Third-party logistics (3PL) is a multi-billion dollar industry. Most of the Fortune 1000 companies use some sort of 3PL services; but for your business, you may be questioning whether the timing is right for you to take the plunge. The decision to contract with a fulfillment partner is a big one. There may be some hesitation due to unanswered questions. Knowing what to look for and what to ask of a potential provider is important. Here are five common concerns and ways to turn them to your advantage.
Planning and Managing Peak Returns Season
Overall, holiday’s sales this year appear to have been robust, with Mastercard reporting total retail sales were up 3.4% year-over-year for the period of November 1st to December 24th. Online sales represented 15% of the total, with total e-commerce sales up 19% over last year.
And now a new year is upon us and the flood of holiday returns has begun, with UPS estimating that 1.9 million return packages entered the UPS network on National Returns Day (January 2nd ). That figure represents a 26% growth in returns over 2018. The increase highlights the continual rise of e-commerce and the resulting surge in returns via delivery services.
So, with holiday sales booked and your attention now firmly set on managing peak returns season, let’s take a moment to identify areas you can audit this year to prepare for next year’s peak returns season.