{"id":1270,"date":"2023-02-15T06:00:00","date_gmt":"2023-02-15T06:00:00","guid":{"rendered":"https:\/\/www.shipbob.com\/au\/blog\/ecommerce-warehousing\/"},"modified":"2026-04-20T21:08:23","modified_gmt":"2026-04-20T21:08:23","slug":"ecommerce-warehousing","status":"publish","type":"blog","link":"https:\/\/www.shipbob.com\/au\/blog\/ecommerce-warehousing\/","title":{"rendered":"Ecommerce Warehousing: Types, Benefits, &amp; Best Practices for 2026 and Beyond"},"content":{"rendered":"\n<div class=\"wp-block-shipbob-blocks-single-toc single-toc\" data-controller=\"blog-toc-controller\" data-action=\"scroll@window-&gt;blog-toc-controller#scrollChanged:passive\" id=\"toc-component\" blog-toc-controller-time-label-value=\"Minutes\" blog-toc-controller-button-label-value=\"Show more\"><div class=\"single-toc-overview\"><p>Table of Contents<\/p><div class=\"single-toc-read-time\"><p>** Minutes<\/p><\/div><\/div>\n<p><a href=\"#what-is-ecommerce-warehousing\">What is ecommerce warehousing?<\/a><\/p>\n\n\n\n<p><a href=\"#h-types-of-ecommerce-warehouses\">6 types of ecommerce warehouses<\/a><\/p>\n\n\n\n<p><a href=\"#h-3-benefits-of-using-an-external-ecommerce-warehouse\">3 benefits of using an external ecommerce warehouse<\/a><\/p>\n\n\n\n<p><a href=\"#h-ecommerce-warehousing-best-practices\">Ecommerce warehousing best practices<\/a><\/p>\n\n\n\n<p><a href=\"#h-how-3pls-like-shipbob-help-unlock-ecommerce-growth\">How 3PLs like ShipBob help unlock ecommerce growth<\/a><\/p>\n\n\n\n<p><a href=\"#h-optimize-your-warehouse-with-shipbob-s-wms\">Optimise your warehouse with ShipBob&#8217;s WMS<\/a><\/p>\n\n\n\n<p><a href=\"#h-conclusion\">Outsource everything fulfilment to ShipBob<\/a><\/p>\n\n\n\n<p><a href=\"#h-ecommerce-warehousing-faqs\">Ecommerce warehousing FAQs<\/a><\/p>\n<\/div>\n\n\n\n<p>While warehouses date back to <a href=\"https:\/\/www.buildindustries.com\/origin-of-warehouses\/#:~:text=The%20first%20type%20of%20public,items%2C%20clothing%2C%20and%20marble.\">second century BC Rome<\/a> (to store grain, olive oil, wine, food, clothing, and marble), the concept of an ecommerce warehouse is a newer one.<\/p>\n\n\n\n<p>Many ecommerce businesses rely on efficient warehousing to support future growth. But each time your business hits a new inflection point, ecommerce warehousing becomes much more complex. <\/p>\n\n\n\n<p>There is no single path brands take, and there are a lot of variables that go into identifying the right ecommerce warehousing solution for you \u2014 and finding one that won\u2019t need to be replaced within months (or even years).<\/p>\n\n\n\n<p>To ensure that your business benefits from ecommerce warehousing, it\u2019s important to implement best practices to optimise your supply chain, whether you keep it in-house or work with <a href=\"https:\/\/www.shipbob.com\/3pl\/\">third-party logistics companies<\/a> (3PLs) as needed.<\/p>\n\n\n\n<p id=\"what-is-ecommerce-warehousing\">In this article, we will examine the state of ecommerce <a href=\"https:\/\/www.shipbob.com\/blog\/warehousing\/\">warehousing<\/a> and help you determine the ecommerce warehouse that is best suited for your business.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What is ecommerce warehousing?<\/h2>\n\n\n\n<p><span>Ecommerce warehousing refers to the process of storing and managing goods intended for online sales in a warehouse. Some ecommerce warehouses are owned and operated by the retailer, while others are managed by third-party fulfilment providers and 3PLs. Ecommerce warehouse management encompasses the management of all operations and processes in running an ecommerce warehouse. The most common ecommerce warehousing operations include:<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Taking appropriate <a href=\"https:\/\/cooltechzone.com\/malware-removal\/biggest-data-breaches\" target=\"_blank\" rel=\"noopener\">safety and security measures<\/a> for <a href=\"https:\/\/www.shipbob.com\/warehouse-operations\/inventory-storage\/\">inventory storage<\/a><\/li>\n\n\n\n<li>Receiving and stowing inventory as it arrives in your ecommerce warehouse<\/li>\n\n\n\n<li>Managing bin, shelf, and\/or pallet locations of each <a href=\"https:\/\/www.shipbob.com\/blog\/how-to-find-sku-number\/\">SKU<\/a> for optimised <a href=\"https:\/\/www.shipbob.com\/warehouse-management\/warehouse-slotting\/\">warehouse slotting<\/a><\/li>\n\n\n\n<li>Performing <a href=\"https:\/\/www.shipbob.com\/blog\/warehouse-audit\/\">warehouse audits<\/a> and <a href=\"https:\/\/www.shipbob.com\/blog\/inventory-audit\/\">inventory audits<\/a><\/li>\n\n\n\n<li>Recording stock levels and running <a href=\"https:\/\/www.shipbob.com\/blog\/inventory-report\/\">inventory reports<\/a><\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Why is ecommerce warehousing important?