3PL Guide for E-Commerce

What is a 3PL?

A third-party logistics company offers supply chain support, related to logistics, warehousing and distribution. In short, a Third-Party Logistics company is referred to as a 3PL.

3PL Definition

A 3PL integrates and offers access to a network of logistics vendors, warehousing and order fulfillment services. A 3PL, such as Momentum Warehousing, combines the services of:

• Freight Forwarding
• Customs Clearance
• Container/LTL Receiving
• Warehouse Storage
• SPD & LTL Forwarding
• Daily Order Fulfillment

3PL Meaning

What does 3PL mean for your business? In short, a 3PL is a partner who can manage your entire supply chain. Alternatively, they can simply store inventory and daily FBM orders from Amazon, Walmart or Shopify . Typically, a small business wants to focus on product launches or scaling operations. In reality, they do not want to learn the in’s and out’s of supply chain management. As such, a collaboration between each party benefits both in their growth.

What Is A 4PL?

Fourth Party Logistics is no more than a supply chain buzz-word used for marketing. A 4PL is a broker of 3PLs into one network. For most sellers, this does not add a lot of value. But to learn more, click the link above

What is A Freight Forwarder?

How is a Freight Forwarder Different than a 3PL?

First off, lets talk about what a Freight Forward is not…

A freight forwarder is not:

• A shipping line
• A trucking company
• A customs broker
• A warehouse

A freight forwarder is a broker of these services. These services all operate independently of the freight forwarder. To clarify, the freight forwarder never touches your goods. They have not boots on the ground. They simply coordinate different sets of industry partners in a supply chain for your products.

So how is that different than a 3PL? A freight forwarder is a broker in an office. However, the 3PL also offers logistics brokerage and a warehouse at the end of the of supply chain. This final warehouse destination offers long term storage, bulk distribution access, and business to consumer (B2C) order fulfillment. As such, a 3PL, like Momentum Warehousing, offers a complete end-to-end solution for supply chain management. And alternatively, a freight forwarder only moves products from origin (factory) to destination (3PL warehouse or Amazon directly). To be clear, a 3PL can broker all the same services a freight forwarder brokers. A 3PL can just as easily string together a shipping carrier, customs broker, and LTL pick-up from port to their own warehouse. So where a 3PL can be your ‘freight forwarder’, a freight forwarder cannot be your 3PL.

Why Use a 3PL?

Most Amazon Sellers start in the nest of their supplier. they usually let the supplier handle door-to-door shipping to America. In fact, they FBA label your cartons and ship right to Amazon’s fulfilment centers. In the logistics industry, this type of shipment is referred to as a DDP shipment (Duties Delivered Paid). That’s great, especially for first time sellers. Again, at first, this shipping mode doesn’t matter, since they bundle and process all the paperwork on your behalf. Your supplier usually offers an end-to-end price point for the product, including delivery to Amazon. However, once you scale, your needs grow to require storage, order fulfillment, shipping, receiving, and reverse logistics. This article discuses when and how to take back control of your supply chain, reduce costs, and partner with the right 3PL for you.

3PL For Amazon Sellers

Amazon Sellers tend to see the quickest success after a product launch. Learn how 3PL’s for Amazon Sellers contribute to boosting their momentum.

3PL For E-Commerce Sellers

Different sales channels require different support. Some 3PL’s provide multi-channel order fulfilment across platforms such as Walmart, Etsy, Ebay, Wish, Jet and more. Learn more how to find a warehouse partner that meets your needs.

3PL for Shipping & Receiving Support

3PL shipping services offer streamlined solutions for retailers and online sellers aiming to scale efficiently. Especially beneficial for small businesses operating in limited spaces, 3PLs alleviate the burden of shipping and receiving operations, optimizing warehouse utilization. With a dedicated receiving department, 3PLs meticulously oversee inbound traffic, efficiently handling parcels and pallets. Parcel receiving involves thorough scrutiny aided by shipping marks for swift identification and organization. Similarly, pallet receiving entails a meticulous process, including BOL verification, quality control inspections, and organized storage, ensuring seamless integration into the supply chain.

