Save Time Shipping with a 3PL vs. In-House Logistics

Time is of the essence, especially when you’re running an online business. Today, consumer expectations are through the roof when it comes to how fast delivery should take. In fact, 70% of customers think their packages should arrive within two days or less. Shipping your products fast is a must in this online shopping climate. So, whether you’re shipping with a third party logistics (3PL) provider or doing it in-house, your decision will impact how much time you spend on shipping, fulfillment, and other logistics operations. Today, we’re comparing 3PL vs. in-house logistics, focusing on which saves the most time when shipping your orders.

Understanding a 3PL vs. in-house logistics

Before exploring the time-saving benefits, let’s define these two logistics approaches:

• 3PL: This is an external company who provides outsourced logistics services like warehousing, inventory management, order fulfillment, and of course, shipping.
• In-house logistics: This is when a company manages their own logistics operations, including owning warehouses, hiring staff, and coordinating shipping.

How a 3PL saves you time

If you’re looking to save time and get shipments out faster, a 3PL may be the way to go. Here’s why.

1. Expertise without the learning curve
   Managing in-house logistics requires a steep learning curve, which eats away at your time and includes many errors when trying to get things right. On the other hand, with a 3PL you instantly inherit years of knowledge and experience from a team of logistics professionals. This means fewer mistakes, fast solutions, and no need to spend months hiring and training a team.
2. Streamlined operations
   The core purpose of a 3PL is efficiency. They already operate with established systems, technology, and workflows. Rather than spending time building processes from scratch, you can use their existing infrastructure and start shipping faster. This is especially critical when it comes to high demand seasons, making the choice of a 3PL vs. in-house logistics even clearer.
3. Focus on your business
   You can free up time to focus on marketing, product development, and customer service by outsourcing logistics to a 3PL. When you manage logistics in-house, your day to day activities are consumed by tracking shipments, managing inventory, or resolving delivery issues. With a 3PL, you don’t have to worry about these tasks.
4. Scalable solutions
   Scaling your in-house logistics can be extremely time-consuming. You’ll need to find more warehouse space, more staff, and negotiate rates with carriers. However, a 3PL can easily scale your business. They have the resources in place to quickly adapt to spikes in demand or long-term business growth.
5. Advanced technology
   Many 3PL providers use advanced technology, such as warehouse management and order management systems. Implementing these tools in-house can be very time-intensive to set up and integrate your stock. With a 3PL, you gain access to these systems without having to spend all the time on them.

The challenges of in-house logistics

While some businesses prefer to maintain full control over their logistics, doing so comes with some time commitments. Here are some time-intensive aspects of in-house logistics.

• Warehousing: Securing, managing, and maintaining warehouse facilities requires ongoing attention.

• Staffing: Recruiting, training, and managing a logistics team takes time and effort. Not to mention becoming an expert on logistics yourself first.

• Scaling: When order volume increases, scaling an in-house operation can be slow and requires additional resources.

Is a 3PL right for you?

When evaluating 3PL vs. in-house logistics, it’s clear that a 3PL offers substantial time-saving benefits. By leveraging their expertise, infrastructure, and technology, you can focus more time on your business instead of how to manage logistics.

If saving time is a priority for you, Phase V is a top 3PL provider. If you’re looking to grow your business without stretching resources too thin, we specialize in order fulfillment and shipping that is completely tailored to your business. No need to waste time shipping in-house, our team of experts ensures your products get to your customers on time, every time.