5 Benefits of Choosing Third Party Logistics Firms

People are growing their businesses in different multitudes, and fulfilling customers’ requirements remain paramount of everything. When it comes to e-commerce business, particularly, the focus has to be on their logistics and supply chain management to ensure customers get the best services and get the perfect brand leverage.

Fulfilling ten orders/day is not a big task, but when it crosses 100-500/day, you might need a helping hand. That’s where the best third-party logistics companies come at your rescue. These companies are considered ideal to outsource supply chain management and logistics. In this article, you will learn more about why third-party logistics companies need the hour?

What are Third-Party Logistics Companies?

Offering an all-encompassing solution to collecting, warehousing, packaging, and distributing services under one roof, 3PL providers have emerged as the saviors of e-commerce businesses. These companies are hired by firms to meet their customer orders and maximize profitability and efficiency. Getting reliable 3PL services is proven to be beneficial to improve customer satisfaction and brand value. With the combination of knowledge, resources, and manpower, the third-party logistics companies are the best alternative to outsource your logistics and supply chain management services.

#1 Saves Your Time And Cost

3PL companies are meant to provide you with logistics services as they specialize in it and have an extensive network to facilitate services. Instead of bearing all the cost, you can simply hire these service providers who can handle everything at once, thereby saving you some extra bucks. Managing everything on your own is undoubtedly time-consuming. You can either indulge in time-consuming work or switch to 3PL and utilize your time in other core activities.

#2 Expertise and Experience Under One Roof

When you are just starting your e-commerce business, the industry is new to you, and it takes time to get used to the logistics services. Don’t get stuck in the process of finding the balance between efficient services and customer experience; simply hire 3PL providers who possess the right knowledge and the expertise to handle all your logistics work. From transporting, packaging, and warehousing, to shipping and delivery, 3PL will take over all the integrated services to ensure that your brand receives the needed credibility and exposure.

#3 Facilitates Market Expansion

As a new entrant in the market, you would want to explore the industry and bag a prominent place. Not only providing you with logistics services, but 3PL providers are also a great means to interact with the market and expand your reach. With 3PL services, you will be able to manage inventory in different markets without actually spending anything on the warehousing. That’s the beauty of outsourcing logistics and supply chain management. For instance, you are headquartered in the US, but you have a customer in Canada to whom you need to deliver. If you have a 3PL provider in Canada, it will be a plus for your brand to increase its worth and presence in Canada as well, without actually being present.

#4 Enhance Customer Experience

One of the significant reasons why 3PL companies were preferred in the first place was to improve customer satisfaction. When e-commerce businesses weren’t able to fulfill bulk orders, their customers were being let down that degraded the brand value. With the emergence of 3PL service providers, businesses are able to build a strong customer relation that helps in mounting up the revenue and brand value. Timely deliveries, efficient packaging, and better brand reliability make the customers more satisfied with the brand.

#5 Better Scalability and Flexibility

As a start-up, you won’t be able to manage to get space, resources, and knowledge in one place to fulfill your customers’ demands. 3PL firms, on the other hand, gives you the ability to scale more and remain flexible in terms of space, resources, transportation, inventory, etc. Seasonal businesses can particularly seek advantage from 3PL companies by taking up services whenever needed, rather than paying unnecessarily for services never taken. You can use different tools and services that help in keeping control of all the logistics process.

The Bottom Line

When you are handling an e-commerce business or struggling with supply chain management, you need a hand that can take over the work. Third-party logistics companies are the assistance you need to enhance your fulfillment services. Whether it is saving time and money or increasing the profitability, 3PL services providers have become ragingly popular in almost every industry today. The comprehensive facilities and one-stop solutions to all the concerns make 3PL providers an ultimate option for logistics and supply chain management.

The above mentioned were some of the best advantages of hiring third-party logistics companies and seeking their services. Always keep these points in your mind when you are going to hire 3PL providers.

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