Alternatively, 3PL shipping services cater to various needs, including business-to-business, fulfillment center, and direct-to-consumer parcel shipping. This versatility allows businesses to efficiently move products while minimizing costs and enhancing customer satisfaction. Pallet shipping, whether by Full Trailer Load (FTL) or Less than Trailer Load (LTL), accommodates bulk inventory movement. Detailed procedures such as pallet building, carton labeling, and shrink-wrapping ensure secure transit, with 3PLs utilizing appropriate equipment for loading onto trailers. Through meticulous handling and coordination, 3PLs facilitate efficient shipping processes, enabling businesses to focus on growth and customer satisfaction.

3PL for Product Prep

3PL for Reverse Logistics

3PL for Storage Services

3PL for Freight Forwarding

When is the right time for E-Commerce Sellers to partner with a 3PL? In short, when you want to reclaim control of the front end or back end of your supply chain. Partnering with a freight forwarders reduces shipping costs. Partnering with a 3PL helps scale fulfilment and storage capacity. So when should you look into 3PL partners? When you are ready to leave the nest of your supplier, who’s handled every shipment up to this point. Or when you are ready to grow out of your garage. Take control of your supply chain and research trusted 3PL’s like Momentum Warehousing.

3PL for Daily Order Fulfillment

How many hours a day does order fulfillment consume? How much space does your inventory occupy in your garage? What is the overall footprint of your business in your day to day life?

These KPI’s illustrate where you invest your time. If you’re fulfilling more than 100 orders a day, it’s time to partner with a 3PL team who specializes in multi-channel order fulfilment. When you want your over-packed garage back, its time to partner with a 3PL warehouse. If you want to work on the business and not in the business – partner with a trusted e-commerce team to support your growth.

Some businesses prefer to sell outside of Amazon. That’s smart. Amazon takes a flat fee & 15% of revenue from each sale you make. Consequently, sellers can cultivate enough traffic to their Shopify websites to generate the product sales needed to keep the lights on. Bully to them! Artists that sell on Etsy or collectors who sell on Ebay – they all start small. In fact, they usually start in their homes, out of a garage. As they ID their niche, pick up traffic, and start to scale – a days work work grows beyond the means of one man.

This marks a crucial turning point in any sole proprietor’s enterprise. They need to hire help. This can go in several directions. First, they can bring on in-house help. Or, in contrast, they can outsource this help. So where should they start their search?

How to Find a 3PL Near Me

“3PL Near Me”, may be a google search term used to find a local warehousing partner. Why do you need a 3PL near you? Trust. You will be entrusting the core of your operations to a new, untested, team. Therefore, if you can find someone near you, you can access the following:

1. The ability to see a warehouse in person
2. Shake hands with the staff
3. Know the operation supporting your product

This yields a lot of value for sellers. Why? At so many points in the supply chain, we place our trust in digital strangers. We give faith to unknown shipping entities. And that can be scary. We’ll never know these people, but we still place the responsibility of our entire operation with them. We entrust them to safely and accurately move our goods over 7000 miles from China to America. So the least we can do, is find a ‘3PL near me’ to shake someone’s hand and see your products in person.

Scaling E-Commerce In-House

In this scenario a proprietor can hire an extra hand to help with order fulfilment every day. However, operating space eventually bottle necks efficiency. For example, let’s say a third person comes onboard. Then you need a fourth. But everyone works out of a garage. It’ll be time to sublease a warehouse space soon. At that point, your operational overhead now includes payroll, rent, warehouse equipment, office furniture etc…Note, if optimized correctly, this can be lucrative. However, it is also demanding of your mental resources and time. Energy and time which could alternatively been invested in building the brand, digital marketing, social media development etc…

Scaling Your In-House Order Fulfilment – The Good, Bad & Ugly

3PL vs Growing In-House

Instead of building an in-house team, a seller can outsource their physical operations to a 3PL’s warehouse. To illustrate, think of Shopify sellers in control of their supply chain with a trusted freight forwarder. They know how to bring the goods in by using these brokers. However, the sellers growth will outpace their space. Instead of building out an in-house operation, they choose to partner with people who provide professional warehousing service for a small premium. It’s much less of a headache. It provides much more security, accessibility, and scalability – without taking on much risk. In the future, you can even compare your own freight forwarder’s shipping prices to the 3PL’s shipping prices. In the case of Momentum Warehousing, we provide competitive shipping rates through our partner www.aztecfleet.com.

