Companies that perform direct distribution are responsible for sending products to stores and consumers without an intermediary. This can be burdensome to business owners since it requires packing, shipping, transportation, and logistics. On the other hand, third party logistics (3PL) allows you to outsource these tasks, which provides a variety of practical benefits for your commercial operations. Here’s why you should consider 3PL instead of direct distribution.

4 Reasons to Switch to 3PL From Direction Distribution

1. Adapt to Market Changes

Experienced 3PL companies optimize your budget by using wholesale packing materials and negotiating fast transportation methods. Since your 3PL partner is holding your inventory and knows how quickly an item sells, they’ll alert you to changes in your supply. This will give you ample time to order more inventory to meet increasing demand, preventing you from selling out when customers want a hot product.

2. Save Time & Money

When you partner with a 3PL, you’ll save money and time because you won’t need to spend resources processing orders in-house. They’ll make distribution more efficient by using their own trucks and heavy equipment. They’ll also consolidate your inventory to a warehouse where everything is organized, labeled, and easy to retrieve.

3. Provide Better Service

In-house distribution makes it challenging to meet customer demands when employees have responsibilities in other departments. 3PLs provide 24-hour attention to logistics and coordinate shipments from start to finish. This allows you to provide customers with faster turn around times and accurate shipments, resulting in better service and more satisfaction.

4. Safety Net for Emergencies

If you sell essential items, like food and medication, your products may become scarce during an emergency. Fortunately, 3PL warehouses are large enough to hold an emergency supply, allowing you to stock up throughout the year so that you can meet demands if something unexpected happens.

Your 3PL provider can also handle in- and outbound shipments, re-routing, and cross-docking during a severe weather event, like a hurricane. This ensures the goods your customers need arrive at their final destination.

If you want to reap these benefits, partner with the team at Hawaii Transfer on Oahu. These professionals have provided third party logistics services to businesses throughout the island since 1931. They’re also the only company in the state that has a trucking and warehousing component, allowing them to support their clients at every step of the delivery process. To get more information about their services, visit the website or call (808) 677-3111.