<\/h3>\n\n\n\n<p>During stages of growth, you may experience any of the following moments:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Outgrow your first storage space.<\/li>\n\n\n\n<li>Have too much <a href=\"https:\/\/www.shipbob.com\/inventory-kpis\/safety-stock\/\">safety stock<\/a> that needs to be stored in an overflow location.<\/li>\n\n\n\n<li>Choose to purchase land or lease a warehouse.<\/li>\n\n\n\n<li><a href=\"https:\/\/www.shipbob.com\/blog\/3pl-or-invest-warehouse-fulfillment\/\">Invest in fulfilment infrastructure<\/a> including staff, technology, certifications, shipping <a href=\"https:\/\/www.shipbob.com\/blog\/supply-inventory\/\">supplies<\/a>, forklifts, conveyors, and other equipment for the ecommerce warehouse.<\/li>\n\n\n\n<li>Introduce new sales channels and need <a href=\"https:\/\/www.shipbob.com\/blog\/multichannel-inventory-management\/\">multichannel inventory management<\/a> capabilities.<\/li>\n\n\n\n<li>Open or expand into a second fulfilment centre to reduce transit times and shipping costs.<\/li>\n\n\n\n<li>Scale <a href=\"https:\/\/www.shipbob.com\/ecommerce-fulfillment\/international-fulfillment\/\">international fulfilment<\/a> capabilities and become a global brand.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-6-types-of-ecommerce-warehouses\">6 types of ecommerce warehouses<\/h2>\n\n\n\n<p>There are a variety of ecommerce warehouse options that suit different businesses\u2019 needs. The best ecommerce warehouses not only have the amenities and expertise to provide the <a href=\"https:\/\/www.shipbob.com\/digital-fulfillment\/\">digital fulfilment<\/a> services needed but also enable brands to store inventory in strategic locations that are physically near their customer base for the quickest and most cost-efficient delivery.<\/p>\n\n\n\n<p>Let\u2019s take a look at some of the more popular ecommerce warehouse types and when they are useful.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-1-leased-warehouses\">1. Leased warehouses<\/h3>\n\n\n\n<p>Running an ecommerce warehouse requires the right tech to be in place. ShipBob has a best-in-class warehouse management system (WMS) for brands that have their own warehouse and need help managing inventory in real time, reducing picking, packing, and shipping errors, and scaling with ease. <\/p>\n\n\n\n<p>With <a href=\"https:\/\/www.shipbob.com\/product\/wms\/\">ShipBob&#8217;s WMS<\/a>, brands with their own warehouse can even leverage ShipBob&#8217;s fulfilment services in any of ShipBob&#8217;s fulfilment centres across the US, Canada, Europe, and Australia to improve cross-border shipping, reduce costs, and speed up deliveries.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.shipbob.com\/quote-plus\/\">Request ShipBob&#8217;s WMS pricing here<\/a>.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-2-warehousing-from-home\">2. Warehousing from home<\/h3>\n\n\n\n<p>Many <a href=\"https:\/\/www.bigcommerce.com\/articles\/ecommerce\/ecommerce-hosting\/\">ecommerce businesses<\/a> start out by storing <a href=\"https:\/\/www.shipbob.com\/ecommerce-inventory\/\">ecommerce inventory<\/a> at home (in their living room, basement, garage, office, etc.). This makes sense if your business has a small order volume. If you transform your home into a makeshift ecommerce warehouse, you won\u2019t incur storage charges (though your house may fill up very quickly).<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-3-fulfillment-centers-or-distribution-centers\">3. Fulfilment centres or distribution centres<\/h3>\n\n\n\n<p>More functional than a traditional warehouse, a <a href=\"https:\/\/www.shipbob.com\/blog\/differences-warehouse-fulfillment-center\/\">fulfilment centre<\/a> or distribution centre is an ecommerce warehouse designed to receive and store your inventory and pick, pack, and ship your orders in a timely manner.<\/p>\n\n\n\n<p>The most common type of fulfilment centres used amongst ecommerce businesses are outsourcing fulfilment to a 3PL like ShipBob or utilising Amazon for FBA. These professional fulfilment services handle <a href=\"https:\/\/www.shipbob.com\/blog\/order-fulfillment\/\">order fulfilment<\/a> on your behalf.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-embed-handler wp-block-embed-embed-handler wp-embed-aspect-16-9 wp-has-aspect-ratio\"><div class=\"wp-block-embed__wrapper\">\n<iframe loading=\"lazy\" title=\"ShipBob Fulfillment Center Guided Tour - 3D 360\u00b0 VR Video\" width=\"500\" height=\"281\" src=\"https:\/\/www.youtube.com\/embed\/YdTbM4XlizY?