Third-party logistics are providing e-commerce businesses with fulfillment services to meet the growing demands of their customer base. 3PL makes sure that your business runs efficiently and smoothly without any delays. They also save you large sums in capital investment by providing infrastructure facilities such as warehouses.
Down below are some reasons your e-commerce business should opt for a 3PL provider:
1) Your business is expanding and you have more than 100 orders a month
It is possible that your business might be shipping more than 100 or 200 orders per month without any mishaps but to focus on key business goals and missions you should outsource to a 3PL.
Or in the worst-case scenario, your business can be already struggling to deal with the increased order volume. You might be asking friends and family for a helping hand just to meet demand. This can keep you from expanding your business.
These scenarios or cases can keep your organization in an unending cycle of deadline panic to fulfill orders. It hinders your business growth and holds you back. You can start to see that your focus is diverting towards fulfillment services instead of running the enterprise.
Remember that every hour your team spends working on an incoming order such as packing, printing, and transporting. You are also missing an opportunity to expand your e-commerce business, work on new products and achieve your future goals.
2) You have reached maximum capacity for your warehousing
Most e-commerce businesses start as small enterprises and have limited production capability and warehouse space. They might expand but most of the investment is done in the productions division which eventually leads to lesser space for warehouse and inventory.
Small to medium-sized enterprises can find it difficult to get hold of cheap warehousing space with rising rent prices.
On the other hand, outsourcing your warehousing to a 3PL will not only meet your inventory/warehousing needs but it will be cheaper for you as compared to renting out a warehouse.
A 3Pl will also provide you order fulfillment services and efficient inventory management so you never face supply chain constraints. Making sure that you can grow and increase the number of units produced by your business without worrying about inventory storage and warehousing limitations.
3) You want to reduce the delivery time for your orders
With most e-commerce businesses offering 2-day shipping as standard, you do not want to be left behind. You might be fulfilling the orders by yourself, trying to provide free 2-day delivery but it can increase your operating costs and put a strain on your operations.
A 3PL provider can reduce your delivery time and allow you to offer free shipping within 2 days to your customers. 3PL providers have multiple warehouse locations which allow them to deliver the orders more quickly and efficiently.
I want to use the services of a 3PL Provider
If you have finally decided to use the services of a 3PL provider you should opt for Red Stag. They are providing top-notch 3PL services making sure that all your logistics needs are fulfilled.
Visit Red Stag to learn more about the 3PL process.