E-Commerce Fulfillment Services in the US: How It Works

01 August 20258 min

The US e-commerce market is one of the most competitive in the world. After the 2024 presidential election and with ongoing shifts in the economy, online brands are facing a new set of challenges in logistics. Understanding how e-commerce fulfillment services work and how they impact your operations is key to staying competitive.

What Are E-Commerce Fulfillment Services?
The E-Commerce Fulfillment Process
Post-Election Context
Key Fulfillment Trends in the US
What Brands Expect
Entering the US Market

What Are E-Commerce Fulfillment Services?

E-Commerce Fulfillment is the process that ensures online orders are delivered smoothly and efficiently to customers. It includes all the steps that take place after someone places an order in an online store.

These steps typically include:

Storing inventory
Picking items from the warehouse
Packing the orders
Shipping them to customers
Handling returns

In addition to these core tasks, fulfillment also involves:

Managing stock levels (keeping track of what's available and what needs restocking)
Providing shipment tracking and delivery updates
Offering customer support related to orders, inventory, delivery, and returns

E-commerce fulfillment providers specialize in handling all of these tasks. They automate the entire order fulfillment process, making it faster and more efficient.

The E-Commerce Fulfillment Process: Step by Step

Storage:
Before an order can even be placed, products must be properly and strategically stored. Modern e-commerce fulfillment providers use digital warehouse management systems (WMS) to monitor inventory in real time and keep everything well-organized. A structured storage system saves time and prevents errors during the shipping process.
That’s why people often talk about "outsourcing logistics"—because products need to be stored in a dedicated fulfillment center before they can be processed automatically. This initial storage step is the starting point of the process, and stock is continuously replenished and adjusted as needed.
Picking:
As soon as an order is received, the correct product is located in the warehouse and retrieved efficiently—this is known as picking. Depending on the size of the warehouse and available technology, this may be done manually by staff or automatically by robots. The goal is to pick the exact right items quickly and without errors.
Packing:
The picked items are then securely packed—using the appropriate box size, protective filling materials, and often personalized inserts like coupons or branded flyers. Shipping labels are also applied at this stage. For many brands, packaging is a key part of the customer experience, so they provide their own branded boxes. Flexible fulfillment providers like Quivo, which operate their own warehouses, routinely include these custom elements as part of their daily operations.
Shipping:
After packing, the shipment is handed off to a carrier (e.g., DHL, DPD, or the postal service). Thanks to integrated systems, this often happens on the same day. Shipping costs, delivery speed, and tracking options are all crucial to customer satisfaction. We negotiate the best shipping rates for our e-commerce clients, significantly lowering the cost per order compared to self-shipping. We consistently maintain a 99% same-day fulfillment rate—even when processing thousands of orders per day.
Returns Handling:
When customers return a product, the returns process begins. The fulfillment team receives the return at the warehouse, inspects the item, and decides—based on prior agreements with the retailer—whether to restock or discard it. A smooth return process builds trust in the online store and increases the likelihood of repeat purchases. At Quivo, for example, each return is documented with photos, ensuring complete traceability.
Inventory Management:
Every movement in the warehouse—storage, shipment, return—is recorded in a centralized system that automatically updates the inventory. Retailers can monitor stock levels through the fulfillment software and avoid overselling or stockouts. Clear, simplified inventory management is essential for both revenue and customer satisfaction, and it also reduces the administrative burden on the online shop.
Shipment Tracking:
Once the order is in transit, customers automatically receive a tracking number from the shipping carrier. Fulfillment providers ensure this information is sent and that delivery status updates are clearly communicated. This keeps shoppers informed and confident throughout the process.
Customer Service:
If issues arise—such as delays or damaged goods—the fulfillment service often steps in or provides the online store’s support team with important information. Close coordination between logistics and customer communication makes a big difference in the overall shopping experience.

Post-Election Context and Its Impact on Logistics in 2025

Since the 2024 presidential elections, U.S. policies have significantly reshaped the economic and logistical landscape. New government directives have had major repercussions on supply chains and fulfillment operations, creating new challenges for e-commerce businesses.

Here's everything about 2025 U.S. Regulatory Changes & What You Need to Know

The most important effects:

Increased Import Taxes and Stricter Regulations

New tariff measures, implemented to protect the local economy and bring back certain industrial sectors, have led to a significant rise in import costs. Products from Asia or Europe now face higher customs duties and stricter controls (compliance verification, customs certifications). This complicates logistics flows and necessitates more precise planning to avoid delays and additional costs.

Transportation Cost Fluctuations and Geopolitical Tensions

Trade tensions between the U.S. and certain strategic partners (notably in Asia and Eastern Europe) have caused volatility in international and domestic transportation prices. Fuel costs are also under pressure due to new energy policies and geopolitical tensions. As a result, carriers are passing these increases onto their rates, directly impacting fulfillment costs.

Labor Shortages in Certain Regions

With immigration reforms and decreased attractiveness of certain logistics jobs, several key states (like California, Texas, or Florida) face labor shortages in warehouses and sorting centers. This situation increases processing times and challenges 3PLs' ability to meet strict SLAs (24-hour shipping, quick returns).

Increased Pressure on Delivery Times and Carrier Reliability

In this unstable context, consumers no longer tolerate delays. The promise of fast delivery (1 to 2 days) remains the norm but is increasingly difficult to uphold. Carriers are under strain, and last-minute delays (driver shortages, port congestion) are becoming more frequent.

Key Fulfillment Trends in the US

Accelerated Delivery and National Network Expansion
American consumers expect ultra-fast delivery times (1 to 2 days). E-commerce fulfillment providers are expanding their national warehouse networks to meet rising consumer expectations.
Distributed Fulfillment and Intelligent Automation
Distributed inventory management is increasingly handled by specialized fulfillment companies in the US, leveraging automation for accuracy and speed.
Cost Control and Flexible Contracts
Many fulfillment companies now offer on-demand models with no fixed minimums, giving brands flexibility. This allows them to adapt logistics to seasonal peaks.
Simplified Returns and Post-Purchase Experience

Returns management is crucial for customer retention. Consumers expect smooth returns with prepaid labels, local drop-off points, and prompt refunds. This is a key differentiator among fulfillment services in the US.

For more insights into broader e-commerce logistics, read our full article on the most important fulfillment trends of 2025.

Success Stories from Fulfillment Clients