How to Rent Warehousing Space for Your Business
Looking to rent warehousing space? Get the most out your warehouse solution with ShipBob. Unlike on-demand warehousing, a 3PL like ShipBob offers a growing fulfilment centre network powered by best-in-class technology.
Store inventory in one or more ShipBob’s fulfilment centre locations to optimise costs, improve your logistics operations, and have orders picked, packed, and shipped on your behalf.
We are growing really fast and won’t slow down anytime soon. With ShipBob, we have the option to use more of their 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’d inevitably outgrow the space.
Oded Harth,
CEO & Co-Founder of MDacne
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4 important things to consider before renting warehousing space
There are many considerations that influence warehousing operations and management. Here is what to look for:
1. Storage costs
Warehousing fees can range from per-SKU or per-unit storage to a fixed fee for each bin, shelf, or pallet used. ShipBob charges for warehousing on a per-shelf, bin, and pallet basis, so you only pay for the space you use on a monthly basis.
2. Location of the warehouse
The optimal location for a warehouse will depend on your needs. If your goal is to store a lot of product in bulk over a long period of time, you can pay less by finding a rural location or a facility near a transportation hub. If your goal is to get orders delivered to customers as quickly as possible, you’ll want a fulfilment warehouse near your customers’ shipping destinations.
ShipBob offers a growing international fulfilment centre locations across the United States, and in Canada, Australia, the EU, and the UK.
3. Number of warehouses you store inventory in
As your businesses grows, logistics will become more complex and require expansions. Making sure you have enough space for not only current needs but also future growth will help prevent you from outgrowing the warehouse immediately.
Having warehouses in multiple regions near your customers can help you offer affordable 2-day shipping and reduce abandoned carts. ShipBob’s robust fulfilment network lets you split inventory across multiple locations to expand your geographic footprint. You also have the ability to track inventory and orders in real time all from one dashboard.
4. Warehouse management technology
Technology is a critical piece of warehouse management and operations. By connecting your store and other sales channels with ShipBob’s technology, orders are automatically sent to the closest fulfilment centre location. Each step of the process is recorded and tracking information is sent back to the customer.
ShipBob’s proprietary warehouse management system powers each of our fulfilment locations to provide consistency throughout our network.
How ShipBob’s warehouses fit your needs
With ShipBob, you get access to inventory storage, built-in inventory management tool, warehouse picking, packing, shipping, advanced data and analytics, and much more. We also offer additional services for B2B orders, kitting and assembly, and more to meet your needs.
Distributed inventory
With ShipBob’s network of fulfilment centres, you can strategically split your inventory across our locations to get your products from point A to point B more quickly and affordably. Storing inventory near your customers helps reduce the shipping zones and costs associated with shipping orders to faraway destinations.
Distributed inventory also helps you stay competitive by offering fast shipping to your customers. When an order is placed, ShipBob’s algorithm automatically selects the warehouse and carrier that will give you the quickest turnaround at the best price. This strategy has helped our merchants bring 13% savings to their bottom line.
Go Global Easily
ShipBob´s Shipping Program enables fast and cost effective delivery for all UK, European and Global destinations. Working with any of our ecommerce store integrations, you can reach your customers with the best local and international carrier options.
Whether you ship from one or multiple fulfilment centre locations, you can offer fast delivery options to all your customers. Our proprietary algorithm does all the hard work to give you the most cost effective and in-demand delivery options.
Order management
At ShipBob, we track your orders from A to Z. Filter orders by status, search for specific orders, see a quick timeline view of where your order is in the fulfilment process (e.g. when an order is picked, packed, or shipped), easily find shipping-related information (e.g., weights, dimensions, or carrier service), and get a quick snapshot of any orders that require action.
With order management software for your direct-to-consumer and wholesale shipments, you can manage subscriptions, make changes to your orders post-purchase, map your store’s shipping options to ShipBob, and automatically share tracking information with your customers.
Reporting and analytics
To provide you with visibility into our operations and performance, and also hold ourselves accountable, ShipBob’s free analytics tool is packed with charts to help you with everything from year-end reporting, to better supply chain decision-making.
Data can be a competitive advantage, and our reports show an analysis of which fulfilment centres you should stock, days of inventory left before you run out, impact of promotions on stock levels, each shipping method’s average cart value, shipping cost, and days in transit, your fulfilment cost per order, storage cost per unit, and much more.
End-to-end customer experience
We care about the customer experience as much as you and strive to be an extension of your team. From custom branded boxes to free plain packaging, ShipBob works with you to provide the unboxing experience you want. We also help you offer the fastest, most cost-effective shipping options to meet your customers’ expectations.
As soon as an order ships, tracking is pushed back to your store. We also offer return management services, allowing customers to generate return shipping labels and track returns, while getting your products processed and back into your available inventory as efficiently as possible.
How ShipBob improves your fulfilment and logistics
Save on fulfilment costs
Coffee creamer brand Prymal joined ShipBob in 2019 and was quickly able to save $8,000 per month on fulfilment costs, while at the same time achieving 4x growth.
Improve your conversion rate
Not only was BAKblade able to scale internationally by partnering with ShipBob, but they found adding 2-Day Shipping increased their conversions as well.
Store, ship, and grow internationally
Sunglasses brand Ombraz distributed their inventory across 3 fulfilment centres in two different countries. This has allowed them to ship to 55 countries on seven continents.
