Logistics have undergone some tremendous changes since the digital boom arrived and third party logistics (3PL) is a growing industry that supports the huge online retailing industry by providing tailored solutions. From the retailer’s perspective, outsourcing packing and delivery is a cost-effective way to deliver products and such is the demand that these specialist providers are geared up to handle a high volume of orders. If you are new to the online retailing industry and are looking for logistical support, here are a few of the services a 3PL provider offers.
- Pick and Pack – If a retailer has a product range of 50 different items and their online customers typically select 5 or 6 from the range when ordering, the 3PL provider can stock their entire product range and pack individual orders, to be despatched to any global location. Typically, 3PL logistics is very competitive and the major players have unlimited resources to ensure that all your products are delivered promptly and they are flexible enough to handle seasonal surges, which is essential for the retail business.
- Express Delivery – The online consumer has many options and they demand super-fast delivery. If you cannot process orders efficiently, this will have a negative impact on your business. Therefore, it is essential to have the support of a 3PL provider and one that has the necessary resources to deliver the goods. Many retail outlets have seasonal surges and without the support of a 3PL provider, they simply cannot cope. High volumes of orders can lead to a breakdown in the logistics and when customers start to receive their goods late, that could spell the end of your business. If you are not familiar with the term third party logistics, there is an educational summary online of what 3PL involves that you can easily check.
- Competitive Pricing – If you are using a 3PL company to do all your packing and despatching, the cost per item will be much lower than if you handled the logistics yourself. This allows you to be more competitive and with the global online market, you simply have to be competitive on price. The cost of packing and despatching a product can be excessively high if your logistics operation is not finely tuned and over time, this can cause a slump in profits.
- Boost Customer Satisfaction – You already have an impressive line of products and if they are always delivered on time, your customers will have a positive buying experience. As your online business grows, the volume of orders increases and if you are enlisting the help of a good SEO provider to boost site traffic, you need to be certain that you can handle a higher volume of orders and that your processing time remains short. Improving the customer’s experience is every retailer’s objective, and with an affordable third party fulfillment provider with the resources to ensure prompt delivery, customer satisfaction will likely lead to further business.
f3PL is a growing sector that supports a huge online retailing industry and with more and more people turning to e-commerce, if you haven’t already outsourced your logistics, there’s no better time than right now!
