You can outsource order fulfillment and other supply chain services to third-party logistics, or 3PL companies, to avoid having to handle order picking, packing, and shipping yourself.
E-commerce companies can concentrate on expanding their business by using a 3PL’s warehouse(s) to store merchandise, saving them money on labor, technology, supplies, land, equipment, and other necessities for self-fulfilling orders.
On behalf of sellers, 3PL companies manage a range of fulfillment services, including B2B and DTC order fulfillment, making use of automation, technology, and knowledgeable pickers and packers at their fulfillment centers.
In order to further optimize the supply chain, some 3PL companies offer value-added services. They also have merchant-facing technology that can interact with several sales channels and specialize in particular product types, such as clothes or perishable items.
Utilizing a 3PL companies allows you to arrange your inventory in their warehouses in a way that maximizes efficiency. You merely have to pay a charge to utilize their services; they handle the expenses of warehouse administration.
You should take the scope, size, and locations of 3PL companies fulfillment centers into account when conducting research on them. You can guarantee global coverage and offer faster, more affordable shipping choices by establishing a global warehouse network.
3pl Companies of US:
ShipBob:
Direct-to-consumer (DTC) fulfillment business ShipBob works with online retailers of all shapes and sizes. ShipBob assists retailers with order packing, inventory management, demand forecasting, transit time reduction, and meeting consumer expectations.
With sites in the US, Canada, EU, UK, and Australia, ShipBob boasts a worldwide fulfillment network. As a result, e-commerce companies can use a single platform to manage all of their customers, orders, and inventory while keeping up with real-time data.
In addition to avoiding purchases being delayed at customs, sending orders domestically from many countries can assist significantly cut down on transit times, shipping costs, tariffs, and taxes. Additionally, this avoids unexpected charges for clients receiving goods from overseas.
Our company owns and runs a nationwide network of fulfillment locations. Our in-house developed software is very user-friendly and straightforward, and it interfaces with popular e-commerce stores.
Warehouses:
With ShipBob’s coast-to-coast warehouses spread across the US and beyond, your products will reach customers more quickly than before. ShipBob’s worldwide network of fulfillment centers, which sees additional sites launch each year, enables you to strategically distribute your merchandise and lower your overall shipping costs. As you grow into other markets or as your order volume rises, you might begin in one warehouse and branch out into others.
RedStag:
A US-based company offering order fulfillment services for online retailers is called Red Stag Fulfillment. Sending bulky goods that need particular handling is their area of expertise. In the center of the country, Red Stag has two warehouse locations. Red Stag provides cloud-based software, just like the majority of top 3PL providers, so you can view your reports and data at any time, from any device.
FedEx:
On this list, FedEx is the biggest firm. Being a prominent shipping company in the US, they manage and maintain a network of warehouses to facilitate the prompt delivery of orders to clients. Large corporations are their primary clientele due to the size of their network. Small and medium-sized businesses are unlikely to use FedEx.illion.
FedEx boasts the most diverse warehouse network in the United States. FedEx makes effective use of both its warehouses and carrier sorting facilities thanks to its wide network of warehouses located across the nation.
Rakuten:
With one to two-day ground shipment delivery to nearly every place in the US, Rakuten Super Logistics provides a cloud-based inventory management system. Five warehouses are located coast to coast in the United States, owned by Rakuten.
Like most 3PLs on our list, Rakuten’s software is reasonably easy to use. Since it is cloud-based, any device can access your data.
Fulfyld:
A more recent 3PL, Fulfyld focuses on e-commerce fulfillment to assist you in efficiently filling orders. Warehouses Fulfyld has only one site in the United States, which is Alabama. The program is reasonably user-friendly and interfaces with your e-commerce platform, just like the majority of third-party logistics providers.
Due to its recent inception, Fulfyld has a small network of partners. They still require time to work with potential partners despite their concentration on small firms. A variety of carriers, including FedEx, UPS, USPS, and a few more, are eligible for discounts.
Most popular e-commerce platforms, such as eBay, BigCommerce, Shopify, and Magento, are integrated with Fulfyld. Since it is cloud-based, any device can access your data.
Fulfillment by Amazon:
In order to assist marketplace sellers in shipping goods as they are sold, Amazon also provides a fulfillment service. Amazon boasts the largest warehouse network in the US, with over 70 fulfillment centers, and it continues to expand annually. It is not too difficult to use Amazon’s fulfillment software.
Working with Amazon offers access to a wide range of partners. They just severed their connection to FedEx’s shipping network and are establishing a contract driver-based shipping service of their own. With this service, there can be some growing pains because the drivers might not be held to the same standards as those of the other carriers. Discounts There are discounts available for a variety of carriers, such as UPS, DHL, FedEx, and USPS.
