5 Benefits of Outsourcing Order Fulfillment

The driving force behind customer satisfaction is timely order fulfillment. While there may be a couple of advantages to packing and shipping your orders, it can become exceedingly challenging to keep track of all your order fulfillments as your business expands. Whether your business is small or large, there are many benefits of outsourcing your order fulfillment requirements to a third-party logistics company. This article will reveal to you the five benefits of outsourcing order fulfillment.

Minimizing Costs

Even though it might seem cost-effective to fulfill your orders, outsourcing order fulfillment services as your business grows can save you lots of money. Here are some of the ways through which hiring an order fulfillment service reduces your overhead costs.

Many order fulfillment companies negotiate a reasonable rate with couriers because of their huge shipping volumes. Not only will your business benefit from their negotiating power but also from their expertise in packing and shipping.

By hiring a third-party order fulfillment logistics company, you will no longer need to settle for the additional long-term warehouse leases. All you will be required to do is to pay a monthly fee for the fulfillment services provided and for the amount of space your products occupy.

Outsourcing your order fulfillment services caters for all your business needs even as the business grows. You will have less to worry about when it comes to warehouse space, negotiating for lower prices with shipping companies, and hiring quality order fulfillment staff.

Time to Focus on Your Business’ Growth

Outsourcing order fulfillment saves you from spending countless hours of your time packing and shipping your client’s orders. The time you would have spent fulfilling orders on your own can now be directed towards product sourcing, sales, and marketing. These value added actions help your business grow and is a better use of your time.

Scaling of Your Business

As your company grows order fulfillment becomes more stressful and expensive. Outsourcing these services helps you to worry less about finding affordable warehouse space, packing and distribution, managing extra inventory, or even hiring new inventory staff. Instead, outsourcing enables you to expand your business as fast as you wish without the fear of impacting negatively on the experience of your customers.

Better Storage and Distribution

Compared to fulfilling orders on your own, a fulfillment company lets you organize, store, and deliver your orders more efficiently. They will handle all the work from receiving, packing, storing, and managing your products. What’s more? Order fulfillment companies eliminate the risk of shipping errors thanks to their advanced automated processes, state of the art inventory technology, detailed receiving and return procedures and streamlined pack and pick methods.

Branding

Partnering with some well-known order fulfillment provider can benefit you by connecting their image and branding with your business. It may seem trivial, but if your order fulfillment company is conducting their business in a professional way your business will also be perceived as professional. Of course, the opposite is also true. If you choose a not-so-good partner or handle the order fulfillment by yourself, it could hurt your business.

As your business grows, the demand for more employees, additional warehouse space, and sharp order fulfillment services increase. Traditionally, order fulfillment was more for the bigger companies that were interested in utilizing a third-party provider to fulfill the process of pick and pack and delivery to their customers. However, with the growth in marketplace sites such as Amazon, Qoo10, and Lazada, more companies have begun outsourcing their order fulfillment services to third-party logistics companies. While the benefits of outsourcing order fulfillment can vary from one company to another, it is worth trying out.

At I.M. Investment Holdings, we provide the full suite of services to help you to outsource your fulfillment of orders and returns for your e-commerce business. Our capability