How MKM’s Workforce Stands Strong in an Uncertain Market

In today’s fast-paced logistics industry, stability is everything. Businesses need partners they can rely on—companies with a strong, verified workforce that won’t face disruptions. Especially as 2025 may bring unexpected changes.

That’s exactly why MKM’s hiring process strictly adheres to legal work requirements. This means we can offer what other distribution centers may not: consistency, reliability, and a team you can trust.

At MKM, we take pride in this workforce. Every team member is thoroughly vetted and verified. This ensures that our operations run efficiently and without interruption. With change on the horizon, some distribution centers may experience workforce challenges that could impact their ability to meet demand in the upcoming months and years.

MKM, on the other hand, remains steadfast, ready to take on new orders and support our partners without hesitation.

We understand that in logistics, any disruption can create a ripple effect, delaying shipments, causing shortages, and impacting businesses down the line. That’s why we’ve built our company on a foundation of compliance and integrity—so our clients never have to question whether their shipments will arrive on time.

Beyond reliability, our team’s tenure and deep expertise ensures that every aspect of each project is handled with precision. From inventory management to streamlined logistics and distribution, MKM is equipped to handle even the most complex supply chain needs. Our commitment to operational excellence means fewer delays, better coordination, and a seamless experience for our clients.

As companies navigate an ever-changing market, working with a reliable distributor has never been more important. A supply chain is only as strong as its weakest link, and partnering with an unstable distributor can lead to costly setbacks. With MKM, you can trust that your supply chain remains secure, your products move on schedule, and your business stays ahead of the competition.

When stability matters, MKM delivers. We are here to support businesses looking for a trusted partner who can adapt to changing demands without missing a beat.

Ready to partner with a distributor you can count on?

Tell us about your Project.

Custom fulfillment can be a daunting and time intensive task, even for companies who have been at it for years.

It has especially become a feat since Covid and the restructuring of how people receive goods. That’s why some companies make the switch to work with MKM after decades of doing it on their own. We take a complicated job and make it easy for our customers.

One such customer is The Book Company. For 25 years, The Book Company has sold books for big publishing houses like Random House, Simon and Shuster, and Harper Collins—to name a few. Many are promotional, meaning they are customized with company logos or page inserts from corporations or literary agencies, then shipped across the country.

Doug Greenhut, the CEO of The Book Company, sat down to discuss why, after so many years of working on custom fulfillment internally, they decided to make the jump to MKM.

Here’s what he had to say.

MKM: What made you decide to use MKM as your distributor?

DG: For many many years, we had been doing it all ourselves. But as time went on, we just saw less and less need for all the overhead associated with that. There was the warehouse, all the equipment, all the fulfillment services and shipping. You know, individually fulfilling custom orders was a lot, especially during Covid.

Let's say Microsoft comes in and buys 500 copies of a book and wants them delivered to 500 different people. That's not really the model that we had set ourselves up for. So we went out looking for a partner that could do this work for us. MKM was a perfect fit.

MKM: How long has it been since you made the switch?

DG: Two or three years now. We tested things for a while and tried different methods, and then we eventually transferred our equipment up to them. They took it all over.

MKM: That must have been a huge relief. What specific tasks have been the most important to your company to have done by MKM?

DG: It used to be custom kitting and fulfillment. We would send MKM a book and other products and they would take it all, put them together in a nice gift box, and then send those gift boxes out individually to people. Now, we've moved all of our production to them. They handle the pad printing of logos onto books, the insert of promo pages into the books. They do belly bands and all kinds of different customization options that we used to do in house. We don't even have a warehouse anymore. It really allowed us to completely eliminate a ton of our own overhead.

MKM: That’s a lot of trust and responsibility. What has your experience been like so far?

DG: The way MKM communicates and the willingness to constantly improve has been great. When you have a partnership like this, it's very unique, and there's so many different elements to it. The key is finding someone who can handle any issue. The greatest thing we found with MKM is their flexibility and efficiency. They're really willing to learn new things and then take on additional roles.

MKM: Have you worked with other distributors before working with MKM? If so, what was that like?

DG: You know, we did, yeah, we've had some other experiences over the years. But we jumped all in with MKM and put all of our eggs into their basket, per se. We really rely on them heavily now, much more so than with anyone else that we've tried.

MKM: That kind of partnership is so important for success. Is there anything else that you think has made this partnership work so well?

