Third-party logistics services have become vital for the success of E-commerce businesses. Third-party logistics, also known as 3PL or TPL, takes care of and manages tasks such as warehousing, packaging, inventory management, shipping, etc.
What is third-party logistics for E-commerce?
Complete third-party logistics for e-commerce entails complex and exhaustive processes that warrant expertise and an expansive network of logistics partners. During the last couple of years, third-party logistics has emerged as a primary driver and a necessity for E-commerce businesses.
Why do E-commerce enterprises opt for third-party logistics?
Online retailers have to manage a wide range of operational and technological aspects when running their e-store. Managing the logistics of the store is a complex task and time-consuming. Third-party logistics services come as a welcome relief to ecommerce businesses as they professionally manage the complete logistics of the store, from warehousing to transport.
How does an E-commerce company benefit by outsourcing the logistics to a third-party?
Storage of Goods
Third-party logistics companies have satellite warehouses at locations that are geographically distributed. An e-commerce company can store its goods in a single or multiple locations of its choice. This enables e-commerce companies to have multiple warehouses, bringing proximity to their customers and minimizing the environmental impact through reduced transport distances.
The third-party logistics company takes care of packing the parcel prior to its delivery to the customer.
Maintenance of goods and the warehouse is an additional task that an e-commerce business has to undertake if one chooses to manage inventory and logistics by themselves. However, when the logistics is outsourced to a third-party solution, a 3PL company takes care of this aspect, saving you both time and effort.
Third-party logistics companies also take care of shipping, transporting the goods to the customers in a timely manner. They have access to multiple modes of transport, allowing you to schedule deliveries to the customers without any obstacle, making sure that the products reaches the customers on time.
Outsourcing the logistics to a third-party solution helps mitigate the risks that may arise when managing logistics of an e-commerce business. These risks include hazards such as loss, damage, delays, etc. whereas once the logistics has been outsourced, the responsibility lies with the 3PL company.
Better Customer Experience
Third-party logistics solutions for E-commerce have made things such as same day delivery or express delivery a reality. This is because these companies use multi-mode transport such as airways, railways, roadways, etc. to ensure timely delivery of goods, which has lead to customers being more satisfied.
As the E-commerce industry is growing to cater to international customers, third-party logistics companies are emerging as the best means for these e-commerce companies to expand their business.
The only drawback an e-commerce company faces by outsourcing the logistics is that it loses control over the activities involved in the process. This is where Prime Penguin comes in.
Prime Penguin helps e-commerce business by facilitating the search for a suitable logistics partner through outsourcing whilst maintaining control over the logistics process. With a vast network within the field of logistics, you are connected to many different 3PL partners that suits yours and your customers needs. We offer a digitized satellite warehouse at a location of your choice, where you can control the activities of your warehouse through your favorite device with the help of the cloud-based interface we provide. With this interface, you are also able to have an overview of the complete logistics process in real-time. Our interface is integrated to most of the major platforms, such as Shopify, making it easy to access the Prime Penguin platform.
So, if you are looking for reliable third-party logistics solution for your e-commerce store, trust Prime Penguin!