Five features a good e-commerce WMS needs

eCommerce offers consumers an unmatched combination of convenience, product variety, and competitive pricing. But once a shopper finds what they want at the right price, what determines whether an eCommerce business succeeds or struggles? Logistics, and specifically, the right warehouse management system for eCommerce.

While physical retail stores offer the immediate gratification of same-day possession and no delivery fees, eCommerce operations must compete by offering the fastest possible fulfillment at the lowest possible cost. This is where specialized eCommerce WMS software plays a crucial role.

In contrast to traditional retail logistics, where goods are shipped in bulk to a store and sold from there, eCommerce flips the model: the sale comes first, and individual orders are fulfilled afterward. Once the transaction is completed online, the only task that remains is to physically deliver the product quickly, accurately, and cost-effectively.

That’s where a well-designed warehouse management system for eCommerce comes in. If your WMS isn’t optimized for the complexities of digital retail, it may be holding your business back.

Use this free comparison tool to find the best WMS for Shopify and other eCommerce platforms.

1. Multi-location and multi-channel support

The best eCommerce WMS software should handle multiple warehouses, 3PLs, or fulfillment centers with ease. Each distribution center is a structural component that must be configurable within the WMS. Additionally, the system must support multi-channel order management, integrating with marketplaces like Amazon, Shopify, and eBay to route and fulfill orders without manual intervention.

Look for native integrations or APIs with your eCommerce platforms to eliminate delays and errors.

2. Logistics efficiency and smart fulfillment

Can your WMS automatically assign the optimal fulfillment center for each order? Does it match the right product with the best carrier and delivery method, factoring in time, cost, and geography?

The right software will also support:

• Order consolidation
• Intelligent picking strategies (batch, wave, zone)
• Real-time order tracking and shipment updates
• Carrier rate shopping to minimize costs

Efficient fulfillment = faster shipping + lower costs. Make sure your WMS is built for both.

3. Streamlined returns handling

Returns are a reality in eCommerce, and a potential advantage if handled well. Can your WMS process a high volume of returns efficiently and accurately?

Even better, can it make reverse logistics a competitive differentiator? A capable eCommerce WMS should:

• Auto-generate return labels
• Manage returned inventory in real-time
• Update stock levels and restock automatically
• Integrate return reasons and customer feedback into reporting

The smoother the return experience, the more likely a customer is to buy again.

4. Multi-country  

Your online store doesn’t have borders. Your WMS software shouldn’t either.

A WMS built for eCommerce should:

• Support metric and imperial units
• Handle multiple currencies and tax configurations
• Generate proper international shipping documentation
• Comply with cross-border regulatory requirements

If your warehouse management system can’t support international orders, you’re limiting your reach.

5. Scalability and flexibility

eCommerce growth isn’t linear. It can spike overnight. Can your WMS scale with you?

Whether you’re adding new products, opening new warehouses, or expanding into new countries, your ecommerce WMS should grow without disruption. Watch out for:

• Per-order performance slowdowns
• Limited integration capacity
• Manual workarounds for new workflows

Ask yourself: At what point would your WMS become a bottleneck? If the answer is “soon,” it may be time to upgrade.