TL;DR
- Choose a 3PL based on your actual supply chain bottleneck, since the right fit depends on the specific logistics problem you need to solve.
- Customer service matters because every fulfillment step shapes your end customer’s experience and can affect repeat purchases.
- Strong technology is essential for inventory visibility, ecommerce fulfillment, shipment tracking, and reporting as your business grows.
- A scalable 3PL with multiple warehouse locations can help lower shipping costs, improve delivery speed, and support long-term growth.
1. Service Offering Matches Your Need
The term “logistics” is thrown around a lot. Many companies simply search for logistics partners without knowing what their specific need is. A good 3PL (third party logistics) company offers a full service offering from point of origin to point of consumption. As you know, there are many destination points along a supply chain – knowing where you have the biggest problem can help you identify several 3PL companies that fit your need while providing them specifics as to what your business objective is.
2. Customer Service
A logistics company is a service company. From warehousing & storage, to inventory management and tracking, to pick and packing, to kitting and assembly, and actual delivery – each of these steps is a service. More important, they are services that will directly impact YOUR end customer and their experience with your product. Selecting a 3PL partner that has reliable and responsive customer service will directly impact not only your bottom line, but they way your customer feels about you (and how likely they are to repurchase).
3. Technology
Ensure that the logistics companies you are selecting from are advanced enough to track inventory and fulfill online / ecommerce orders. eCommerce order fulfillment is a must for most companies and the ability to track inventory and shipments is critical to manage your supply chain and inventory levels. Ask the right questions on inventory tracking – like “what warehouse management system do you use?” OR “can you provide reporting on my inventory levels?”. Ensuring that your 3PL partner is on the right side of the 21st century will pay dividends in the future as you grow.
4. Locations
Pending your location – it is best practice to have a 3PL partner that has a location on the West Coast or Mid-West, as well as on the East Coast. This provides you with multiple points of distribution and you can benefit from cheaper shipping rates, less transportation time, and the ability to zone skip. Ensure that your 3PL partner has two locations on each side of the US and can provide international shipping & customs clearance.
5. Scalability
We are in business to grow and have success. Where you will be in 5 years will be very different than now. Make sure that your 3PL partner can grow with you in several ways:
- Warehouse storage & capacity
- Order fulfillment
- Inventory tracking & storage (the warehouse management system)
- International delivery & customs clearance
- Distribution & freight network
If you have any questions, please contact us at contact@novexit.com. We can help you with your logistics needs. Let’s find the right partner as they can make a world of difference.
FAQs About Choosing A Logistics Partner
How to choose a logistics service provider?
Start by identifying your biggest logistics challenge, whether that is warehousing, fulfillment, inventory visibility, shipping speed, or scalability. Then compare providers based on their service offering, customer support, technology, warehouse locations, and ability to grow with your business.
What should I look for in a 3PL provider?
Look for a 3PL provider that offers the services you actually need, has responsive customer support, uses reliable warehouse and inventory technology, operates from strategic locations, and can scale as your order volume grows.
Why is customer service important when choosing a logistics partner?
A logistics company handles critical parts of the customer experience, from order accuracy to delivery timelines. Strong customer service helps resolve issues faster, improves communication, and supports a better experience for both you and your customers.
Why does technology matter in logistics?
Technology gives you better visibility into inventory, orders, and shipments. A logistics provider with a capable warehouse management system and reporting tools can help you make better decisions, reduce errors, and support ecommerce growth.
How do warehouse locations affect shipping performance?
Warehouse locations influence shipping costs, transit times, and delivery flexibility. Working with a provider that has facilities in multiple regions can help you reach customers faster and reduce transportation expenses.
Can a logistics provider support business growth?
Yes, but not every provider is built for long-term growth. A strong logistics partner should be able to handle higher order volumes, more inventory, broader distribution needs, and more complex shipping requirements as your business expands.