How To Choose Warehouse Location?
The location of warehouse construction to a certain extent determines the size of the company and indirectly determines the success or failure of the enterprise, and the location of the warehouse is a very important part of the enterprise to winning the market. A superior warehouse location makes business development more convenient and flexible. This article focuses on what factors affect warehouse location and how to get the best warehouse location. Reading this article, I believe it will contribute to driving your business and unlocking the code of wealth for you.
What Is The Warehouse Location？
Warehouse location is the geographical location where merchants store goods. If the location of the warehouse is appropriate enough, it will reduce the distribution cost to the greatest extent, and the market competitiveness of the merchant will be greatly increased.
What Is The Importance Of Warehouse Location？
Warehouse location plays a decisive role in how long it takes merchants to ship orders to customers. For merchants, it is easier to improve market competitiveness by providing order products to customers in a short time. For customers, it is an urgent need to get the products they order in the shortest possible time after they place the order. These are reasons why your warehousing location is so important.
6 Factors Affecting Warehouse Location You Must Know
The most favorable storage location for a business is one that can take a great advantage in terms of geography and at the same time complete the storage construction at a reasonable or even low cost. There are many factors influencing the selection of storage location, among which the following six factors are the dominant ones:
Strategic Choice Of Storage Location
The closer the warehouse is to the customer, the greater the merchant’s advantage in terms of delivery speed and shipping costs. At the same time, merchants conveniently supply, customers in the shortest time to receive the goods. For merchants whose customers are everything, this strategy not only easily improves customer satisfaction and retention but also gains more potential customers, which is extremely beneficial for business development.
Selection Of Warehouse Workers
The employment of warehouse workers has a great impact on order transportation efficiency and merchant operating costs. Therefore, the warehouse is built in an area with a sufficient labor force, so that merchants can maximize profits at a lower cost, which is the ideal type for merchants to choose the storage location.
Different products have different storage location requirements. Merchants should choose the storage location according to the environmental requirements of their products, so as to prolong the storage time of products and save time and cost. When the product contains a certain amount of harm, the impact of the product on the environment should be considered to ensure that the risk of the product is minimized as far as possible.
The size of the warehouse can not be changed after the election, it determines the strength of material handling capacity and inventory size. For the development period of the company, the warehouse size determines the probability of business expansion. The larger the warehouse, the less time and money it takes to expand the business, and vice versa.
Selection Of Warehouse Management System
For the beginning of the scale of development of the company, a suitable warehouse management system can help merchants to simplify the business process, improve the order success rate, and obtain higher customer satisfaction. And the error in the warehouse management system will bring more difficulty to the order management of the business, which is harmful to the business.
Logistics Transportation Capacity
Logistics transportation capacity is another decisive factor in the selection of storage location. When the selection of storage location is at a disadvantage in terms of transportation and the order transportation time is too long, merchants will face problems such as delivery delay and customer dissatisfaction, which will cause irreversible business losses. It can be seen that the strength of the transportation capacity of third-party logistics directly affects the transaction rate of customer orders.
Warehouse Selection Criteria Checklist： How To Get The Best Warehouse Location?
3PL can provide several services for merchants, such as warehousing services. Therefore, when merchants want to get the best warehouse location, they can choose high-quality 3PL to help them realize it. At the same time, companies should pay special attention to the efficiency of 3PL when selecting partners, in addition to their business expertise and industry reputation. Most merchants will find Honest FulPhilment from China to be the best choice among many.
Honest FulPhilment has one of the most transparent and simple pricing structures in the industry, providing customers with reception, storage, order fulfillment, and shipping services. Its biggest advantage is that it has warehouses all over the world, in countries such as the UK, Germany, France, Italy, and Australia. While guaranteeing all goods, The Partner enables businesses to ship goods to customers in the easiest and fastest way that no other company can.
A correct location to build a warehouse location can help businesses to occupy great competitiveness in the market, win more customer resources, and play an essential role in the starting line of business win. This shows the importance of the warehouse location selection strategy. If you want to know more about warehouse location strategies, please get in touch with our team. We’ll be happy to answer in detail!
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