Order ID vs Tracking ID: Meaning, Importance, & Difference

Sanidhya Negi / October 10, 2024

In the fast-paced world of e-commerce, managing orders and shipments can quickly become complex. However, tools like Order IDs and Tracking IDs make this process much smoother. An Order ID acts as a unique identity for every purchase. On the other hand, a Tracking ID ensures customers stay updated on their package’s journey and reduces inquiries and boost customer satisfaction.

In this blog we’ll explore about both order IDs and tracking IDs in detail and also understand the differences between both.

What is Order ID?

An order ID is a unique identifier in the world of online shopping. It acts as a key reference for both customers and businesses. This identification number is a mix of numbers, characters, and letters. It is generated automatically as soon as the customer places an order. 

For customers, the order ID number simplifies the shopping experience. Whether they need to inquire about their purchase, track its status, or return an item, all they need to do is provide the Order ID. 

On the other hand, for businesses, Order ID means streamlining the order management process. It helps keep track of every purchase from the moment the customer clicks on the “buy” button until the product is delivered. An Order ID is sometimes also referred to as an Order number, Reference number, or even a Purchase ID. 

What is Order Number?

An Order number is the same as an Order ID, and both terms are often used by businesses to refer to the unique code assigned when a customer places an order. This number helps track and manage purchases efficiently.

The Order number can be used to look up details about a specific order, to check delivery status and estimated delivery time, and also to contact customer service or shipping companies for any questions. 

Typically, an Order number is made up of 4 to 20 characters, combining letters, numbers, and sometimes special characters. Each business has its own format for creating these codes. In some cases, when a business handles its own shipping, the Order number may also serve as the tracking number. 

Importance of Order Number

The Order ID plays a vital role in both e-commerce and logistics operations, acting as a crucial point of reference for all parties involved. Here’s why the Order number is important:

Proof of Transaction: The Order ID serves as official proof that a purchase has been made, helping customers and businesses confirm the order details.

Easy Access to Order Information: It enables businesses to quickly retrieve information about the order, such as the date, items purchased, quantity, price, and payment status.

Facilitates Communication: Both customers and businesses can use the Order number to streamline communication, whether to inquire about or resolve issues related to the order.

Supports Logistics Operations: The Order ID helps logistics partners and third-party providers fetch details like packaging, labeling, shipment partners, and delivery timelines.

What is Tracking ID?

A tracking ID is a unique code, which is usually made of letters and numbers. It is assigned to packages once they have been shipped. This ID allows customers to easily monitor the progress of their shipment by entering the Tracking ID number on the carrier’s website or its app. By doing this, customers can see details like the current location of the package, expected delivery date, and any important updates along the way.

For customers, this brings peace of mind. By simply entering their Track my order ID, they can know if they need to be home for a delivery signature or arrange for someone to receive a fragile item. Businesses also benefit greatly from using Tracking IDs. It reduces the number of customer inquiries about shipment status. 

Importance of Tracking ID

A Tracking ID plays a key role in keeping both customers and businesses informed about a package’s journey from start to finish. Here’s why it’s essential:

Real-time tracking: It allows customers and businesses to monitor the status and location of a package in real-time.

Transparency: Customers can see every stage of their order’s journey. This helps in adding clarity and trust to the process.

Delivery updates: Tracking IDs provide estimated delivery times and help customers plan for receiving their orders.

Customer support: It helps businesses quickly address delivery issues, leading to better customer service.

Difference Between Order ID and Tracking ID

Understanding the difference between order ID and tracking ID is important for managing purchases and shipments. The table below shows the key differences between the two:

Order ID	Tracking ID
It is generated by the seller when an order is placed.	It is issued by the logistics partner when the shipment is shipped.
It is used to check purchase details and also as a reference for customer support.	It is used to track the location and status of delivery.
There is only one order ID per order.	Multiple tracking IDs can be generated for one order if shipped in different packages.
It helps in managing compliance, taxation, and payment details.	Provides real-time updates about the package’s transit and estimated delivery time.

What does Order ID and Tracking ID Look Like?

Every business has its own structure of order ID and tracking ID. There is no standard form of order ID or tracking ID. However, a general example of order ID is given below.