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe>\n<\/div><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-4-on-demand-warehousing-solutions\">4. On-demand warehousing solutions<\/h3>\n\n\n\n<p><a href=\"https:\/\/www.shipbob.com\/blog\/the-downside-of-on-demand-warehousing\/\">On-demand warehousing<\/a> allows businesses to rent available storage space for short periods at a time. Most of these solutions are provided by technology companies that contract warehouses with excess, <a href=\"https:\/\/www.shipbob.com\/blog\/shared-warehousing\/\">shared warehouse<\/a> space to store your inventory.<\/p>\n\n\n\n<p>This model can be good for seasonal sales or pop-up events. But because they don\u2019t handle any order fulfilment services themselves, on-demand warehousing is kind of like <a href=\"https:\/\/www.shipbob.com\/ecommerce-fulfillment\/outsourced-fulfillment\/\">outsourcing fulfilment<\/a> to a company that outsources it to others.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-5-bonded-warehouses\">5. Bonded warehouses<\/h3>\n\n\n\n<p>Customs <a href=\"https:\/\/www.shipbob.com\/blog\/bonded-warehouse\/\">bonded warehouses<\/a> are places where goods are stored before they are processed by <a href=\"https:\/\/www.shipbob.com\/blog\/customs-clearance\/\">customs<\/a>. These goods are held in the warehouse until inspections are completed and the importer or customer pays the necessary duties. There are different types of customs bonded warehouses \u2013 from ones that are run by the state to ones that are privately owned and operated.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-6-dropshipping\">6. Dropshipping<\/h3>\n\n\n\n<p><a href=\"https:\/\/www.shipbob.com\/ecommerce-fulfillment\/dropshipping\/\">Dropshipping<\/a> refers to when the product\u2019s manufacturer controls the entire supply chain, including producing, storing, and shipping items. When a customer places an order online, the manufacturer ships the item directly from their factory to the consumer, so the merchant never handles inventory.<\/p>\n\n\n\n<p>Since most dropshipping arrangements are done overseas, transit times are notoriously long. While this model can help prove out a business concept, the merchant has no <a href=\"https:\/\/www.shipbob.com\/inventory-management\/inventory-control\/\">inventory control<\/a> or oversight of the customer experience.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-which-ecommerce-warehouse-is-right-for-my-business\">Which ecommerce warehouse is right for my business?<\/h3>\n\n\n\n<p>The answer to this question depends on a number of factors, such as the size of your business, your available capital, and the resources you can dedicate to your <a href=\"https:\/\/www.shipbob.com\/ecommerce-logistics\/\">ecommerce logistics<\/a> strategy. If you have ecommerce warehouse space that caters to your inventory needs and complements your order management process, and only you can drive the customer experience you want to orchestrate, then managing your own ecommerce warehouse should suffice.<\/p>\n\n\n\n<p>However, if you are a growing business looking to scale fast, then it\u2019s probably time to consider using a 3PL\u2019s fulfilment centre. There\u2019s a reason that huge companies like Amazon and Walmart make extensive use of distribution centres to improve <a href=\"https:\/\/www.shipbob.com\/inventory-management\/\">inventory management<\/a> and streamline fulfilment.<\/p>\n\n\n\n<p>The good news is you can leverage a 3PL\u2019s ecommerce warehouses that makes it easy for small to mid-sized brands to offer the same service level.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWe see outsourcing fulfilment as a cost-savings and believe it will save you money in the long run. 3PLs negotiate rates, give you back all the time you\u2019d spend stuffing mailers, and reduce the errors you\u2019d make. We looked into opening our own warehouses and hiring employees, but couldn\u2019t come close with what 3PLs charge for picking, packing, and shipping. We\u2019d also be worried about scheduling fulfilment shifts, ordering boxes and shipping labels, and dealing with the extra headaches of running logistics. You should spend time doing what you do best, and fulfilment is an easy task to take off your plate.\u201d<\/em><a id=\"3-benefits\"><br><\/a><\/p>\n\n\n\n<p>Gerard Ecker, Founder &amp; CEO of <a href=\"https:\/\/www.shipbob.com\/blog\/ocean-and-co\/\">Ocean &amp; Co.