Does It Pay to Use a Specialized 3PL Provider?

Some 3PL providers offer to ship anything and everything, without specializing in a certain industry or product. Although low shipping rates are still, and will always be, the apple of a manufacture's eye, hiring a specialized 3PL provider has its perks beyond low shipping rates.

In fact, it’s getting more and more difficult for logistics companies to specialize in everything at once. Businesses are under increased pressure to reach customers faster and in more creative ways. As a result, supply chains are becoming much more multi-faceted and complex. In the competitive world of logistics, 3PL providers can offer greater value when they specialize in a certain “niche.” This allows them to focus on offering their clients specific solutions to real-world problems.

Why Specialized 3PL Providers are more Cost Effective

A specialized 3PL provider can almost always offer lower shipping rates, and here’s why: They do one thing (or a small handful of things), and they do it well. The underlying assumption is that if a company could do scale-able logistics themselves, they would. But this isn’t always the case, and that’s the main reason for outsourcing—hiring a firm to take care of mundane tasks so you can focus on your core business.

Hiring a specialized 3PL provider has some surprising benefits. For example, it can lower your workers compensation premiums, since your own employees will no longer have to take on the higher-risk tasks involved in shipping, packaging, etc.

Another surprising benefit of a “niche” 3PL provider is in consulting services. In addition to their logistical services, these niche providers can offer solutions for improving the supply chain all the way from manufacturer to consumer. Their logistical expertise could help you save money in ways you aren’t equipped to do yourself.

Specialized Third Party Logistics in the Apparel Industry

The fashion industry is constantly experiencing shifting trends, and what was selling like hotcakes last week could be languishing on shelves tomorrow.  Logistics-wise, the fashion industry presents a unique set of challenges. 

That’s why The Apparel Logistics Group specializes in 3PL services for the fashion and apparel industry. Whether it’s through apparel distribution or supply chain management, we’ve got people who will help you succeed, and the processes that will help you get in front and stay there.

Request a free consultation today to learn more about our specialized 3PL services. 

Posted: 12/22/2014 12:55:18 PM by Global Administrator | with 0 comments
Filed under: chain, logistics, supply, 3pl

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