{"id":751,"date":"2020-06-05T11:42:39","date_gmt":"2020-06-05T16:42:39","guid":{"rendered":"https:\/\/www.shipbob.com\/uk\/blog\/the-downside-of-on-demand-warehousing\/"},"modified":"2026-04-20T21:11:02","modified_gmt":"2026-04-20T21:11:02","slug":"the-downside-of-on-demand-warehousing","status":"publish","type":"blog","link":"https:\/\/www.shipbob.com\/uk\/blog\/the-downside-of-on-demand-warehousing\/","title":{"rendered":"On-Demand Warehousing: Is Excess and Shared Warehouse Space Innovative or a Risk?"},"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 on-demand warehousing?<\/a><\/p>\n\n\n\n<p><a href=\"#\">What\u2019s causing the rise of on-demand warehousing?<\/a><\/p>\n\n\n\n<p><a href=\"#\">Why on-demand warehousing falls short<\/a><\/p>\n\n\n\n<p><a href=\"#\">The importance of scalability<\/a><\/p>\n\n\n\n<p><a href=\"#\">Grow with a partner, not just a warehouse<\/a><\/p>\n\n\n\n<p><a href=\"#\">ShipBob is the tech-enabled 3PL that gives you more<\/a><\/p>\n\n\n\n<p><a href=\"#\">Conclusion<\/a><\/p>\n<\/div>\n\n\n\n<p class=\"has-text-align-center\">What do you want to learn?<\/p>\n\n\n\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"#learn\"><strong>Learn What On-Demand Warehousing Is<\/strong><\/a><\/div>\n\n\n\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"#how\"><strong>The Risks of On-Demand Warehousing<\/strong><\/a><\/div>\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 Fulfilment Pricing from ShipBob<\/strong><\/a><\/div>\n\n\n\n<p>Running an ecommerce business involves a lot of moving pieces. <a href=\"https:\/\/www.shipbob.com\/blog\/supply-chain-management\/\">Supply chain management<\/a> is rarely the driving force of getting into ecommerce, but it is a critical piece of the puzzle that affects everything from customer deliveries to inventory management.<\/p>\n\n\n\n<p>Ecommerce businesses have a few methods to choose from when it comes to <a href=\"https:\/\/www.shipbob.com\/blog\/ecommerce-warehousing\/\">ecommerce warehousing<\/a>, fulfilment, distribution, and shipping. These include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><a href=\"https:\/\/www.shipbob.com\/blog\/self-fulfillment\/\">Self-fulfilment<\/a>: When you keep inventory storage, packing boxes, and shipping orders in-house (either in your home or leasing your own warehouse space).<\/li>\n\n\n\n<li><a href=\"https:\/\/www.shipbob.com\/ecommerce-fulfillment\/dropshipping\/\">Dropshipping<\/a>: When the merchant never touches inventory but rather has the manufacturer control the entire <a href=\"https:\/\/www.shipbob.com\/blog\/retail-supply-chain\/\">retail supply chain<\/a>, sending orders from the factory directly to the customer.<\/li>\n\n\n\n<li><a href=\"https:\/\/www.shipbob.com\/3pl\/\">Third-party logistics<\/a> (3PL): When you outsource fulfilment to a company that specializes in storing your inventory and picking, packing, and shipping your orders from their warehouses.<\/li>\n\n\n\n<li>On-demand warehousing: When you partner with a technology company that <a href=\"https:\/\/www.shipbob.com\/blog\/contract-warehouse\/\">contracts warehouses<\/a> that have excess, <a href=\"https:\/\/www.shipbob.com\/blog\/shared-warehousing\/\">shared warehouse<\/a> space to store your inventory.<\/li>\n<\/ul>\n\n\n\n<p>Outsourcing fulfilment to a 3PL or an on-demand warehousing company allows you to keep your product closer to your end customer while freeing up time and space without needing to <a href=\"https:\/\/www.shipbob.com\/blog\/3pl-or-invest-warehouse-fulfillment\/\">invest in your own warehouse<\/a>.<\/p>\n\n\n\n<p>Below we\u2019ll jump into a few core differences and for whom each option is best suited.<a id=\"learn\"><br><\/a><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-what-is-on-demand-warehousing\">What is on-demand warehousing?<\/h2>\n\n\n\n<p>On-demand warehousing is a platform that connects businesses that need to store inventory and fulfil orders on a temporary basis with warehouses that have excess space.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>In other words, on-demand warehousing is outsourcing fulfilment to a company that doesn\u2019t perform fulfilment services itself but outsources it to others.<\/p>\n<\/blockquote>\n\n\n\n<p>Common examples of on-demand warehousing solutions include: Flexe, Stord, Ware2go, Flowspace, Shopify Fulfilment Network, and Deliverr.