PLs prepare your orders for shipment, including creating accurate shipping labels, customs declarations, and other necessary shipping documents. They ship your packages in bulk using the most suitable carriers, based on your shipping preferences. Finally, they also receive returned packages from your customers and inbound shipments from your suppliers.
Kitting and customization:
A 3PL can also help you if you sell products that need to be assembled or customized before shipping. This includes products such as home assembly furniture or DIY products that consist of multiple SKUs that need to be combined into mobile database a single package before being shipped to the customer ( kitting ).
3PLs also have the ability to customize orders based on customer requests (for example, by selecting the correct product color before shipping). They can also customize your packaging or wrap your items according to specific instructions. This allows you, for example, to include a gift with certain orders. This allows you to optimize your customer’s unboxing experience, even if the entire packaging and shipping process is outsourced.
To learn more about personalization, check out how to localize the customer experience when selling internationally .
Reverse logistics (return shipping):
You can integrate 3PL into your returns reduce the risk of cancellations shipping process. This means that when a customer requests a return, the 3PL handles the entire shipping process, in accordance with your policy. This could include generating return labels, processing inbound shipments, sending replacement products, or automatically initiating the refund process.
Inventory management:
For carriers, out-of-home deliveries can reduce emissions. But how do customers collect their parcels? Our survey found that 61% of customers drive to pick up their parcels. 45% walk if the delivery location is close enough , showing that the density of collection points and locker facilities plays a role in the overall environmental impact of out-of-home deliveries.
“If you pick up your parcel by bike, it’s text services much more environmentally friendly than our vans, which go to every address, whether they’re electric or diesel. Cycling is the most responsible solution, but it does mean that the delivery point has to be nearby.” – Jorin Aardoom, Director Out of Home
You can also rely on 3PLs to monitor and replenish your inventory. They work directly with your suppliers to ensure adequate stock levels, including preparing for peak periods based on data analytics.