Transportation Trends: E-commerce Fulfillment

Posted by Land Link on May 24, 2017 4:23:42 PM


The E-commerce market has provided a boom to the transportation industry. By some estimates, the B2C e-commerce is expected to generate $3.2 trillion in revenue by 2020, while the B2B e-commerce market is expected to be twice that size. In terms of transport revenue, global B2C e-commerce produced $85 billion in 2015, and is expected to grow by a 15% compound annual rate by 2019. That level of demand is going to ad pressure to the already stretched equipment supply. It may be the best time to seek the expertise of a qualified 3PL to help navigate what are sure to be rough waters in terms of equipment availability and supply chain readiness. A 3 PL has multiple resource options to address the myriad of delivery demands that the future of e-commerce is absolutely going to generate.

How Can a 3PL Help with My E-Commerce Fulfillment

The goal for every retailer looking to optimize its supply chain should be to find a 3PL partner that can meet more than its current needs. The right 3PL partner should be able to scale its services as the retailer grows, and it should offer more than basic fulfillment outsourcing services. The e-Commerce environment is evolving rapidly to meet consumer demand. That same evolution is occurring in 3 PL services to meet supply chain demands to better serve online retail businesses. If your e-Commerce needs require more than a distribution services provider, these evolved transportation services may provide additional support.

Facilities That Enable Optimized Shipping Speeds

Demand for quicker, time definite delivery seems to be insatiable with millennials. Be aware that this group represents a major portion of your customer base today and in the coming years. Access to facilities and warehouses that are strategically located and can provide same-day shipping will be critical to meet demand. In addition, look for a 3PL company that offers one to three-day delivery via ground service to at least 75 percent of the U.S.

Ability to Adapt Processes Based on Demand

Whether it’s your busy season or a one-time "Flash Sale" promotion, your 3 PL provider’s facilities should be adaptable for periods of high demand. To be fully scalable, your 3PL fulfillment partner should be able to handle peak capacity for up to 20 times as much of your brand’s order volume during normal sales periods.

Invest in New Technologies for Streamlined Procedures

Your managing 3 PL continually makes investments in new and innovative technologies to allow your brand to stay in demand and meet fulfillment and distribution needs. Team up with a 3PL partner that focuses on constantly integrating new systems to streamline back-end processes. This ensures that your fulfillment strategies will never go dormant and that you can continue to provide customers with unencumbered service. Establishing a fulfillment process with zero errors is impossible. However, with careful planning and investment in technology and training, errors can be reduced to a measurable minimum.

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Topics: Transportation News