Third party logistics provider also known as 3PL providers. They provide outsourced logistic services. 3pl providers can store your inventories for you. Third party providers also provide services like picking, packing and shipping your goods. The 3PL provider works as an important link between the customer and the manufacturers. 3PL is the most commonly used logistic services companies opt for. There are other types of logistic services like 4PL and 5PL. These are also known as Four party logistics and Five party logistics. 

What is Third party logistics provider

Third party providers provide many services related to warehouse fulfilment. Their services include. Warehousing, Inventory management, shipment and receiving, Picking and packing , Kitting and customization. They also provide services like FTL and LTL freight shipping, Kitting and customization and Reverse logistics. Third party logistics providers outsourcing services you need. They also act like an eCommerce fulfilment company. There are many different 3PL service provider companies. And all of them are specialised in different types of warehousing and fulfilment services. Some companies provide frozen services for food shipment.  And some specialise in transporting hazardous materials from one place to its destined place. 


Third party logistics process

If you hire a third party logistics provider. Then they will provide both inbound,  outbond and services. Usually 3PL providers do not have their own warehouse spaces to store goods. What they do is to rent spaces in other warehouses and store your product there. And They generally don’t own trucks for transportation. But contract with other carriers for freight and shipping companies.   

E- commerce integrations

Fulfilment companies need strong IT. Because they need good softwares to provide the best logistics services. Good fulfilment companies mix themself well with multiple sales platforms. Your third party service provider all the sales channels you have and also provide customer satisfaction. You should be able to track the order through the dashboard.

LTL and FTL shipping

LTL means less than truckload where FTL means full than truckload. If you usually export a large amount of goods. Then FTL and LTL can be your money saving tools. The 3 PL  provider helps you in finding the best deals. And also the right service level for your freight shipping

Inventory management

Third party has valuable experience in managing inventories. You can never feel alone while doing inventory management if you hier 3PL providers. 

Picking, Packing and Shipping

Whenever the customer purchases any product from your company. It directly goes to the fulfilment warehouse. Then a picker working there takes the order. Choose a perfect box to pack it and put a shipping label on it.  When the product is ready. The shippers make sure that the product is going to the right shipment. 

Same day shipping

This means that the order is picked, packed and shipped on the same day when order is received. Third party logistics provider provides same day shipping services. 

Reverse logistics

It is a team of returners. The number of returns you have, depends on many factors. Like size of the product, type of product you sell, etc.. 3PL providers accept and process the return of items for you. They also examine whether the product can go back to the shelf or not.