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4 Key Reasons Ecommerce Companies Use Fulfillment Services

By: Gemma Moss


Key Reasons ECommerce Companies Use Fulfillment Services

Unless you are Amazon, your business probably struggles with shipping and fulfillment. It is one of the most commonly experienced pressure points for e-commerce businesses—and it is also arguably the most important aspect of the business to get right. If customers don’t receive their products intact and on time, they will go elsewhere.

If you own an e-commerce business you should only be worrying about one thing: how your business is doing. You don’t want to worry about how your orders are reaching your customers. Here are some of the critical benefits of outsourcing your fulfillment requirements to a specialist company.

Avoid Expensive Equipment and Premises Rent

Fulfilment company advantages include flexible pricing structures that are cost-effective over the long term. You don’t need to worry about spending money on expensive equipment or premises rental; instead, you can spend a fixed amount on a fulfillment service that meets your needs. Or you can pay flexibly so that you can upgrade and downgrade your package depending on how busy you are. You only pay for what you need, which is much more cost-effective than renting a warehouse and paying for packaging equipment when you may not use them consistently throughout the year.

You Don’t Need Staff

Using a contract fulfillment company also means you do not need to spend a lot of money on staff wages. And you save time without having to search for and train people every time someone leaves. When you use an outsourced packing company, you have access to highly trained staff at a fraction of the cost, and without the extra burdens that being an employer brings. Plus, you don’t have to hire and then let go of staff for busy seasonal periods.

You Can Focus on Your Business Aims

You probably didn’t start your business to put things in boxes and worry about shipping. Take the hassle of fulfillment out of the equation, and you can concentrate on running your business. You are of better use on the strategic side of the company. Fulfillment and packing is a skilled task, but you don’t have to manage it—outsource it to professionals. With a more precise focus on your business and more time to devote to planning and strategy, you will see your business improve rapidly.

You Save Money

Perhaps the most important reason for using an outsourced fulfillment company is cost-effectiveness. Fulfillment companies have better economies of scale so they can offer discounts and better rates on services and products. They have more buying power and can, therefore, pass these savings onto you, the customer.

Fulfillment companies are an excellent choice for large and small businesses. They save time, effort, and money, and they can also increase your effectiveness and raise the quality standards of your business, which will translate into happier customers and more sales. A contract packager is difficult to do without once you have started working with this vital business ally.

Published: January 29, 2020

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