<\/a><\/p>\n<\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-3-benefits-of-using-an-external-ecommerce-warehouse\">3 benefits of using an external ecommerce warehouse<\/h2>\n\n\n\n<p>Using an external ecommerce warehouse to store your inventory can be highly beneficial. Partnering with an established 3PL like ShipBob provides ecommerce sellers access to a number of external ecommerce warehouses to choose from. These state-of-the-art fulfilment centres can be used to reduce shipping costs and speed up delivery times (e.g., <a href=\"https:\/\/www.shipbob.com\/blog\/guide-offering-affordable-2-day-shipping\/\">2-day shipping<\/a>).<\/p>\n\n\n\n<p>Here are a few reasons why ecommerce warehousing is often best left to the pros.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-1-easier-to-stay-organized\">1. Easier to stay organised<\/h3>\n\n\n\n<p>With more space and a better <a href=\"https:\/\/www.shipbob.com\/blog\/warehouse-organization\/\">organizational system<\/a>, you\u2019ll have an easier time managing everything from <a href=\"https:\/\/www.shipbob.com\/inventory-management\/inventory-tracking\/\">inventory tracking<\/a> to customer orders. A 3PL provider can take the tedious inventory management process off your hands and keep tabs on your products for you.<\/p>\n\n\n\n<p>Moreover, ShipBob\u2019s proprietary <a href=\"https:\/\/www.shipbob.com\/fulfillment-software\/\">fulfilment software<\/a> keeps ecommerce brands up to date with real-time inventory counts, shipment tracking, and much more.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cShipBob\u2019s technology provides cost savings. Other 3PLs pass fees onto the client for work they do related to manual processes because they lack the fulfilment technology needed to meet customer expectations. ShipBob\u2019s technology has effectively eliminated the work of a program manager at other 3PLs, while providing immediate visibility into inventory and the ability to respond and make changes myself.\u201d<\/em><\/p>\n\n\n\n<p>Carl Protsch, Co-Founder of <a href=\"https:\/\/www.shipbob.com\/blog\/fleo-shorts\/\">FLEO<\/a><\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-2-more-accurate-picking-and-packing\">2. More accurate picking and packing<\/h3>\n\n\n\n<p>In addition to ecommerce warehousing, 3PL services include <a href=\"https:\/\/www.shipbob.com\/warehouse-operations\/warehouse-order-picking\/\">warehouse picking<\/a> and packing, taking much of the fulfilment process off your plate. They have highly specialized staff for each part of the order fulfilment process and others that work to identify <a href=\"https:\/\/www.shipbob.com\/blog\/supply-chain-optimization\/\">supply chain optimizations<\/a>. Their technology and processes help ensure the right products are packaged and delivered on time for a good customer experience.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cIf I\u2019m going to outsource one of the most important parts of my business, it needs to be in the hands of people who are honest, knowledgeable, and can do the job a lot better than me. ShipBob was the perfect fit.\u201d<\/em><\/p>\n\n\n\n<p>Tracey Wallace, Founder of <a href=\"https:\/\/www.shipbob.com\/blog\/doris-sleep\/\">Doris Sleep<\/a><\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-3-time-to-focus-on-growth\">3. Time to focus on growth<\/h3>\n\n\n\n<p>Successfully growing your business demands a significant amount of time, attention, and resources. By using a 3PL provider, you won\u2019t get bogged down in the details of ecommerce warehousing. Instead, you can allocate your time and staff to other functions like expanding your customer base. Your ecommerce warehouse can even help contribute to growth.<a id=\"best\"><br><\/a><\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWe are growing really fast and won\u2019t slow down anytime soon. With ShipBob, we have the option to use more of their ecommerce warehouses to further reduce shipping costs. Because ShipBob has a lot of people to handle our orders and additional warehouses we can expand into, we can scale up with ease as we continue to grow quickly. If we ran our own warehouse, it would be much harder to hire people and we\u2019d inevitably outgrow the space.\u201d<\/em><a id=\"best-practices\"><br><\/a><\/p>\n\n\n\n<p id=\"h-ecommerce-warehousing-best-practices\">Oded Harth, CEO &amp; Co-Founder of <a href=\"https:\/\/www.shipbob.com\/blog\/mdacne\/\">MDacne<\/a><\/p>\n<\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\">Ecommerce warehousing best practices<\/h2>\n\n\n\n<p>Implementing poor ecommerce warehousing processes can result in brands wasting money and even delaying orders. Proper <a href=\"https:\/\/www.shipbob.com\/warehouse-management\/\">warehouse management<\/a> follows best ecommerce warehousing practices that improve your bottom line and provide a great customer experience.