Order Handling Capacity can help you provide faster and accurate delivery times for seller-fulfilled standard shipping orders based on your fulfillment capability. The feature allows you to set a limit on the number of orders you can handle (pack and ship) in a day. Once the daily limit is reached, any additional order that you receive will automatically have one additional day added to the handling time that you have provided.
The settings defined in your Order Handling Capacity influence the delivery promise shown to customers and the date on which you are expected to ship your orders (estimated ship-by date). Enabling this option will give you the flexibility to set faster handling time and provide faster delivery promise to customers. It also reduces the risk of high Late Shipment Rate in case of order spikes, as orders will have adjusted handling time once the daily capacity limit is reached.
To set Order Handling Capacity for standard shipping orders, do the following:
Order Handling Capacity gives you more flexibility to adopt 1-day default handling time and Saturday/Sunday operations by setting the daily order limit that you feel comfortable handling. It can help to protect your Late Shipment Rate when you receive more orders than you can manage, particularly during peak seasons. Based on your operational capabilities, you can set a limit for the number of seller-fulfilled orders that you can handle within one and two days.
Setting a faster handling time and enabling Saturday or Sunday operations will lead to faster estimated delivery times. Customers prefer faster deliveries and are more likely to purchase products that have faster estimated delivery times. Products with faster estimated delivery times are also more likely to be the featured offers on product detail pages.
When you set a value for Order Handling Capacity, once that number of orders has been reached on a given day, any additional order that you receive will have one day automatically added to the handling time. This will count towards the customer delivery promise and estimated ship-by date.
For example, if you set order handling capacity at 100 orders per day and you have set 1-day default handling time at account level, you will have a default handling time of one day for the first 100 orders every day. From the 101st order up to any order you receive till midnight, the handling time will be updated to two days (1-day default handling time + 1-day adjustment from Order Handling Capacity). This means that your estimated ship-by date will be extended by one day and the customers will see an expected ship time of two days. The handling time will again reset to original value effective midnight.The table below demonstrates this with an example.
|Date||Orders received||Default handling time||Daily Order Handling Capacity limit||Orders with 1-day HT||Orders with 2-day HT||Orders with 3-day HT||Pending orders for dispatch|
No, you will not be enforced on any order capacity limit to maintain eligibility in the program. We recommend that you set an order capacity limit that allows you to offer faster delivery promise to your customers while maintaining your Late Shipment Rate.
No, there is no limitation. You can change your order capacity limit whenever there is a change in your operational capabilities.
The Order Handling Capacity only applies to seller-fulfilled standard shipping orders (that is, it does not include Prime and Premium shipping orders). If you are eligible for seller-fulfilled Prime program, you can use Control Prime Order Volume in general shipping settings to set capacity limit for your Prime orders.
To learn how to set order handling capacity, watch this Seller University video.