Being in the eCommerce business, you need to gain partnerships with reliable 3PLs. However, a 3PL alone is not enough to suffice your business needs. You still need the service of 3PL distribution. It is a great help in lifting a burden off your shoulders.
But what is 3PL distribution all about? Let’s find out.
What is 3PL Distribution?
Third-party logistics help you bring out the best in your business. First, it provides trained warehouse staff with limited space and shipping orders from one location. Although it might cost you, its advantages outweigh it. With a 3PL partnership, you can handle increasing delivery times and costs.
A 3PL distribution helps you determine the placement of your inventory. It does not focus on defaulting all your stocks to the company location. Instead, it strategically stores huge concentrations where customer demand is. As a result, your warehouse can accommodate orders immediately. It won’t take up to 3-5 days to reach its target destination.
With 3PL distribution, you can fasten fulfillment with warehouses nearest the target market. Also, it helps in optimizing your national fulfillment. Thus, create a better brand for your eCommerce business. But still, it depends on your sales volume, inventory management strategy, and inventory costs.
8 Perks of having a Partnership with 3PL Distribution
Having 3PL collaborations improves any business in various ways. Listed below are some of the countless benefits.
Advanced Technology
A 3PL work best because of its up-to-date technology. Its tracking and tracing feature helps you monitor what goes in and out of the warehouse. So you won’t miss an inventory. Or if ever you do, backtracking is a lot easier. In addition, with technology, the transportation management system (TMS) is more manageable. You can schedule all incoming and outgoing goods without breaking your brains out. Plus, advanced technology helps in heightening your warehouse security. So it minimized the risk of theft and human error.
If you partner with 3PL, your company can enjoy all these tools. However, you still need to be knowledgeable about it.
Relevant Carrier Network
3PL distribution always comes with a carrier network. With many carrier companies available, you might find it hard to find the right one for you. But with 3PLs, they take responsibility from you. A 3PL service provider is your broker as they search and build relations even with those smaller carrier companies. As a result, you can ship and deliver customers’ orders where it needs to be. You don’t have to worry about contacting which is the best carrier in a specific location.
More Available Resources
One of the best highlights of 3PL distribution is freeing up your time and resources. You don’t have to stress yourself out about transportation and freight. 3PL is like doing their magic for you. Although you still need to supervise all transactions – inbound and outbound. But still, you have extra time served on your plate. As a result, you can refocus on other aspects of your business. You can think of a new game plan for expanding. Or you may take a next step that ensures profit.
Affordable Solutions
Most business people are concerned about expenses. Transit in freight is their number one enemy. A partnership with 3PL distribution eases it out. It offers you access to the most reasonable shipping rate. For example, 3PLs built relationships with both small and large freight carriers. So they use it as leverage to control the costs. Often, carriers offer discounted rates to 3PLs. But if you process it independently, it might dent your capital.
In addition, 3PLs negotiate prices. They consider your business reputation and the volume of your goods. Regular partnership and shipping with 3PLs pay off in the long run. It ensures pairing with them is indeed worth it.
Trusted Customer Service
With the increasing demand for 3PL distribution, they enhance one of the features – customer service. All agents are professional and fit to assist before, during, and after the shipment. So it takes off the burden of your customer.
Before the shipment – a team from procurement, management, and engineering design and choose carriers that suits a customer’s freight specification. Afterward, load planners and supply chain managers schedule and execute the daily loads. You don’t have to carry out all the work by yourself.
During the shipment – close monitoring during the load is vital. Customer service teams constantly update the current location while in transit. Also, it checks if it follows the route from the origin to its destination.
After the shipment – billing, load audits, and document filing are tedious tasks. 3PLs have a group of experts in this field. It ensures all shipments and transactions are smooth-sailing. Also, the team evaluates every data entry. As a result, you can apply innovation and improvement as needed.
Innovative and Flexible
A 3PL distribution is not demanding when it comes to its clients. It caters to both micro and macro company needs. Its flexibility will help you reach every customer order, even during shortages or peak seasons.
Macro Flexibility – 3PL distribution lets you innovate more comprehensive solutions. It means you can quickly ship and adapt processes with their assistance. Also, it offers better routes and carrier contracts. As a result, clients can handle transition by themselves without compromising federal regulations.
Micro Flexibility – 3PL distribution can manage last-minute changes, notably smaller scale. It is possible if you need to lessen your load or en route your shipment. Also, you have a backup recovery for the freight in transit.
Whichever season you are in right now, 3PLs can accommodate. Plus, it offers efficient alternatives that secure your shipment.
Save More Money
As stated earlier, a partnership with 3PLs provides you with affordable solutions. In addition, their contact carriers help you get a fair market price. Thus, it lowers the costs. But, it is just one way of saving money. There’s more than a 3PL distribution can offer.
A 3PL only charges its customers for what they use. So, for example, if you only plan to rent warehouse space, you only pay for it. But if you opt for leasing an entire facility or truck, expect for its service charge. In addition, its services depending on what your company needs. Also, it considers the budget you have.
Furthermore, partnering with 3PL distribution means gaining access to infrastructures, technology, and relationships it possesses. As a result, you don’t need to outsource additional personnel and resources. Instead, you save and allocate your budget to other business essentials.
Provides Expertise
A 3PL distribution is an expert in their field. It knows the ins and outs and the run-through of all shipments. In addition, it follows systems and process that prevents you from facing freight issues. So don’t worry about disaster when you partner with a 3PL company like Red Stag Fulfillment. It’s on time, in total shipments, and handles thousands of orders daily. Also, it operates in various locations like Salt Lake City, UT and Knoxville, TN. Plus, it caters to heavy, high-value, and bulky products with efficient pick and pack fulfillment.
Earning trust and partnership with 3PL distribution is indeed beneficial for any eCommerce business. It saves you time and money while building trust with your customers. So search for the best and most trusted 3PL provider.