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-use-a-warehouse-management-system-wms\">Use a warehouse management system (WMS)<\/h3>\n\n\n\n<p>A <a href=\"https:\/\/www.shipbob.com\/warehouse-management\/warehouse-management-system-wms\/\">warehouse management system<\/a> is a specialized software that offers businesses <a href=\"https:\/\/www.shipbob.com\/blog\/wms-requirements\/\">key features<\/a> that optimise an ecommerce warehouse. A WMS can:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Provide real-time insight into your inventory and product availability<\/li>\n\n\n\n<li>Manage and <a href=\"https:\/\/www.shipbob.com\/blog\/warehouse-monitoring\/\">monitor<\/a> <a href=\"https:\/\/www.shipbob.com\/blog\/ecommerce-supply-chain\/\">ecommerce supply chain<\/a> operations, from the manufacturer to the distribution centre<\/li>\n\n\n\n<li>Forecast inventory to determine when your stock might run out<\/li>\n\n\n\n<li>Streamline the <a href=\"https:\/\/www.shipbob.com\/ecommerce-fulfillment\/\">ecommerce fulfilment<\/a> process and make your operations more efficient<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-integrate-your-ecommerce-store-and-other-tools\">Integrate your ecommerce store (and other tools)<\/h3>\n\n\n\n<p>Integration with your ecommerce store will make inventory management much easier. Using warehouse management software, your business will be able to determine stock availability in real-time, <a href=\"https:\/\/www.shipbob.com\/inventory-management\/inventory-forecasting\/\">forecast inventory<\/a> more easily, and set reorder points in advance before a shortage can occur.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-distribute-your-inventory\">Distribute your inventory<\/h3>\n\n\n\n<p><a href=\"https:\/\/www.shipbob.com\/blog\/distributed-warehousing\/\">Distributing your inventory<\/a> across multiple warehouses <a href=\"https:\/\/www.shipbob.com\/ecommerce-shipping\/reduce-shipping-costs\/\">reduces shipping costs<\/a> so that when an order is placed, it is automatically prepared and dispatched from the nearest distribution centre to the customer. This can also improve the customer experience by providing a faster, more cost-efficient delivery.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-test-multiple-picking-systems-to-find-the-right-one\">Test multiple picking systems to find the right one<\/h3>\n\n\n\n<p>Ecommerce businesses have a multitude of picking systems to choose from. Small organizations that receive only a few orders per day may prefer the \u2018one-order-at-a-time\u2019 picking process. However, this method is not ideal for larger ecommerce businesses. More advanced tools can enable <a href=\"https:\/\/www.shipbob.com\/blog\/batch-picking\/\">batch picking<\/a> and auto-generate <a href=\"https:\/\/www.shipbob.com\/blog\/picking-list\/\">picking lists<\/a> based on the ordered items\u2019 proximity to one another in an ecommerce warehouse to reduce the walking paths and time it takes to pick an order.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-set-inventory-minimums-points\">Set inventory minimums points<\/h3>\n\n\n\n<p>Finding the right balance in inventory is always a challenge. Ordering too many products can bring harm to a business\u2019s profits and lead to high <a href=\"https:\/\/www.shipbob.com\/blog\/inventory-carrying-costs\/\">inventory carrying costs<\/a>, while not enough can lead to out-of-stock notices and angry customers that go elsewhere. Thus, setting mandatory inventory minimums is a smart precaution for businesses to take. Any good software lets businesses set <a href=\"https:\/\/www.shipbob.com\/blog\/reorder-point-formula\/\">reorder points<\/a>, so they can receive a notification once a product reaches a specific threshold.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cShipBob\u2019s analytics tool is really cool. It helps us a lot with planning inventory reorders, seeing when SKUs are going to run out, and we can even set up email notifications so that we\u2019re alerted when a SKU has less than a certain quantity left. There is a lot of value in their technology.\u201d<\/em><\/p>\n\n\n\n<p id=\"h-how-3pls-like-shipbob-help-unlock-ecommerce-growth\">Oded Harth, CEO &amp; Co-Founder of <a href=\"https:\/\/www.shipbob.com\/blog\/mdacne\/\">MDacne<\/a><\/p>\n<\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\">How 3PLs like ShipBob help unlock ecommerce growth<\/h2>\n\n\n\n<p>An ecommerce business that aspires to grow should partner with a 3PL provider. Managing the ecommerce fulfilment process yourself is time-consuming and demands a lot of human resources. Using an <a href=\"https:\/\/www.shipbob.com\/blog\/order-filling\/\">order filling service<\/a> like ShipBob lets you focus on growth while not having to worry about ecommerce warehousing and many <a href=\"https:\/\/www.shipbob.com\/ecommerce-logistics\/inbound-outbound-logistics\/\">inbound and outbound logistics<\/a> processes.