Efficient Order Assignment with Distributed Marketplaces
That Distributed Market This feature allows marketplace owners to automatically route incoming orders to the nearest eligible seller based on the customer’s delivery location.
This ensures faster order fulfillment, increased delivery efficiency, and a better customer experience.
To determine the most suitable seller for an order, the system follows the process below:
- The system first matches the customer’s zip code with the zip code configured by the seller.
- If multiple sellers are available for the same zip code and sell the requested product, the system calculates the customer’s location using latitude and longitude coordinates.
- Based on this calculation, orders are automatically assigned to the closest eligible sellers.
Prerequisite
To use the Distributed Markets feature, the following feature applications must be enabled:
- Global Products
- Hyperlocal Marketplace
The two features work together to display products centrally and assign orders to the most appropriate sellers based on location.
Sellers can upload and manage available zip codes to sell products.
Notes: Each seller can upload a maximum 10,000 zip codes at the back.
Step 1: Enable Distributed Marketplace Configuration
To use the Distributed Marketplace functionality, navigate to Global Product Configuration and enable the following settings:
Apply Distribution Algorithm to Orders
Once this configuration is enabled, additional options will appear:
Types of Distribution Algorithms
Choose Assign Automatic as a type of distribution algorithm.
Step 2: Enable Hyperlocal Marketplace
The Distributed Marketplace feature works with Hyperlocal Marketplace module.
Therefore, you must enable and configure the Hyperlocal Marketplace feature in your app.
Step 3: Configure Seller Service Area
For vending assignment to work correctly, vending must be configured based on zip code.
- Configure seller zip code coverage via Hyperlocal Marketplace settings.
- Open My Account page.
- Configure serviceable seller zip codes and associated hyperlocal settings.
This configuration determines which sellers can serve customers in a particular location.
How Distributed Markets Work
When customers visit your store, they will be asked to enter their zip code.
After entering the zip code:
- Customers will only see one global product listing managed by admin.
- Several sellers may sell the same product in the marketplace.
- Customers don’t need to select sellers manually.
When a customer places an order, the system automatically checks all eligible sellers serving that zip code and assigns the order to the closest seller who sells that product.
This automated process helps reduce delivery times and improve order fulfillment efficiency.
Example Scenario
Suppose three sellers sell the same product:
- Seller A
- Seller B
- Seller C
All three sellers present customers’ zip codes.
When a customer places an order, the system automatically identifies nearby eligible sellers and assigns the order accordingly.
Customers continue to only see global products, while orders are routed to the most appropriate sellers behind the scenes.
Order Reassignment by Admin
In some cases, assigned sellers may be unable to fulfill orders due to stock shortages, operational issues, or other reasons.
To handle situations like this, admins can manually reassign orders to other sellers.
When an order is moved:
- The order is deleted from the previously assigned seller panel.
- Newly assigned sellers can immediately view orders in their seller panel.
- All future order processing activities are handled by the newly assigned seller.
This flexibility ensures seamless order fulfillment even when the original seller is unable to process the order.
Benefits of Distributed Markets
- Automatic order assignment based on customer location.
- Faster and more efficient order fulfillment.
- Reduce shipping distance and logistics costs.
- Improved customer experience.
- Centralized global product management.
- Easy reassignment of orders by admin when necessary.
- Seamless integration with Hyperlocal Marketplace zip code configuration.
By combining Global Products and Hyperlocal Marketplace, marketplace owners can centrally manage product listings while making them available through multiple sellers in different locations.
The Auto-Assign Distribution algorithm then efficiently distributes orders between sellers, ensuring that customers receive products from the closest available sellers.
Support
If you require any support/consultation, please submit a ticket by post at [email protected]
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