Partnering with a Trusted 3PL
As a growing e-tailer, partnering with a trusted third-party logistics provider (3PL) allows you to focus your energy, resources, and capital towards your core company strategy, rather than exhausting your business over operational overhead costs.
As Sarah Hague, Executive Director at Glossier put it in her interview in Eye For Transport's report on Upgrading Supply Chain for Omnichannel Retail stated;
“Opening up your own 3PL is like opening a separate business yourself, and when you’re small and scrappy and just trying to get by with as much as you possibly can, it’s not something you take on lightly.”
Taking the time to research different 3PLs is crucial in finding the right partner for you and will be a huge cost and time-saver in the long run.
Set specific criteria for what you are looking for in a 3PL and ask thoughtful, strategic questions that lead you to check 'yes' or 'no' on your fulfillment boxes!
We've outlined some 3PL 'must-haves' and 'must-asks' below:
Find a 3PL with…
1. A Mature Carrier Network
Questions to Ask: How do you ensure that shipping carrier and service time are being optimized? What carriers do you work with?
2. Experience in Omnichannel Fulfillment Solutions
Question: Will you integrate with my shopping cart and sales channels? (Shopify, Amazon, Etsy, etc.)
3. Innovative Technology
Question: Do you use automation in your warehouses or other advanced forms of technology to increase efficiency and accuracy in your fulfillment processes?
4. Experience Handling Peak Volume
If you are a seasonal business or have frequent flash sales, this is a big one.
Question: Do you have experience handling peak volume? How are you preparing for the holiday rush? Do you handle flash sales?
5. Clear Inventory Receival Guidelines
Ensure that your fulfillment partner can receive your inventory with accuracy and efficiency, and make sure that you understand their process for receiving.
Question: How do you handle receiving inventory from your vendors? Will I need to palletize and/or barcode my inventory?
6. A Record of Trusted Inventory Control
Question: How do you handle lost inventory or order errors?
7. A Thorough Picking & Packing Process
Question: Are items scanned at the point of final packing and shipment? How does your warehouse team ensure that the right SKU is picked and packed with the right shipping label?
8. A Clear Cost Structure
Ensure that you are working with a 3PL that does not nickel and dime you with separate charges for receiving, picking & packing, and shipping. These seemingly small charges will add up.
Question: Do you charge separate fees for receiving, pick/packing, warehousing, and shipping, or do you have an all-inclusive pricing model?
Ultimately, find a partner, not just a service provider.
“Anyone can pick, pack and ship, but who's going to help you grow your brand? Who's going to fill the gaps that you have on your team?”
-Sarah Hague, Executive Director at Glossier
Find a fulfillment partner that you can grow with and who you can trust. Being strategic and thoughtful in your 3PL selection process will save your business from logistical headaches as you scale.
EasyPost Fulfillment
EasyPost provides a simple, efficient, tech-forward solution for all fulfillment needs. From warehousing to receiving, pick-packing and shipping, we can do it all for one flat, per-package fee. There are no hidden costs and you pay nothing until you ship a package.
Interested in learning what you could be saving? Click below to get a quote.
About the Author
Paul Vinuelas is the Chief Logistics Officer (CLO) at EasyPost. EasyPost is the missing API that makes it quick and painless to integrate shipping into your application. Some of the biggest names in retail rely on EasyPost to ship faster, smarter and cheaper. We manage the headaches involved with dated carrier technology so our customers can focus on what makes their business great. Checkout EasyPost Products.
Related Article: Freight Shipping Solutions For Your Ecommerce Business
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