Growing E-Commerce Operations In-House

Congratulations – you are growing! How many orders a day are you fulfilling? If it’s over 100 orders, its time to scale up. Growing your e-commerce business brings new opportunities and challenges. Specifically, how do you scale your e-commerce operation? Can you do it yourself? Do you partner with a 3PL? Which is more profitable? Which saves you more time? Bottom line, every product boasts different margins and needs. There is no ‘one size’ fits all solution. As such, to determine if you should use a 3PL or grow in-house – ask and answer the following questions:

What E-Commerce Software Do I Need to Scale My Business?

In this article, learn about the different types of e-commerce software which scale your business. In your supply chain, different partners use different e-commerce software. This article reviews what the following genres of supply chain software offer:

• Warehouse Management System (WMS)
• Order Management System (OMS)
• Client Relations Manager (CRM)
• Enterprise Resource Planning (ERP)
• Transportation Management System (TMS)

You may not need to know the details of each type of software platform. However, this article helps you understand what you need now vs what you may need. Additionally, if you decided to outsource, you can now ask the right questions to determine how much value a 3PL is offering based on their software systems. For example, at Momentum Warehousing – all software is proprietary. As former Amazon Sellers, they built out an in-house software solution. Consequently, they do not subscribe to any software services and therefore clients do not pay any subscription fees.

What Are the Costs of In-House Order Fulfilment?

What is your time worth? It may sound rhetorical, but ask yourself, “how much do I make an hour? What is my hourly worth that I generate for the business?” Then ask yourself, what is the hourly worth of an employee who solely focuses on order fulfilment. Surely the are not the same. If you decided to scale in-house, make sure you silo your operational systems. What does that mean? It means separate and organize the responsibilities of a sales system or fulfillment system so that you can plug and play any minimum wage worker to complete a repetitive cycle of tasks, without risk to the rest of the business.

Next – and read more in our post – understand the materials cost of renting warehouse space and equipment. What’s the market price per square foot in your area for a 3000 sq ft warehouse? Is this enough space to accommodate a 40’ft container of inventory? Do you have the upfront case for a deposit on a lease? Again, we’ll learn more in the post. But these are critical questions to ask and answer when mapping out a business model of any in-house order fulfilment operation vs a 3PL warehouse.

Where Can I Rent Warehouse Space For Order Fulfilment?

You want to rent warehouse space to scale your business out of your garage. Where is the best location to do so? This post explores different variables to answer that question – where to set the roots of your business. Location is critical. Choosing a location will determine the following variables and costs for your new e-commerce model:

• Warehouse Rent
• Employee Labor
• Distance from Port
• Distance from Customers
• Quality of Life

So consider what your current supply chain looks like. If you live in California, you may consider getting close to a port to lease a small swath of warehouse space. Maybe not too close to Los Angels Port, but close enough to keep costs of a Full Container Load (FCL’s) transport low, warehouse rent modest, labor costs low, while still living in a decent part of California. This is how the Amazon sellers at Momentum Warehousing started. This is why they offer industry leading fulfilment services.

What are the Cons of an In-House Order Fulfilment?

This article, analyzes the myriad of con’s which make in-house order fulfilment challenging. If this is an e-commerce sellers first swing and scaling up an in-house prep and fulfilment enterprise they need to know what hurdles lie ahead. This article explores the notion that there are variables the owner can control vs those he can’t control when scaling their order fulfilment. Here’s a short list of each, detailed more in the article:

Challenges of In-House Order Fulfilment

What Can An Owner Control?

• Overwhelmed Owners Can Waste Money
• Managing Correct Inventory Levels
• Too Much Working In the Business and…Not On the Business.
• Errors in Order Fulfilment

What Can’t An Owner Control?

• E-Commerce Shipping Costs
• Delays in Shipment Receiving at Fulfillment Centers
• Product Returns
• Unreliable Employees

Of course, if you elect to work with a the team of former Amazon Sellers at Momentum Warehousing – you wont need to worry about any of these challenges!

