Proper warehousing, as well as shipping and fulfillment, are essential for any e-commerce enterprise. You do, after all, need to pick, pack, and ship those orders as soon as they have been received to keep customers happy. But how do you deal with your orders as an e-commerce enterprise? Do you fulfill orders yourself, packing as well as shipping your goods? Or do you work with a company – a fulfillment partner – who handles your warehouse and shipping as well as fulfillment needs? If you are the former, it may be time to think seriously about engaging a fulfillment partner, especially if your business is expanding and orders are coming fast. Here’s a look at four concrete benefits a fulfillment partner can give to your e-commerce business.
The first – and most obvious – benefit of working with a fulfillment company is that you no longer have to take care of orders on your own. But the benefits can go much deeper, ultimately resulting in tremendous growth for your business.
The first benefit: no long-term agreements
Many fulfillment companies offer flexibility when it comes to agreements. This means that you don’t have to be encumbered by a strict policy or agreement, especially when orders are low, or the season is lean. A good fulfillment partner should be able to offer a flexible arrangement where the costs can be reduced according to your needs. You no longer have to lease a warehouse for the long-term – with a fulfillment partner, you can rent space only when you need it, especially when your level of inventory falls during slower months.
The second benefit: no more staff requirements
With a fulfilment company, you no longer have the need to hire your own staff just to meet higher demands. Since you are outsourcing fulfillment, your fulfillment partner will be the one responsible for hiring and managing staff to fulfill orders.
The third benefit: better efficiency
Let’s face it: you are doing what you are doing not because you are great at packing and shipping. You have other skills that make you stand out as a business, and if you have to spend time taking care of fulfillment and logistics for your company, you can lose out on the opportunity to harness your skills for other tasks. By integrating third-party logistics, you simply have more time to dedicate to other functions and responsibilities, such as sales, online and digital marketing, and so on.
The fourth benefit: reduced costs
The fourth benefit to a fulfillment service includes reduced costs since your fulfillment partner operates on a larger scale – and this means they are more efficient and can offer you more discounts on expenses such as packaging as well as shipping.
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Source: Main home business mag