<\/p>\n\n\n\n<p>Some small 3PLs are contracted by on-demand warehousing solutions, but some on-demand warehousing companies simply use garages and other buildings that aren\u2019t designed for fulfilment.<\/p>\n\n\n\n<p>It begs the question, do you really want to put your inventory \u2014 an important part of your business \u2014 in the hands of strangers contracted through a middleman who doesn\u2019t actually own and operate any warehouses?<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-what-s-causing-the-rise-of-on-demand-warehousing\">What\u2019s causing the rise of on-demand warehousing?<\/h2>\n\n\n\n<p>We can partially thank Amazon for the rise of on-demand warehousing, which seeks to replicate FBA\u2019s reach without owning the warehouses themselves. Similar concepts also include marketplaces such as Uber and Airbnb, where they find and rent out available vehicles or homes with space for a particular time frame. We have seen the \u201cUberization\u201d of just about everything, which has been a big trend in the VC world.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-lack-of-warehouse-space\">Lack of warehouse space<\/h3>\n\n\n\n<p>While you don\u2019t typically think about real estate when you think of ecommerce, a lack of warehouse space and vacancies nationwide has caused more businesses to look into temporary solutions like on-demand warehousing.<\/p>\n\n\n\n<p>Warehouse space is also a very expensive capital investment. On-demand warehousing allows for <a href=\"https:\/\/www.shipbob.com\/warehouse-management\/warehouse-slotting\/\">warehouse slotting<\/a> or organising a warehouse to maximise space while monetizing underutilized space. Best of all, there is less waste.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-continued-ecommerce-success\">Continued ecommerce success<\/h3>\n\n\n\n<p>With more successful ecommerce shops comes the need for more warehousing space. Though <a href=\"https:\/\/www.shipbob.com\/blog\/demand-forecasting\/\">demand forecasting<\/a> isn\u2019t always predictable, ecommerce continues to increase its share of total retail sales. <a href=\"https:\/\/www.shipbob.com\/blog\/ecommerce-covid-19\/\">Ecommerce during COVID-19<\/a> demonstrates this firsthand with sales trends increasing across verticals.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-a-desire-for-greater-flexibility-in-warehousing\">A desire for greater flexibility in warehousing<\/h3>\n\n\n\n<p>With no long-term commitments, on-demand warehousing offers flexibility especially for products that are only sold seasonally, those that need a one-time pop-up warehouse or <a href=\"https:\/\/www.shipbob.com\/ecommerce-fulfillment\/\">ecommerce fulfilment<\/a> space, and other agile, short-term needs for empty space.<\/p>\n\n\n\n<p>If you have a bunch of excess inventory that would be too expensive to store with a regular 3PL, <a href=\"https:\/\/www.shipbob.com\/blog\/warehousing\/\">warehousing<\/a> or on-demand warehousing can be a solution until you work through units from overflow or bulk buying.<\/p>\n\n\n\n<p>Some on-demand warehousing solutions help large enterprises and renowned names in brick-and-mortar retail (e.g., Walmart, Staples, and other retailers that require millions of square feet). It\u2019s not the best option for small to mid-sized ecommerce brands that don\u2019t need access to a dozen or more locations at any given time.<\/p>\n\n\n\n<p>On-demand warehousing is especially beneficial for retailers who:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Have thousands or millions of <a href=\"https:\/\/www.shipbob.com\/blog\/how-to-find-sku-number\/\">SKUs<\/a><\/li>\n\n\n\n<li>Are so large that they need millions of square footage<\/li>\n\n\n\n<li>Require hundreds of pallets over a short period of time<\/li>\n\n\n\n<li>Primarily need <a href=\"https:\/\/www.shipbob.com\/blog\/b2b-fulfillment\/\">B2B fulfilment<\/a><\/li>\n\n\n\n<li>Sell very large products (e.g., mattresses and items with <a href=\"https:\/\/www.shipbob.com\/blog\/oversized-shipping\/\">oversized shipping<\/a> needs) that require much more warehouse space than a brand that sells cosmetics or supplements would.