Why use a 3PL Provider

While there’s definitely more many reasons why a company might look for  a third party logistics provider here are a few reasons:

  • To provide supply chain support to penetrate new regional markets or countries where your company doesn’t currently have a presence without the costs involved in such venture
  • If you are a company whose business is seasonal in nature using a 3pl provider allows you to cut the operating costs.
  • To increase on-time performance and increase efficiency with the management of your inventory by using a 3PL provider that has the technology and capability to deliver an effective solution.
  • To take advantage of lower transportation rates provided by logistics firms that have  buying power due to the volume of freight they deal with.
  • To quickly build a multi-location distribution network with lower risk, without the significant capital investment associated with building out a network on your own.
  • By using a 3PL provider, you can divert your resources to grow your business by engaging in new marketing strategies