6 Ways to Reduce Shipping Errors and Improve Order Accuracy

Before we dive into the tips, let's talk define order accuracy.

Order accuracy refers to the percentage of correct orders fulfilled. This means the right product is picked, packed, and shipped to the customer without any errors.

In eCommerce, order accuracy is critical. It impacts customer satisfaction, return rates, and your business reputation.

When we talk about order accuracy, we’re focusing on several factors:

• Correct product selection: Ensuring the exact items the customer ordered is packed.
• Accurate quantities: Sending the right number of items.
• Proper labeling and shipping details refer to the package sent to the correct address.
• Condition of the product: Delivering the product in good condition without any damage.

At this point, it's clear that order accuracy isn’t just about the customer receiving their product. It’s about receiving the correct items on time and in perfect condition.

Order accuracy is easy to measure, and it’s a metric that every eCommerce store owner should track. Here's how you can compute it:

Order Accuracy Formula:

Order accuracy = (Total correct orders fulfilled / Total orders fulfilled) * 100

This formula gives you a percentage that reflects how accurately your store fulfills orders.

• Total Correct Orders: The number of orders shipped without any errors (e.g., wrong item, incorrect quantity, damaged goods).
• Total Orders: The total number of orders fulfilled within a specific timeframe.

Example:

Let’s say your store shipped 500 orders last month. Of those, 485 orders were delivered correctly, while 15 had some kind of error (wrong product, shipping damage, etc.). Using the formula:

Order accuracy = (485 / 500) * 100 =97%

This means that your store had a 97% order accuracy rate for that month.

Pro tip: Setting a 98-99% order accuracy targets is a solid goal for most eCommerce businesses.

Order accuracy is the foundation of your shipping process. Imagine a customer waiting for their order, only for it to arrive wrong, damaged, or worse—not at all. Order accuracy is one of the key factors in building trust and growing your business.

In fact, poor order accuracy can lead to a reduction in customer loyalty. It’s also one of the leading causes of customer dissatisfaction in eCommerce. If your order accuracy rate is low, it'll reflect negative reviews, returns, and lost sales.

Remember, order accuracy isn’t just about getting the right item into the right hands. It’s about reducing waste, cutting costs, and streamlining your entire shipping process. Here’s how to do it.

Human error is inevitable. But in eCommerce, mistakes can be expensive. One of the easiest ways to improve order accuracy is by implementing automated order processing systems. Automation handles the small details that can be overlooked during manual entry.

Order processing systems automatically pull customer details, product SKUs, and shipping information from your online store. They ensure that the right product is shipped to the right address every time.

Plus, they cut the chances of sending duplicate orders, which is a common shipping error in manual systems.

Barcode scanning is a game-changer when it comes to reducing shipping errors. Gone are the days of scribbled inventory sheets and manual checks.

With barcodes, every product can be tracked from the warehouse to the customer's door. This reduces human error, ensures proper inventory management, and boosts order accuracy.

By integrating barcode scanners with your inventory management system, you create a seamless process that minimizes the chance of shipping the wrong item. Employees can quickly scan the product to verify that it matches the order before it’s packed. This simple step dramatically reduces the risk of errors.

Based on a report, businesses that adopted order-picking technologies, such as barcode scanning, reduced their order-picking errors by 67%. That’s a stat any eCommerce store can’t afford to ignore.

Do you know what’s worse than sending the wrong item? Not sending any item at all because it's out of stock. This is where real-time inventory management comes into play.

Keeping track of your stock levels ensures you won’t accept an order for a product you no longer have. Without accurate stock counts, you risk overselling products, leading to delays, refunds, and customer frustration.

A real-time inventory system updates stock levels as orders are placed, preventing overselling and ensuring you ship only what’s available. This also helps your team know exactly what’s on hand, streamlining order fulfillment and minimizing confusion.

The last thing you want is a customer waiting weeks for an item you can’t even deliver.

Mistakes happen, but having a strong quality control process in place can catch many errors before they reach the customer. Every eCommerce business should have a final checkpoint before orders go out. This can be as simple as having a dedicated team member double-check the product, label, and shipping details before it leaves the warehouse.

Quality checks doesn’t have to slow down your process. It can be quick, efficient, and save your business from shipping costly mistakes.

A small investment in a quality control system can reduce your return rate and boost customer confidence.

Your shipping team is on the front lines of your eCommerce business. If they aren’t properly trained, mistakes are bound to happen. Ensure that every team member understands everything from product data management to the A to Z of the delivery process.

Training should cover the use of software, proper packing process, and how to handle any customer orders. This is especially important if you have seasonal workers who may not be familiar with your process.

Pro tip: Make training an ongoing part of your operations. Regular refreshers ensure that everyone knows the latest procedures, tools, and systems. During peak seasons, this becomes even more critical.

Your shipping carrier plays a crucial role in the overall order accuracy. Selecting the right carrier for your products is essential, especially for fragile or time-sensitive items. Not all carriers have the same process. In fact,  some shipping errors are due to carrier mishandling.

Do your research on every possible carriers. Next, work only with carriers with a proven track record of on-time deliveries and minimal damage reports.

Build strong relationships with them, and don’t be afraid to negotiate better terms. Regularly review their performance to ensure they are meeting your standards. If errors continue to happen, it may be time to switch carriers.

But, if you’re working with an order fulfillment company, make sure to choose well. These companies can also play a significant role in reducing shipping errors by ensuring professional handling of orders from start to finish.

Bonus tip: Make sure your shipping labels are clear and accurate. Many shipping errors happen because of unclear or misprinted labels. Double-check that addresses are correct and legible. Consider investing in label printers that minimize smudges and misprints.

By optimizing this step, you’ll reduce the risk of your products being lost or delivered to the wrong address.