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-need-for-speed\">Need for speed<\/h3>\n\n\n\n<p>On-demand warehousing can help provide <a href=\"https:\/\/www.shipbob.com\/blog\/same-day-shipping-delivery\/\">same-day shipping<\/a> such as one-hour delivery and more easily cover the <a href=\"https:\/\/www.shipbob.com\/blog\/how-last-mile-delivery-works\/\">last mile of delivery<\/a>. Retailers can search on a provider\u2019s platform for shared warehouse space in a location within miles of a customer base.<a id=\"how\"><br><\/a>\nOn-demand warehousing can also be beneficial if you want to use a city centre in a very specific location that you can\u2019t find elsewhere or that you need immediately for a short period of time. This was seen during the COVID-19 pandemic, where brick-and-mortar retailers were forced to change how they use real estate, given what became considered an \u2018essential\u2019 business by local governments.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-why-on-demand-warehousing-falls-short\">Why on-demand warehousing falls short<\/h2>\n\n\n\n<p>While on-demand warehousing can be great for people who need a specific storage location immediately or Fortune 500 companies that have budgets to compete with Amazon, the average Shopify store likely won\u2019t require this type of model.<\/p>\n\n\n\n<p>Most ecommerce brands want a partner and not just a platform to input new space as needed. Unlike working with a 3PL, on-demand warehousing is more transactional in nature and isn\u2019t as common for a growing brand looking to find a long-term partner that will scale with them.<\/p>\n\n\n\n<p>Here are a few reasons why on-demand warehousing doesn\u2019t equate to long-term, continuous ecommerce success:<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-1-temporary-space-open-marketplace-short-term-solution\">1. Temporary space + open marketplace = short-term solution<\/h3>\n\n\n\n<p>Similar to Uber and Airbnb, on-demand warehousing doesn\u2019t guarantee a long-term spot to store your products or ensure that you\u2019ll be able to use the same space over time.<\/p>\n\n\n\n<p>By matching supply and demand, the likelihood of getting the same Uber driver twice is low, and that Airbnb you stayed in may have been a summer home for the tenants and unavailable the next time you try to book it. Same goes for on-demand warehousing. It is based on what\u2019s available for a specific point in time.<\/p>\n\n\n\n<p>If you\u2019re looking for a long-term solution, a 3PL will be a better option for you.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-2-inconsistent-warehouses-lack-of-expertise-more-fulfillment-errors\">2. Inconsistent warehouses + lack of expertise = more fulfilment errors<\/h3>\n\n\n\n<p>Not all warehouses are created equal or even have experience with <a href=\"https:\/\/www.shipbob.com\/fulfillment-logistics\/\">fulfilment logistics<\/a>. Some on-demand warehousing platforms don\u2019t work exclusively with fulfilment centres. They may have warehouses with varying levels of safety procedures, security, standardized processes, storage options, packaging materials, relationships with couriers, and more.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.shipbob.com\/warehouse-management\/\">Warehouse management<\/a> in one facility to the next can vary greatly when it\u2019s not managed directly by the same fulfilment expert. Providing a consistent experience to all customers becomes difficult. Not only are the warehouses not always up to par, but many on-demand warehousing platforms have no operations expertise or experience managing a <a href=\"https:\/\/www.shipbob.com\/blog\/differences-warehouse-fulfillment-center\/\">fulfilment centre<\/a> themselves.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.shipbob.com\/blog\/order-fulfillment\/\">Order fulfilment<\/a> will inevitably have errors \u2014 even the top fulfilment companies do. If a warehouse isn\u2019t a fulfilment expert themselves, you\u2019ll experience significantly more errors that can damage your reputation with customers.<\/p>\n\n\n\n<p>When evaluating on-demand warehousing, consider:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>How do they manage low performers across their network?<\/li>\n\n\n\n<li>Can you tour their fulfilment centres? How different is one fulfilment centre from the next?<\/li>\n\n\n\n<li>Do they use the same racking, technology, packaging materials, tools, and more so you are charged fairly and receive the same service warehouse to warehouse?