For eCommerce retailers who have outgrown their in-house shipping and order fulfillment methods, partnering with a third-party logistics company is the natural next step to support their growth. Alternatively, businesses may consider own fulfillment or in house fulfillment, where they manage the entire fulfillment process using their own inventory, staff, and resources. While own fulfillment and in house fulfillment offer greater control and potential cost savings for smaller operations or startups, they can become limiting as your eCommerce company scales and order volume increases.
These logistics providers, also known as fulfillment providers, offer services such as transportation, warehousing, inventory management, reverse logistics, and freight solutions, all designed to streamline your fulfillment operations and help you focus on scaling your business. As your business grows, outsourced fulfillment and third party fulfillment become strategic solutions, allowing you to delegate the entire fulfillment process—including storing inventory, picking, packing, and shipping orders—to experts who can optimize your supply chain and ship inventory efficiently. This transition enables eCommerce brands to leverage advanced warehouse management systems, robust warehouse operations, and many fulfillment centers with strategically placed fulfillment center locations for faster delivery and improved logistics.
Choosing the best 3PL for eCommerce order fulfillment can be challenging with so many options available. It’s important to evaluate the fulfillment method and fulfillment solution that best fits your business model, whether you require bulk shipments to retailers or direct-to-customer shipping. Selecting the wrong partner may result in costly “Oh Ship!” moments and operational headaches, including poor fulfillment that can damage your reputation and customer satisfaction. It’s crucial to ask the right questions and find the right fulfillment partner—one that is responsive, cost-effective, and capable of handling your expanding inventory efficiently. The right fulfillment provider or fulfillment providers will support your business growth by helping you optimize shipping, manage fulfillment cost, fulfillment costs, eCommerce fulfillment cost, and fulfillment and shipping costs, and ensure you consistently meet your delivery promise of fast shipping for every online order and customer orders. Below is a comparison between working with a local 3PL versus a nationwide 3PL.
Introduction to eCommerce Fulfillment
Ecommerce fulfillment is the backbone of any successful eCommerce business, encompassing the entire process of managing inventory, processing orders, shipping products, and handling returns. A robust eCommerce fulfillment strategy is essential for meeting customer expectations, ensuring reliable shipping, and supporting business growth. The fulfillment process begins with efficient inventory management—keeping track of stock levels, storing products securely, and preparing for fluctuations in demand. As online orders come in, seamless order processing ensures that each purchase is picked, packed, and shipped accurately and on time.
Outsourcing eCommerce fulfillment to a third party logistics company allows businesses to leverage specialized expertise and advanced technology, streamlining fulfillment processes and reducing operational headaches. By partnering with a reliable 3PL, eCommerce businesses can focus on their core strengths, such as marketing and product development, while leaving the complexities of logistics to the experts. This not only helps reduce costs but also enables businesses to scale efficiently and deliver a superior customer experience. In today’s competitive landscape, having a well-executed fulfillment strategy is crucial for staying ahead and driving long-term business growth.
Advantages of a Local Fulfillment Partner
If your customer base is concentrated in a specific city or state, a local shipping partner can be advantageous. You can avoid the extra costs associated with nationwide delivery and rely primarily on ground shipping. Local 3PLs are often well-suited for businesses with lower order volumes. Since most local logistics companies operate a single warehouse, high-volume online retailers may quickly outgrow these facilities. As order volume increases, challenges with warehouse operations and efficiently storing inventory can arise, making it harder to maintain accuracy and speed. However, for startups or smaller businesses, a single warehouse might be sufficient. As your business expands, you may want to transition to a 3PL with many fulfillment centers and strategically placed fulfillment center locations to accommodate your growing inventory, improve shipping efficiency, and expand your geographic reach.
Advantages of a Nationwide Third Party Logistics Provider
A national 3PL, such as ShipNetwork, is an excellent choice for businesses serving customers across the country. By leveraging multiple fulfillment centers strategically located in major US cities, your online store can reduce shipping costs and speed up delivery times. The closer your products are to your customers, the lower your shipping expenses. Strategically placed fulfillment center locations help optimize shipping, support a reliable delivery promise, and enable fast shipping for your customers. This setup also enables you to offer 1 to 2-day ground shipping, which is increasingly expected by today’s consumers who prioritize fast and reliable delivery.
Another key benefit of a nationwide 3PL is the ample warehouse space and staffing available to meet customer demand. Local providers with limited staff and a single fulfillment center may struggle to handle large order volumes, especially during peak shopping seasons like Thanksgiving, Black Friday, and Cyber Monday. With the right nationwide 3PL, you won’t have to worry about running out of storage or missing order deadlines. These providers also have the infrastructure and technology to manage complex inventory systems, integrate with your eCommerce platform, and provide real-time tracking and reporting—enhancing your overall customer experience. A modern fulfillment warehouse streamlines fulfillment operations and the shipping process, ensuring efficient nationwide coverage and reliable order fulfillment.
