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Outsourcing SKU Data Entry: A Smart Move for eCommerce Business

by Allen Brown
in Business, Tech

In the highly competitive business of eCommerce, your data is your online window.  The quality, accuracy, and presentation of your product information can make the difference between a conversion and an abandoned cart. At the core of this digital inventory is what is known as the Stock Keeping Unit (SKU)— the specific code used to identify each product variant you offer. It may seem like a small thing, but managing SKU data entry internally is the sort of thing that can become a major logistical bottleneck as your catalog of products expands. This is where a strategic pivot – namely, SKU Data Entry Outsourcing – comes into play, not only as a cost-saving move, but also as a game changer for growing, accuracy, and scalability.

The Hidden Burden of In-House SKU Management

It’s common for entrepreneurs to begin by dealing with product data themselves. It appears simple: a product name, a handful of specs, a few pictures, a price. But as a business grows, complexity grows. One product can have dozens of SKUs based on size, color, material and other attributes. The process of manually adding, updating, and managing thousands of these listings is extremely laborious. This pulls your extraordinary core team (the same merchandisers, marketers, and developers mentioned above) from any activities that generate the all-important revenue – things like strategy, customer acquisition, and brand building. The possibility of human error skyrockets as well, resulting in the form of incorrect pricing, inventory counts, and, ultimately, dissatisfied customers. This internal drag represents a growth cap that is completely avoidable.

Unmatched Accuracy of Professional Services

We must have a shared service where there’s a single database and product information is accurate. A single mis-measurement or an incorrect hex-code for a color can result in returns, negative reviews, and brand disaster. A professional data entry service is all about accuracy. They use trained crews, stringent quality assurance (QA) checklists, and multi-layer validation to make sure each data point entered is perfect. With such an obsession with their data quality input onto SKU Capacity Data Entry, insurance programs that screen and monitor third parties that provide SKU Growth Data Entry are a must to give yourself a shield of protection for your in-house operations, and also for software that purports a human interface approach to third parties leveraged to provide SKU Data Entry. This results in cleaner data, better inventory forecasting, reliable order fulfillment, and a safe and trusted customer experience.

Unlocking internal potential for strategic expansion

The Strategic Value of Outsourcing Perhaps the most compelling reason to outsource is also the most obvious: you free up the most valuable asset on your team’s time and their ability to focus on mission-critical projects. eCommerce grows through innovation, product, and marketing, not mechanical repetitive tasks. By stripping away the boring, time-consuming task of data entry, you can empower your smartest employees to do what they do best. Everything you need is your marketing team to build great campaigns, your customer service team to deliver exceptional service, and your product creator to go off and find the next best seller. It’s this shift from operational maintenance to tactical innovation that will drive your business forward and keep you ahead of the pack.

Driving Cost Optimization and Operational Flexibility

The economics of in-house data entry are too expensive to believe. If you add up the fully loaded costs, salaries, benefits, training, software subscriptions, and overhead for employees focused on this work, the amount is substantial. Added to this, business is cyclical. You might have busy times when you are doing a big push with onboarding products (pre-Holiday season) and quieter times when things are quieter. Keeping it large for the peak periods does not make sense. Outsourcing SKU Data Entry turns this fixed cost into a variable, manageable cost. You rent out your services as you need them to grow or shrink to suit with none of the hiring and layoff headaches. And this model offers the best in financial flexibility and consistent operating-budget predictability.

Enabling Rapid Deployment and Agile Execution

Speed is a secret weapon for the world of eCommerce. If you are first to market with a new product line or trend, you will be able to dominate a large percentage of the market. Data Entry manually is slow, and may lead to frustrating time delays between receiving stock and getting it onto the web. Professional partners are designed for speed and scale. And they can handle large numbers of SKUs quickly, reducing your time to market by an order of magnitude. You get a lot of agility to jump on new trends, run flash sales knowing you can win, keep your product catalog fresh, which is highly beneficial for your SEO and for your customer retention.

Selecting the Best Outsourcing Partner for Your Data

The right choice to outsource is absolutely critical. Not all providers are created equal. Find a reputable company with experience in eCommerce data entry, even better if it’s your platform (Shopify, Magento, or BigCommerce) also. Make sure they are highly secure to safeguard your sensitive product and pricing data. Easily accessible, clear channels of communication, pricing transparency, and a scalable SLA are other key indicators of a good partner. Calculate your due diligence. The more due diligence that you do beforehand, the smoother the long-term collaboration is likely to be.

Conclusion

Considering Outsourcing SKU Data Entry as a Cost-Cutting option is not making the best use of options. At its core, it’s an investment strategy in the infrastructure of your business. Without systems, there is a higher risk, lower data quality, and poorer efficiency, but most importantly, without systems, you are making your team push the business forward rather than drive the business forward. With customer demands higher than ever before, it’s important that your product listings be clear, correct, and complete. When you outsource to specialists this essence of your business, you are not only empowering yourself and allotting responsibility, but positioning your entire business for sustained success as well as a more robust, agile, and competitive eCommerce business.

Tags: agile executioncost optimizationdata accuracyecommerceinventory managementoperational flexibilityoutsourcingproduct data managementrapid deploymentSKU data entry
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