What are the benefits of using a 3PL provider?

Most small to medium eCommerce businesses face different challenges when running their business. Some of the most common challenges involve logistics, order fulfillment, inventory and stock management. This because they lack manpower, and resources. And adding additional manpower or implementing new systems require a huge long term investment. Luckily, there are third-party logistics companies that provide logistic, warehousing, and fulfilment services. Outsourcing your fulfilment to 3PL providers has several advantages and disadvantages. But in this article, we will focus on the advantages.

• Reduce Costs

  Most 3PLs have access to bulk shipping rates unlike individual shippers. 3PL companies can even negotiate pricing depending order frequency, and volume of items being shipped. This enables business owners to save more and use their budget on improving their product range, marketing efforts, and even customer service.

• Scaling up with little investment

  Outsourcing to a third-party logistic provider gives eCommerce businesses the flexibility to scale up or down as needed without risking a huge capital or investment. This way you will have more control over your fulfilment, storage, and inventory depending on the demand. This is a huge advantage as compared to renting a whole warehouse or adding manpower to handle order fulfilment and warehousing.

• Better Customer Experience

  Some 3PL providers offer integration with eCommerce shops that helps automate order tracking, and sending shipping alerts to customers. Most 3PL providers have a wide network of shipping and courier companies which gives you and your customer better options depending on their needs. Customers can even expect lower shipping rates or even next-day or same-day shipping.

These are just some of the many advantages of using a 3PL supplier. If you are keen on using a 3PL partner for your eCommerce business, check out our airWarehouse's services here.