3 Main Advantages of Outsourcing your Ecommerce Warehousing

3 Main Advantages of Outsourcing your Ecommerce Warehousing

As your ecommerce business grows you naturally become less able and less interested in managing your own warehousing and fulfilment. A small business shipping limited volumes does not have the pressures of time and resources as a larger business – when you grow, fulfilment becomes a hassle. If you grow particularly quickly, the problem is even more pronounced.

But it doesn’t have to be a problem. The natural solution to fulfilment issues is outsourcing. A large number of fulfilment and distribution services akin to Shape Fulfilment and others now exist to help e-commerce companies with their packing and storage needs. So, if your business is growing, then here are some of the reasons why you need to look at an outsourced warehouse structure.

  1. Your Deliveries Are More Efficient

Unless your ecommerce business is in distribution or fulfilment it is unlikely you will have significant expertise in this area. There may already be some glaring signs you need a warehouse management system. Naturally, a warehousing firm will be more skilled than you are at storing, organising, picking, and packing orders. You benefit from the expertise that decides on the most cost-effective and quickest option and delivers it. You don’t need to worry about making these decisions, or how to organise a warehouse so that it operates efficiently. You save time, you save money, and you save a lot of stress in the long run.

  1. You Can Save Money

By outsourcing your warehouse requirements, you can save a significant amount of money while still benefiting from the expertise and resources of specialized warehouse providers. Warehouse outsourcing allows you to save money on infrastructure costs, as you won’t need to invest in your own warehouse space, equipment, and technology. Instead, you can leverage the resources and technology of the outsourcing partner, spreading the costs among multiple businesses. Furthermore, opting for bonded warehouse services by Graysons or similar firms can help you minimize customs duties and taxes, especially if your ecommerce business involves international shipping.

  1. Lower Shipping Costs

It is of great benefit to be able to offer low-cost shipping to your customers. If your shipping costs are seen as too high, people are more likely to buy from another website. You can sustain significant cost savings when you share warehousing space with other companies. You don’t need to pay for everything all on your own. Warehouse and distribution companies pass down the cost savings they get from combining expertise and space. You have access to low-cost couriers and shipping that you would otherwise have been unable to secure.

  1. You Can Scale Up and Down

Ecommerce fulfilment services are flexible. When you have your own warehouse you only really have the option of operating it, or not. You can reduce staff numbers during quieter times but this is a problem as then you have to hire them again when things pick up. If you have times when you are unsure what your order volumes will be, you just have to hope you have the capacity. But by outsourcing your warehouse needs to an exterior firm you can scale up and down as quickly and as easily as you need to. You don’t have to hire and fire staff on a monthly basis. You can simply pay for the space and the services you need at any given time.

Image: Image courtesy of yodiyim/ FreeDigitalPhotos.net

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