing methods.

Article Content-

  1. Protection Of Product Integrity
  2. Presentation and Packaging
  3. Selling across Several Platforms
  4. Speed, precision, and devotion
  5. Choose your return policies in advance
  6. Conclusion

Protection Of Product Integrity

The difficulties presented by cosmetics and other personal care products resemble those with food and drink in several respects. Shelf life, spoilage, and FDA clearance are all significant factors. To maintain a sterile environment, care must be taken with workstations that may require specialized material handling. 

A controlled environment with regulated humidity and temperature may be necessary for storage. Some of these procedures must be followed even by businesses (such as warehouses and 3PLs) that do not manufacture the items. Products’ color, fragrance, or consistency may change if they are allowed to get too hot or cold. 

Problems like these may be disastrous in a sector where consumer loyalty and product ratings can make or destroy a company. Throughout every stage of the fulfillment process, warehouse managers need to protect their items. The origin, position in the warehouse, and product destination must all be tracked with exceptional lot control. 

Presentation and Packaging

Unboxing videos, cosmetic lessons, and sharing daily skincare routines are all forms of online influencer work. The cosmetics business is all about looks. The same holds for how the items are displayed and packaged. There are two immediate needs for packaging for beauty items. It must be safe and accurate to the brand. 

First, let’s talk about security. Using boxes and other packaging supplies, containers must be protected from leaks and damage. If many things are transported together, their bundling or kitting must be orderly and appealing. When offering a remarkable client experience, just throwing them in a package together won’t cut it. 

Branding and presentation go hand in hand. The most popular firms have logos on their packaging, including boxes, wrapping paper, tape, and even stickers or bumper stickers. The packaging may be used to communicate to the consumer industry keywords and messages (such as vegan, pure, clean, and sustainable). 

These techniques are not just used in high-end cosmetics: Even cheaper goods attempt to have intelligent, attractive packaging. By outlining kitting procedures, either at the production site or a 3PL, warehouse management software may support the development of unique packaging. 

Selling Across Several Platforms

Working with the specific demands of several platforms has become challenging as cosmetics eCommerce has exploded. While a brand may still sell to drugstores, it may also have grown to compete with industry giants. In addition, they might run their own DTC website (direct to consumers). 

Any company that wants to grow and sell in various places will require either one or the other. Brands may develop their product lines or collaborate with other vendors by selling cosmetics and personal items over multiple channels. For instance, collaborating with a distributor of subscription boxes might introduce the brand to another market. 

To connect with and exchange data with different retailers, businesses need to have EDI (electronic data interchange) capabilities. In addition to having its own configurable API, Swil’s Cosmetic Store Management Software may offer such functionality (application programme interface). Any brand that wants to grow and sell in a variety of places will require either one or the other.

You may also profit from trends by selling products that enhance or serve as accessories to the original product. For instance, becoming organized is a topic of significant attention. It may be highly profitable to track down the manufacturer of a beauty bag or bin that you can sell independently or with your lipsticks or makeup brushes.

Speed, Precision, and Devotion

Customers who purchase cosmetics often make snap decisions and buy the “next big thing” they’ve seen in Vogue or on Instagram. They might also be devoted to a single product or brand for decades. Individual preferences influence trends in beauty products for fashion, style, and taste. Brands must satisfy consumer demands as soon as possible. 

A WMS with predictive analytics is where it all begins. This leads to a robust inventory management system that, by keeping track of what is on the shelf and warning when supplies run short, may assist managers in maintaining a collection of high-demand commodities. 

Beauty companies must walk a fine line between purchasing enough to keep up with demand but not so much that they end up with obsolete merchandise. Proper quality control and precise picking are required for fulfillment at the warehouse. 

Once items are packaged, the shipment must go quickly. Along with working against the clock to maintain the goods steady and in excellent condition, you must also compete with your rivals.

Choose your Return Policies in Advance

No matter what you are selling, there will always be returns. You won’t want the makeup stuff back. Something that has been opened and partially used cannot be sold again. In addition, shops may impose RTV fees (return to vendor). Instead, you should provide the shops you sell via DIF (destruction in the field) orders. 

The problem of handling returned goods could then be resolved, but you still have to select how you will refund or replace items for dissatisfied consumers. You may easily set up a WMS system that records your customers’ data to give refunds, store credits, or supply replacements. Finding out what occurred initially is just as crucial as setting things right with the consumer. 

Is one retail location the central location for returns? Perhaps there is an issue there or with a specific shipment of lots. Are fulfillment issues being caused by a single picker? Or are bottles being harmed by automated machinery before they leave the warehouse? Managers may find the cause of incorrect orders or damaged items with effective monitoring of warehouse activities. 

Conclusion 

Like any product, the cosmetics sector’s issues may be overcome with effective warehouse design, fulfillment processes, packaging, and shipping. What sets it apart is an understanding of the distinctive qualities of the items and client expectations. Your brand will be in good shape after you tailor your processes and procedures with warehouse management technology.

Tags: cosmetic warehousing
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Akanksha Bhargava is a content writer expert for SWIL. A reader, an avid researcher, and a tech enthusiast. She loves to read and write about the latest technologies that are shaping the retail and wholesale business sectors. She helps boost sales using the best technology has to offer for trade and commerce. In her free time, she loves to travel to new historical places and listen to light music.

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Table of Contents
  • Protection Of Product Integrity
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