Order fulfillment is an integral part of any given business. The process of receiving, processing, and delivering orders to end customers should be streamlined and well-implemented. From the point of sales inquiry down to the delivery of products, order fulfillment should be as seamless as possible for you and your customers. This is where a third-party company comes into the picture.
A third-party order fulfillment service can go as far as stocking products in a warehouse, both picking and packing ordered items and shipping the merchant’s products right to the customer’s doorsteps.
Although seeking an order fulfillment service from a third party may come at a certain cost, there are several reasons to take advantage of such a service. That said, below are three valid reasons you should hire a third-party order fulfillment service for your e-commerce business.
Distribution of shipping locations
It’s more practical to have various shipping locations distributed across your market. For one, it costs less to ship orders to customers close to your warehouse. Second, it takes less time for shipments for the items to arrive at your customers’ locations. As an e-commerce retailer, it may be quite challenging for you to house products for stocking and have different point areas for shipping items. Through the help of a third-party order fulfillment service, you will be able to make all these processes possible.
Reduction of operating expenses
Dealing with plenty of operating expenses may cause you headaches as an e-commerce retailer. There are many aspects to consider – from leasing a warehouse to paying for labor down to packing and shipping items. Employing the service of a third-party order fulfillment company can actually help you reduce your overall operating cost. If you wonder how it does, consider the following examples:
- It eliminates or at least reduces the cost of leasing a warehouse or storage unit.
- It reduces labor costs and taxes associated with order fulfillment.
- It lowers packing material costs, since a fulfillment service may have a better price.
- It packs and ships quickly, allowing for more economical shipping services.
- It cuts shipping costs because of volume and warehouse location.
Focus on other areas of concern
Apart from having distributed locations and monetary advantage, employing a third-party fulfillment service may help you focus on other areas of concern in your business. Instead of wasting your time and effort in taking, processing, and shipping items by yourself, you can have more time to focus on other aspects of your business. These include improving your products, pursuing robust marketing, and sprucing up your sales, among others.
You will also be able to build lasting relationships and engage more with your customers through your website, social media accounts, and other online platforms. You can do more for your e-commerce business that will make it grow and expand in no time.
// Final words
Ultimately, the valuable tips given above will help you hire a third-party order fulfillment service that can help your e-commerce business grow. Consider how such service can lower shipping costs, improve delivery time, and improve operating efficiency. In turn, all of these improvements will help your e-commerce business thrive and succeed in the long run.
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