5 Major Benefits Of Outsourcing Fulfillment For Your Business


If you have a physical product business, then you should consider outsourcing your fulfillment. Fulfillment is a complicated area and can cause you more stress and time than it is worth. Here are five major benefits of outsourcing that you should examine for your specific business:

Save Time

There is no getting around the fact that fulfillment is time consuming. And in business, you need to make the most of your time. If you are not efficient, then your competition could be innovating in another area while you stand still.

Fulfillment outsourcing can help you save time in a number of ways. First of all, you don’t have to deal with accepting the shipments from your supplier. The warehouse will handle all of that for you, including invoicing. Secondly, there is the issue of labeling products and sending them out. And finally, there is inventory management and tracking which is a different area altogether. Outsourcing saves you time on all three.

Reduce Mistakes

If you are not an expert at fulfillment, then you are going to make mistakes. In today’s world, customers are less forgiving than ever of mistakes. They want their product and they want it now.

If you use a fulfillment company, they will be experts in this field. They will be more accurate with the products and prevent costly delays that frustrate customers and lose you business.

Focus on Higher Level Aspects

As an entrepreneur, how you spend your time and focus will make or break your company. The more time you spend on small process actions, the less time you have to spend on the higher level picture. This prevents you from being able to strategize correctly.

If you outsource your fulfillment to another company, then you regain your focus on the most important tasks you have in front of you. After all, your job is not grunt work, but growing the business in the best way possible using your unique skills. In this way, you gain a competitive advantage.

Automate Your Business for More Profit

If you are not automating your business in new ways each day, then you are losing out. You miss opportunities and additional profit by having processes that are not efficient. It also means you are spending more time and money than you need to.

By outsourcing, you are essentially automating. You press a few buttons (or none) to pay your fulfillment center and never have to worry about putting your hands on your products again. They take care of everything. You only need to send them a small portion of your profits for the amount of value they add to the equation.

Sell Your Business

Every business owner needs to have an exit plan. Whether or not you think you want to sell your business, there may come a time when you change your mind or you need the extra cash in a hurry from emergencies or other life situations.

Preparing your business for sale means making it as attractive as possible to buyers. If they know they can buy it and keep everything running without worrying about the fulfillment, it makes it much more passive as an income stream. This will increase the number offers you get and the amounts of the offers themselves. Eventually, you will want to automate and outsource as much as you can. For now, it makes sense to start with the fulfillment due to its scope.

When it comes to business, you need to have the right plan to succeed. If you spend time and resources on areas that should be outsourced, you could be shooting yourself in the foot. So review the benefits above and consider taking your fulfillment to a professional third party so you can enjoy more peace of mind.