Tracking and Shipment Monitoring

Tracking is far more than a tracking number in the shipping confirmation email. In modern e-commerce fulfillment, the quality of shipment monitoring determines whether customers develop trust in your brand, whether support is relieved, and whether you identify operational issues early. Studies show that over 80 percent of online shoppers actively track package status – and that missing or delayed tracking information is one of the most common causes of support inquiries ("Where Is My Order?", or WISMO).

This guide explains how tracking works in the fulfillment process, which systems need to work together, which metrics you should measure, and how to build professional shipment monitoring with Multiple Shipping Providers setups – regardless of whether you ship from your own warehouse or work with a 3PL partner.

Why Tracking Is Essential in Fulfillment

Shipment monitoring connects three perspectives: operational control in the warehouse, carrier logistics in In Processing, and customer expectations for transparency. Without end-to-end tracking, you lose control at all three points.

Tracking impacts the following business goals:

• Customer satisfaction – Proactive status updates reduce uncertainty and increase the likelihood of positive reviews
• Support efficiency – Transparent shipment information reduces WISMO inquiries by up to 40 percent
• Operational control – Early warnings for delays enable timely intervention
• Claims management – Tracking events serve as evidence in Package Delivered disputes

Tracking in the Shipping Process: From Label to Delivery

Shipment monitoring is the final digital step in the pick-pack-ship process. Only when the shipping label is created and the shipment is booked does the carrier generate a unique tracking number. From that moment on, status changes can be recorded and transmitted to the shop system and the customer.

Typical tracking flow in fulfillment:

1. Shipping label is created in the WMS or shipping software
2. Carrier assigns tracking number and activates tracking
3. Package is recorded in the carrier system at the first scan (handover/acceptance)
4. Tracking events are transferred to the shop system via API or file import
5. Customer receives shipping confirmation with tracking link
6. Status updates are sent automatically for relevant events
7. Delivery is confirmed; optionally POD (Proof of Delivery) is archived

Tracking Chain in Fulfillment

When Does Tracking Become Active?

Not every tracking number is immediately trackable. The first visible status typically appears at the first physical scan – usually at handover to the carrier or at the acceptance point. Between label creation and the first scan, there can be a time window of a few hours to one business day, depending on cut-off times and pickup schedules.

Understanding Tracking Events

Every status change of a shipment generates a tracking event. Carriers use different designations, but the basic structure is comparable. Those who understand the events can control customer notifications meaningfully and identify operational exceptions early.

Standardized Event Codes

For multi-carrier strategies, internal normalization of events is recommended. Instead of displaying DHL-, DPD-, and GLS-specific designations in the shop, you map carrier events to uniform statuses such as "Shipped", "In Transit", "Out for Delivery", and "Delivered". This improves consistency in the customer account and simplifies automated notifications.

Systems and Interfaces for Tracking

Professional tracking requires the integration of multiple systems. At the center are WMS or shipping software, carrier APIs, and the shop system.

Key system components:

• Shipping software / WMS – Creates labels, stores tracking numbers, triggers shipping confirmations
• Carrier API – Delivers tracking events in real time or via polling
• Shop system (ERP/PIM) – Displays tracking status in the customer account and in emails
• Notification service – Sends proactive status updates via email or SMS
• Reporting dashboard – Aggregates KPIs such as transit time and delivery rate

Tracking Data Flow

When selecting carriers, you should also evaluate the quality of the tracking API: Are there Real-Time Event Delivery for real-time updates? How granular are the events? Are international shipments reliably represented? A low-cost shipping option with poor tracking can become more expensive in the long run because support effort and claims increase.

Customer Notifications and Transparency

Tracking information alone is not enough – what matters is how and when you communicate it. Customers today expect at least a shipping confirmation with tracking link and meaningful updates on status changes.

Recommended notification points:

1. Shipping confirmation – Immediately after label creation or carrier handover, including tracking number and tracking link
2. First scan – Confirmation that the package is in the shipping network
3. Out for delivery – On the day of planned delivery, ideally in the morning
4. Delivered – With information on pickup location at neighbor or parcel locker
5. Exception alert – For delays, customs, or failed delivery

Reducing WISMO Inquiries

WISMO inquiries ("Where Is My Order?") burden support teams especially during peak seasons. A well-thought-out tracking concept is the most effective countermeasure:

• Send shipping confirmation within defined SLA (e.g., within 4 hours of handover)
• Provide tracking page in the shop with clear status display
• Maintain FAQ on typical tracking delays
• Set up chatbot or self-service with tracking number lookup
• Proactive delay emails for known carrier disruptions

Setting Up Multi-Carrier Tracking Strategically

Those who use multiple shipping service providers – for example DHL for standard, DPD for heavy packages, and GLS for certain regions – need uniform tracking logic. Without normalization, customers see different status designations depending on the carrier and experience inconsistent notifications.

