7 Reasons to Use An Order Fulfillment Service

Order Fulfillment ServiceMaintaining order fulfillment as an in-house operation can cause major headaches. As a result, many companies are transitioning to outsourced order fulfillment services in order to expand and grow their business. An outsourced order fulfillment service includes a third-party logistics provider that fulfills orders on behalf of its clients. Typically, these clients include online retailers, e-commerce businesses, and physical store locations that don’t have access to their own warehouses or distribution centers. The order fulfillment service should provide the receiving, processing, and delivery of all orders for its clients. Fulfillment is a huge commitment for any company because it involves a lot of time and resources that could be used elsewhere. As your business starts to grow, a third-party order fulfillment service will grow with you.

Let’s take a look at some of the reasons to use an order fulfillment service.

Reasons to Use an Order Fulfillment Service

1.) Reduce Operating Costs: Working with an order fulfillment service provider can reduce infrastructure and logistical costs. Most businesses experience seasonal fluctuations and this is especially true for order fulfillment. During peak seasons, additional workers may be needed and rent and storage prices tend to increase. Many businesses don’t have the ability to hire temporary workers or purchase new warehouses that are necessary for an order fulfillment operation. By using an order fulfillment service, you eliminate the need for new infrastructure, and this ultimately reduces operating costs.

2.) Lower Shipping Costs: Most order fulfillment companies have the ability to offer lower shipping costs because of contracts with regional, national, and international shipping companies. The discounts that an order fulfillment service can offer is something to take advantage of. Also, many order fulfillment services have locations across the country which allows for cheaper shipping due to location and delivery times. Be sure to choose a fulfillment service that complements your sales markets.

3.) Reliable Customer Service: Customer service improvements can greatly impact the efficiency of a business. A call center that maintains customer interaction is a huge benefit of an order fulfillment service. Customer support that is readily available and also deals with return and refund policies can save you the hassle. Order fulfillment companies give the peace of mind knowing that your customers are being taken care in a timely manner.

4.) Expand Your Market: Often, small or new retailers have trouble expanding their business nationally or globally. Global trade tariffs and compliance issues can be complex and daunting. An order fulfillment service should give your business the ability to ship anywhere in the world due to its’ distribution networks and global expertise. By using a fulfillment company’s platform, you can take your business to the next level and increase sales in new locations and markets, even selling on Amazon.

5.) Utilize Technology: Gaining access to a warehouse management system (WMS) that keeps track of inventory is an invaluable tool for order fulfillment. Being able to process, manage, handle, and integrate technology with a sales system is sure to drive growth. This type of technology can be very expensive to implement, making it an appealing feature of using an order fulfillment service.

6.) Scalability: Flexibility is one of the top reasons for using a fulfillment company. It will allow you to choose the location where inventory is stored, while only forcing you to pay for the portion of space you are using. It will also allow room for growth and won’t cost you extra if business picks up and you need to hire another employee. An order fulfillment service gives you the flexibility your business needs to run effectively.

7.) Time: By choosing to work with an order fulfillment service provider, focus can be put on growing the business. Other areas of business such as marketing, promotions, and sales will have more time to focus on specific goals, rather than being weighed down with fulfilling orders.

As customer shopping preferences continue to shift towards e-commerce, having an order fulfillment provider will help you keep up with demand. Outsourced fulfillment and warehousing has the potential to add tremendous value for any business looking to grow. If you believe an order fulfillment service can benefit you, contact Logistics Plus today. Our fulfillment and warehousing experts ensure that from start to finish, every order is executed successfully.