How to Choose a Fulfilment Company?

How Do You Choose the Right Fulfilment Partner for Your Needs?

You have reached the decision to outsource your fulfilment but how do you go about finding the right fulfilment centre partner to work with for your company? Let’s be honest, there are hundreds of fulfilment companies out there, all of which seem to offer exactly the same service. The first thing to do is cover off the basics and check out the following:

Experience and Reputation: Look for a fulfilment provider with a proven track record and positive reviews from other businesses. Check their experience in handling similar products in similar industries to ensure they have the necessary expertise. If they don’t publicise them, and not every company does, ask for some client names and whether you can speak to contacts at those companies. Check out how long the company has been in business, who are the directors and what is their experience. A young, energetic new company might be appealing but is it going to fold and take your business with it? If it’s been around a good few years and survived the pandemic, that’s a good sign.

Technology and Integration: Evaluate the fulfilment provider’s technological capabilities. Ensure they have robust inventory management systems, order processing software, and integration options with your ecommerce platforms. Seamless integration with your existing systems can improve efficiency and accuracy.

Scalability and Flexibility: Consider whether the company can accommodate your business’s growth. Can they handle increasing order volumes, seasonal spikes, or special promotions? Look for a provider that can scale their operations to meet your evolving needs.

Geographic Coverage: If your business targets customers in specific regions, assess whether the fulfilment provider has strategically located distribution centres that can efficiently reach those areas. Fast and cost-effective shipping is crucial for customer satisfaction.

Service Level Agreements (SLAs): Review the fulfilment provider’s SLAs to understand their commitments in terms of order processing time, shipping accuracy, and customer service. Ensure their performance aligns with your expectations and business requirements.

Returns Management: Efficient returns handling is essential in ecommerce. Evaluate how the fulfilment provider manages returns, including the process for handling customer returns, restocking inventory, and issuing refunds or exchanges.

Customer Support: Assess the level of customer support the fulfilment provider offers. Prompt and helpful communication is vital for resolving any issues or addressing your concerns.

Pricing and Cost Structure: Compare pricing models and costs across different fulfilment providers. Consider factors like storage fees, order fulfilment charges, shipping rates, and any additional services or surcharges. Ensure that the pricing structure aligns with your business model and budget.

References and Case Studies: Request references or case studies from the fulfilment provider to gain insights into their performance and the experiences of their current or past clients. This can provide valuable information for making an informed decision.

Team relations: An often overlooked element is the team you will be working with and we don’t just mean in terms of how you will get on with them (we talk about chemistry below) but how are they treated? What is the ‘vibe’ you get from them? Are they enjoying their jobs, do they feel they are part of a team, are they involved in and empowered to make decisions?

Core values: Everyone seems to talk about core values these days or there are those that think they’re a load of touchy-feely nonsense. If they’re important to you then they need to be important to your ecommerce fulfilment partner. Ask them what they stand for and through which behaviours they demonstrate these values and see if they align with yours.

It’s important to thoroughly evaluate fulfilment providers based on your specific requirements and priorities. Do your research, draw up a short list of firms, request any other information that address your business’s unique needs and then arrange to meet the company. Often, as with most things in life and with all other factors being equal, it is a question of chemistry. Do you trust the people at this company, can you work with them, can you see yourselves forming a long-term partnership that sees your business flourish?

Want to know more about TFP and how we distinguish ourselves from the competition, get in touch for a quick chat.