When it’s time to expand your business it’s vital to get the right support structures in place to make logistics run as smoothly and cost-effectively as possible. This is especially true if you’re a small but growing business seeing the costs of In-House fulfilment spiralling.
If you have an online business it’s common for growth to rapidly pick up the pace, especially if you’ve got great products and are marketing effectively to the right customers. Without a well structured warehouse system in place to pick and pack your orders, backed up by a reliable courier service to get your products to your customers on time, you can run the risk of demand outpacing your ability to meet your customer’s expectations
This is where Third Party Logistic Companies (3PL) come into their own – freeing up your time and energy to focus on managing the growth of your business, rather than constantly playing catch up with orders.
Whether you’re running your online business from an office space or from your home you will need adequate storage space. As your business expands it becomes costly and time-consuming to source warehouse space specifically dedicated to your business.
Overhead costs of running your own warehouse are high. The initial outlay is not only expensive it also doesn’t change even if you’re not fully using the space. This can leave you seriously out of pocket if you decide to change stock or when demand fluctuates.
By using a fulfilment service you can cut costs by utilising flexible warehousing space that changes according to your businesses needs.
Warehouses don’t run themselves, so if you choose to ‘go it alone’ with warehousing facilities you will need to source, hire, train and manage a team of In-House staff.
This means keeping up with the latest in technology and training, as well as using valuable resources on staff performance and retention. If your business is still growing, the cost of implementing changes and keeping your staff up to date with the latest technologies can be extremely expensive.
Outsourcing your warehouse means that you don’t have to worry about all these extra factors, and you can be certain that the right fulfilment company will take care of technology, training and getting the best staff for you – all covered in one simple monthly 3PL payment.
Increasing sales are great – but they also come with a natural increase in potential issues and problems for your expanded customer base. Processing returns and sourcing couriers who will be reliable and give you the best price can become a logistical nightmare without the right skills and long-term relationships with different companies and professionals.
Great order fulfilment companies have teams dedicated especially to getting the best courier service possible and streamlining delivery and returns processes. This means cutting-edge tracking technology and the ability to quickly and efficiently get your product to the right person, on time.
Remember – delivery of your product and the ease and speed of any returns processes are the direct, physical link between you and your customers. This is where the rubber meets the road for your business and how your reputation will be built.
So, if your business is expanding and you need extra space and support for all your logistical needs, then using a fulfilment company makes perfect sense.
Here at Meteor Space we’re happy to offer advice about the best solution for your business, so get in touch today to find out how we can help you.