When people think of revolutionary technologies for businesses, the first things that might pop into mind could be the Internet, Artificial Intelligence, and similar tech. However, advances in logistics have also transformed society. Consumers today are used to ordering products online and getting their order just a few days later, whereas not so long ago, having goods delivered could take weeks. Now, modern logistical systems, including third-party logistics solutions, have greatly sped up order fulfillment. Let’s look at some signs that you should partner with a third party to improve your logistics and fulfillment.
Fulfillment is Slow
Amazon, Walmart, and other companies were able to carve out competitive advantages by improving their logistics systems. Amazon, for example, has championed 1- and 2-day delivery. This is crucial, as quick delivery makes online shopping a better solution in comparison to brick-and-mortar shopping. 20 years ago, someone might skip buying something online because they’d have to wait weeks to get it, whereas they could pick it up the same day at a local store.
Nowadays, fast shipping is all but a requirement. You may not be able to gain a leg up on many of your competitors by using fast shipping, however, if you fail to provide quick fulfillment, your competitors could pull ahead, and you’ll lose customers who simply don’t want to wait.
You Can’t Find the Staff to Run Fulfillment
Labor markets have been tight in recent years. Even if you’d prefer to keep your warehouse and fulfillment in-house, you may not be able to find the right talent to make the system run. The good news is that when you work with third-party logistics providers, they’ll have the staff on hand to ensure a great experience. This way, you can focus on other business processes rather than trying to find and train employees to handle everything in-house. Learn more about this benefit by contacting our team at American Western Distribution!
You’re Running Out of Space
When you first started your business, a small warehouse or shop may have been enough to store everything. As your business grows, however, you may find yourself running out of room. You might try optimizing space, but eventually, density could slow down your shipping and fulfillment as employees struggle to navigate a crowded storage center.
The good news is that third-party providers will typically have ample space on hand to store everything. As your company grows, they’ll be able to accommodate your rising demand for space. This helps explain why, in 2021, third-party logistics companies in the United States grew by more than 3%.
Are you in need of a reliable logistics partner? Get in touch with our team at American Western Distribution today. We look forward to working together!
Posted: 12/15/23
