Third-party logistics (3PL) is a mainstay of eCommerce fulfillment, offering warehousing, professional pick and pack, packaging prep, and handoff to shipping couriers. These providers are essentially \u201clogistics as a service,\u201d with some specializing in single points of the process (e.g., warehousing), and others providing a full-service solution, complete with distribution and courier handoff.<\/p>\n
In most cases, they present a cheaper alternative that\u2019s less resource-intensive and lower risk than setting up similar shipping capabilities in-house. They also give eCommerce brands access to professional fulfillment at a much earlier stage in the business life cycle. As a result, 3PLs are growing rapidly, with\u00a0over 21,000 such businesses<\/a>\u00a0in the U.S. Further, these providers handle an estimated\u00a060% of all global retail shipments<\/a>.<\/p>\n In this article, we\u2019ll look at how those services are able to save your organization money, explaining where specifically they can cut costs across logistics.<\/p>\n