<\/li>\n\n\n\n<li>How do they handle damages, support, and other issues that need boots-on-the-ground escalation?<\/li>\n\n\n\n<li>How will they conduct an <a href=\"https:\/\/www.shipbob.com\/blog\/inventory-audit\/\">inventory audit<\/a>?<\/li>\n<\/ul>\n\n\n\n<p>Don\u2019t assume just anyone could solve your logistics problem. You need professionals. Instead of on-demand warehousing, a 3PL with <a href=\"https:\/\/www.shipbob.com\/blog\/split-inventory-across-multiple-fulfillment-centers\/\">multiple fulfilment centres<\/a> can cultivate a deeper understanding of your business, products, and fulfilment needs.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-3-no-operational-oversight-lack-of-quality-control-poor-customer-support\">3. No operational oversight + lack of quality control = poor customer support<\/h3>\n\n\n\n<p>By not operating fulfilment centres and only providing a layer of technology, on-demand warehousing leads to a lack of visibility and a lot of uncertainty around what\u2019s actually going on inside warehouses. It\u2019s very difficult to keep close ties with dozens or even thousands of warehouses without the ability to conduct a <a href=\"https:\/\/www.shipbob.com\/blog\/warehouse-audit\/\">warehouse audit<\/a> or test out new processes in your own warehouse first before rolling them out to the masses.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cOverall, there is more transparency with ShipBob that even helps our team manage customer service better. I can see the granular stage the order is in \u2014 if it\u2019s being picked, packed, in transit, etc. That enhanced visibility is great. No other 3PLs offer that in my experience. Tracking our costs and how much we\u2019re spending on storage is a lot easier to understand.\u201d<\/em><\/p>\n\n\n\n<p>Wes Brown, Head of Operations at <a href=\"https:\/\/www.shipbob.com\/blog\/black-claw\/\">Black Claw LLC<\/a><\/p>\n<\/blockquote>\n\n\n\n<p>There are too many parties to keep track of with literal moving pieces. Coordinating basic information with a large number of warehouses is chaotic at best \u2014 even without a major issue popping up.<\/p>\n\n\n\n<p>Consider the following scenario around <a href=\"https:\/\/www.shipbob.com\/inventory-management\/inventory-control\/\">inventory control<\/a>:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>What happens if one warehouse loses some of your inventory?<\/li>\n\n\n\n<li>How will it get resolved?<\/li>\n\n\n\n<li>Do you call the on-demand warehousing support team, then they have to call the warehouse, and you get stuck in the middle of playing a game of phone tag?<\/li>\n\n\n\n<li>What if the warehouse you happen to be in isn\u2019t a priority for the on-demand warehousing company you contracted through that has a thousand other warehouses to keep tabs on?<\/li>\n<\/ul>\n\n\n\n<p>Without any direct employees of their own managing operations on the ground floors, on-demand warehousing companies struggle to get answers and resolutions in a timely manner.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-the-importance-of-scalability\">The importance of scalability<\/h2>\n\n\n\n<p>If you aim to run an ecommerce brand that is long-lasting, choosing a fulfilment solution that scales with your company at each stage of growth through <a href=\"https:\/\/www.shipbob.com\/blog\/ecommerce-dtc-brand-growth-seasonal-sales-order-volume\/\">seasonal ebbs and flows or rapid growth<\/a> is key. This means a partner that can support you when you are doing 10 orders per day to 1,000 orders per day, and not just with more space but more tools, resources, and expertise.<\/p>\n\n\n\n<p>A tech-forward <a href=\"https:\/\/www.shipbob.com\/3pl\/fulfillment-process\/\">3PL that focuses on the entire fulfilment process<\/a> puts you in control of what happens with your products and orders in their fulfilment centre(s). You won\u2019t lose space but can continue to expand into additional space and locations. Efficient 3PLs work on continuously optimising their warehouses, whether it\u2019s through <a href=\"https:\/\/www.shipbob.com\/blog\/batch-picking\/\">batch picking<\/a> or other <a href=\"https:\/\/www.shipbob.com\/blog\/supply-chain-optimization\/\">supply chain optimizations<\/a>.<\/p>\n\n\n\n<p>Hear from a few fast-growing ecommerce brands who partnered with ShipBob to scale fast.