As a small or growing business, fulfilling orders and managing logistics can quickly become overwhelming.

That’s where third-party logistics (3PL) companies come in. This guide will walk you through the key points of partnering with a 3PL, when it’s the right time to make the switch, and how to get started.

What is a Third-Party Logistics (3PL) Company?

A third-party logistics (3PL) company is an external provider that handles your logistics operations. They take care of warehousing, inventory management, order fulfilment, shipping, and returns. By partnering with a 3PL, you can outsource these complex processes and focus on what matters most- growing your business.

Whether you’re managing an online store or a product-based business, working with a 3PL can streamline your operations, reduce costs, and improve efficiency.

When is it time to move to a Third-Party Logistics Company?

Start-ups and small businesses often reach a point where managing fulfilment in-house becomes a burden. This is when it’s time to seriously consider a 3PL partner. Here’s why:

  • Scaling Your Business: As your business grows, so does the complexity of handling inventory, packing, and shipping. A 3PL can handle high order volumes without the need for you to invest in infrastructure and staffing.
  • Saving Time and Resources: Managing warehousing, inventory, and shipping can be time-consuming and distracting. Outsourcing to a 3PL means you can free up valuable time and resources to focus on marketing, product development, and customer service.
  • Cost Efficiency: Running your own warehouse requires significant upfront investment in space, technology, and labour. A 3PL typically offers scalable, cost-effective solutions that adjust to your business needs, reducing overhead costs and improving profitability.
  • Improved Customer Experience: A 3PL can help you meet customer expectations by offering fast shipping, tracking, and streamlined returns. This leads to better customer satisfaction and loyalty.

Consider choosing a third party logistics company like our friendly team here at McCorquodale if:

  • You’re spending too much time on fulfilment and not enough on growing your business.
  • Your business is scaling, and you need a more efficient way to manage logistics.
  • You’ve outgrown your current fulfilment method (whether it’s doing it in-house or using a small-scale solution).
  • You need to offer better shipping times or expanded delivery options.

Did you know that 67% of companies using third-party logistics (3PL) providers report a significant improvement in their supply chain performance, according to a survey by DHL? (Ref: DHL)

How to choose the right 3PL partner for your Business

When selecting a 3PL, consider the following:

  • Experience and Specialisation:
     Look for a provider with experience in your industry (e-commerce, subscription boxes, retail, etc.) to ensure they understand your unique needs.
  • Technology and Integration:
     A good 3PL will offer easy integration with your existing e-commerce platform for real-time order tracking and inventory management.
  • Customer Service:
     Choose a 3PL with excellent customer service, as they’ll be managing a key part of your customer experience.
  • Pricing and Terms: Understand the pricing structure and make sure it aligns with your budget. Many 3PLs offer scalable pricing based on your order volume.

Did you know that on average, businesses that use 3PL services save up to 15 hours per week on logistics management by outsourcing to a provider. (Ref: Supply Chain Digital)

What do I need to get started with McCorquodale?

Setting up with McCorquodale as your pick, pack and fulfilment partner is easy all we need is:

  1. Your Product Inventory Information:
     Before you can start, you’ll need to provide us with a clear list of your products and quantities. This helps us plan your storage space and order fulfilment.
  2. E-Commerce Platform Details:
     We will need access to your e-commerce platform (Shopify, WooCommerce, Magento, etc) to integrate order data. This ensures seamless order processing and real-time tracking.
  3. Shipping Preferences:
     Decide on your shipping strategy – do you want standard shipping, next-day delivery, or international shipping? We can explore and tailor a plan that suits you.
  4. Custom Packaging (Optional):
     If you have specific packaging requirements (branding, eco-friendly materials, etc.), let us know. We can offer custom packaging to enhance the unboxing experience for your customers – in fact, we’re really good at it.
  5. Returns Policy: Discuss how you want to handle returns. A well-defined returns process is essential for smooth customer service, and like you, we’ll want to help ensure your customer gets the best experience.

And finally, 3PL providers can reduce logistics costs by 10-15% on average, through better economies of scale, improved shipping routes, and advanced technology. (Ref: Council of Supply Chain Management Professionals (CSCMP))

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    Volume of parcels (If you are looking for an estimate for a sampling campaign or subscription box please choose 1000+)


    For example: number of pallets to be stored, a little about your company and products, any specialist packaging required, for example shipping of delicate goods like glass.