Whether you’re in the B2B or B2C sector, warehousing, fulfillment, and shipping are crucial to your business’s success. Managing the day-to-day flow of inventory can be overwhelming, which is why partnering with a third-party fulfillment partner (3PF) can be not only essential but also highly beneficial.
What is a “Third-Party Fulfillment Partner” (3PF)?
Building strong relationships is vital in business, from customers and vendors to employees. If you’re struggling to meet customer demands or need additional support, a 3PF can help alleviate some of the workload while maintaining your brand’s integrity and service standards. A top-notch 3PF acts as a seamless extension of your business, providing the support you need to thrive. To find the perfect fit, consider these five simple rules.
1. LOCATION IS IMPORTANT
The location of your 3PF should strategically support your business. While proximity to your own location isn’t crucial, being close to your customers is. Logistically, the nearer the 3PF is to your manufacturer, the lower your shipping costs will be. Many 3PFs in the Midwestern U.S. can ship to any area in the Lower 48 within two days, providing excellent coverage.
2. ARE THEY THE RIGHT SIZE FOR YOUR COMPANY?
Choosing a 3PF that’s the right size is crucial. If they’re too large, you risk getting lost among other clients and experiencing underwhelming responsiveness. If they’re too small, they may lack the experience to support your business effectively. Look for a 3PF that can meet your current needs and has the capacity and flexibility to grow with you.
3. THEIR CORE SHOULD BE FULFILLMENT
While many companies can fulfill product orders, fulfillment should be the core of their business to ensure they fully understand your needs. A company focused on fulfillment is more likely to be attuned to your requirements and offer valuable suggestions for improvement.
4. SUSTAINABILITY IS KEY
Experience matters. A 3PF with a long history in the industry brings a wealth of knowledge and best practices. If they’re newer, understand how they got started and their expertise. A seasoned 3PF that has “seen it all” and “done it all” can offer deep insights and a thorough understanding of your fulfillment needs. Longevity often indicates reliability and success.
5. TECHNOLOGY: DO THEY HAVE IT?
Your 3PF must have the technological capabilities to handle your order data efficiently. They should be able to receive electronic orders, process them for shipping, and provide shipping confirmations. An added benefit is if they can set up an eCommerce site, allowing customers or employees to place orders directly for quicker turnaround times.
What’s next?
With these criteria in mind, it’s time to narrow down your list of potential 3PFs. Here are some qualifying questions to ask:
- Do they have clients with needs similar to yours? Request a list of 2-3 references.
- What is the average time from dock to stock?
- What is the typical turnaround time from order placement to shipment?
- Do they offer real-time, online reporting for inventory and orders?
- Can they provide real-time data feeds regarding order status?
Ready to Find the Perfect 3PF?
Selecting the right 3PF can significantly impact your business’s efficiency and success. If you’re ready to explore how a third-party fulfillment partner can benefit your operations, reach out to our sales team today. We’re here to help you find the ideal solution tailored to your needs. Contact us now to start the conversation and take the first step towards streamlined operations and improved customer satisfaction.