
Subscription Box Fulfilment, how to Scale with 3PL
The global subscription box market has seen impressive growth, valued at £37.5 billion in 2024, with projections to reach £116.2 billion by 2033, growing at a compound annual growth rate (CAGR) of 13.3%.
This growth is driven by an increasing consumer demand for personalised products and the convenience of curated selections delivered directly to their doorsteps.
As the market expands, businesses face the challenge of scaling operations to meet rising demand. Efficient fulfilment becomes crucial to maintaining customer satisfaction and supporting growth.
Scaling your subscription box campaign in-house can be challenging.
Scaling subscription box fulfilment in-house presents several challenges that can impact efficiency and customer satisfaction:
- Inventory Management: As order volumes increase, tracking inventory manually becomes error-prone and time-consuming.
- Packaging and Kitting: Custom packaging and assembling boxes can strain resources and slow down operations.
- Shipping and Logistics: Coordinating timely deliveries across various regions requires significant logistical planning.
- Customer Experience: Delays or errors in fulfilment can negatively impact customer satisfaction and retention.
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 we can help you scale your subscription box operations.
Partnering with a third-party logistics (3PL) provider can address these challenges effectively. Here’s how:
- Scalable Fulfilment Solutions: 3PL providers offer flexible warehousing and fulfilment services that can scale with your business. Whether you have 50 subscribers or 5,000, they can adjust resources to meet fluctuating demands, ensuring timely deliveries without overburdening your internal team.
- Expertise in Inventory Management: With advanced inventory management systems, 3PLs provide real-time tracking and forecasting, reducing the risk of stockouts and overstocking. This efficiency ensures that your subscription boxes are consistently well-stocked and ready for dispatch.
- Custom Packaging and Kitting: 3PL providers specialise in custom packaging and kitting, allowing you to offer personalised unboxing experiences. They handle the assembly of your subscription boxes, ensuring that each item is packaged according to your specifications.
- Efficient Shipping and Logistics: By leveraging established relationships with carriers and optimised shipping routes, 3PLs can reduce shipping costs and improve delivery times. Their expertise ensures that your subscription boxes reach customers promptly and in excellent condition.
- Enhanced Customer Experience: Outsourcing fulfilment to a 3PL allows you to focus on customer engagement and marketing. With reliable fulfilment, customers receive their boxes on time, enhancing their overall experience and increasing the likelihood of repeat subscriptions.
Did you know that leading 3PL providers like us achieve order accuracy rates of up to 99.9%, significantly reducing errors and enhancing customer satisfaction.
We can help you scale with ease, affordability and accuracy.
At McCorquodale, we specialise in providing comprehensive 3PL services tailored to subscription box businesses – we’ve been doing it for years!
Our offerings include:
- Custom Packaging: We design packaging that reflects your brand and delights your customers.
- Flexible Fulfilment: Our scalable solutions adapt to your business’s growth and seasonal fluctuations.
- Real-Time Tracking: Stay informed with our advanced tracking systems that provide visibility into your inventory and shipments.
- Dedicated Support: Our team works closely with you to ensure seamless operations and customer satisfaction.
As the subscription box market continues to expand, partnering with a reliable 3PL provider like McCorquodale can streamline your operations and support sustainable growth. By outsourcing fulfilment, you can focus on what matters most – curating exceptional products and building lasting relationships with your customers.
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))