How To Choose A Fulfillment Center?

How To Choose A Fulfillment Center

With the popularity of cross-border e-commerce, fulfillment centers are becoming more and more important. This article introduces the types of fulfillment services, the functions of the fulfillment center, and how to choose an excellent fulfillment center. By reading this article, you can have a deeper understanding of the work process of the fulfillment center, which is conducive to your smooth business operation, and problem-solving, and thus masters the password to obtain wealth.

What is Fulfillment Service?

What is Fulfillment Service

Fulfillment services mean that a third party performs warehouse or supplier management and distributes products to your customers. There are different types of fulfillment services, including in-house fulfillment, third-party fulfillment, and dropshipping.

1. In-House Fulfillment

In-House Fulfillment is basically a do-it-yourself mode, in which businesses package and deliver products to customers themselves. This model is most suitable for small enterprises with the smallest scale. Internal fulfillment can be done at home, or by renting storage facilities.

2. Third-Party Logistics

Third-party logistics is the process of outsourcing logistics services. This includes anything that involves one or more elements of business procurement and fulfillment activities, including storage and transportation of items around the world.

When the customer places an order, the fulfillment part of the 3PL begins. The first step of the 3PL process is to receive the inventory in the warehouse after manufacturing. In the next phase of the 3PL process, your inventory will be placed in one of the 3PL warehouses. Each inventory unit (SKU) has its own dedicated location in one of the warehouses. The last step in the 3PL process is to deliver your order to your customers, whether by land, air, or sea.

3. Dropshipping

Dropshipping is an increasingly popular new implementation mode, which means that the production process from manufacturer to customer is very different. When a consumer places an order from your store, he or she actually places an order directly with the manufacturer.

What is a Fulfillment Center?

What is a Fulfillment Center

The fulfillment center is more than just storing inventory and delivering goods. It has a large team to complete any number of orders. When the size of a company increases, sales will increase. Retailers need to focus on business strategies. Outsourcing the logistics process is one of the best ways to save time and human capital.

5 Essentials When Choosing a Fulfillment Center

1. Select a Service Based on your Business Data

When deciding which company to choose, many enterprises will focus on performing the functions that the company publicizes. Although it is not entirely wrong to study features, the first thing you need to focus on is your data and business status.

2. A Simple Pricing Structure

5 Essentials When Choosing a Fulfillment Center

The pricing structure of a logistics company may be as simple as being clear at a glance, or it may be a complex maze that needs a team of financial experts to decipher. Obviously, the latter will make things confused.

This is also one of the ways that some companies secretly charge hidden and baseless fees. Therefore, find a simple pricing structure. It is easier for you to calculate your actual cost.

3. Shipping Options

Whether you are in the country of origin or in China, your goal should be to provide the fastest delivery time at the lowest cost. Large e-commerce brands such as Amazon and Walmart, with their complex logistics networks, make it possible to deliver goods overnight for two days.

This will only make it more difficult for smaller enterprises to compete by providing faster transportation. But you can still provide customers with a variety of options to deliver faster without leaving them with all they have.

4. Warehouse Network

Logistics companies can have a national or international warehouse network. Multiple domestic warehouses are always beneficial because they allow you to intelligently allocate inventory and significantly reduce transportation costs.

5. Easy-to-Use Software

Each logistics company will have its own cloud-based software to manage and track inventory, orders, and transportation. The software should also be well integrated with the e-commerce platform you are using to drive your online store.

The software should provide low-cost multi-channel implementation solutions without the need for custom integration. This enables you to implement all the different channels from one place. In addition, it should allow you to ship through multiple carriers.

4 Best eCommerce Fulfillment Services you Must Know

1. Shopify Fulfillment Network

4 Best eCommerce Fulfillment Services You Must Know

Shopify fulfillment network is a cross-border e-commerce network. This platform contains a lot of information about cross-border e-commerce that you want to know. You can also check your orders on it.

2. Amazon FBA

4 Best eCommerce Fulfillment Services you Must Know

Fulfillment By Amazon, which is simply Amazon Logistics. It means that the seller sends the goods in batches to Amazon’s FBA warehouse, and then Amazon is responsible for storing them. When the goods are sold, Amazon completes order sorting, packaging, and distribution, and provides customer services such as buyer consultation and return for these goods.

3. Honest FulPhilment

4 Best eCommerce Fulfillment Services you Must Know

Honest Fulphilment is a reliable company with comprehensive services. It provides outsourcing services and a transparent pricing model as well as high-quality standards that can meet all your needs. Honest Fulphilment can use your existing supply chain or find alternative sourcing methods to save money, increase profits and solve quality problems.

4. ShipBob

4 Best eCommerce Fulfillment Services you Must Know

ShipBob provides the seller with a last-mile logistics distribution solution comparable to Amazon FBA. Chinese sellers can send their products to ShipBob’s warehouses in the United States. ShipBob promises to strategically configure the seller’s inventory according to the distance between the warehouse and customers, so as to achieve delivery within 2 days.

Conclusion

In this article, you can better understand the fulfillment services in cross-border e-commerce, and you can also know how to choose the appropriate fulfillment center. It is very important to choose the appropriate fulfillment center, which relates to your development in this industry and whether your business will be more prosperous. If you want to know more about fulfillment services, please contact Honest FulPhilment who will provide you with comprehensive services.

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