Once you decide that the time is right to outsource your order fulfillment and shipping department, finding the best 3PL to do the job is only the beginning. You also need to decide what shipping service to work with, and what type of shipping options to give to your customers. This is a crucial decision to make, as it will affect, positively or adversely, the way that your customers perceive their transactions with your company.
Your 3PL provider will typically offer you a few choices when it comes to choosing your shipping company. The most common option, and the one used by most companies, is the use of a private shipping company, such as UPS or FedEx. The second option, which is rarer but still common, is using Canada Post. Each possibility has its advantages and drawbacks.
Advantages of Using UPS as a Shipping Provider
As the largest shipping and supply chain logistics company in the world, UPS (United Parcel Service) can be counted on to deliver your precious orders on time, every time, as well as offering industry leading tracking solutions. In addition, should a package not make it in time as it should have, contacting them is easy and they are always willing to go the extra mile to ensure that your package is redirected to the correct address without delays.
While UPS can often prove to be the more expensive solution, financially speaking, the level of service they offer, and the corresponding increase in customer satisfaction, are well worth the money. The peace of mind you get knowing that your packages are in good hands is not necessarily quantifiable in dollars, but it is a crucial part of your success, as well.
Can Canada Post be a reliable shipping provider?
Using Canada Post to ship your parcels can be risky, but depending on the type of products you ship, it may be worth it. Canada Post is ideal for low-volume, low-value shipments, which can be cheaply replaced if lost. Their tracking system is also quite rudimentary.
Please note that some 3PL will refuse to ship with anything other than UPS or FedEx, as other options put too great a strain on their customer service staff. Prices are also much more easily negotiated with UPS, which can give you access to certain volume discounts.