What are the Pro’s of In-House Order Fulfilment

This article illustrates the pro’s to In-House Order Fulfilment. Scaling in-house operations can offer lucrative benefits. Here’s a short list of perks from picking and packing your own daily orders.

Benefits of In-House Order Fulfilment

• You can control pick and pack operations.
• You determine the level of custom attention each order receives.
• You deliver an unboxing experience to you client, based on the prep put into each order fulfilled in-house.
• Choose to automate with software or scale up with more labor.
• You are in control the entire way.

This control extends to materials and warehousing costs as well. For example, if you partner with 3rd party logistics warehouse, they’ll charge to receive, store and ship your products. What’s more is they charge more for pick and pack or product prep services. And if that’s not enough – they can upcharge on material costs, if a quote is submitted for boxes or polybags. A major pro to scaling in-house order fulfilment is keeping a lid on these costs. All together this translates into valuable experience. A seller will quickly learn the worth of each stage of prep vs outsourcing to a 3PL team. For now, let’s presume you want to partner with a trusted 3PL team like, Momentum Warehousing. How do you shop for value when comparing 3PLs?

How to Shop for a 3PL

This article discusses how 3PL shopping is as much an art as it is business modeling. Start with three basic questions to make sure you qualify for a 3PL’s service. Then we can move to cost.

Product Dimensions – Is My Product Oversized?

Makes sure to ask 3PL’s where they stand on larger cartons. They might have stricter limits or capabilities compared to Amazon’s warehouse. Per FBA guidelines, an oversized carton extends beyond 25″ in Length, Width or Height. How does your current carton sizes measure up to that? At Momentum Warehousing, we welcome all carton dimensions.

Do I have Enough Product for a 3PL?

A lot of 3PL’s employ a basic product minimum to render their services. For example, they do not want 100 clients with 10 cartons or else. They’d rather have 1 client with 1000 cartons. Operationally – this just makes sense. So make sure you inquire as to product minimums when scouting 3PL partners. At Momentum Warehousing, we welcome sellers in all stages of growth – no product minimums.

What Product Prep Do I Need vs What Prep do 3PL’s Offer

First, understand what is required of your product. If you do a supply chain audit, which products will need different prep at different times? Most internal product prep is completed by the factory. But maybe a miscommunication caused an error in labels or packaging. So make sure you understand what you need or might need vs what a 3PL partner can offer. At Momentum Warehousing, we offer a full suite of FBA prep services and always offer custom built prep services for unique requests.

What Services Does a 3PL Offer?

3PL Receiving, Storage, Carton Forwarding & Order Fulfilment

In a most basic sense a third party logistics warehouse can receive, store and forward products. They do so with either Cartons, Pallets or 40’ft Shipping Containers. Let’s break that down to understand these three component.

Carton Receiving – Small Parcel Delivery (SPD)

3PL services start with receiving individual cartons. 3PL’s will receive a delivery of cartons from UPS or FedEx from the supplier to their warehouse. The 3PL can offer to cross dock or store these products. The cartons are organized, counted and forwarded or stored. At Momentum Warehousing it is $4/carton to receive a carton.

What is cross-docking?

The term ‘cross docking’ denotes the act of receiving cartons and immediately shipping them back out. A good 3PL will offer access to daily UPS pick ups. This allows the warehouse team to receive and ship the same carton in the same day.

Pallet Receiving – Less Than Truckload (LTL)

Pallet Receiving is bread and butter of most warehouses. LTL receiving is available with a Forklift, Liftgate or Warehouse Dock Door. If the pallets arrived with several types of cartons mixed together, they are broken down, organized, counted and forwarded or stored. At Momentum Warehousing it is $25/pallet to receive a pallet.

40’ft Container Receiving

3PL’s receive 20’ft or 40’ft container deliveries directly from port. A good team of two take less than three hours to unload a container. Oftentimes, clients request to cross dock and store these products. If the container arrived with several types of cartons mixed together, they are unloaded, organized, palletized and either cross docked or stored. A 20’ft container can hold up to 13 – 18 pallets of product. A 40’ft container can hold up to 33-38 pallets of product. It all varies based on the industrial design of carton dimensions. Note, its recommended to build carton dimensions around the notion of maximizing pallet storage, when stacked together. At Momentum Warehousing it is a $499 to unload a 40’ft Container onsite.