Hub Group:
The Hub Group is an Oak Brook, Illinois-based transportation management company that offers truck brokerage, intermodal, and logistics services. The business was established in 1971, and its ticker, HUBG, is listed on the NASDAQ exchange.
Philip Yeager is the CEO of Hub Group at the moment. Hub Group’s sales was $4.7 billion, and its net income was $166.6 million as of December 31, 2021.
Kenco logistics:
Supply chain management and logistics services are provided by Chattanooga, Tennessee-based Kenco Logistics, a privately held 3PL business. The founding family still owns the business, which was established in 1950.
Denis Reilly is Kenco Logistics’ current CEO. Kenco Logistics is a privately held company, hence it does not release its financial data to the general public. However, it has a solid reputation for offering different industries cutting-edge, tailored logistics solutions.
Penske logistics:
Based in Reading, Pennsylvania, Penske Logistics is a global provider of third-party logistics services. In 1969, the company was established and currently provides supply chain management and logistics services in North America, South America, Europe, and Asia.
The business is a division of privately held Penske Corporation, a provider of diverse transportation services. Jeff Jackson serves as Penske Logistics’ CEO. Penske Corporation does not trade on any exchange, nor is its financial data available to the public.
Echo global logistics:
Chicago, Illinois-based Echo Global Logistics is a 3PL with a focus on technology. Founded in 2005, the company provides a range of services such as supply chain analytics, truckload, less-than-truckload, intermodal, and transportation management.
Listed as ECHO on the NASDAQ exchange, Echo Global Logistics is a publicly traded firm. Doug Waggoner serves as the company’s CEO. With $2.69 billion in revenue and $22.5 million in net income as of December 31, 2021, Echo Global Logistics was doing well financially.
Services provided by 3pl companies:
- Introducing their technology to online retailers
- Acquiring and keeping stock
- Selecting and packaging B2B and DTC orders
- Settling on prices with carriers and arranging pickups to enable regular and quick shipping
- Assembling and preparing the goods
- Handling returns processing
- Cross-docking and inventory transfers
- Distributed inventory (enabling companies to divide their stock around the nation or the world)
- Organizing the warehouse, recruiting fulfillment partners, and providing employee training
Benefits of using 3pl companies:
Arranging your goods in their warehouses according to a plan is one of the main advantages of working with a 3PL. You merely pay a fee to use their services; they handle the costs of warehouse management.
You should look into the locations, size, and scope of 3PLs’ fulfillment centers when conducting your research. Your e-commerce inventory should be kept in the nearest location to your clients’ homes in order to provide them with superior global service.
You can guarantee global coverage with a global warehouse network, offering expedited and more affordable shipping choices. But they must be professionals in fulfillment. A 3PL companies should genuinely have experience running fulfillment centers, unlike on-demand warehousing services.
In addition to having several warehouses, a 3PL companies should assist you in determining which sites are best for your clientele. When a Californian consumer placed an order, it should be filled at the warehouse nearest to or in California, not on the East Coast. This lowers transportation costs and expedites the delivery of items to customers.
FAQS:
What are 3pl companies?
3PL companies offer warehousing, fulfillment, and inventory management among other services. With the infrastructure and technologies to automate fulfillment, 3PL companies enable online retailers to achieve more.
What are benefits of using 3pl companies?
Using a 3PL has various advantages. A 3PL firm partner can help you grow your business by offering a robust fulfillment infrastructure, technology, and expertise. IN the long run, 3PLs save you time, energy, and money by handling all of your logistical needs, from shipping to inventory management.
Working with a 3PL companies are worthwhile since you can take advantage of data and analytics, shipping discounts, and reasonably priced warehousing.
How much do 3pl companies charge?
Everything depends! However, an upfront and transparent price policy should be offered by a 3PL. Be mindful of additional costs while choosing a 3PL. ShipBob is a 3PL companies that provides clear pricing so you can anticipate just how much fulfillment—which includes receiving, storing, pick and pack, standard packing, and shipping—will cost you. See this page for ShipBob’s pricing structure.
How many 3pl companies are there in US?
Despite the fact that there are hundreds of 3PL companies in the US, not all of them are created equal.A few 3PLs for e-commerce concentrate exclusively on order fulfillment, such as ShipBob, a well-known 3PL with fulfillment centers spread around the US and beyond.
Conclusion:
When it comes to storage, shipping, and order processing, third-party logistics 3pl companies help businesses in a number of ways. They increase efficiency in the logistics process, optimize productivity, and reduce costs.
They customize solutions for each customer using their expertise and resources, allowing those businesses to focus on what they do best. These are the top US 3pl companies. I hope it will beneficial for you. In case of any difficulty contact us through our link on website. Thanks.