What are continuity orders?
Continuity Orders are sometimes also referred to as Auto-ship Orders, or simply Continuity. In a fulfillment program they can lead to:
- the generation of additional revenues
- the increase of cross sales involving additional products
- a successful direct marketing campaign
Selling more products to your customers and maintaining a long-term relationship with them is a much more cost-effective method than constantly trying to attract new business. Some research puts this difference at a 1 to 9 ratio.
Understanding the benefit and importance of continuity orders
Product fulfillment programs that incorporate continuity orders can more easily generate predictable revenue, at a steady pace, and profitably, since the most expensive venture is typically in making that initial sale. But with every additional sale made to that same customer, the cost of attaining that sale plummets drastically.
There are some inherent benefits a business may realize with continuity orders. Assuming that you retain the customer for a few months, you will dramatically increase your revenue potential. Your monthly sales and marketing fees should lower, freeing your cash position to more effectively promote additional products to your existing customer base. Since you are already regarded as trustworthy in their eyes, they will more likely purchase from you rather than another company.
Managing your Continuity Orders
You can manage your fulfillment continuity orders very easily. Depending on the complexity of your e-commerce solution, you may be able to have that monitor the frequency of the trigger to ship the next order. Be sure to handle the payment processing on the shopping cart as well, at that time. Or, if you prefer you can manage the process for you, internally, using our Warehouse Management System. Either way, be sure to follow the strict guidelines relative to requesting authorization from your customers to execute a continuity order program.