+1 800 967-0030

Is It Time to Outsource Fulfillment for Your Online Business? (Part 1 of 2)

This is Part One in a two-part series.

Even though you have the benefits of having no storefront to manage (and all the hassles that go along with that), your online business has its own hassles.

Running an online business isn’t always as simple as some of the talking heads would have you believe – and as you start drowning under orders you’re starting to realize that. Managing inventory, being sure that orders are packaged correctly and shipping out those orders accurately are essential – but they don’t have to be your job.

Order fulfillment may be seen as a necessary part of the online business process but you don’t have to handle this aspect yourself. In fact, outsourcing fulfillment can bring you direct competitive advantages through cost savings and reliability. It can also bring indirect cost savings through freed up time to focus resources on marketing and other important parts of the business.

But how do you know when it’s time to make the switch from in house to outsourced order fulfillment? Be sure to ask yourself the following questions about your business and your goals:

  1. Is growing your business getting pushed further and further down your priority list?

    If online business success were as simple as setting up a website and letting the orders roll in, you could spend all of your company’s time on order fulfillment.

    Unfortunately, you’ve realized that in order to grow your business you need to spend time on product development (or sourcing), marketing, advertising and PR. You’re facing stiff competition no matter what industry you’re in, so these business growing tasks are important. When your order fulfillment needs are crowding out your business growth activities, you need to make a change.

  1. Are your sales experiencing significant seasonal shifts year-round?

    Once you’ve been in business for a few years, you should be able to predict the pace at    which your sales will spike and fall. If you are seeing a variable amount of sales year round, but your costs like warehouse space and fulfillment technology are fixed, your profit margins could be taking a huge hit.

    Outsourced fulfillment services can help you weather these spikes and dips with more ease. Since more fulfillment companies work with a per volume rate, you’ll be able to shift from a fixed expense model to a variable rate model which will help with cash flow.

This is Part One in a two-part series. Read Part Two here.

January 06, 2015
Share This:

Related Posts


Real-Time Order Tracking Or Bust

Gps tracking map. Track navigation pins on street maps, navigate mapping technology and locate position pin. Futuristic travel gps map or location navigator vector illustration “Where is my order?” “When will my package arrive?” If you are inundated with questions...

First In, First Out Warehousing and Fulfillment

Are you a seasoned inventory manager? If so, the acronym FIFO - which stands for First In, First Out - might be a familiar term to you. Put simply, the items are sold in the order they are received in the store or warehouse. FIFO is the go-to inventory management...

Grow Your Amazon Business With A Standout Listing

Do you sell on Amazon? If so, you are in great company. At the end of 2022, Amazon had over 2 million active sellers worldwide, making it one of the largest e-commerce platforms in the world. Businesses have the opportunity to reach millions of customers in over 180...

Scroll, Click, Buy: How to Sell On Instagram

Do you have an Instagram shop? Instagram Shopping is quickly becoming the preferred way for consumers not only to learn about new brands and products on Instagram, but also to purchase them in just a few simple steps. If you are not already selling directly on...

New Year, New You?

Every year, millions of people make New Year’s resolutions, hoping to spark positive change, adopt new habits, or even reinvent themselves. The recurring themes each year include a more active approach to health and fitness, improved finances, better relationships,...