Pallet Storage

At it’s core a 3PL can store products. This is done by the process of palletization, whereby the receiver builds cartons on to organized pallets to safely organize and store them until the client makes an outbound request. A standard pallet size is 48″ x 40″ at the base. Per Amazon’s requirements, pallets should be not more than 72″ tall. At Momentum Warehousing pallet storage is $49/pallet/month. Bulk Discounts on Storage Rates Apply to Container Clients.

Carton Forwarding – Small Parcel Delivery (SPD)

After a 3PL receives your cartons, you’ll probably want some forwarded to Amazon. SPD Forwarding offers clients a chance to re-stock inventory to fulfilment centers, while storing the rest. At Momentum Warehousing Carton Forwarding is $4/carton.

Pallet Forwarding – Less Than Truckload (LTL)

After a 3PL receives your pallets, you’ll probably want some product forwarded to Amazon. LTL Forwarding offers clients a chance to re-stock inventory in bulk. At Momentum Warehousing Pallet Forwarding is $25/pallet.

Container Cross Docking – Less Than Truckload (LTL)

When a 3PL receives your container, a 2-3 hour unload takes place. The ‘loose-loaded’ or ‘floor-loaded’ container is either crossed docked to another empty tailor, or emptied out and palletized.

3PL Product Prep Services

Online Arbitrage Prep

Online Arbitrage requires a high level of prep across five basic services. Here’s a short list of these to review:

• FNSKU labeling
• Sold As Set labeling
• Expiration Date labeling
• Polybaging for Bundling
• Bubble Wrap

Momentum Warehousing offers all of these and more! Custom solutions to dynamic prep challenges are available.

Private Label Prep

Most private label sellers complete their product prep with the factory. But brand building requires its own product prep, outside the factory. Here’s a short list of different product prep services for private label sellers:

• Marketing Inserts
• Kitting & Bundling
• Product Inspection or Testing
• Repackaging

These are the most basic and frequent of prep services that a 3PL offers. Sometimes clients need alittle extra attention. And that’s okay. Momentum Warehousing offers custom solutions to any prep request to ensure your clients receive a 5-star product experience. But at what cost does all this prep come with?

3PL Pick & Pack Services

Multi-Channel Order Fulfillment

Pick and pack fulfillment is the physical process of picking stock off warehouse shelves and then packaging them to fulfill customer orders that have been received – usually via an Order Management System (OMS). Here’s how the process looks:

How 3PL’s Fulfill Daily Orders

• Order Processing: When a customer places an order, the order management system generates a Pick List that specifies which items are required to fulfil that order. The pick list is sent to warehouse staff, guiding them to locate the necessary items.
• Picking: After a customer places an order, the next step is for the 3PL to begin fulfilling the order by “picking” the item. Depending on the type of integrative technology the 3PL offers, this information can be automatically sent to the 3PL or you might have to upload orders to their system manually. Either way a Pick List is generated. From there, warehouse staff collect the items from their respective locations on the shelves, following the Pick List. Many warehouses now use technology like barcode scanners to streamline this process and minimize errors.
• Packing: Once the items are picked, they are packed securely for shipping. This stage includes choosing the right packaging, adding any necessary marketing materials, and preparing the shipment for delivery. Depending what options for customization your 3PL offers, you may be able to choose the packaging for your orders. Otherwise, standard packaging materials typically include unbranded boxes, bubble mailers, poly bags, packing tape, and bubble wrap. Some 3PLs will charge for packing materials while others include them in their fulfillment services.

• Shipping: The packed order is labeled and dispatched for shipping. The shipping carrier takes over from this point and delivers the package to the customer’s doorstep. Financial responsibility for shipping costs can vary depending on who creates the shipping label.

E-Commerce Shipping Rates

Amazon Preferred Partnered Carrier – Shipping Orders via Fulfilled By Merchant (FBM) modality? If you want to side step Amazon’s FBA program (and fees), in order to ship orders to clients yourself, you can do that. It’s called Fulfillment By Merchant. Amazon still offers sellers access to Amazon’s Preferred Partnered Carrier (UPS or USPS) shipping rates. Generally speaking, these will always be the cheapest shipping rates a seller will enjoy. You still secure orders on Seller Central. You just have to ship them yourself! Typically, once you start moving a lot of products, a 3PL team, like Momentum Warehousing, will help fulfill FBM orders on your behalf!