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-blackclaw\">Blackclaw<\/h3>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWe talked to a 3PL that looked promising but quickly realized their model is just renting space inside of other fulfilment centres with different warehouse management systems used at each. This provided no visibility into operations or ability to maintain their SLAs. Then, we found ShipBob.\u201d<\/em><\/p>\n\n\n\n<p>Wes Brown, Head of Operations at <a href=\"https:\/\/www.shipbob.com\/blog\/black-claw\/\">Black Claw LLC<\/a><\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-prymal\">Prymal<\/h3>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cA lot of entrepreneurs and companies underestimate the cost-savings and power of choosing your entire supply chain and partner network wisely. These choices will make or break your business. After switching to ShipBob, we grew 300% and started saving $8,000 per month in fulfilment costs. I\u2019m proud to be a ShipBob partner.\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<h2 class=\"wp-block-heading\" id=\"h-grow-with-a-partner-not-just-a-warehouse\">Grow with a partner, not just a warehouse<\/h2>\n\n\n\n<p>A fulfilment partner should be much more than \u2018the Airbnb for warehouse storage.\u2019 True partners work with you to find solutions before problems arise and implement them for added <a href=\"https:\/\/www.shipbob.com\/blog\/supply-chain-efficiency\/\">supply chain efficiency<\/a>. On-demand warehousing has limitations that prohibit much of that, and you don\u2019t always know who you\u2019re actually working with.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-shipbob-is-the-tech-enabled-3pl-that-gives-you-more\">ShipBob is the tech-enabled 3PL that gives you more<\/h2>\n\n\n\n<p>ShipBob isn\u2019t your typical 3PL. Rather than having dozens of clients, we have thousands.<\/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<p>In 2014, our co-founders decided to build a long-term fulfilment machine. Compared to on-demand warehousing, our approach takes a lot longer to build up, is more time-intensive, and requires more capital \u2014 but that\u2019s how we believe we\u2019ll build a world-class operation for years to come. Here\u2019s why:<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-shipbob-owns-the-entire-tech-stack\">ShipBob owns the entire tech stack<\/h3>\n\n\n\n<p>We don\u2019t use anyone else\u2019s software. We built our own <a href=\"https:\/\/www.shipbob.com\/warehouse-management\/warehouse-management-system-wms\/\">warehouse management system<\/a> (WMS), which acts as a control centre to compile all fulfilment metrics across all elements of our fulfilment centres. Our WMS tracks everything \u2014 from how many orders per hour a picker can pick to how long it takes to receive, count, and stow new inventory that arrives \u2014 to identify opportunities for improvement and learn from each of our fulfilment centres.<\/p>\n\n\n\n<p>We also created a proprietary merchant dashboard that connects to our WMS and gives each merchant deep insights into fulfilment performance, how we\u2019re hitting our SLAs, visibility into order status and inventory counts, and much more. The algorithm selects the fulfilment centre with available inventory that\u2019s closest to the end customers. Rather than requesting someone to create a report for you, you can automatically pull them on-demand, eliminating back and forth while increasing transparency.<\/p>\n\n\n\n<p>Owning this deep of a tech stack increases the velocity and scale at which we can make any type of change to our technology based on real-time customer feedback.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-shipbob-s-roots-are-in-owning-and-operating-warehouses-as-well-as-technology\">ShipBob\u2019s roots are in owning and operating warehouses as well as technology<\/h3>\n\n\n\n<p>ShipBob\u2019s first five years were spent running our own fulfilment centres. We opened nine fulfilment centres and learned how to perfect operations in a scalable way. We then began partnerships with a few leading fulfilment centres to bring our efficiencies and technology to them and expand our reach. We give all fulfilment centres in our network the blueprint for how operations are to be run so that we can drive the same customer experience across every site and scale out operations.