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Every company that sells and ships products must find a way to fulfill orders. Often, this means outsourcing the service to a pick and pack fulfillment provider. Once hired, the provider will receive shipments, manage inventories and make certain that all orders are send promptly and efficiently.
The reason companies hire other companies to ship their products and manage their inventories is really quite simple. For one thing, most companies have little or no experience with logistics, and it can be very expensive to hire supply chain management specialists or logistics managers to figure out the most efficient ways to process orders.
Take your average e-commerce company for example. Many of these companies are small home based businesses started by one or two people. They don’t have the capital to hire a pool of specialists to help them fill orders . What these companies are good at is marketing and selling their products on the internet. Fulfillment companies are a cost effective way for these small businesses to get their products out to customers quickly and efficiently so they can continue to grow.
What do you need to know before you hire a pick and pack fulfillment provider? Before you hire any fulfillment company you must decide which type of provider will serve your customers best. If you accept international sales you need to find a logistics provider that can handle the intricacies and additional costs of international shipping. If you offer other shipping services such as super quick shipping or low cost shipping the provider must be able to accommodate your policies.
Turnaround time, delivery options and customer satisfaction are the three most important factors when it comes to choosing a service provider. It also important to find a provider that offers web-based inventory solutions. This gives you, the owner, the ability to monitor the performance of the service provider to ensure that shipping and turnaround times stay within the desired range.
