Getting your products delivered to the right destination on time is vital to the success and reputation of your company. Outsourcing your freight services to a reliable provider is one of the best ways to ensure the safe and timely delivery of your products.
Your risk with freight services outsourcing is relatively low. Since you own the inventory, you won’t lose it if the company goes bankrupt. Your contract should reinforce this, as well as protect you from loss if the company should change ownership.
A comprehensive three to five year contract should also secure your pricing arrangement in case the freight services company is sold.
Make sure your business insurance covers loss of inventory from fire, flood or other disasters, just as you would if you used your own shipping facility.
If you have special warehouse distribution needs, shop around to find a company that can provide the services your business requires. Most of the smaller fulfillment companies are owned by a sole proprietor or partners. These businesses serve many direct response clients and are well known to companies that have call centers. Asking for references from several of their clients should give you clear picture of a vendor’s reputation.
Some factors to consider if you choose to outsource shipping and handling: Some shipping providers specialize in international product delivery. Other carriers are ideal for businesses that need to ship in large volumes. These offer cargo charter services, freight consolidation, warehousing and other services for high capacity enterprises.