<\/p>\n\n\n\n<p>We have ten fulfilment centres in our network today, all of which are powered by the same technology and follow the same SLAs and fulfilment best practices. We control what goes on inside our warehouses to ensure every merchant is given the same <a href=\"https:\/\/www.shipbob.com\/blog\/retail-fulfillment\/\">retail fulfilment<\/a> experience no matter what ShipBob fulfilment centre location(s) they store their inventory in.<\/p>\n\n\n\n<p>We continuously roll out new changes to our fulfilment centres to improve efficiencies and collectively be better. By focusing on controlling our costs, we\u2019re able to pass those savings back on to our merchants.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-shipbob-s-software-drives-upstream-and-downstream-improvements\">ShipBob\u2019s software drives upstream and downstream improvements<\/h3>\n\n\n\n<p>Between our software and our people, it\u2019s very easy to make process changes, train on new technologies, and manage expectations and performance. Without this, it\u2019s difficult to ensure packages are fulfilled according to the customer\u2019s preferences and using the same standards, packaging, and timelines.<\/p>\n\n\n\n<p>Merchants don\u2019t need to work with five different tools, you can use ShipBob\u2019s all-in-one order and <a href=\"https:\/\/www.shipbob.com\/inventory-management\/software\/\">inventory management software<\/a>, analytics tool, fulfilment services, <a href=\"https:\/\/www.shipbob.com\/warehouse-operations\/inventory-storage\/\">inventory storage<\/a>, and more.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWith my prior fulfilment provider, I felt sidelined because all I could think about was troubleshooting errors and reconciling with the high costs. ShipBob really wants to help solve my unique problems and continues to shares a lot of the ways that they can help.\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<h3 class=\"wp-block-heading\" id=\"h-large-growing-fulfillment-network\">Large, growing fulfilment network<\/h3>\n\n\n\n<p>ShipBob operates a robust, growing fulfilment network with locations in different countries. Since every fulfilment centre location is powered by the same technology, you can track inventory and fulfilment performance across multiple locations. Using the data we provide, you can choose optimal locations to <a href=\"https:\/\/www.shipbob.com\/blog\/split-inventory-across-multiple-fulfillment-centers\/\">split inventory<\/a> across any combination of our fulfilment centres and continue to grow with us.<\/p>\n\n\n\n<p>And you\u2019ll never have to worry about losing space with us as we continue to expand into additional locations and capabilities.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-best-in-class-support\">Best-in-class support<\/h3>\n\n\n\n<p>From <a href=\"https:\/\/www.shipbob.com\/blog\/custom-packaging\/\">custom packaging<\/a> to other more customised fulfilment services, ShipBob offers support every step of the way. Our merchant care team is available when you need them to answer any questions or concerns you may have at any time. Enterprise merchants are given access to a dedicated merchant success manager at no extra cost.<\/p>\n\n\n\n<p>We listen closely to our customers\u2019 needs and continue to implement changes and improvements to our processes. That way, we evolve alongside the growth of our customers.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cHaving a helpful, dedicated account manager at ShipBob who responds quickly and has a good understanding of our products and company is really important to us. It\u2019s given us extra support we wouldn\u2019t have with a different fulfilment provider.\u201d<\/em><\/p>\n\n\n\n<p>Oded Harth, CEO &amp; Co-Founder of <a href=\"https:\/\/www.shipbob.com\/blog\/mdacne\/\">MDacne.<\/a><\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-transparent-fulfillment-data\">Transparent fulfilment data<\/h3>\n\n\n\n<p>ShipBob works with you to help save cost and drive efficiencies. We provide all our merchants with data to make smarter decisions on which fulfilment centre locations to store inventory in and how much inventory to store in each. That way, orders get to the end customer quickly no matter where they\u2019re located.