How eCommerce Businesses Can Save Money by Outsourcing to a 3rd Party Distribution and Warehousing 

How eCommerce Businesses Can Save Money by Outsourcing to a 3rd Party Distribution and Warehousing 

The notion of outsourcing logistical responsibilities would’ve seemed vague twenty or even ten years ago. But now, with the rise of online orders and the increasing need to deliver products within shorter timeframes, teaming up with a 3rd party distribution and warehousing is almost a necessity.

3PLs charge separate fees for setting up the business account, basic shipping and deliveries, order processing, storage, packaging, and order fulfillment. So, these fees must add up to cost businesses a fortune, right? Wrong! A top 3rd party distribution and warehousing cut down business expenses by making businesses more customer-friendly. Here’s how they do it –

Expanding the Delivery Network – In the past, ordering an item on the internet meant waiting for at least a week for it to be delivered. However, supply chains have to be faster to meet the increasing demands of modern-day online shoppers. 3rd partly distribution companies have extensive distribution networks that span through states, countries, and even continents. For a modern-day eCommerce business to thrive, it must have separate supply chains. One for high-demand products, one for low-demand products, and one for products that are ‘dead.’ Having these extensive supply chains and delivery networks at their disposal means that businesses can rapidly respond to customer requests, irrespective of the shopper’s location.

No Warehouse Troubles- By expanding and diversifying their supply chains with 3rd party warehousing providers’ help, businesses can eliminate all warehouse-related risks. Since all products are tracked, assessed, and handled by warehousing experts, there are minimal product damage risks due to weather-related reasons or due to other causes.

Cross-Docking – Many 3rd party warehousing and distribution experts offer cross-docking services. They transfer the products directly from the manufacturing facilities to the consumers. Hence, there’s no need for storage. Since these leading 3rd party warehousing and distribution companies have large fleets of vehicles that contain tracked products (businesses always have a clear idea about their products’ locations), they can instantly address new customer orders or requests. By offering such fast deliveries, businesses can attract more users. On the other hand, eCommerce sellers who don’t offer these services often miss out on orders.

Super-Fast Deliveries – Super-fast deliveries are one of the main drivers of eCommerce growth. Most consumers are willing to pay extra fees if the seller can guarantee one-day delivery. The assistance of an experienced 3rd party warehousing and distribution company is a must to attract these impatient customers. Delivering fast-moving products also adds value to the seller’s brand.

Improvements in Customer interactions – Since online orders require no physical contact between the seller and the buyer, businesses have very little scope to interact with their customers. Top 3rd party warehousing and distribution experts provide time-efficient deliveries to ensure that all seller-buyer interactions are positive. They offer secure packaging, add attractive stickers to the products, and do anything their clients ask them to do. Of course, these additional services come with additional fees, but the customer satisfaction that the business achieves at the end of each interaction is priceless.

A business that teams up with 3rd party warehousing and distribution experts will never have to worry about providing discounts or engaging in other sales promotion tactics. The proficient services of these 3rd party warehousing and distribution experts will be more than enough to attract new customers!

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