Electronic Retailer - July 2012 - 37

your logistics operations, working with a 3PL will allow your company to leverage the investment of the 3PL provider in up-to-date software, telecom, order management and material handling automation without the capital investment. With a 3PL, you will be charged per order and/or per pallet stored, allowing you to match revenue with expense – giving you the ultimate in flexibility and scalability.

8. Your current 3PL’s location is costing you money and customer loyalty.
Are you shipping domestically? Then it is in your best interest to partner with a 3PL that maintains more than one warehouse – preferably, bicoastal warehouses. This approach reduces shipping time and cost. Inbound bulk shipments can be sent more cost effectively to a strategically located warehouse. Outbound shipments that are closer to your customer base take less time, cost less to ship to your customer and result in happier customers.

4. Your company needs a better solution to a specific supply chain problem.
Whether you need to ship internationally, you are entering an emerging market or are instituting a new green initiative, it’s necessary to ask yourself if the 3PL you are using now is best suited for your new requirements moving forward. Depending on the commodity, reverse logistics and returns management also can be very important in reducing your costs and protecting your merchant account and payment processor relationship.

9. You’re looking for transparency.
Only 69 percent of clients polled in the Capgemini 2012 study were satisfied with the openness, transparency and communication received from their 3PLs. Consider how well appropriate information is being shared with your business partner and what you can do to improve the situation. Evaluate your 3PL’s reporting based on clarity, transparency and whether or not the information provided and their supporting staff gives you actionable insights to help manage and improve your business.

5. You are in need of better management of vendor compliance.
Vendor compliance is an anchor in successful supply chain management, and your 3PL should be instrumental in managing an effective reporting platform that provides up-to-date, accurate and unbiased feedback to you and all of your partners. Ideally, the 3PL’s close involvement in operations means you should be able to delegate some of the everyday corrective and preventative measures to the 3PL in order to save you time and money.

10. You need additional services.
There are a growing number of 3PLs that offer bundled, multichannel contact center services in addition to their core fulfillment and logistics services. The best of these providers have sophisticated order management systems and utilize leading technologies such as VoIP (Voice over Internet Protocol), advanced workforce management and high performance call routing systems. And the best-of-the-best are highly skilled at up-selling, cross selling and save the sale. While it’s true that no 3PL is perfect, there is a 3PL out there that can fit your business needs perfectly. Your 3PL should be making it simpler for you and your business to manage resources, save money, build customer loyalty and, as a result, grow. If it’s not? Keep looking. Clyde Mount is president of 3PL Worldwide, Inc, a provider of third-party logistics and call center services to direct response, e-commerce and catalog marketers. He can be reached at (855) 375-9675 or via email at cmount@3plworldwide.com. 37

6. You would like to achieve an economy of scale by leveraging the existing relationships of your 3PL.
3PLs can afford more sophisticated software, controls and automation, and they can provide large shipping discounts through economies of scale. Because they can leverage their entire business and many clients for substantial discounts with trucking companies, 3PLs are able to achieve much lower operating costs per package shipped and reduce both direct and indirect labor costs.

7. You want to convert fixed-expense investment in a plant and equipment to a variable cost structure, matching revenue to expense.
You may have a lease running out soon or are facing a major change in business needs, but if you are insourcing

July 2012 | electronicRETAILER



Electronic Retailer - July 2012

Table of Contents for the Digital Edition of Electronic Retailer - July 2012

Calendar of Events
Your Association Your Bottom Line
Industry Reports
FTC Forum
eMarketer Research
IMS Retail Rankings
Jordan Whitney's Top Categories
From the Executive's Desk
Cover Story: Could You Sell Like Amazon?
Counterfeiting: Why We Should Care and What We Can Do
All Media Are Not Created Equal
Guest Viewpoint
Inventor's Corner
Retail
Fulfillment
Legal
Advertiser Spotlight
Bulletin Board
Advertiser Index
Classifieds
Rick Petry
Electronic Retailer - July 2012 - cover1
Electronic Retailer - July 2012 - cover2
Electronic Retailer - July 2012 - 3
Electronic Retailer - July 2012 - 4
Electronic Retailer - July 2012 - 5
Electronic Retailer - July 2012 - 6
Electronic Retailer - July 2012 - Calendar of Events
Electronic Retailer - July 2012 - Your Association Your Bottom Line
Electronic Retailer - July 2012 - Industry Reports
Electronic Retailer - July 2012 - 10
Electronic Retailer - July 2012 - 11
Electronic Retailer - July 2012 - 12
Electronic Retailer - July 2012 - FTC Forum
Electronic Retailer - July 2012 - eMarketer Research
Electronic Retailer - July 2012 - 15
Electronic Retailer - July 2012 - IMS Retail Rankings
Electronic Retailer - July 2012 - 17
Electronic Retailer - July 2012 - Jordan Whitney's Top Categories
Electronic Retailer - July 2012 - 19
Electronic Retailer - July 2012 - 20
Electronic Retailer - July 2012 - From the Executive's Desk
Electronic Retailer - July 2012 - Cover Story: Could You Sell Like Amazon?
Electronic Retailer - July 2012 - 23
Electronic Retailer - July 2012 - 24
Electronic Retailer - July 2012 - 25
Electronic Retailer - July 2012 - Counterfeiting: Why We Should Care and What We Can Do
Electronic Retailer - July 2012 - 27
Electronic Retailer - July 2012 - 28
Electronic Retailer - July 2012 - 29
Electronic Retailer - July 2012 - All Media Are Not Created Equal
Electronic Retailer - July 2012 - 31
Electronic Retailer - July 2012 - 32
Electronic Retailer - July 2012 - 33
Electronic Retailer - July 2012 - 34
Electronic Retailer - July 2012 - 35
Electronic Retailer - July 2012 - Guest Viewpoint
Electronic Retailer - July 2012 - 37
Electronic Retailer - July 2012 - Inventor's Corner
Electronic Retailer - July 2012 - Retail
Electronic Retailer - July 2012 - Fulfillment
Electronic Retailer - July 2012 - Legal
Electronic Retailer - July 2012 - Advertiser Spotlight
Electronic Retailer - July 2012 - Advertiser Index
Electronic Retailer - July 2012 - Classifieds
Electronic Retailer - July 2012 - 45
Electronic Retailer - July 2012 - Rick Petry
Electronic Retailer - July 2012 - cover3
Electronic Retailer - July 2012 - cover4
https://www.nxtbookmedia.com