<\/p>\n\n\n\n<p>Here are some of the ways in which ShipBob\u2019s experience, scalability, and tools can help.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-distributed-inventory\"><a href=\"https:\/\/www.shipbob.com\/blog\/3-benefits-using-more-than-one-warehouse-ecommerce-fulfillment\/\">Distributed Inventory<\/a><\/h3>\n\n\n\n<p>ShipBob operates multiple locations across the country. You can utilise any combination of their ecommerce warehouses so that orders are delivered to customers on time and shipping costs are minimal.<\/p>\n\n\n\n<p>ShipBob\u2019s built-in <a href=\"https:\/\/www.shipbob.com\/inventory-management\/software\/\">inventory management software<\/a> keeps you up to date with order data and inventory status across ecommerce warehouses in real-time.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-order-management\"><a href=\"https:\/\/www.shipbob.com\/blog\/order-management\/\">Order management<\/a><\/h3>\n\n\n\n<p>Inventory isn\u2019t the only thing that ShipBob excels at overseeing; we manage your orders just as well too. From the moment an order is placed, you can track its progress in the ShipBob dashboard. You can easily search for specific orders, look up shipping details, and automatically send customers <a href=\"https:\/\/www.shipbob.com\/blog\/ecommerce-order-tracking\/\">ecommerce order tracking<\/a> emails.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cShipBob has done a great job of giving each store owner a feeling of complete control over everything. You can outsource your fulfilment while seeing what their ecommerce warehouse associates are picking. Inventory is automatically marked as accounted for, so it\u2019s held until it\u2019s shipped. <\/em><\/p>\n\n\n\n<p><em>You can see all orders \u201cin exception\u201d on a shipping hold in one dashboard screen and hover over any order on that list and see why it was being held and resolve it directly within ShipBob.\u201d<\/em><\/p>\n\n\n\n<p>Gerard Ecker, Founder &amp; CEO of <a href=\"https:\/\/www.shipbob.com\/blog\/ocean-and-co\/\">Ocean &amp; Co.<\/a><\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-customized-packaging\"><a href=\"https:\/\/www.shipbob.com\/blog\/custom-packaging\/\">Customised packaging<\/a><\/h3>\n\n\n\n<p>ShipBob gives ecommerce businesses the option to use customised packaging to enhance brand awareness. A unique <a href=\"https:\/\/www.shipbob.com\/blog\/unboxing-experience\/\">unboxing experience<\/a> is a great way to increase customer loyalty and market your business. You can utilise ShipBob\u2019s packaging partners to create your own branded boxes or <a href=\"https:\/\/www.shipbob.com\/blog\/poly-mailers\/\">poly mailers<\/a>.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-analytics-and-detailed-reports\"><a href=\"https:\/\/www.shipbob.com\/blog\/new-free-analytics-reporting-tool\/\">Analytics and detailed reports<\/a><\/h3>\n\n\n\n<p>ShipBob offers business partners full transparency in the form of a free analytics tool that helps with everything from monitoring their own performance to providing year-end reporting. Merchants can assess data and learn how to make better <a href=\"https:\/\/www.shipbob.com\/blog\/supply-chain-management\/\">supply chain management<\/a> decisions.<\/p>\n\n\n\n<p>ShipBob\u2019s analytics tool also offers insight into matters such as which distribution centres to stock to save money and speed up deliveries, average shipping cost by delivery method selected, how running promotions will affect stock levels, and other <a href=\"https:\/\/www.shipbob.com\/blog\/distribution-metrics\/\">distribution metrics<\/a>.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cShipBob\u2019s analytics tool is a game-changer and it\u2019s helped me grow my business tremendously. It\u2019s so easy for any of my team members to pull data in real-time. I felt like I couldn\u2019t grow until I moved to ShipBob. My CPA even said to me, \u2018Thank God you switched to ShipBob\u2019. ShipBob provides me clarity and insight to help me make business decisions when I need it, along with responsive customer support.