3rd Party Shipping Solutions – Maybe you want to side-step Amazon all together and use a 3rd party solution to build shipping. That works too! Websites like Ship Station and Pirate Ship offer very competitive rates outside of Amazon’s Seller Central platform.

Most e-commerce sellers outsource their pick and pack fulfillment needs to 3PLs. Clients need specialist support with the actual picking and packing of products, order processing, inventory management and storage. Make sure you ask about system integrations and pricing involved.

Pick & Pack Prices

Here’s what to look for when shopping for Pick & Pack Services:

1. Monthly Order Volume
2. Pick Fees
3. Product Prep
4. Pack Fees
5. Packaging for Shipping
6. Shipping Rates
7. Seasonal Upcharges

But here’s what you need to know with Momentum Warehousing – Flat Rates & No Hidden Fees:

Standard Items Fulfillment (up to 25″ length of any given side and under 50 lbs. per order)

• Pick – $0.50/pcs
• Pack – $1.50/order

Now that we know pricing for the most basic daily task your 3PL will help with…let’s take a step back. Below, we review what the general costs of a 3PL look like.

Costs of a 3PL?

You’ll want to research the cost of 3PL prices and balance the value of those services against the profits they eat up. So, how does 3PL pricing work? There are two basic pricing models 3PL’s offer to sellers – Fixed Rate vs Flat Rate pricing models.

How 3PL Price Models Work

Fixed Rate vs Flat Rate

There are two basic types of price models when 3PL offer their services. The first model is the Fixed Price Model. The second model is the Flat Rate Model. We’ll review each model below.

Fixed Price Model for 3PL’s

Fixed Price models establish fees based on exact services rendered. Clients should only pay for what they need. Here’s a short list of what you might encounter when shopping for 3PLs with a Fixed Price model.

• Set-Up Fee – 3PL’s charge to integrate new clients into their systems.

• Receiving / Shipping – How much does it cost to receive and/or ship a carton from a 3PL?

• Fulfillment / Pick & Pack Fee — This is calculated either by the exact number of orders you receive that month

• Reverse Logistics Fee — You may be charged a reverse logistics fee for handling returns and removal orders.

• Storage – How much does it cost to store one pallet for one month?

• Customer Service Fee — This fee reflects calls, messages, and any other communications between your customers and your 3PL provider.

• Seasonality Fees & Adjustments — Some 3PL providers charge for overtime or holiday work. Review these fees before you sign a contract.

• Prep Fees — These fees can cover everything from kitting to special packaging and are typically charged per order. Depending on volume, you can often negotiate these rates.

1. Product Labeling
2. Carton Labeling
3. Polybaging
4. Marketing Inserts
5. Repackaging

Pros of Variable Rate 3PL Model

There are no long term contracts in a variable rate model. Sellers can also line-item the 3PL services rendered each month in a transparent and calculated way.

Cons of Variable Rate 3PL Model

Average 3PLs will also only deliver on what you pay them, rarely going above and beyond.

Flat Rate 3PL Price Model

In the Flat Rate model, sellers only pay one flat charge upfront per month. The seller negotiates the average incoming products, outbound orders, and prep in between with the 3PL. All services above are bundled into this fee. This is monthly subscription model.

Pros of the Flat Rate Model

This model puts responsibility on a 3PL to function more as a partner than service provider. Since the 3PL is paid a flat rate either way, they need to be delivering services regardless of high or low traffic.

The Cons of the Flat Rate Model

This model is difficult to quote. It’s hard to build out a pricing structure. It takes time to negotiate.

It also requires a contract. This can include a 6 month minimum agreement for subscription services.

Momentum Warehousing’s Price Model – Affordable Fixed Rate Prices

We believe you pay for what you need. FbaZoom’s prices are clear and simple to earn trust and build a relationship with sellers. Let’s take a quick look:

• No Subscription Fees.
• No Software Fees.
• No Startup Fees.
• No Minimums. 
• No Contracts. 
• Just Flat Rates.

