Third-party logistics: 5 Roles of 3PL in E-Commerce Business

Third-party logistics

Third-party logistics or commonly referred to as 3PL is a solution for e-commerce business owners in helping their business grow and providing satisfaction for their customers.

If you have an e-commerce business or plan to set up an e-commerce business that runs smoothly and effectively, 3PL can be a good partner for your business.

Here are some ways how the presence of 3PL software can help e-commerce businesses:

Facilitating Business Smoothness

In order for a startup to run smoothly, it is very important that you maintain quality of service and control the costs and speed of your business. It will be difficult to handle this aspect internally, consider using external support. You can become a well-known 3PL business partner because you have adequate resources and expertise to help smooth your startup operations.

Technology Offered

One of the absolute requirements of e-commerce is the application of technology to the business being pioneered. Technology makes it easy for you to meet your business needs. Such as real-time information about product stock, order status, and shipping tracking features. Implementing advanced technology outside of your core business activities requires expertise, resources, and a fairly expensive investment. However, 3PL can give you access to the technology needed to meet customer needs.

Improve Delivery Accuracy

Handling spikes in demand requires great precision. If not handled carefully, this will have an impact on delivery accuracy. Similar to implementing technology, an automated and scalable system requires significant investment. Then, with the experience and automation system offered by 3PL, you can improve delivery accuracy without the need to spend a lot of money.

Providing Delivery Effectiveness

E-commerce consumers want fast and free shipping. To minimize expenses in this logistics aspect, try to choose 3PL which offers low rates but has competitive services. Also, check if the Third-party logistics has a wide distribution network or not. With an extensive distribution network, you don’t have to worry about consumer demand because the purchased goods can be delivered quickly and on time. With low rates and an extensive network, 3PL can help increase the effectiveness of your expenses in terms of shipping goods.

Accommodating Business Growth

The growth of sales figures in the e-commerce business is very volatile and difficult to predict. You have to move quickly when orders are flooded or even when sales volumes drop. Keeping a stock of merchandise requires a warehouse and staff. Implementation of this requirement will require large funds. With 3PL support, you don’t need to spend more to keep your stock of goods. 3PL has provided a warehouse and staff who manage the stock of goods as well as other supporting services such as a variety of transportation modes. 3PL also offers flexibility for your business without the need to spend a large amount of money.

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