Top 5 things to consider when choosing a logistics partner
Whether you are taking the step to move your e-commerce operations from in-house warehousing to a third-party provider or revising your current fulfillment partnerships. There are some key factors to consider when choosing a logistics partner.
Prime Penguin’s dedicated team has years of experience in the industry and understands how vital it is to choose a reliable partner. The wrong setup can be devastating for your business and operations.
We are here to help, sharing our top 5 insights on the most important factors to consider and how we find our prime logistics partners. Each potential fulfillment partner goes through an extensive evaluation process based on the following parameters:
- Quality and reliability
We believe it’s important to have well-reputed fulfillment companies with a satisfying history in our network. Current customer satisfaction, long collaborations, and genuine and positive reviews are good indicators. Make sure to research the provider and get a second opinion.
- Competitive and transparent pricing
It is important to have a full overview and control over your fixed and variable logistics costs. When choosing our fulfillment partners compare all prices with market prices for similar services, location, and quality. Prices should be clearly stated and easy to access upon request.
- Systems and partners
Prime Penguin doesn’t only evaluate the fulfillment partners’ performance and pricing but also their suppliers’. Always make sure you understand what systems, partners, and technology they will use to fulfill your orders. For example, it is important to ensure that they have a robust Warehouse Management System (WMS) and reliable couriers.
- Location of the warehouse
The suitable location of the logistic partner’s warehouse facilities depends on how ready they are to serve your target customers. Distance and quality of transportation routes are important factors, but also how cost-efficient they are. We always analyze in-depth the trade-off between accessibility and cost-efficiency where sometimes warehousing facilities located outside of urban areas can be the wisest option.
- Personality and availability
Last but not least, we believe in good people and good organizations. Even if we have seen increasing automation of the logistics industry you will still have close personal contact with your fulfillment provider. Their responsiveness to your and your customers’ requests will be an important factor. We believe in choosing partners who genuinely care about their clients’ business and are willing to go that extra mile to make sure everything runs smoothly.
If you have any questions about our services, feel free to contact us directly or schedule a consultation.
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