\u201d<\/em><\/p>\n\n\n\n<p id=\"h-optimize-your-warehouse-with-shipbob-s-wms\">Courtney Lee, founder of <a href=\"https:\/\/www.shipbob.com\/blog\/prymal\/\">Prymal<\/a><\/p>\n<\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\">Optimise your warehouse with ShipBob&#8217;s WMS<\/h2>\n\n\n\n<p>Already have your own warehouse? ShipBob&#8217;s best-in-class warehouse management system (or WMS) can help you manage inventory in real time, reduce picking, packing, and shipping errors, and scale with ease.<\/p>\n\n\n\n<p>By leveraging <a href=\"https:\/\/www.shipbob.com\/product\/wms\/\">ShipBob&#8217;s WMS<\/a> (the same one that powers our global fulfilment network) in your own warehouse, your brand can improve efficiency, from receiving to fulfilment to shipping. With built-in automations, flexible picking options, and turnkey integrations with major ecommerce platforms and tools, the ShipBob WMS makes it easy to streamline warehousing operations.<\/p>\n\n\n\n<div class=\"wp-block-buttons is-content-justification-center is-layout-flex wp-container-core-buttons-is-layout-16018d1d wp-block-buttons-is-layout-flex\" id=\"h-conclusion\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/www.shipbob.com\/quote-plus\/\">Explore ShipBob&#8217;s WMS<\/a><\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\">Outsource everything fulfilment to ShipBob<\/h2>\n\n\n\n<p>Ecommerce warehousing is just one piece of the puzzle\u2014scaling brands need a fulfilment partner that does it all. From inventory management to fast, reliable shipping, outsourcing your entire fulfilment operations to a tech-driven 3PL like ShipBob gives you the freedom to focus on growing your business while we handle the logistics.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cEcommerce companies who are approaching an inflection point will benefit from ShipBob because they allow entrepreneurs like myself do what we do best \u2014 create, sell, and grow! I\u2019m proud to be a ShipBob partner. A lot of entrepreneurs underestimate the cost-savings and power of choosing your entire supply chain and partner network wisely. These choices will make or break your business.\u201d<\/em><\/p>\n\n\n\n<p>Courtney Lee, founder of <a href=\"https:\/\/www.shipbob.com\/blog\/prymal\/\">Prymal<\/a><\/p>\n<\/blockquote>\n\n\n\n<p>ShipBob is an industry-leading global 3PL that takes fulfilment completely off your plate. Here\u2019s what you get when you partner with ShipBob:<\/p>\n\n\n\n<ul class=\"wp-block-list is-style-blue-ticks has-small-font-size\">\n<li style=\"font-size:18px\"><strong>Global fulfilment network<\/strong>&nbsp;\u2013 Store inventory in multiple countries to offer fast, cost-effective shipping worldwide.<\/li>\n\n\n\n<li style=\"font-size:18px\"><strong>Built-in inventory management<\/strong>&nbsp;\u2013 Track stock levels, set reorder points, and prevent stockouts\u2014all in one dashboard.<\/li>\n\n\n\n<li style=\"font-size:18px\"><strong>Automated order processing<\/strong>&nbsp;\u2013 Sync your store, route orders to the best fulfilment centre, and let us handle picking, packing, and shipping.<\/li>\n\n\n\n<li style=\"font-size:18px\"><strong>2-day shipping capabilities<\/strong>&nbsp;\u2013 Compete with big retailers by offering ultra-fast delivery across major markets.<\/li>\n\n\n\n<li style=\"font-size:18px\"><strong>Transparent, predictable pricing<\/strong>&nbsp;\u2013 No hidden fees, just simple fulfilment pricing that scales with your business.<\/li>\n<\/ul>\n\n\n\n<p>With all of these tools at our disposal,&nbsp;<strong>ShipBob acts as your entire fulfilment team<\/strong>. That\u2019s why&nbsp;<strong>thousands of fast-growing brands<\/strong>&nbsp;trust ShipBob to&nbsp;store, pick, pack, and ship their products\u2014<strong>so they can focus on what they do best.<\/strong><\/p>\n\n\n\n<p id=\"h-ecommerce-warehousing-faqs\">Let us handle everything from warehousing to last-mile delivery.&nbsp;<strong>Click the button below to see how ShipBob can power your growth.<\/strong><\/p>\n\n\n\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/www.shipbob.com\/quote\/\"><strong>Request a Fulfilment Quote<\/strong><\/a><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">Ecommerce warehousing FAQs<\/h2>\n\n\n\n<p>Below are answers to the most common questions about ecommerce warehousing.<\/p>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"false\"><div class=\"single-faq-title-contianer\"><h4 class=\"single-faq-title\"><br>How do I set up an ecommerce warehouse?