Whether you decide to work with a local 3PL or a nationwide fulfillment company, it’s essential to partner with one that treats your business as their own and is committed to supporting your growth every step of the way.
At ShipNetwork, we see ourselves as an extension of your business, helping eCommerce retailers scale smoothly and avoid costly “Oh Ship!” moments by providing reliable, flexible, and technology-driven fulfillment services.
ShipNetwork leads the industry in eCommerce order fulfillment and freight brokerage, operating a network of 12 fulfillment centers across the US in cities including Anaheim (CA), Atlanta (GA), Chicago (IL), Houston (TX), Las Vegas (NV), Olean (NY), Reno (NV), Salt Lake City (UT), Scranton (PA), and others. Our cutting-edge technology integrates seamlessly with popular shopping cart platforms and online marketplaces such as Amazon, Big Commerce, Channel Advisor, eBay, Magento, ShipStation, Shopify, Volusion, Walmart Marketplace, and WooCommerce. ShipNetwork offers modern fulfillment solutions designed to reduce shipping costs, improve order accuracy, shorten delivery times, and enhance customer satisfaction for leading eCommerce retailers. Our comprehensive services include inventory management, order processing, reverse logistics, and freight brokerage, all tailored to meet the unique needs of your business and customers.
Order Processing and Management
Order processing and management are at the heart of the eCommerce fulfillment process, ensuring that every customer order is handled quickly and accurately. When a customer places an order through your online store, the order management system (OMS) springs into action—automating key tasks such as inventory allocation, order routing, and selecting the most cost-effective shipping carrier. This level of automation streamlines the entire order fulfillment process, reducing the risk of fulfillment errors and improving overall efficiency.
A trusted fulfillment partner brings advanced technology and industry expertise to the table, helping eCommerce businesses optimize their order processing and management. By leveraging a fulfillment provider’s solutions, businesses can better manage inventory storage, lower shipping costs, and enhance their fulfillment strategy. This not only leads to higher customer satisfaction but also frees up valuable time and resources, allowing eCommerce businesses to focus on expanding their sales channels and growing their online presence. With the right fulfillment company and a robust order management system in place, eCommerce businesses can confidently process orders, meet customer expectations, and drive sustainable growth.
For eCommerce retailers who have outgrown their in-house shipping and order fulfillment methods, partnering with a third-party logistics company is the natural next step to support their growth. Alternatively, businesses may consider own fulfillment or in house fulfillment, where they manage the entire fulfillment process using their own inventory, staff, and resources. While own fulfillment and in house fulfillment offer greater control and potential cost savings for smaller operations or startups, they can become limiting as your eCommerce company scales and order volume increases.
These logistics providers, also known as fulfillment providers, offer services such as transportation, warehousing, inventory management, reverse logistics, and freight solutions, all designed to streamline your fulfillment operations and help you focus on scaling your business. As your business grows, outsourced fulfillment and third party fulfillment become strategic solutions, allowing you to delegate the entire fulfillment process—including storing inventory, picking, packing, and shipping orders—to experts who can optimize your supply chain and ship inventory efficiently. This transition enables eCommerce brands to leverage advanced warehouse management systems, robust warehouse operations, and many fulfillment centers with strategically placed fulfillment center locations for faster delivery and improved logistics.
Choosing the best 3PL for eCommerce order fulfillment can be challenging with so many options available. It’s important to evaluate the fulfillment method and fulfillment solution that best fits your business model, whether you require bulk shipments to retailers or direct-to-customer shipping. Selecting the wrong partner may result in costly “Oh Ship!” moments and operational headaches, including poor fulfillment that can damage your reputation and customer satisfaction. It’s crucial to ask the right questions and find the right fulfillment partner—one that is responsive, cost-effective, and capable of handling your expanding inventory efficiently. The right fulfillment provider or fulfillment providers will support your business growth by helping you optimize shipping, manage fulfillment cost, fulfillment costs, eCommerce fulfillment cost, and fulfillment and shipping costs, and ensure you consistently meet your delivery promise of fast shipping for every online order and customer orders. Below is a comparison between working with a local 3PL versus a nationwide 3PL.
Introduction to eCommerce Fulfillment
Ecommerce fulfillment is the backbone of any successful eCommerce business, encompassing the entire process of managing inventory, processing orders, shipping products, and handling returns. A robust eCommerce fulfillment strategy is essential for meeting customer expectations, ensuring reliable shipping, and supporting business growth. The fulfillment process begins with efficient inventory management—keeping track of stock levels, storing products securely, and preparing for fluctuations in demand. As online orders come in, seamless order processing ensures that each purchase is picked, packed, and shipped accurately and on time.