Let’s look at Momentum Warehousing’s basic prices:

Less Than Truckload (LTL) Shipments

Pallet Receiving – $25 – in per pallet

Pallet Shipping –  $25 – out per pallet

They receive inbound pallets at $25 per pallet.

They build & prep outbound shipments at $25 per pallet. 

Small Parcel Delivery (SPD) Shipments

Parcel Receiving – $4 – in per carton

Parcel Shipping – $4 – out per carton

They receive inbound parcels at $4 per carton. They also build & prep outbound parcel shipments at $4 per carton.

What Does Momentum Warehousing’s Shipment Prep Include?

Again, both LTL and SPD services include MW’s team completing:

• Building outbound shipments in Seller Central
• Printing FBA labels & UPS labels
• Applying FBA labels & UPS labels
• Staging shipments for daily UPS pick ups 

Momentum Warehousing Storage Rates

Monthly Pallet Storage – $49 per pallet

Additional Fees at Momentum Warehousing?

There are no other fees associated with basic receiving and shipping of cartons.

This is designed to be clear, concise, and quick to understand. Let’s invest less time shopping for 3PL’s and more time on your business. Give Momentum Warehousing a call and speak with one of the owners.

Benefits of a 3PL?

This list summarizes the article above, illustrating all the ways a 3PL team can offer value.

• 3PLs Save Time: By outsourcing your company’s logistics, you will have more time to focus on the things it takes to grow and expand your business.
• Optimized SOP’s Save Money: A 3PL can package warehousing, shipping, and inventory management all for one price, and it could be lower than doing it all in-house.
• Reduce Logistics Liability: Handing over your company’s logistics to someone else can be nerve-wracking, but it means that someone else will be accountable.
• Leverage the Latest Industry Technology: A good 3PL stays up-to-date with the latest technology and industry regulations, which means you don’t have to.
• Quality Control on Daily Order Fulfillment: A 3PL exists to offer the best services at the greatest value – that’s how they get and retain customers, and that value is passed on to you.
• Custom Solutions for Product Problems: When it comes to warehousing, shipping, and distribution, a 3PL provider can customize its services according to your needs and can adjust as you grow.
• Ship Coast to Coast: A 3PL partner may have West Coast & East Coast locations. In fact, they also offer a network of partners, including shipping carriers and other providers, to ensure that you get the best services at the lowest rate possible.
• 3PLs Reduce Risks: By outsourcing your company’s operational logistics, you don’t have to worry about things like labor risk and the financial risk of investing in equipment and storage facilities.

3PLs Share Industry Knowledge

Supply chain logistics can be complex; fulfillment, warehousing, and shipping all come with major challenges. When it comes to supply chain logistics, 3PL organizations are experts and can support customers with years of experience and industry connections to quickly streamline processes. At Momentum Warehousing supply chain transparency builds trust with clients. They answer any questions from importing, to warehousing and fulfillment. It’s important clients understand the process and the value a 3PL provides.

3PLs Save Time and Money

Using a 3PL can greatly reduce or even eliminate the need to invest in warehouse space, technology, transportation, and employees to carry out logistics processes, allowing for more focus on your core competencies. Again, this is an issue of time management for your business. Do you want to be working on the business or in the business? Now that you are saving both time and money – you can re-invest these reclaimed resources into your business doing what you do best – whatever that is!

FBA Warehousing – Scale Prep & Fulfilment Access

When an Amazon Seller uses a 3PL, they can scale space, labor, and transportation according to current inventory. Additionally, they help sellers transition between seasonal periods.

When expanding into new markets, Amazon Sellers can use a 3PL to boost growth in new regions. Some 3PLs offer multiple warehouses coast to coast. Additionally, they offer access to management software can analyze and monitor inventory levels and fulfillment KPI’s for direct to client order fulfilment.

Reverse Logistics – FBA Product Returns & Removal Orders

Not all orders end when the shipment hits the customer’s doorstep. Returns are a significant concern for many businesses, and they can get messy if you’re managing a large stock of inventory on your own. When you hand over this aspect of the supply chain to a 3PL provider, all returns are directed back to the 3PL, where they are processed, restocked, or disposed of according to your company’s policy. You can even choose to have your 3PL provider provide shipping labels for your customers to streamline the process and enable them to track their return status.

