The advantages of warehousing and storage options include:

  • Allows a company to serve more customers
  • Creates an efficient shipping process
  • Improves inventory accuracy
  • Flexible with specific storage needs
  • Provides maximum security for products 

Taking advantage of cost-effective warehousing services can free up your time and resources to focus on other business needs. 

Contract Warehouse vs. Company-Owned Warehouse 

Contract warehousing and storage facilities are cost-effective options for many companies. Building and maintaining a company-owned warehouse requires a significant investment. You will need to invest in technology, transportation, and additional staff to handle the warehouse demands. 

Understand Your Warehousing Needs 

Once you determine that contract warehousing with a third-party logistics (3PL) provider is the right fit for you, your next step is determining your exact needs.

Some items to consider include:

  • How much storage space do you need?
  • What geographical location do you want the warehouse located? 
  • Do your products need to be in a temperature control environment?
  • Do you need a warehouse that’s also a distribution center?
  • Does the warehouse need to provide additional services? (i.e., sort and seg, cross-docking, etc.)

5 Major Advantages of Warehousing and Storage

Contract warehousing and storage offer many benefits that can save you money and time.

1. Safety and Security 

A well-equipped and protected warehouse ensures maximum security for your products. Make sure to find a warehouse that provides security protection in multiple faucets (security guards, cameras, and insurance). 

2. Scalability with Flexibility 

Taking advantage of warehouse services allows you to increase or decrease your storage quantity based on your needs. The flexibility is beneficial when you need to quickly increase storage space based on high-demand items. 

3. Ensures Inventory Accuracy 

Working with a 3PL warehouse provider that uses the latest technology makes order fulfillment easier. Advanced inventory technology will ensure you know exactly how much is stored and how much is moved (without the added resources on your end). This means you can easily plan for all orders. 

4. Serve More Customers in More Locations 

By storing products in different markets allows you to transport items to the customer or manufacturer quickly. It offers decreased transit times and transit costs. 

5. Enhanced Shipping Process 

Contract warehousing that also doubles a distribution center allows you to serve more customers with faster delivery times. A superior warehouse and distribution center knows the best storage layouts that enable them to move and ship your products to the customer quickly. 

3 Steps to Finding a High-Quality 3PL Provider

Here are some steps to keep in mind when searching for a 3PL warehouse provider. 

Step 1 – 3PL Qualities to Examine 

Look for companies that meet your standards on:

  • Expertise/reputation
  • Additional services 
  • Pricing
  • Distribution network
  • Capacity and scalability

Step 2 – Communicate Your Needs 

Talk to your top 3PL providers about your needs and get to know them more. Keep in mind as you talk with them that you want to feel good about the conversations since you will be working with them regularly. 

Step 3 – Choose the Best Fit 

Make sure you select the 3PL that is the best fit for you and the company. Once you’re confident of the 3PL you want to work with, make sure you don’t have any additional questions or concerns before signing the contract or service agreement. 

Warehouse Success with BLS

BLS is a trusted 3PL that becomes the warehouse extension of your company and can manage your transportation and delivery tasks. The BLS team stays current on the latest technology and logistics information to improve your warehouse storage services. 

Learn more about the BLS warehousing services

Contact a BLS team member to learn more about our warehouse services.