Outsourcing eCommerce fulfillment to a third party logistics company allows businesses to leverage specialized expertise and advanced technology, streamlining fulfillment processes and reducing operational headaches. By partnering with a reliable 3PL, eCommerce businesses can focus on their core strengths, such as marketing and product development, while leaving the complexities of logistics to the experts. This not only helps reduce costs but also enables businesses to scale efficiently and deliver a superior customer experience. In today’s competitive landscape, having a well-executed fulfillment strategy is crucial for staying ahead and driving long-term business growth.
Advantages of a Local Fulfillment Partner
If your customer base is concentrated in a specific city or state, a local shipping partner can be advantageous. You can avoid the extra costs associated with nationwide delivery and rely primarily on ground shipping. Local 3PLs are often well-suited for businesses with lower order volumes. Since most local logistics companies operate a single warehouse, high-volume online retailers may quickly outgrow these facilities. As order volume increases, challenges with warehouse operations and efficiently storing inventory can arise, making it harder to maintain accuracy and speed. However, for startups or smaller businesses, a single warehouse might be sufficient. As your business expands, you may want to transition to a 3PL with many fulfillment centers and strategically placed fulfillment center locations to accommodate your growing inventory, improve shipping efficiency, and expand your geographic reach.
Advantages of a Nationwide Third Party Logistics Provider
A national 3PL, such as ShipNetwork, is an excellent choice for businesses serving customers across the country. By leveraging multiple fulfillment centers strategically located in major US cities, your online store can reduce shipping costs and speed up delivery times. The closer your products are to your customers, the lower your shipping expenses. Strategically placed fulfillment center locations help optimize shipping, support a reliable delivery promise, and enable fast shipping for your customers. This setup also enables you to offer 1 to 2-day ground shipping, which is increasingly expected by today’s consumers who prioritize fast and reliable delivery.
Another key benefit of a nationwide 3PL is the ample warehouse space and staffing available to meet customer demand. Local providers with limited staff and a single fulfillment center may struggle to handle large order volumes, especially during peak shopping seasons like Thanksgiving, Black Friday, and Cyber Monday. With the right nationwide 3PL, you won’t have to worry about running out of storage or missing order deadlines. These providers also have the infrastructure and technology to manage complex inventory systems, integrate with your eCommerce platform, and provide real-time tracking and reporting—enhancing your overall customer experience. A modern fulfillment warehouse streamlines fulfillment operations and the shipping process, ensuring efficient nationwide coverage and reliable order fulfillment.
Whether you decide to work with a local 3PL or a nationwide fulfillment company, it’s essential to partner with one that treats your business as their own and is committed to supporting your growth every step of the way.
At ShipNetwork, we see ourselves as an extension of your business, helping eCommerce retailers scale smoothly and avoid costly “Oh Ship!” moments by providing reliable, flexible, and technology-driven fulfillment services.
ShipNetwork leads the industry in eCommerce order fulfillment and freight brokerage, operating a network of 12 fulfillment centers across the US in cities including Anaheim (CA), Atlanta (GA), Chicago (IL), Houston (TX), Las Vegas (NV), Olean (NY), Reno (NV), Salt Lake City (UT), Scranton (PA), and others. Our cutting-edge technology integrates seamlessly with popular shopping cart platforms and online marketplaces such as Amazon, Big Commerce, Channel Advisor, eBay, Magento, ShipStation, Shopify, Volusion, Walmart Marketplace, and WooCommerce. ShipNetwork offers modern fulfillment solutions designed to reduce shipping costs, improve order accuracy, shorten delivery times, and enhance customer satisfaction for leading eCommerce retailers. Our comprehensive services include inventory management, order processing, reverse logistics, and freight brokerage, all tailored to meet the unique needs of your business and customers.
Order Processing and Management
Order processing and management are at the heart of the eCommerce fulfillment process, ensuring that every customer order is handled quickly and accurately. When a customer places an order through your online store, the order management system (OMS) springs into action—automating key tasks such as inventory allocation, order routing, and selecting the most cost-effective shipping carrier. This level of automation streamlines the entire order fulfillment process, reducing the risk of fulfillment errors and improving overall efficiency.
A trusted fulfillment partner brings advanced technology and industry expertise to the table, helping eCommerce businesses optimize their order processing and management. By leveraging a fulfillment provider’s solutions, businesses can better manage inventory storage, lower shipping costs, and enhance their fulfillment strategy. This not only leads to higher customer satisfaction but also frees up valuable time and resources, allowing eCommerce businesses to focus on expanding their sales channels and growing their online presence. With the right fulfillment company and a robust order management system in place, eCommerce businesses can confidently process orders, meet customer expectations, and drive sustainable growth.