There’s a lot to manage and handle inside an e-commerce business that is rapidly growing. Did you know e-commerce outsourcing is an option? From managing your inventory, shipping, and customer service, let’s explore what e-commerce outsourcing is and how it can greatly benefit your business.
What Is Ecommerce Outsourcing?
Ecommerce outsourcing means that a third-party logistics company handles a great part of the business operations, such as:
- Warehousing
- Transportation
- Order fulfillment
- Returns
- Customer support
Companies benefit from outsourcing ecommerce services because not only does it help improve efficiency, but it also helps reduce costs, and allows growing businesses to scale up operations without having to afford their infrastructure.
The reason e-commerce fulfillment outsourcing is so effective is that third-party logistics providers (3PLs) can offer every process needed in the supply chain, in one place, usually at a great cost, and take advantage of the big networks they have access to.
Partnering with a renowned 3PL like EP Logistics helps focus on other aspects of your business like sales, marketing, and growth while giving you peace of mind knowing that experts are handling your logistics.
What tasks can be delegated with Ecommerce Outsourcing?
Let’s take a closer look into the specific tasks that can be taken care of for you when partnering with a 3PL for your e-commerce outsourcing:
Inventory storage
Taking advantage of a 3PL’s warehousing services, allows you to reach your customers easier by being able to store your products at different locations closer to them.
This also means you will be able to reduce costs by cutting long-distance transportation costs and will be able to offer faster delivery, enhancing your customer satisfaction.
Order and returns management
Another advantage of having an outsourced ecommerce provider is that they can handle every aspect of your order fulfillment.
- Picking your products
- Packing them with proper materials
- Shipping items promptly
- Handling Reverse logistics for returns
This makes the e-commerce outsourcing process key for e-commerce businesses that want to improve their client experience and expect to receive the correct items they ordered, in great condition and promptly each time.
Transportation and logistics
A third-party logistics provider (3PL) will also help you ensure that the transportation methods and routes are strategically planned to ensure your goods are delivered on time. With their expertise, they can help you with:
- Cross-border shipping, including custom brokerage
- Last-mile delivery options
- Seasonality and early peak season surges
- Route planning
- Real-time visibility of your items.
Specialized customer support
Another area that can benefit from outsourcing is e-commerce support services. This includes chat, email, and phone support to help you deal with customer inquiries, complaints, and follow-ups.
The top 10 benefits of e-commerce outsourcing for large businesses
Outsourcing your e-commerce tasks through a trusted logistics company, like EP Logistics, will provide you with benefits that will ultimately result in an improved customer experience, operation savings, and increased efficiency throughout your supply chain:
1. Cost optimization
One of the most attractive benefits of outsourcing is the savings. By outsourcing, you’ll be able to cut costs because you will eliminate the need to have your warehouses, packing facilities, or delivery fleets. Instead, you can rely on our partner’s resources and infrastructure.
2. Rapid scalability
With e-commerce fulfillment outsourcing, you will be able to stay ready for market changes and increases in demands during holidays, special sales, and early peak season investing in scalability as needed even if it is temporary.
Micro-fulfillment services allow your business to quickly expand without having to invest in infrastructure or having to commit to unneeded storage space after the season is over.
3. Faster delivery times
Outsourcing e-commerce services also gives you access to storage and distribution at different locations.
This means you can choose a warehouse or distribution center that is closer to your customers for faster deliveries. Saving resources and cutting transportation costs.
4. Access to specialized expertise
Another advantage is that by third-party logistics provider, you’ll gain access to the large network of providers they work with, plus the expertise needed to make processes like shipping, warehousing, and customer support easier.
3PLs stay constantly updated on e-commerce trends to help you implement a good strategy that suits your business needs best.
5. Focus on core business functions
E-commerce outsourcing allows you to leave logistics up to your 3PL partner while you focus on other business areas for your company to develop.
6. Advanced technology integration
Another big advantage of e-commerce outsourcing is that 3PLs will give you access to tools and technology that enhance operations and facilitate processes, for example:
- Analytics and Data tools to help with accurate market forecast
- Software for Inventory management
- Real-time technologies for visibility and tracking orders
- Automated order fulfillment systems
7. Enhanced flexibility in operations
Ecommerce fulfillment outsourcing, helps your business stay competitive at all times by giving you the flexibility of acquiring and using only the services that you need only when you need them, scaling up or down.
8. Better risk management
Working with a reliable third party logistics provider also means you will have strategies and plans in place to act fast and overcome any issues or challenges that might come up, mitigating risks, and avoiding disruption of your operations through strategic planning.
9. Increased global reach
Ecommerce fulfillment services have a key role when it comes to reaching and expanding into global markets. They have experience in importing and exporting goods and usually offer services through a team of expert brokers to help you handle customs requirements and regulations.
10. Improved customer experience
When you outsource your order fulfillment and customer service, you ensure your clients stay happy and loyal by providing them with fast and accurate deliveries and a smooth return or replacement process in case they’re not satisfied and increasing repeated business and client loyalty.
Is Ecommerce outsourcing the key to success?
With online shipping growing in popularity each day and the rapid change in ecommerce trends, you can rest assured outsourcing your e-commerce operations will help you remain competitive.
E-commerce outsourcing is a great and cost-effective strategy to stay scalable, efficient, and customer-friendly while reducing costs and freeing up space to focus on other business aspects.
At EP Logistics, we have over 20 years of proven experience providing expert ecommerce fulfillment services, including warehousing services, seasonal warehousing, and micro-fulfillment services
By outsourcing e-commerce services through us, you can rest assured you’re gaining a professional partner who will ensure fast, reliable, and cost-effective operations to help your business grow and keep your customers happy.
Feel free to reach our team at EP Logistics and inquire about our e-commerce outsourcing process and discover all the different services we offer to help your business grow!
