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Who Needs an Order Fulfilment Company?

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The e-commerce industry is growing at a faster rate than it has ever. In 2007, ecommerce was responsible for just 3.4 percent of retail sales. However, by 2020, the e-commerce industry accounted for 21.3 percent of sales. The overall sales of e-commerce increased 44% over the previous year. The more online sales mean more orders are shipped out, which puts firms that handle order fulfilment at a high level of demand.

As technology changes, as does the supply chain industry. It’s not easy for small and new businesses to stay on top of the changes. This is why many are beginning to realize the impact order fulfilment company UK could have on their businesses.

What do Order Fulfilment Companies Do?

An order fulfilment company is used for logistics and supply chain management to outsource some or all of a company’s distribution/fulfilment. The essence of an order fulfilment company can help the delivery of the product you sell to your client.

The services typically offered by order fulfilment companies comprise:

Warehousing
Packing and picking up
Shipping
Kitting
Logistics
Cross docking
International shipping

Who is in need of an Order Fulfilment Company?

If you require or could benefit from an order fulfilment service is dependent on your business and you. Every business size would benefit from using an order fulfilment service, especially when your margins are good.

Based on Shopify, “An estimated 86 percent of Fortune 500 companies and 96 percent of Fortune 100 use these services.” Therefore, if these major brands put their business to the care of an order fulfilment firm Why shouldn’t you too?

Small businesses and startups specifically are able to profit from orders fulfilment companies. If your company is ready to expand and expand, working together with an order fulfilment business can be an enormous benefit for you. You can take advantage of advantages normally only offered to larger corporations. It’s as if you’re joining with other companies to enjoy the advantages only large business receives.

Why should you use an Order Fulfilment Company?

Advantages Of Order Fulfilment Companies

The companies that handle order fulfilment can bring great benefits for your business. With the assistance of the right fulfilment service you can boost your business to the next step. Here are the top advantages of working with an order fulfilment business.

  1. You don’t need your own Warehouse

One of the main advantages of turning your fulfilment in order fulfilment business is the fact that you no longer have to manage your inventory your own. Running your own warehouse can be very costly. If you manage your own warehouse , you don’t just have to pay for the space but all the other things associated with that space.

Based what the dimensions of your business and the amount of orders you place, This could mean:

Racks in warehouses
Forklifts
Conveyor belts
Packing material, boxes and boxes
Software for managing orders
Warehouse management software for warehouse management
Computers
Label printers designed for packaging as well as packing slips

  1. Easily integrates with a variety of Ecommerce Platforms

An order fulfilment service can assist you in integrating all your ecommerce platforms to provide a hassle-free solution. Instead of trying to figure out how to integrate every system by yourself, and then needing to manage it, which could require additional assistance from IT (more dollars) you can turn this to a seasoned order fulfilment business which can help you connect all of your systems.

A professional helping you out will not only guarantee the systems are setup properly, but also frees you up to spend your time and funds to concentrate on expanding your business.

  1. Negotiate Better Shipping Prices

A partnership with an order fulfilment business can help you benefit from more affordable shipping rates. Why? If you’re self-fulfilling your orders and sending 50 orders a day, you don’t have as much bargaining ability as if you’re part of a larger company that is shipping hundreds of orders every day.

The companies that handle their own delivery (USPS, FedEx, etc.) are looking to encourage using a larger truck, so the more packages you send the more discounts they’ll offer. If you’re working in conjunction with an order fulfilment service that is shipping hundreds or even thousands of packages daily and you’ll get a discount.

  1. You don’t have to hire Warehouse Workers

If you run the fulfilment of orders in-house, it is not just that you need to cover the cost of the space for the warehouse and the equipment needed to run the system You also need to recruit employees to run the warehouse. It can be costly and time-consuming! We’re aware of how the business owners feel about their staff and if you recruit employees when you’re expanding or during a busy time and then must let them go once sales are slow, it could burden your conscience.

When you work with an order fulfilment firm, they will take care of this task for you. We’ve designed our business to expand along with you. In addition, we have wonderful employees who are dedicated to treating your brand with respect and respect. We’re adamant about doing what you’re good at and are really adept in hiring, training, and managing great warehouse workers.

  1. The ability to travel internationally

International travel can be quite a headache and it’s not only the process of getting your product in front of your customers which is the most difficult part but all the paperwork associated along with it.

As per Shopify, “One of the major obstacles to expanding globally is dealing with global fulfilment. There are very few in the world who are willing to manage documents, customs, duties and other issues that can arise when dealing with international sales.”

If you join forces together with an order fulfilment business who has expertise and understands the local nuances it will reduce the hassle and stress of moving internationally.

  1. Growth Potential

If your company is experiencing rapid growth The last thing you’d like to do is to pull back on the reins and slow down operations since you’re not able to keep up with the demands of your customers. It is also possible to push your employees to the ground to keep pace. Both are not a great alternative.

Finding an order fulfilment business that you can expand into will provide you with ample runway to let your business grow.

  1. Save Time

If you’re a new business and you’re still sending packages from your basement, you’re not yet ready to move into the idea of a warehouse. You aren’t obligated to consider these costs right now But what is the time self-fulfilment taking you? What else can you accomplish to expand your business using this time?

In the event that time equals money,, do you actually save money through self-fulfilment? If you’re sending twenty or more items per day, it could be the time to consider moving your order processing service.

  1. Outside Support

No one can become an authority or a specialist in all areas of business but sometimes having a little assistance in the right place can be the most significant difference. Order fulfilment firms can help in assisting your business to ensure you can concentrate on the areas you excel at. Order fulfilment will give you a fresh perspective on the supply chain of your company and assist you in identifying areas to improve.

The Takeaway

Self-fulfilment may seem like an excellent method to save money, but this isn’t always the case. Self-fulfilment can actually be expensive and requires lots of money to set up an entire warehouse.

A company that can fulfill orders will save you time and money, while giving you the opportunity to expand and grow your company.