DG: I know that when we get in a pinch, they're willing to jump through hoops and make things happen. That's huge. Any last minute orders, clerical mistakes—they make sure it’s fixed quickly. My team has been really happy with everything they’ve accomplished, and in the end, everything they do is what makes them a good partner. We have a lot of respect for them.

Tell us about your project.

How a service mindset creates new offerings

The sentiment “no man is an island” is wise for businesses to remember as well. No one can do it all. More and more, we realize how important having a supportive network of people is for success . Otherwise, roadblocks can happen that not only challenge progress, but stops it in its tracks. In the case of logistics, that roadblock could be running out of warehouse space, juggling the cost and demands of certain tasks, or not having the time for a DIY option. Sometimes the best move forward is to outsource a job. In the long run, it saves time, cost, and unwanted stress. That’s why some of our favorite customers have put their trust in MKM to take on additional services.

The best part—all the new services we offer originated from current customer needs and requests. Which means, by extension, when you reach out and ask for help, we are flexible and more than willing to tackle whatever obstacle is in your path. That action may turn into a service we continue to offer. Or, it could be one just for you. We call it ‘custom logistics’ for a reason. What we do is customized to fit the needs you have.

Take a look at some of our newest services and consider whether these or any other could be right for you.

1. Pad Printing - The newest offering from MKM is pad printing. This encompasses a variety of printing types: including logos on fabric, paper sleeves on books, etc. This new service came about when a customer found printing in their space to be costly and time consuming. In turn, their printer left their facility and traveled to ours. Now, this customer has offloaded some of the work and also made their custom kitting jobs even faster and easier to accomplish. This means your custom kitting job could be made easier as well.

2. Shrink Wrapping - One amazing company we work with is Lakeside Learning. It’s always great news when a business expands and requires more inventory or services, but the downside is space in their facility can become limited. As Lakeside grew, they had to get creative with ways to save space, which led to their shrink wrap machine being placed in our warehouse. Not only were we assisting with their custom kitting work, but now we use this valuable tool to complete a major step in the kitting process for them. The net result is saving time, resources, and space in their warehouse. Tools are a major part of our business, especially those that speed up the process of getting goods to those who need them. However, there are other ways for MKM to provide seamless service.

3. Warehouse Management Systems - For BDA, a longtime customer, we became an extension of their business by adopting their warehouse management system. This allowed us to make our custom kitting work together efficiently. This is one of the many ways MKM has adapted to make your work as a business more efficient.

From as simple as a shrink-wrapping machine, to as complex and large as a warehouse management system, we strive to always take care of our customers in new ways. Our business expands based on customer needs, feedback, and continuous innovation in the 3PL world. Work with MKM and you will find us asking “How can we help?” That’s because we strive to be a valued extension of the organizations we work for.

So give us a call. Let’s talk about how we might help you.

Tell us about your Project.

There’s More to Custom Kitting Than You Realize.

Custom kitting is one of our favorite parts of the work we do at MKM. That being said, it’s more of an in-depth process than most people imagine. It’s not just picking and packing. It’s much more than that. Every custom kitting job is unique and varied. No project steps are exactly the same. So they always take skill, problem-solving, and flexibility to ensure quality at every step.

So you know what to expect, here’s our custom kitting process:

Step One: The project

• We’ve agreed on the content of the project, as well as timelines and budget. We’re clear as to what will delight your customers. We know what you expect. Now, we move forward.

Step Two: Photography

• Once we receive your unique merchandise, we photograph every item that will go into your package. This is a step most of our competition does not do. This ensures you are aware of every part of the process right away, before anything becomes an issue. Because problems arise. But these photographs allow our customers to pivot and contact their supplier to get replacements if needed. And because gathering inventory takes time, this step provides an invaluable leg up.

Step Three: Inventory

• All items are immediately placed in our inventory system. We create skews and our own item numbers to keep track of everything throughout our large facility. This isn’t typical, but keeping your project organized and easily accessible is important to us.

Step Four: The Assembly

• Custom kitting projects include multiple pieces to make the final product come together. There are typically layers in every order and you need them to be perfect. The recipient sees the package as an extension of the brand. The attention to detail in packaging impacts that sentiment.

• We also photograph the assembly of each layer of the package, creating a record of every step of the project, and then how it appears in its final form. Your vision of the product matters. If any issue arises, you will have the opportunity to catch it before it ever leaves our warehouse.

