Learn when and why ecommerce brands switch 3PLs. Explore key reasons like operational issues, outdated tech, and more for a smoother, scalable logistics partnership.
For ecommerce brands, Christmas is not just about enjoying family time and vacation—it’s also a pivotal time for planning the busy peak season ahead. One of the key decisions that many brands face during this time is whether their current order fulfillment setup is adequate to meet growing demands. Some brands may have outgrown their in-house fulfillment operations, while others may be struggling with issues related to their existing third-party logistics (3PL) provider. Regardless of the specific situation, knowing when and why it’s time to switch to a new 3PL partner is crucial for ensuring long-term success.
This article will explore the common pain points that signal when it’s time to migrate to a new 3PL and highlight the opportunities that await with a more efficient and scalable logistics partner like Daguer Logistics.
Migrating to a new 3PL can feel like a daunting task, especially for mid-market and enterprise brands. With systems in place, inventory to manage, and the hassle of switching providers, many brands tolerate ongoing issues just to avoid disruption. However, settling for familiarity can stifle growth and limit opportunities for improved efficiency.
Here are the most common reasons why ecommerce brands decide to make the switch to a new 3PL provider:
One of the most frustrating reasons for switching 3PLs is recurring operational errors. Problems such as mispicks, lost inventory, and missed service level agreements (SLAs) can result in poor customer experiences, which ultimately impact a brand’s reputation and bottom line.
Additionally, high operational costs that are inflexible and don’t accommodate a brand’s specific needs are often a strong motivator to find a more cost-efficient 3PL provider. Customizable pricing that fits the unique dynamics of a business can significantly reduce unnecessary expenses.
A lack of visibility into pricing, operations, and inventory can make it difficult for brands to optimize their supply chain. Opaque pricing models leave brands in the dark about what they’re being charged, when, and why. Limited data further restricts a company’s ability to make informed decisions about reordering products or adjusting stock levels. This lack of transparency often drives businesses to look for 3PL partners who provide clearer financial tracking and accessible reporting.
Technology plays a vital role in modern logistics. If a 3PL’s software is difficult to use or lacks the necessary functionality for seamless growth, brands may feel like they’re being held back. Fewer available integrations with ecommerce platforms and marketplaces limit a brand’s ability to expand into new channels and meet customer expectations.
Having access to real-time inventory management, warehouse tracking, and robust reporting systems is essential for staying competitive. When a 3PL’s technology fails to support growth, it’s a clear sign that it’s time to consider migrating to a provider with better technological infrastructure.
A limited national or international warehouse footprint can prevent ecommerce brands from delivering products to customers quickly and affordably. When a 3PL partner cannot offer warehouses in strategic locations, shipping costs increase, and delivery times lengthen—both of which negatively impact the customer experience.
Responsive and knowledgeable customer support is critical when dealing with the fast-paced nature of ecommerce fulfillment. Unfortunately, many 3PLs outsource their customer support teams, leading to slow responses, delayed resolutions, and a lack of understanding about the unique needs of a brand. Brands need 3PL partners with in-house customer support teams who are readily available to address any issues with shipping, inventory, and fulfillment.
If these pain points resonate with your brand’s current fulfillment challenges, it’s time to consider switching to a new 3PL before peak season hits.
While the idea of switching 3PL providers may seem intimidating, it presents numerous growth opportunities. When you migrate to a 3PL like Daguer Logistics, you’ll not only resolve ongoing issues, but you’ll also gain access to enhanced capabilities designed to improve efficiency and scalability.
Here are the key advantages of switching to Daguer Logistics:
At Daguer Logistics, the onboarding process is personalized and tailored to your brand’s unique needs. You’ll be assigned a dedicated onboarding team member who will guide you through every step of the transition. Whether you’re managing large amounts of inventory or navigating complex integrations, Daguer’s onboarding process ensures a smooth migration without interrupting your operations.
Transparency is a cornerstone of Daguer Logistics’ approach. With clear and concise pricing outlined in your contract, there’s no guessing about what you’re being charged. Line-by-line billing ensures that you understand your costs in real time, and readily available reports provide insights into every aspect of your business—from sales to shipping to inventory management.
Additionally, Daguer Logistics offers real-time visibility for complete order, inventory, warehouse, and transportation management. This means you’ll always have access to the information you need to make informed business decisions.
Technology should enable growth, not hinder it. With Daguer Logistics, you’ll have access to 100+ integrations that facilitate cross-channel selling and marketplace expansion. Whether you’re selling on Amazon, Shopify, or other platforms, Daguer’s intuitive software helps you manage operations with ease. The technology provides reporting, analytics, and real-time data, giving you complete control over your supply chain.
With a strategic warehouse network across the United States and internationally, Daguer Logistics offers the infrastructure you need to reach customers quickly and affordably. This helps reduce shipping costs, improve delivery times, and enhance the overall customer experience.
For ecommerce brands, the decision to switch 3PL providers isn’t one to take lightly. However, if you’re experiencing ongoing operational issues, lack of visibility, outdated technology, or poor customer support, it may be time to make the switch before peak season hits.
With a trusted partner like Daguer Logistics, you can resolve these pain points, improve efficiency, and position your brand for growth. Don’t wait until it’s too late—start planning your migration now to ensure a successful holiday season and beyond.