For example:

ABC765ddddddccccNY – where ‘ABC’ refers to the seller’s code, ‘765’ is a specific company code, ‘dddddd’ refers to the date when the order was placed, ‘cccc’ is the actual Order ID number, and ‘NY’ indicates the destination.

Similarly, a general example of tracking ID is given below.

DLV789yyyyzzzzBOM – Where ‘DLV’ represents the logistics company, ‘789’ is the unique identifier, ‘yyyy’ is the customer Tracking ID, ‘zzzz’ may relate to the shipment type or even date, and ‘BOM’ refers to the final destination.

Where To Find Order ID?

When you make a purchase, the seller typically sends a confirmation email, SMS, or even a WhatsApp message that includes your order details. You’ll find the order ID in these emails and messages.

If you’d like to locate the order ID online, simply login to the seller’s website. Navigate to the ‘My Orders’ section, where you’ll find a list of your past purchases along with their corresponding order numbers. The steps usually go like this:

Login to your account > Go to ‘My Orders’ > Check the list of orders along with their Order ID.

Where To Find Tracking ID?

You can find the tracking ID on the shipping label that is generated after you book a shipment for delivery. You can also find the tracking ID in your confirmation email that is sent after you book a shipment for delivery.

Use Cases of Order ID for Customer

Some of the use cases of order ID for customers are mentioned below. 

Easy Returns and Refunds: The order ID simplifies returns, exchanges, and refunds by serving as proof of purchase.

Track Past Purchases: Order IDs act as a personal shopping archive by allowing customers to view their order history, track spending, and quickly reorder items they love.

Check Order Status: Order IDs also help customers monitor the status of their orders, keeping them updated on where their purchase is in the fulfillment process.

Use Cases of Order ID for Businesses

Some of the use cases of Order ID for businesses are mentioned below.

Simplifying Order Management: Order IDs are essential for efficient order management in e-commerce. Each ID acts as a unique identifier for every purchase.

Tracking Payments: Order IDs help businesses monitor payment status for every order. By linking payments to specific orders, businesses can ensure that customers are charged correctly and payments are processed smoothly.

Personalized Customer Support: Order IDs enable businesses to reference specific purchases easily, making customer communication more personalized. This helps provide better service and resolve issues faster.

Gaining Sales Insights: Order IDs offer valuable data for businesses. By analyzing order patterns, businesses can identify popular products and track emerging sales trends, improving inventory decisions.

Simplifying Accounting: They help generate invoices, receipts, and reconcile financial records, ensuring smoother financial management.

Use Cases of Tracking ID for Customers

Some of the use cases of Tracking ID for customers are mentioned below.

Real-Time Package Tracking: Tracking IDs provide customers with real-time updates on their package’s journey.

Regular Status Notifications: Tracking IDs keep customers informed with regular status updates like “in transit,” “out for delivery,” or “delivered.”

Plan Deliveries with Ease: With a Tracking ID, customers can plan their day around the package’s arrival. 

Use Cases of Tracking ID for Businesses

Some of the use cases of Tracking ID for businesses are mentioned below.

Reducing Customer Inquiries: By providing tracking updates, you give customers the ability to monitor their orders. This not only keeps customers informed but also lightens the load on your support team.

Building Customer Trust: When customers can easily track their orders, they feel more confident and in control. This transparency builds trust in your brand which increases the chances of repeat buyers.

Streamlining Delivery Operations: Tracking IDs also helps optimize your delivery process. By analyzing tracking data, businesses can streamline delivery routes, avoid delays, and improve overall efficiency, boosting both operations and profits.

Making Data-Driven Improvements: Tracking data provides valuable insights into your shipping performance. Businesses can use this information to assess carrier efficiency, identify areas for improvement, and forecast product demand based on shipping trends.

Conclusion

Both order ID and tracking ID play essential roles in streamlining e-commerce operations. While an Order ID acts as a key reference for managing purchases and customer service, a Tracking ID ensures transparency by keeping customers updated on their shipment’s progress. By understanding their differences and importance, businesses can optimize order management and logistics.