Ecommerce businesses are facing an ever-growing demand for effective warehousing and fulfillment solutions. To meet this demand, many ecommerce suppliers are turning to third-party logistics (3PL) providers to outsource these operations.
According to Forbes, research reveals that “order status” is by far the most common customer support question category, accounting for 33% of all questions asked. After years of Covid and supply chain issues, people are lacking compassion for products that are not arriving on time.
If your shipping process is struggling, have you considered the benefits of developing a relationship with a 3PL to reduce the number of customers and profits lost to poor shipping?
Benefits of 3PLs:
Cost Savings
Outsourcing warehousing and fulfillment to a 3PL provider can lead to significant cost savings. “While the upfront cost may seem daunting, outsourcing can actually save you money in the long run, as you’ll be able to take advantage of economies of scale and more efficient processes,” according to Forbes. By avoiding the expense of setting up their own warehousing and fulfillment operations, ecommerce suppliers can redirect those resources to other areas of their business.
Scalability
As ecommerce businesses grow and order volume increases, the ability to scale up quickly becomes essential. A good 3PL provider will have the infrastructure and staffing in place to rapidly scale up as needed, without sacrificing quality or service levels. This is crucial, as Vitasek points out in Forbes that “if you’re not able to scale your shipping process, you’ll quickly run into issues with delays, customer complaints, and lost revenue.”
Expertise and Experience
Third-party logistics providers have significant expertise and experience in warehousing and fulfillment operations. They have the technology, processes, and systems in place to ensure that orders are fulfilled accurately and on time. Ecommerce suppliers can leverage this expertise and experience to improve the quality of their operations and the overall customer experience. As Vitasek notes, “partnering with a 3PL provider can bring new expertise to your shipping process, including access to new technologies and best practices that can help you improve efficiency and service levels.”
Customer Service
A good 3PL provider will provide excellent customer service and be responsive to the needs of ecommerce suppliers. They should be easy to communicate with and be willing to work with ecommerce suppliers to address any issues or concerns that arise. By partnering with a 3PL provider that provides excellent customer service, ecommerce suppliers can ensure that their customers are receiving the best possible experience. “Your shipping process is a critical part of your overall customer experience and working with a 3PL provider can help you deliver a better experience to your customers.”
Technology Capabilities
Another key benefit of using a 3PL warehouse is technology capabilities. A good 3PL provider will have a robust warehouse management system (WMS) and other technology solutions in place that can help streamline operations and provide visibility into inventory levels, order status, and other key metrics. By leveraging this technology, ecommerce suppliers can improve efficiency, reduce errors, and provide a higher level of service to their customers.
Simplify with OPAL’s 4-in-1 Software Solution
EDI | Order Management | Warehouse Management | Shipping
OPAL is the innovative solution to simplify your small to mid-sized to enterprise business fulfillment needs in today’s rapidly transforming retail world.
If you’re looking to improve efficiency, reduce costs, and provide a higher level of service to their customers through partnering with a 3PL and in need of automating internal process for this to succeed – OPAL is here to partner with you as you make this transition.
To learn more about how your eCommerce business can thrive this new year, click here!