9 signs thats you're ready to outsource fulfillment | shipmonk
Post on 13-Feb-2017
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that Youre Readyto Outsource Fulfillment
@shipmonk / shipmonk.com
Just because youre able to handle order demands yourself,does not mean you should keep fulfillment in-house indefinitely.
If you're unsure whether your company is readyto outsource fulfillment or not,
here are some key considerations before making a final decision.
@shipmonk / shipmonk.com
Fulfillment companies not only handle all of the pick, pack, and ship, butthe psychological freedom from those details very often enables businessowners to more creatively focus on marketing and selling their products.
By bootstrapping fulfillment, you may miss out on the extensivenetwork that a well-connected fulfillment center could provide
by way of valuable industry-centric advice.
Also, make sure you do the math.
Once you factor in the cost of printers, scales, shelving, facilities,labor and supplies, its not uncommon to find that the total outsourcedfulfillment cost per order comes in at less than the DIY cost per order.
Shipping is extraordinarily expensive for small businessesthat dont have the leverage to negotiate better rates.
Since fulfillment centers ship at high volumes, theyvenegotiated discounted rates with most shipping carriers,
and these savings are passed down to you.
No matter how familiar you are with your product line,if youre inputting orders manually you cannot be assured
that your orders are being fulfilled accurately.
Dont let storage be a hindrance when forecasting inventory.
By using an order fulfillment company, youll be able to accuratelypredict inventory levels and store sufficient product based on market
demand without having to factor in more warehouse space.
Growing a profitable business requires a lot of work andevery resourceboth time and moneyis valuable.
So why waste resources on growing an order fulfillment departmentwhen you can simply outsource the entire operation altogether?
Not only do fulfillment companies get better international shipping rates
They may even be strategically located in your target country.
Theyre also experienced with exporting goods andthe customs documentation filing that goes with it.
Mismanaged inventories can create significant financial problems.
If you have hundreds of different products in your warehouse,youll need to invest in some type of warehouse management system
to keep track of inventory levels and sales forecasts.
Typically, fulfillment companies are strategically locatednext to major shipping hubs.
This facilitates faster delivery times and lower shipping costs.
The presence of at least a few of these 9 signs indicates the need for you to seriously consider
outsourcing your fulfillment needs.
And if you have any questions regarding logisticsor order fulfillment, feel free to let us know.
Wed be more than happy to help!