When your e-retail business grows, you may be tempted to make all the decisions independently. However, maintaining an efficient supply chain and a streamlined eCommerce shipping process requires more than just you and your team. That’s why you should consider a 3PL fulfillment company as your partner in this endeavor.
Here are six benefits of collaborating with a 3PL fulfillment company:
Perfection in Delivery and Quicker Delivery
- Same-day delivery: 3PL fulfillment companies offer same-day delivery on all orders. It means that if you’re at work and need something immediately, your package will be waiting for you when you get home.
Approximately 51% of retail businesses already offer the same-day delivery option to their customers, while 65% of the remaining businesses plan to have it within the next two years. These figures encourage young e-retail businesses to stand up with their competition and deliver same-day delivery by collaborating with a good 3PL fulfillment business.
- Faster delivery: 3PL fulfillment companies can deliver products faster than other companies. It’s because they have dedicated staff members focused on ensuring the right person receives their order as soon as possible.
- More locations: Because of their large warehouses in convenient places, 3PL Fulfillment companies can ship items to more locations within your area than other companies can. It makes it easier for customers to receive their packages without much trouble or delay.
- Lower costs: By using these efficient 3PL fulfillment companies, you can save money by not having high overhead costs. These costs are usually associated with storing inventory in many different facilities.
Access to the Latest Data and Complete Transparency
3PL fulfillment companies provide you access to the latest data and complete transparency. As a result, you can clearly understand your sales, revenues, and other business metrics. You can also get more data from your 3PL company as they have the whole logistic process under their control. Moreover, accessing this information can make better decisions for your e-retail business.
A study shows that 96% of customers track their purchases made online, while 43% of customers have a habit of tracking their deliveries daily. Hence when looking at these trends, recent-day retail businesses must have an effective tracking system where customers can track their purchases.
Collaborating with the 3PL fulfillment business ensures you get the latest data, transparency, and product tracking. They offer many services that allow retailers to track their products until it reaches customers, like:
- Real-time product tracking throughout its journey from manufacturing facility to last-mile delivery;
- Can monitor inventory levels at any point in time;
- Can view all the shipping details of each package.
Reduced Operational Costs
Let’s face it – in the world of e-commerce, you need to be agile and quick. That’s why collaborating with a 3PL fulfillment company can help you reduce your operational costs significantly. A fulfillment company won’t only help you deliver your products quickly, but they will also eliminate many costs that are incurred when running your warehouse.
Here’s what you don’t have to worry about:
- Warehouse space: you don’t need any.
- Staffing requirements: the 3PL handles everything.
- Office space: they handle all operations remotely.
- Forklifts and pallet jacks: because the 3PL does all lifting for free.
- Truck drivers: Trucks are not needed because everything is consolidated at their hub.
Greater Reach and Higher Sales Volume
A report from Statista states that revenue from e-retail sales was approximately US $768 billion at the end of 2021. At the same time, it is expected to go beyond US $1.0 trillion by 2023 and US $1.3 trillion by 2025. To catch up with these rising e-commerce stats, you must collaborate with the best fulfillment center in your area to enhance your customer reach and cater to higher sales volume.
By hiring a professional 3PL fulfillment company, you can:
- Reach a wider audience. 3PL Fulfillment companies have the tools and infrastructure to deliver your products across the country or worldwide. By partnering with one of these e-commerce experts, you’ll be able to reach customers in other countries who were previously inaccessible.
- Target specific customer groups. With an e-commerce business, you must offer a wide range of products and services so that there is something for everyone in your market. It means having separate listings for each item, so they don’t get confused with one another when shoppers search online or browse through social media ads.
It can be time-consuming and costly, but with 3PL fulfillment services, it becomes much easier and less expensive. They take care of all those details on their end. Then, all you have to do is promote them.
- Expand into new markets without hiring additional staff members or buying more inventory. Instead, just hire them once per month when needed, which saves money since these costs aren’t recurring as regular employees would be.
Integrated Logistics Services
By working with a 3PL fulfillment company, you can ensure that your eCommerce business runs smoothly. The benefits of partnering with a 3PL fulfillment partner include the following:
- Integrated logistics services: As part of the services offered by most top-notch 3PL fulfillment companies, you’ll get access to an integrated logistics platform that helps you keep track of all your shipping workflows in one place. Thus there’s no need for employees on your team to handle different aspects of shipping separately anymore.
- Quality control: One major advantage of using an integrated logistics platform is its ability to monitor each shipment in real-time. It gives businesses the power to identify potential issues before they become problems and take necessary action accordingly.
Extra Space for Excess Inventory
Extra space for excess inventory is a big deal. However, if your business’s primary concern is getting rid of excess inventory, then working with a 3PL fulfillment company can be the answer to your prayers.
In addition to providing extra storage space, your business can also benefit from the following:
- The ability to add new products or expand into new markets without making changes at their warehouses or adding more workers.
- An increased ability to meet seasonal demand by having an extra capacity of goods when needed without having to spend additional money on warehousing space, equipment, and staff.
- The ability to focus on your core business while not having to worry about the logistics of storing, shipping, and handling inventory.
- The ability to eliminate excess inventory without having to write it off as a loss or pay someone else for the privilege.
3PL Fulfillment Can Be a Game Changer for Online Retail Businesses.
3PL Fulfillment is a great option for online retailers looking to expand their reach, reduce costs and ensure the right products are shipped to the right customers at the right time.
In conclusion, you can see many benefits to collaborating with a 3PL fulfillment company. The best part is that this does not have to be an expensive investment for your business. Instead of spending thousands on equipment and software, all you need is someone who knows what they’re doing regarding logistics and shipping.
With the right partner at your side, it will be easier than ever before to grow your eCommerce operation while lowering costs at the same time.
