3 Signs It’s Time To Switch Your Business From In-House To Outsourced Fulfillment

What distinguishes your business from your competitors? Is it your product line? Your brand’s uniqueness? or your prices? Or is it your order fulfillment?

Many online business owners are shocked to learn that fulfillment is their key competitive edge, but it’s true! Your fulfillment process may either propel you forward or hold you back depending on your capacity to handle more orders, provide better customer service, reduce expenses, and free up time.

The success of your company depends on your ability to determine when to switch from internal to outsourced fulfillment. How do you know when it’s time for you to do so? Here are 3 signs to look out for when considering this decision.

The Quality of Your Deliveries are Declining – Look to Fulfillment!

First of all, you’ll know it’s time to outsource your fulfillment if your delivery standards are declining.

Following a bad delivery experience, 17% of customers, or almost one in five, won’t visit your store again. You must take outsourcing fulfillment into account if the rise in your order volume is causing deliveries to be made late or incorrectly. This is why engaging in third-party logistics (3PL) services can help ensure that your customers’ products are in good hands at every step of the way.

Whether it’s a gradual increase as your business grows or a seasonal surge because of the products you sell, outsourced fulfillment companies can help. They have the knowledge, resources, and personnel to handle an increase in orders. You are ensured flawless deliveries each and every time, keeping customers satisfied and more likely to support your business in the long run.

You’re Looking to Scale Your Business

Make sure your fulfillment procedures are prepared for expansion before taking the plunge.

In-house fulfillment might draw you away from crucial jobs pivotal to the business, especially when you’re fulfilling more orders. Managing numerous sales channels, larger order amounts, and additional marketing activities takes time.

By collaborating with an outsourced fulfillment company, you can free up more time for your business expansion objectives and eliminate the stress and time-consuming tasks associated with fulfillment. 

Additionally, it means that your outsourced fulfillment service will take care of managing the capacity of your technology, warehouse, and staff to handle a growing business on your behalf.

Your Expenses are Too High

The goal of operating an eCommerce business is to turn a profit! Relatively simple cost-cutting measures should always be considered.

Your warehouse, personnel, shipping, and packaging costs increase along with the growth of your marketplace, inventory, and promotional expenses.

You may have extra income after outsourcing fulfillment to use for free shipping, promotion. Or just to put in your own pocket.

How? Delivering your professionally packaged goods as quickly as possible in an affordable manner is a specialty of outsourced fulfillment companies, saving you money on shipping. Additionally, you’ll pay less on employees, packaging supplies, and warehouse space.

Managing all aspects of your business in house can be tough and time consuming. Apart from solving your own packaging needs, producing marketing assets yourself may just be infeasible. Maybe it’s not worth the equipment investment.

Here at Alpacka, we provide value added business services on top of serving your fulfillment needs, such as printing and graphic design assistance. This way you can focus your energy on managing and growing your business.

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