Serial number tracking in e-commerce: how it works and why it matters

Serial number tracking is a vital tool in the e-commerce world. It supports brands in achieving accurate order fulfillment, maintaining quality control, providing exceptional post-purchase experience, enhancing supply chain transparency, and preventing counterfeit products. 

In this blog post, we will explore:

1. What is a serial number?
2. Why serial number tracking is important in e-commerce
3. How to set up serial number tracking with Hive

What is a serial number?

A serial number, also known as Serial No., SN, S/N, or SNID, is a unique alphanumeric code used for identification and inventory purposes. 

Serial numbers are typically printed on a label attached to the item, in the product manual, or on a separate piece of paper accompanying the product.

Each serial number is unique to a particular item. It ensures that no two items have the same identification code, allowing for easy differentiation and tracking.

Serial numbers are typically assigned sequentially to each product or product family by the manufacturing process. They serve as a means for a company to identify a specific product and gather additional information about it, such as for replacement or compatibility with other parts.

A serial number is distinct from an SKU or barcode. Although all are valuable methods of product identification, a serial number uniquely identifies a specific individual item on a one-to-one basis.

Why is serial number tracking important in e-commerce?

Serial number tracking plays a crucial role in e-commerce by making it easy to track specific items in case of issues.

Consistently tracking items and implementing systematic processes ensures that businesses always know the exact location of their products and can swiftly verify their accuracy.

Below are three key reasons why e-commerce companies might want to use serial number tracking.

1.    Products tracing for recalls

Giving your products serial numbers can significantly mitigate the effects of a product recall. 

Let’s say for example that there is a problem with a specific batch of SKUs from your supplier. Without serial numbers, a product recall could necessitate the recall of every single unit, resulting in substantial costs. 

However, by implementing an effective serial number tracking system, you can precisely identify and recall only those products with specific serial numbers affected by the identified issue.

Targeted product recalls allow you to contact only the required customers and thereby avoid creating a public perception of your e-commerce business selling faulty products.

2. Protection from fraud

Serial number tracking of products leaving the warehouse makes managing returns a breeze because you can check the serial numbers when items are sent back.

This helps protect you from fraudulent returns where people buy something and then try to return a different item.

You will be able to tell if the item is fraudulently returned if it does not have a serial number or the serial number is incorrect.

While serial numbers and precise inventory tracking can't stop all return fraud, they do provide a solid defense to minimize the impact on your bottom line.

3.  Prevent resellers

If you're all about exclusivity and want to avoid your products popping up elsewhere, serial number tracking can help you identify who's trying to resell them.

When each product gets its own special ID number, you can easily figure out which product went to which customer.

It also stops competitors or shady businesses from swapping out your quality products with cheap knockoffs.

Your customers are guaranteed a product that hasn't been tampered with, is totally original, and of the highest quality. 

Setting up serial number tracking with Hive

Managing serial numbers is made easy with Hive. You can set up serial number tracking directly in the Hive App for both B2B and B2C shipments.

You will find serial numbers under SKU settings. Simply click “Edit SKU details” and switch on the toggle for serial number tracking.

There you can add the format for your serial number. Once this is added you can filter your inventory for SKUs with serial number tracking enabled to quickly get an overview of them. Plus, you can search for a serial number to find which order it was shipped in in case of issues.

Want to check out further tips for the Hive App? Discover how Hive makes freight easy and how to book with us here.