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" data-faq-controller-target=\"answer\"><div>\n\n<p>There&#8217;s not necessarily a one-size-fits-all setup guide when it comes to ecommerce warehouses, but you&#8217;ll want to optimise the space you have (both vertically and horizontally) for the total number and units of SKUs you have, your inventory turnover rates, the fulfilment services provided, proximity of commonly ordered items, batch vs. custom orders or projects, and of course safety. Other considerations include the location of your loading docks and their proximity to other stations within the warehouse, how you will store and drive forklifts and other equipment within the warehouse, and how far your staff will have to walk to pick and retrieve orders.<\/p>\n\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"false\"><div class=\"single-faq-title-contianer\"><h4 class=\"single-faq-title\">What are the main types of ecommerce warehousing?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" data-faq-controller-target=\"answer\"><div>\n\n<p>Leased warehouses and outsourced fulfilment centres (via a 3PL) are the most common forms of ecommerce warehousing, but there are also bonded warehouses, on-demand warehousing solutions, and even makeshift warehouses (e.g., using your own home).<\/p>\n\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"false\"><div class=\"single-faq-title-contianer\"><h4 class=\"single-faq-title\">What is the difference between a warehouse and a distribution centre?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" data-faq-controller-target=\"answer\"><div>\n\n<p>While many people use the terms &#8220;distribution centre\u201d and \u201cwarehouse\u201d interchangeably, there may be a few key differences they are actually alluding to. A warehouse may refer to anything from a long-term storage facility, to an ecommerce warehouse or 3PL&#8217;s fulfilment centre. A distribution centre on the other hand is often used as a <a href=\"https:\/\/www.shipbob.com\/blog\/hub-spoke-distribution-model\/\">regional hub<\/a> to get goods from a manufacturer to another (or final) destination (e.g., the middle point from a storage warehouse to a brick-and-mortar store). <\/p>\n\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"false\"><div class=\"single-faq-title-contianer\"><h4 class=\"single-faq-title\">When do I need an ecommerce warehouse?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" data-faq-controller-target=\"answer\"><div>\n\n<p>Brands that need an ecommerce warehouse are often doing tens of thousands of outbound shipments per month. An ecommerce warehouse can vary in size but typically comes after storing inventory in an office or storage unit (and definitely after you run out of space in your own home or store) and instead of outsourcing fulfilment to a 3PL like ShipBob, who can handle the entire ecommerce warehousing and order fulfilment process for you. <\/p>\n\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"false\"><div class=\"single-faq-title-contianer\"><h4 class=\"single-faq-title\">What is the cost of an ecommerce warehouse?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" data-faq-controller-target=\"answer\"><div>\n\n<p>This will depend on whether you lease a warehouse or purchase land and build your own ecommerce warehouse, in addition to the location of the warehouse (e.g., different state or country taxes, an urban vs. rural location, etc.) and the capabilities of the facility. You&#8217;ll also want to consider labour wages and other factors outside of just the rent owed on the ecommerce warehouse. <\/p>\n\n<\/div><\/div><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Every growing brand needs an ecommerce warehouse. Learn what ecommerce warehousing is, the types that are available, and best practices for running one.<\/p>\n","protected":false},"author":110,"featured_media":1271,"parent":0,"template":"","meta":{"content-type":"","inline_featured_image":false,"footnotes":""},"blogcategories":[2,7,8,11,13,15],"class_list":["post-1270","blog","type-blog","status-publish","has-post-thumbnail","hentry","blogcategories-3pl-third-party-logistics","blogcategories-fulfillment","blogcategories-inventory","blogcategories-order-management","blogcategories-shipping","blogcategories-warehouse-management"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.5 (Yoast SEO v27.5) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Ecommerce Warehousing: Types, Benefits, &amp; Best Practices for 2026 and Beyond - ShipBob Australia<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.shipbob.com\/au\/blog\/ecommerce-warehousing\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Ecommerce Warehousing: Types, Benefits, &amp; Best Practices for 2026 and Beyond\" \/>\n<meta property=\"og:description\" content=\"Every growing brand needs an ecommerce warehouse. 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