Finding the Right Third-Party Logistics Provider for Your Fulfillment Network

RituRaj Pankaj
5 min readMay 13, 2022

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third-party logistics companies

Not all businesses prioritize the aspect of order fulfillment by dedicating professional services to carry out the fulfillment processes. But those that do end up becoming the industry leaders. Order fulfillment is a critical aspect of business, upon which the ultimate customer satisfaction and the reputation of your business depends. The duration in which the order is delivered to the customer, the state in which it is delivered, and other related factors leave an impact on whether or not the customer will be choosing and recommending your business services again.

Many businesses try to cover order fulfillment by themselves, thinking that they will be saving bucks by doing so. What they end up doing instead is disappointing their customers with irregular, unsatisfactory, and untimely delivery and customer service. Investing in third-party logistics companies might seem like an unnecessary expense to some business owners. But the wise ones know that through the means of this investment, and by partnering with a reliable 3PL logistics company, they can leave a positive impact on their customers. This results in creating a loyal customer base that enthusiastically recommends the service/product of the business to others.

But now, when you know that connecting with the right third-party logistics provider is so important, how do you find a 3PL provider and how do you decide whether they are suitable for your business? In this blog, we will cover some key determinants of the same to help you choose the best 3PL logistics partner.

Is 3PL Really Worth It?

Third-party logistics services are relied on by businesses of all scales and sizes. In fact, the global 3PL logistics industry was valued at $1,027.71 billion in 2019. The Asia-Pacific region has the highest share in global third-party logistics. Not only this, according to predictions by experts, the industry is set to reach a valuation of $1789.94 billion by 2027.

3PL companies can offer what businesses normally cannot figure out on their own, such as specialized services that complement your order fulfillment. From inventory management, door-to-door delivery, packaging, and transportation — 3PL companies can be your one trusted partner to help you will all aspects of logistics and order fulfillment.

By leaving the areas of fulfillment to companies that have the relevant expertise to carry out those operations, you can devote your resources to other necessary areas of your business.

Here’s What to Look for in a Third-Party Logistics Provider

Customizable Logistics System

A good third-party logistics company is one that provides dynamic solutions for businesses. A company with a preset system, which it strictly follows and leaves no room for customization is bound to be problematic because different businesses have different fulfillment needs. With a logistics system that is customizable according to business requirements, a 3PL provider can really help businesses transform the way in which they fulfill orders.

The benefit of working with a 3PL provider who offers flexible logistics is that they will be your one-stop partner. Some of the areas that they can cover for you include reverse logistics, cold chain logistics, inventory management, warehousing, packaging, and more.

Advanced Technology

A professional 3PL provider will have the necessary technology to optimize and automate your fulfillment processes. 3PL logistics providers are supposed to be up-to-date with the latest logistical trends within the industry and this can only benefit your company. As a business that aspires to carry out all fulfillment processes on its own and studying details of shipping and logistics, or packing items, printing labels, and mailing them, you can focus on more strategic initiatives and leave up the order fulfillment processes to the professionals.

A professional 3PL logistics provider will also have access to some of the best technologies that automate processes and make them more reliable. Here are some of the technological advancements that a third-party provider can help introduce within your business:

  • Data Integration
  • IoT Enabled systems
  • RFID scanners
  • Software Development

With technology on your side, you will be able to provide more accurate, fast-paced, and reliable business to your customers.

Vast Network

When the third-party logistics provider you’re working with has a vast network, you can rest assured that your product will reach your customers, no matter where they are located. A professional 3PL logistics provider should have the facilities for optimized transportation via all modes of transport — road, rail, sea, and air. Be it freight forwarding, express cargo, or custom clearance, their vast network of solutions must cover it all.

Along with a vast network, the 3PL provider must also have a fleet of vehicles that you can trust with your products. As a third-party logistics provider, they should be able to provide you with timely services and your customers with timely deliveries. Another aspect to also investigate includes the details about the warehousing assets, facility sizes, and more about your provider.

API Integration

In a world that’s becoming increasingly dependent on technology, keeping up to date with it and adapting to measures that will help you use it is extremely important. API Integration is one such aspect that makes optimization of your facility seamless and fast-paced. Using API Integration provided by 3PL logistics, you will be able to automate business processes and enhance various aspects of your business.

API uses cloud technology to enable users to exchange information seamlessly. It leads to better communication, better transparency, and a better pace of operations. By such automation of business processes, you will be able to save valuable business resources. With the power of one well-connected software, your business will become more powerful and efficient than ever.

Customer Service

The customer service of the third-party logistics company you’re working with should be impeccable. The process of order fulfillment doesn’t end when you have delivered the product to the customer. There might arise a need for reverse logistics, issues in delivery, and other such things. To deal with the same, you must work with a 3PL logistics company that is ready to listen to the grievances of their customer and provides customer service for the same.

One-Stop Logistics Solutions Providing Third Parties

Go for a third-party logistics provider that supports your other demands, in addition to the order fulfillment one. Third-party providers such as AWL India are catering to businesses with their new-age order fulfillment solutions, focused at making the customers’ experience better. With AWL India, you will not have to worry about making your logistics and order fulfillment services seamless, as the company’s expertise lies in the same field.

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