10 Tips on How to Choose the Best 3PL Services


10 Tips on How to Choose the Best 3PL Services

An efficient 3PL service provider is capable of growing your eCommerce business by manifold. However, did you know that the key is to select the right 3PL company for you?

A professional and efficient Third Party Logistics [3PL] Services provider is equipped to enable you to increase supply chain and logistics efficiency, control costs, and improve customer service. Your 3PL partner should be able to deliver unmatched retail logistics performance and total supply chain optimization. However, different types of 3PL companies vary in the services they provide and the proficiency level of their solutions.

According to a report by ResearchAndMarkets on ‘Insights on the Third Party Logistics Global Market to 2027’, the 3PL market is expected to reach US$ 1,329.4 billion by 2027, registering a CAGR of 4.2% during 2020-2027. Multiple factors such as time, cost, increased internationalization, competition, virtual organization, and high consumer awareness significantly influence the 3PL development in North America. However, 3PL companies in the US often diversify their network to help eCommerce businesses expand quickly and efficiently, making it cost-effective.

ALSO READ: #InsightsByXPDEL: Consumer Expectations During the Holiday Season

Tips to Choose a 3PL

After all, the main outstanding expertise of a 3PL service provider is the capability to scale labor, space, and transportation needs irrespective of the fluctuation in inventory to cater to the requirements of their clients. Here are some useful tips for choosing your 3PL.

Make Sure You do Your Market Study. When you select your 3PL, be it the first one or whether you are changing your existing provider, do thorough research on the service provider. Always go for a 3PL with a proven success rate from the right processes and resources. They should have the ability to integrate with your existing systems in place.

Develop a Partnership. Nowadays, any 3PL provider leverages sophisticated logistics solutions requiring a high level of communication and data sharing. So, it is essential that you find the right 3PL partner with compatible culture and values who is trustworthy. They should understand your brand well, along with your supply chain priorities.

Check Their Offering Carefully. Always check cautiously the range of capabilities of all the 3PL providers you shortlist. Assess their range of capabilities, especially if they can customize as per your business requirements. After all, you require seamless and scalable supply chain operations.

Sophisticated Technology. One of the most crucial factors in selecting the right 3PL is to ensure that they have robust technology. They should be able to provide you with real-time supply chain and logistics data for efficient tracking. It also helps when your business is growing.

ALSO READ: All You Need to Know About Postal Injection

Scalability. You need to partner with a 3PL service provider who can scale up or down per your business requirement. An efficient 3PL should be able to balance multiple customers efficiently. After all, a shared-space environment is a major advantage of outsourcing your supply chain and logistics operations.

Ability to Customize. An efficient 3PL should be completely capable of customizing its offering and services to deliver excellence. After all, making adjustments as per order instead of only to stock allows you to cut production and inventory carrying costs.

Consistent Improvement. Look for a 3PL company that commits to improving its services with regularity and dependability. A strategic logistics partner should pledge to service excellence and quality management, leveraging proven processes to achieve the desired business outcome.

Efficiency in Handling Omnichannel Offering. Omnichannel retail is no longer an option but a must-have. It has become mainstream, and you need a supply chain partner who understands the nuances of omnichannel commerce and delivers the finest customer experience.

Widespread Distribution Network. An efficient and experienced logistics partner should have a network of locations, maintaining a strategic approach for network configuration. They should have strategically located warehouses and distribution centers to determine the right centers for optimal efficiency for your growing business.

ALSO READ: How the Right 3PL Partner can Help Your Company Grow

Check for Stability. You need to find a 3PL partner with a stable record of proven success. After all, your brand reputation is at stake. Find a financially stable partner who can invest in the facilities, systems, equipment, and human resources necessary for optimal logistics solutions.


To sum it up, before choosing the most suitable 3PL service provider for your eCommerce business, make sure you don’t rush to make a selection. Ask yourself the most important question as to why you are looking for a logistics partner or looking to change the current one. The optimal choice is concealed behind your answer to this all-important question.

Apart from that, hiring the correct supply chain and logistics partner gives you the time and energy to focus on your core business, such as developing and marketing your products.Look for an experienced partner with proven performance, a repeatable business model, and experience with your industry or business type.

About XPDEL:

XPDEL is not another 3PL provider in the supply chain and logistics industry. We help eCommerce brands accelerate their growth, empowering them with multi-channel fulfillment, whether shipping directly to consumers, delivering to businesses, or selling through retail stores. Powered by advanced technology and led by industry experts, we thrive on data and insights for making smart business decisions.