A fulfillment warehouse is a scalable storage solution for merchants that outsource the order fulfillment process. A fulfillment warehouse is designed to store products until they are sold. Then, the products are quickly and efficiently picked, packed, and sent from within the warehouse. Many logistics providers will have more than one fulfillment warehouse across the country to decrease both time in transit and shipping costs.
Fulfillment warehouses are often an easier option for online merchants, rather than purchasing warehouses themselves. The advantages include:
- No warehouse leases. Reduce your capital expenses by avoiding expensive warehouse leases.
- No purchasing depreciating equipment. Forklifts and other heavy warehouse equipment is expensive, depreciates quickly, and requires constant maintenance. By outsourcing order fulfillment, merchants can avoid needing to buy or maintain this type of equipment.
- No warehouse staff or liability. Picking, packing, and shipping requires a significant time investment. Outsourcing these tasks will eliminate the need to staff these positions, saving you money on operating expenses and reducing liability due to injury.
- Better discounts. The more orders, the greater the discounts you can get, from shipping rates with carriers to packaging materials. Because a fulfillment warehouse has hundreds of other customers like you, they get even better price breaks on items you will use regardless.
- Better services. Outsourcing warehouse fulfillment, especially to a 3PL with a network of warehouses, lets you offer your customers top-notch services, such as same-day order turnaround and two-day shipping within the continental United States.
Unlike most merchants, ShipBob got into business to pack and ship boxes. Fulfillment centers are designed to handle an extremely high volume of shipments at a fast pace. For merchants that are growing quickly or have seasonal selling patterns, a fulfillment warehouse might be the right choice with the ability to absorb peaks and valleys in orders.
Online merchants that use ShipBob as their fulfillment warehouses receive a wide range of complimentary services, including:
- Two-day shipping. Compete with the big guys. ShipBob offers two-day shipping on orders they fulfill within the continental United States.
- Inventory management. ShipBob’s cloud-based software helps you easily keep track of your inventory levels across our their network of warehouses. They also provide notifications when inventory is getting low, so that you’ll have plenty of time to reorder.
- Order management. Track an order in its entirety from the moment the order is placed to when it gets delivered to your customer’s doorstep. All information is updated and available in real-time through ShipBob’s central dashboard. It’s now easier than ever to answer customer questions.
- Distributed inventory. ShipBob has a network of warehouses across the country with many more coming, to let you place your products closer to your end customers. This not only helps you reduce shipping costs and the overall length of delivery, but provides backups with the ability to fulfill from any warehouse if you run out of stock at one.
- White label service. Whether you want to use your own branded packaging or take advantage of ShipBob’s free plain brown boxes, your name is the only one they have to see.
- World-class support. ShipBob offers their clients the best customer service and is there any time you need help.
When you choose a fulfillment warehouse, it is important to understand both the services and the costs associated with those services. Some fulfillment warehouses will charge for every single process, down to the packing slip they include in each order.
At ShipBob, pricing is transparent and easy to understand. You are only charged for three things: when the warehouse receives your products, each month they are stored, and when they get shipped. Everything else is included as a free service for you.
Try ShipBob for free today.