Product storage does not have to cost a fortune. Fulfillment services can provide all the space that you need for product storage as well as packing and shipping orders and providing customer support. A fulfillment services company creates a totally seamless order process. Your products are delivered to the fulfillment company and stored in an appropriate space. When orders come in experienced and well trained customer service reps will process the orders and then efficient packing technicians will pack the orders and get them ready for shipment. You can save money on shipping costs because fulfillment companies are usually given substantial discounts by the major shipping carriers. Not having to pay for your own warehouse or pay high product storage fees can significantly cut your operating costs.
One of the reasons why maintaining or renting storage space is so costly is because your storage needs will change throughout the year. During the holiday season you may need more room to store products as you stock up in advance of holiday sales. During slower seasons much of that space might be empty but you will still be paying for it. Fulfillment services companies allow you to rent just what you need, so if you need a bigger space for a few months you can easily add on to your existing space, and if you need a smaller space you can have that too. You can also save money by buying larger quantities of products at wholesale prices, which will drive up your profit margin on each item.
Another reason why paying for storage space is not cost effective for many businesses is that it can be tough to find storage space near the office where the day to day operations are. If your employees do not have easy access to the products that need to be shipped then the cost of shipping can quickly destroy the profit margin on your products. Arranging delivery and shipments to a warehouse space that is far away or that you do not own can also be an expensive hassle.
Hiring a fulfillment company that will store your products as well as process orders can cut your operational costs by a quarter or more. It also will make it a lot easier for you to maintain a steady inventory, track sales data, and get orders out to customers faster. Crunch the numbers and you will be shocked at how much you can save using a fulfillment services company to store, process and ship orders.