A multi-carrier strategy only pays off if tracking is consolidated – either through shipping software with multi-carrier integration or through middleware that maps all carrier events to a uniform data model.

KPIs and Monitoring for Shipment Tracking

Tracking data is a goldmine for operational improvements. Those who measure the right metrics identify carrier weaknesses, bottlenecks in the shipping process, and regional delivery problems early.

Important tracking KPIs:

Tracking KPIs by Shipping Method

Reporting and Escalation

Set up weekly reports that break down tracking exceptions by carrier, region, and shipping method. For recurring problems – such as a high exception rate at a specific parcel center – escalate with the carrier using specific tracking numbers and timestamps. Tracking events are your strongest argument here.

Identifying and Resolving Delivery Problems

Not every shipment reaches the customer on the first attempt. Tracking events such as "Recipient not available", "Incomplete address", or "Refused" require quick action.

Common delivery problems and responses:

1. Recipient not available – Inform customer, name pickup location/neighbor, offer preferred day or parcel locker if applicable
2. Address error – Clarify address with customer, commission carrier correction if needed, review internal address validation
3. Package damaged – Request photo documentation, initiate replacement delivery or refund
4. Customs delay – For international shipping, proactively inform customer, provide customs documents
5. Shipment lost – After carrier investigation period expires, initiate claim

Delivery Problem to Resolution

The proof of delivery (POD) becomes indispensable in disputes. Many carriers provide signature or photo proof via the API – archive these for at least the duration of the warranty period.

Legal and Data Protection Aspects

Tracking data contains personal information: name, address, shipment history. When using tracking data for marketing or analysis, GDPR requirements apply. Inform customers in the privacy policy about the processing of shipping data and its transfer to carriers.

For international shipments, additional tracking events may be generated by customs authorities. These events are often confusing for customers – explain in the FAQ what "customs clearance" or "import delay" means and how long such phases typically last.

Checklist: Setting Up Tracking in Fulfillment

• Shipping software with carrier API integration set up
• Tracking numbers are automatically transferred to the shop system
• Shipping confirmation email with tracking link is configured
• Tracking page in shop or customer account is live
• Status updates for "Out for delivery" and "Delivered" are automated
• Exception events trigger support ticket or customer email
• KPI dashboard for transit time and delivery rate is set up
• FAQ on tracking delays is published

Operational checkpoints before go-live:

1. Conduct test shipment with each active carrier
2. Test tracking link in email on mobile device
3. Check Event Normalization for all carriers for completeness
4. Trigger delay notification with test event
5. Verify POD retrieval for at least one test shipment

Best Practices from the Field

Experienced merchants and fulfillment teams rely on a few but consistent measures:

• Uniform communication – Same status designations regardless of carrier
• Proactive delay emails – Better to inform once too often than to handle WISMO inquiries
• Tracking as marketing – Use "Your package is on its way" emails with relevant products or loyalty program information
• Compare carrier performance – Monthly evaluation of transit time and exception rate per carrier
• Include returns tracking – Make return shipments trackable too to speed up the returns process

Frequently Asked Questions About Tracking in Fulfillment

Why does tracking show no status yet?
The first visible status typically appears at the first physical scan by the carrier – often only hours after label creation.

How long does delivery take?
Transit time depends on shipping method and carrier: domestically usually 1.5–3 days for standard shipping, express often on the next business day.

My package is with the neighbor – what should I do?
Check the carrier event in tracking; the pickup location is indicated there. Proactively inform the customer via email.

Can I redirect the delivery?
Many carriers offer services such as parcel locker, preferred day, or neighbor delivery – often via their app or portal.

When is a shipment considered lost?
After the carrier-specific investigation period expires (typically 7–14 days without scan update), a claim can be initiated.

Related Topics

• Shipping Basics
• Shipping Labels and Postage
• Tracking Number and Tracking (Glossary)
• Carrier Selection
• Multi-Carrier Strategy

Last updated: July 6, 2026