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cOff the bat, I liked that I would be able to control multiple warehouses through one page with ShipBob. With my old 3PL, I could never just open a page and get the info I wanted. I had to click several times, then export it, and try to make sense of it. ShipBob lets you manage your inventory while providing important data in a very digestible way.\u201d<\/em><\/p>\n\n\n\n<p>Wes Brown, Head of Operations at <a href=\"https:\/\/www.shipbob.com\/blog\/black-claw\/\">Black Claw LLC<\/a><\/p>\n<\/blockquote>\n\n\n\n<p>With our free <a href=\"https:\/\/www.shipbob.com\/blog\/new-free-analytics-reporting-tool\/\">analytics and reporting tool<\/a>, you get answers to questions like:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>How much money would I save on shipping if I changed the fulfilment centre locations my inventory is in?<\/li>\n\n\n\n<li>How should I distribute my inventory across ShipBob\u2019s fulfilment network?<\/li>\n\n\n\n<li>What would my shipping costs be if I went from one fulfilment centre to two (or two to three, and so on)?<\/li>\n\n\n\n<li>How many days of inventory do I have left before I run out?<\/li>\n\n\n\n<li>Where are my customers shipping to most often?<\/li>\n<\/ul>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWe strive to be very data-driven, and ShipBob gives us access to different views of our business. Their analytics tool has been great to have. We can see inventory reconciliations and easily view SKU velocity, transit times, and inventory distribution recommendations.\u201d<\/em><\/p>\n\n\n\n<p>Pablo Gabatto, Business Operations Manager at <a href=\"https:\/\/www.shipbob.com\/blog\/ample-foods\/\">Ample Foods.<\/a><\/p>\n<\/blockquote>\n\n\n\n<p><img loading=\"lazy\" decoding=\"async\" width=\"700\" height=\"348\" class=\"aligncenter size-large wp-image-15368\" src=\"https:\/\/www.shipbob.com\/wp-content\/uploads\/2020\/01\/ShipBob-Inventory-Distribution-Tool-700x348.png?w=1280px\" alt=\"ShipBob Inventory Distribution Tool\" data-responsive-img srcset=\"https:\/\/www.shipbob.com\/wp-content\/uploads\/2020\/01\/ShipBob-Inventory-Distribution-Tool-700x348.png?w=700px 650w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2020\/01\/ShipBob-Inventory-Distribution-Tool-700x348.png?w=860px 768w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2020\/01\/ShipBob-Inventory-Distribution-Tool-700x348.png?w=1180px 1080w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2020\/01\/ShipBob-Inventory-Distribution-Tool-700x348.png?w=1400px 1280w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2020\/01\/ShipBob-Inventory-Distribution-Tool-700x348.png?w=1600px 1440w\" fetchpriority=\"low\" \/><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-conclusion\">Conclusion<\/h2>\n\n\n\n<p>While you might have gotten comfortable with getting into a stranger\u2019s car with Uber, or staying in a stranger\u2019s house with Airbnb, are you comfortable with having just any shared warehouse space storing your <a href=\"https:\/\/www.shipbob.com\/ecommerce-inventory\/#:~:text=ShipBob%20combines%20fulfillment%20services%20and,affordable%20shipping%20for%20their%20customers.\">ecommerce inventory<\/a>?<\/p>\n\n\n\n<p><a href=\"https:\/\/www.shipbob.com\/ecommerce-fulfillment\/outsourced-fulfillment\/\">Outsourcing fulfilment<\/a> is a difficult enough task. It\u2019s hard to give up control. With ShipBob, we take in pride in providing a transparent 3PL experience with full visibility into the fulfilment process from real-time inventory tracking to free <a href=\"https:\/\/www.shipbob.com\/blog\/distribution-metrics\/\">distribution metrics<\/a>&nbsp;reporting.<\/p>\n\n\n\n<p>If you\u2019re looking to build a long-term relationship with a fulfilment partner that will help you grow your business, consider ShipBob. To request a quote, click the button below.<\/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","protected":false},"excerpt":{"rendered":"<p>We cover the differences in outsourcing fulfilment to a 3PL and an on-demand warehousing solution, and when you should use each.<\/p>\n","protected":false},"author":110,"featured_media":752,"parent":0,"template":"","meta":{"content-type":"","inline_featured_image":false,"footnotes":""},"blogcategories":[2,7,8,11,13,15],"class_list":["post-751","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) - 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