How to know when to switch 3PLs

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How to Know When to Switch 3PLs

 

If your current 3PL provider is ruining your goal of providing excellent customer service experience, it’s up to you to switch to a provider that will help position you for a better experience and ultimately more loyal customers and a boost to your bottom line.

In a world where customer expectations are evolving every day, you should be able to offer your customers fast and affordable hassle-free shipping.  Anything short of this is unacceptable. But then, how do you know when the time’s right to switch 3PLS?

 

You’re experiencing order delays and inconsistencies

If your current 3PL is consistently messing up your orders, your reputation is at stake.

But it’s not like the best 3PLs are not error-proof. However, when order delays and a few other inconsistencies become all too rampant, you should know that something’s not right.

When it comes to inventory management as well as shipping and delivery, you need a high level of timeliness and consistency to deliver the best experience. Switching to a more efficient provider to achieve this makes much more sense.

 

They are not keeping pace with tech and trends

Tech enables logistics so modern 3PLs are expected to keep pace with the latest trends and incorporate technology to drive value. If your current 3PL is not improving, you’ll find it hard to succeed in today’s competitive and dynamic marketplace.

Many 3PLs are still stuck to old and outdated technologies and processes. Your 3PL should have technology that should help your ecommerce business scale. If they seem to lack the needed resources and technology to help you stay competitive, it may be time to switch.

 

You’ve outgrown your current 3PL capabilities

Business seems to have been booming and right now it seems your current 3PL cannot support your shipping volume and logistic needs. It’s important to use a 3PL that can fully support your inventory and other services needs.

If after scaling it seems you’ve outgrown your current 3PL or you have plans to expand and will likely outgrow your current 3PL, you can either add another 3PL to your current lineup or you can make the switch to a larger global fulfillment company.

 

You need better support

Along with the latest technology, a 3PL needs to have a responsive and efficient support team. When clients need support services of any kind, the support team should be easily accessible for inquiries and problem resolutions.

But if you’re not getting the kind of support you need, it’s a sign your third party logistics provider is lagging behind. Making a switch to a better provider, in this case, will always be a good decision.

 

You aren’t getting good value for your money

While going for the cheapest 3PL available does not guarantee value, it’s equally important to ensure you get value for whatever you’re being charged.

The thing is that many 3PLs have a notoriety for charging high costs without too much to show for this. The clients often have to bear the brunt of their inefficiencies. This often results in charging the clients several hidden costs and unexpected fees.

 

If you’re not getting enough value from your 3PL, they’re definitely not the right fit for you. A good 3PL will be a great investment for your business. They’ll help you drive business sales, revenue, and growth.

 

Customer experience is poor

If your customers are unhappy with their delivery experience, chances are your 3PL is doing things wrong.

The good thing about this is that you’ll know when this is the case. This can come in the form of a sales decline, increased support tickets, poor customer reviews, critical social media posts, etc.

The bad thing is that this will cost you greatly. If your customers are always complaining about their delivery experience, you need no prophet to tell you it’s time to switch 3PLs.

 

Bottom Line

Your 3PL should fit perfectly well with your business operations and growth. Anything short of this can be quite costly and can ruin the experience for your customers. While the cheapest 3PLs are not always the best, quality order fulfillment should not cost your business a fortune.

ZhenHub can help.

We’ve helped lots of businesses turn around their fortune and experiences we’ll help make the transition process as smooth as possible for your business and its customers.

If you want to switch to a better provider, we’ll be more than happy to have you. You can contact us today to get started.