Choosing an order fulfillment location is just like looking for a house. But instead of searching for one with security and with good schools around, you are concerned about delivery time to customers and transport costs.
At ShipFusion, we have multiple warehouses and distribution centers across US and Canada.
Once you get in touch in with us, we help you figure out the right location, largely based on the following three factors:
Where Does Your Product Come From?
One of the most important concerns regarding order fulfillment location should be inbound transportation costs. Most warehouses are located in prominent geographical locations. Some companies require them to be close to ports; others need them right next to the manufacturing facility. Ultimately, it depends on where your product is coming from.
Look for an order fulfillment company that actually lessens the distance between where your product is coming from and where it is stored. You can also go for multiple inbound transportation methods to minimize costs.
Are You Shipping Free Or Not?
According to a research study conducted by UPS, online shoppers who pay for shipping are willing to wait for a maximum for six days for their order. If the delivery time is more than that, they expect the shipping to be free.
An important factor here is centralized shipping. It allows you to serve your customers while observing strict deadlines and also cut down costs of shipping. You can also consider working with order fulfillment services that offer multiple shipping options for the most competitive costs.
Are You Looking For Multiple Locations Or Just One?
This is among the most common questions order fulfillment companies hear, however, it all comes down to your specific preferences. Some companies adapt a simple approach by sticking to a single location, while others spread out their inventory across multiple locations. A cost effective and sound strategy is to choose a central location that allows you access to the closest markets.
At the same time, dividing inventory across multiple locations allows you to put contingency plans in place and at times, deliver products faster.
At ShipFusion, we discuss your needs and business goals before advising you where and how your inventory should be stored.