It is no secret that customers have high expectations today, extending to the delivery experience, which is no exception. A 3PL company’s ability to handle warehousing and distribution is one of the major reasons eCommerce businesses partner with them. eCommerce businesses know that choosing the right 3PL logistics companies UK can substantially impact brand reputation, customer satisfaction, and profit margins. However, the wrong eCommerce fulfilment providers can also cripple a business’s future growth and reduce its profits.
The good news is that not all logistics partners are created equal, and you can switch partners more easily than you would expect. A 3PL that can support your long-term growth will be completely able to handle the challenges your business is facing right now if your current logistics partner is slowing you down.
Having said that, how do you know which is the best 3PL for eCommerce and when it’s the right time to make a switch? Read along to find out!
3PL Provider Types and What They Do
Understanding the different types of third-party logistics companies and what to expect from them is essential before deciding whether to hire one. It’s imperative to manage inventory, warehouses, and fulfilment. Today, every company offering a logistics service for hire calls itself a 3PL, according to the Council for Supply Chain Management Professionals (CSCMP).
- Standard 3PL Providers are the least expensive option, and they provide only the most basic warehouse logistics services, such as storing goods and arranging for their transportation.
- 3PL Service Developers help companies with their standard storage and shipping needs as well as providing IT infrastructure and management for packaging, security, tracking, and returns management as well.
- 3PL Customer Adapters provide the logistics process for another company, from start to finish. This includes managing rates, negotiating with carriers, and handling shipping. Some dashboards provide clients with a view of the processes, but the majority prefer to remain hands-off.
- 3PL Customer Developers are responsible for serving the largest companies in the world by taking over every aspect of the company’s logistics activities at the client’s request. They are essentially the logistics department for their clients.
When Should You Consider Switching 3PL Providers?
Your 3PL is prone to making mistakes.
Sometimes blunders happen in eCommerce fulfilment. Your 3PL’s failure to deliver on orders repeatedly is a red flag that negatively affects your business. Customer loyalty usually leads them to blame the brand they’re familiar with, not the fulfilment centre responsible. Consider outsourcing your logistics operations to a more efficient provider if your logistics partner consistently ships damaged items, sends packages to the wrong location, or loses shipments.
Your provider does not address concerns raised by you.
Having flagged a problem with a true fulfilment partner, you should receive an action within minutes. Your 3PL Manchester may not consider your account a priority if it fails to respond promptly to your concerns. Whether this is due to size or some other reason, it could be a sign that your account is not a priority.
A 3PL relationship should be synergistic between an eCommerce business and its distributor. Rather than acting as a separate entity, fulfilment providers should act as extensions of brands. Consider changing providers if your current provider only serves its interests.
Outdated technology
Fulfilment relies heavily on technology. Your eCommerce platform should integrate seamlessly with your 3PL partner, from tracking orders to managing inventory.
You shouldn’t settle for manual operations when you can automate them with a 3PL provider. You have more valuable things than processing orders on spreadsheets! A lack of streamlined data can also lead to errors.
3PLs who spend too much time doing tasks which could be automated are also adding to your costs. Time saved equals money saved.
How to Make a Smooth 3PL Provider Switch
Take a look at these tips to make the process as seamless as possible.
1. Current contract termination
Keep your contract in mind when you are ready to end your relationship with your current 3PL and have tried everything. You can still start researching and planning with your new partner even if the end date of your current relationship is not for some time.
Transition processes are easier to implement when you have time to plan them. Let them know your specific requirements, expectations, and modifications you would like them to make to the contract in order to make sure that you are satisfied with the future fulfilment partnership.
2. Analyse your supply chain
Your supply chain needs to be redesigned after you’ve selected a new 3PL provider, with transit times adjusted from your manufacturer to the 3PL. Particularly if the new fulfilment centre is further away from the old one, this can affect when and how much inventory you need to reorder.
There will be additional numbers to crunch if you change from one fulfilment centre to a 3PL with multiple fulfilment centres. An experienced logistics company can help you with this process. Finally, ensure deliveries make it to the right fulfilment centre by communicating these changes with your manufacturers.
3. Implement the 3PL transition
You may want to start moving your inventory as soon as possible (out with the old, in with the new) once you switch. Be careful not to rush.
As you get set up, shipping inventory to your new 3PL from your old fulfilment centre prevents stockouts and backorders.
When the transition is complete and your facility is fully stocked, you may also want to run a sale with your previous 3PL e-commerce fulfilment in the UK to clear out old inventory. Make sure the old 3PL is routed to your backend technology until the inventory has been cleared.
4. Keep your customers informed.
The unexpected can always occur, such as a temporary delay in shipping, even with a seamless transition. You might experience a temporary delay during the switchover when switching 3PL companies to provide a better experience for your customers.
Be transparent with your customers by notifying them of changes via your website, social media, etc. This would help them understand that their needs were taken into consideration when designing the switch.
Make the Switch to 3PL Fulfillment
To meet your objectives and sustain your brand over the long term, you want to choose a 3PL that operates as a partner rather than a vendor. Look for a logistics partner that can provide you with hands-on help, quick onboarding services, and easy technology that can be integrated with your existing technology stack to ensure the transition is as seamless as possible.
For your business to scale and meet your customers’ expectations, choosing the best eCommerce fulfilment service that runs smoothly and is reliable is essential.
Look no further than 3PL Fulfillment for a fulfilment partner to scale up with you as your business grows. We are capable of handling large volumes of orders without sacrificing customer service. Furthermore, we can help you understand how eCommerce can benefit your business.
3PL Fulfillment has a network of transportation companies that can reduce your freight costs. You can offer your customers discounted shipping and delivery costs through our network of transportation companies.
