THE LOWDOWN ON 3PL LOGISTICS COMPANIES
Insights of a Successful 3PL Provider...
An interview with Eddie Massood
So you made the critical decision to engage a third party logistics partner. Now comes the most important decision of all...which company do you choose? Choosing a 3PL logistics provider is one of the most important decisions that you can make and could make or break the success of your business. Your selection will affect your company's future sales, deliveries and your reputation for years to come. The wrong choice could spell disaster but knowing what to look for, how to tell a good from a bad 3PL logistics provider and what the stakes are can help you avoid mistakes. When choosing a 3PL provider, there is a selection process that can help simplify things. Consider these questions asked of Massood Logistics owner Eddie Massood and by the time you get to the end, the choice will be clear!
01
Why would a company want to hire a third party 3PL company to handle their logistics?
A 3PL specialist features equipment designed specifically for handling products with maximum efficiency and minimum damage. Further, their facility and their personnel are dedicated solely to receiving, packing, and shipping products. They don’t manufacture merchandise, they move it!
02
Exactly what services do 3PL companies provide?
A 3PL company specializes in all aspects of receiving, picking, packing and shipping of goods for retail and ecommerce companies. An expert 3PL provider can create a custom strategy that not only saves time and expense, but ensures a positive customer experience.
Massood Logistics specializes in all facets of third party logistics fulfillment and shipping, including warehouse storage, pack & ship, product minor assembly, private labeling, drop shipping, order fulfillment, pick & pack, last mile delivery, as well as track & trace so you can watch your orders move!
03
How can you tell a good 3PL provider from a great one?
For many firms that claim 3PL status, this service is actually a sideline (or extension) of their main business, which is usually long haul freight or warehouse storage.
Great 3PL logistics companies prioritize, specialize and focus solely on 3PL logistics and every aspect it entails. At Massood, third party logistics is our ONLY business.
How do you really find a great 3PL partner? Do your research, ask lots of questions and check their on-line references! At Massood, our reputation speaks for itself.
04
What risks does a company take when choosing a 3PL logistics company?
Being choosy about your 3PL company is advisable. You will be entrusting them with your orders, your customers, your sales and your damaged returns.
Choosing the wrong 3PL partner can literally ruin your business and your reputation! Make sure you do your homework and choose carefully.
05
How critical is the relationship with long-haul carriers to the overall success of a 3PL company?
It is the most important element of 3PL logistics companies and in turn your long term success. No matter how well you build your products and pack them for shipment, your 3PL service provider and the long haul carrier is all that stands between you and your customer.
At Massood, we use only the best last mile delivery carriers and we evaluate their performance every day.
06
Express delivery has become paramount in the B2C marketplace. Do you partner with express shipping services such as FedEx, USPS and UPS to ensure prompt and safe delivery?
Today’s consumer wants it right and they want it right now! Working with and knowing the many aspects of express shipping is imperative to your 3PL providers and also your e-commerce fulfillment success. If a package arrives late, your customers don't care why or who's to blame. They don’t question how their order arrives, as long as it contains what they ordered, shipped quickly and arrives without damage.
That's why the major express services leave “drop” trailers on our Massood lot... so we can pack your merchandise for final delivery the minute it is ready to ship.
07
How do 3PL logistics companies keep track of their merchandise when it is handled by a third party logistics specialist?
Inventory tracking and control is a crucial component of operating a successful business and real-time shipment tracking is essential for companies of all sizes. You don't want to just hope and pray that your inventory will be handled with care, you want to be sure it's in good hands.
At Massood, tracking isn’t just an afterthought. We offer complete track & trace for every shipment we make for you. Just log in to your Massood account to see where your goods are 24/7.
08
What part does Freight Consolidation play in the total 3PL strategy?
The typical online marketer is using at least five different suppliers every sales cycle. This necessitates several different LTL carriers to pick up goods from each supplier, then repacking them for transfer to their distribution center before packing them once again for home delivery.
An experienced professional consolidator can bundle and schedule these pick ups from multiple providers, and then pack ONE truck bound for your retail distribution center, or prepare them for last mile delivery, thus saving time, fuel, and money. That is why Massood is launching a new freight consolidation service to fill this important gap in your supply chain. Watch our website for more information!
09
As a 3PL provider, how has the business changed in the past five years?
The 3PL industry has undertaken a huge transition over just the past year alone. Everything is moving faster and faster. Plus, the consumers’ demand for speed and accuracy is higher than ever. Further, as more and more manufacturers enter the B2C marketplace, the higher the demand is for quality 3PL partners. The field is littered with new warehouse operations offering 3PL services but lacking the equipment, personnel and most importantly experience to do the job professionally. Why take the risk? Call Massood Logistics today!
10
Where do you see the industry (3PL) in five years and how will it differ from Today?
Things will continue to increase in speed. Even more marketers will move online. The demand for delivery resources will increase exponentially….and the need for professional 3PL services will be even more critical than they are now. Eventually, consumers will demand, and expect “same day” delivery. Highly efficient 3PL strategies will continue to be absolutely critical to the success of any retailer wanting to offer e-commerce fulfillment. At Massood, we are preparing for tomorrow today!
Finding Your Optimal 3PL provider
These are just a few of the many questions and insights about 3PL logistics providers and the benefits and risks if you choose the wrong logistics company. There are countless decisions to consider when evaluating prospective 3PL companies. There is one thing that's clear though. Make sure you ask lots of question, make sure that your 3PL company can handle your goods and that they are setup to grow with your business. Your reputation, goods and your customer relationships are all on the line.
For more information about our furniture warehousing and 3PL logistics services, contact us here or call 336-635-4500 and we’ll develop a 3PL strategy just for you!