By now, the benefits of a third-party logistics partnership should be obvious, but how do you know whether your company can benefit from such a partnership? Keep reading to learn the signs that it’s time to hire a 3PL.

How to Choose a 3PL

This section reviews the different topics to consider when shopping for 3PLs.

While they sign and honor an NDA?

Businesses often need to share sensitive and proprietary information with their 3PL provider. This can include details about their supply chain, product specifications, pricing strategies, and other confidential data. An NDA ensures that the 3PL cannot disclose this information to third parties or use it for their benefit.

Take a look at the company’s track record in terms of financial stability and client satisfaction.

Financial instability in a 3PL can pose a risk to your supply chain. If a 3PL is struggling financially, there’s are several risks. The biggest risk being a shuttering of their doors. In addition, poor cash flow might impact labor they’re able to purchase. This means service disruptions, missed deliveries, or other logistical issues that can negatively impact your business. Assessing their financial health helps you gauge the level of risk associated with partnering with them.

Visit a nearby 3PL warehouse

A physical visit allows you to assess the 3PL’s operational capabilities firsthand. You can observe their warehouse facilities, fulfillment operations, and overall infrastructure to ensure they align with your business requirements and standards. Additionally, see if you are able to scale with their team, based on their size and capacity. Most importantly, personal interactions during a visit help build a stronger foundation for communication and relationship building. It allows you to meet key personnel, understand their communication protocols, and establish a rapport with the team that will be managing your logistics.

3PL Hours of Operation

Aligning the hours of operation with your business needs ensures timely and responsive services. Customers like that! If your 3PL operates during hours that match your peak business times, you can expect faster response times to inquiries, order processing, and issue resolution. In turn, this means more money and happy customers.

More importantly, many businesses have service level agreements with their 3PLs that outline specific performance expectations. Aligning hours of operation with SLAs helps ensure that the 3PL can meet the agreed-upon service levels consistently. Extended hours of operation are crucial in emergency situations or unforeseen circumstances. A 3PL with flexible hours can adapt quickly to changes in the market or environment.

Ask what services the company provides and which they consider their specialty.

Businesses often prefer 3PLs that offer comprehensive, end-to-end supply chain solutions. This means handling various aspects, including transportation, warehousing, order fulfillment, and distribution. Choosing a provider with a broad service offering can streamline operations and reduce the need for multiple logistics partners.

What’s more, a 3PL that provides a diverse range of services is often better equipped to handle changes in your business, such as seasonal fluctuations or sudden growth. The ability to scale services up or down based on demand contributes to a more agile and responsive supply chain.

Determine what kind of software the 3PL uses.

Compatibility and integration between the 3PL’s software and your own systems are essential for seamless operations. Understanding the type of software they use helps assess how well it can integrate with your existing ERP (Enterprise Resource Planning), order management, and other systems. For example, The efficiency of order processing is directly influenced by the capabilities of the 3PL’s software. An advanced system can automate order fulfillment processes, reducing errors, and speeding up the entire order-to-delivery cycle. Alternatively, software provides enhanced supply chain visibility by tracking goods throughout the entire logistics process. This visibility is critical for identifying bottlenecks, optimizing routes, and improving overall supply chain efficiency.

Questions to Ask a 3PL when Shopping for Warehouse Partners.

• Ask how the company is different from other 3PLs and what makes them worthy of your business.
• Consider the options for customization and scalability of services.
• Inquire about their relationships with shipping carriers and their negotiated rates.
• Ask about their options for expedited shipping as well as guaranteed deliveries.
• Determine how many warehouses they operate and their locations.
• Ask about their customer service policies and how they help you when an issue occurs.
• Ask what the costs and process is. If you’re not happy, choose to switch to another 3PL.
• Find out what their typical customer profile is. If their profile is disjointed or you’re not similar to their other customers, they might not be the right 3PL for you.
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• Try to find reviews and/or talk to existing or past customers.
• How much control do you want over the fulfillment process?
• Do you ship locally, nationally or internationally?
• How fast is your business growing?
• Do you have the staff to ensure orders are shipped quickly and securely?
• Does your inventory require special storage needs?