Step Five: Shipping

• Once we’ve assembled your custom kitting project, it leaves our warehouse. But even that isn’t simple. There’s a lot of behind the scenes work to make sure all of your items get to where they need to go. We provide our customers with a tracking spreadsheet and distribution list so you know exactly what is happening with your orders. No surprises from MKM. Ever.

Custom kitting does not have to be complicated or fraught with unexpected twists and turns. The team at MKM has processes in place to make kitting as simple as possible. We want the same thing you do - a delighted customer experience.

The impact of custom kitting begins when a package is opened. You will see the impact of our industry experience the first time we talk. We’re ready when you are.

Tell us about your Project.

In 2022, the only constant is change. While logistics and shipping has always been an evolving field, the pandemic brought an entirely new set of challenges.

And you can be sure, when challenges arise, change is around the corner. But no matter what curveballs the industry throws, it’s up to your 3 PL provider to problem solve and figure out how to get goods on the road and into the hands of customers. Knowing what to expect will make that easier on both ends, so here’s MKM’s top observations of what to expect in 2022:

1. Customers are over-inventoried

   1. Stocking issues have been a recurring theme for the last two years. What started with a toilet paper frenzy by consumers has turned into a supply chain bottleneck from lack of resources and workers. When either of these issues arise, business owners tend to over-purchase because, of course, everyone wants to have the products needed for customers. That’s usually a win-win, unless it leads to over-inventoried warehouses.

   2. For providers, there’s a fine line between being adequately prepared and having an unnecessary stock pile of goods sitting in storage. The main issue with this is there’s not enough space to store all these goods. If they aren’t flying off the shelf, they accumulate and take up space. Or, as one customer experienced after accumulating a mass amount of their product—people were not buying it. Simple as that.

   3. So as you move forward in 2022, keep realistic stock of what you have and what you will need. Don’t allow the panic of others to misguide your decisions. When we look at the entire picture of what the customer really wants and needs, making these types of tough calls can become easier.

2. Expectations have shifted

   1. For years, most of us became used to the ease of online shopping, of items arriving sometimes even the same day. Now, long gone are the days of overnight deliveries as the standard. Now, prices are the same (or higher), and shipping takes longer. We’ve gone back to the way it used to be, remember those? When items took 5-7 business days or, sometimes, even months.

   2. Shifting our expectations during a time like this—when inventory is in flux and carriers have lowered their standard—is paramount. Whether it’s due to inventory and staffing shortages or a shift in expectations among companies and consumers, the important thing here is to step back and recognize that the standards have changed. If you make business decisions keeping all the various curveballs in mind, you’ll have a much easier time when a new one comes your way.

3. Being nimble and strategic is more important now than ever before

   1. 3PL providers have always had to juggle. There are hundreds of details and hundreds (not sure about this number haha) of clients. Not to mention the constant adjustments and changes that occur every hour.

   2. Problem-solving is our specialty.

   3. But in 2022, this skill is more important than ever before.

As we continue through 2022, knowing what to expect in the world of logistics is crucial, not only to help your business, but to communicate effectively with customers. When everyone is prepared with realistic expectations, every step is easier. But none of us can do it alone. So put your trust in a 3PL like MKM, a company with decades of experience that has dealt with all the changes in the industry. Let us help you navigate and face obstacles head on.

Tell us about your Project.

At MKM, we strive to consistently improve the fulfillment process for all our clients. That’s why building strong and collaborative working relationships is a key part of our culture.

We want long-lasting partnerships that help businesses succeed in every possible way. No one knows this better than our long-time client Dave Keller.

Dave Keller has worked in different industries through the years. But there’s been one constant: his relationship with MKM.

Starting off with a major Indiana retailer, then Federal Mogul in Indianapolis, Keller has worked with MKM’s fulfillment and distribution team for nearly three successful decades. So we sat down and talked to Keller about what drew him to MKM and what keeps his business relationship with the company to this day.

MKM: What specific tasks did MKM handle for the companies you’ve been at?

KELLER: Being a 3PL, our facility would get full and we would have certain product lines and things like clothes that we needed MKM to store for us. They would sort and segregate all the SKUs. They would sort it by store number and then store it in their facility. They kept everything organized. Such a big help.

MKM: What has your experience been like working with MKM?

KELLER: They’ve been a great partner. I would recommend them as a 3PL provider any day.

When I left a large retailer in 2015 I went to work for Federal Mogul, They were an auto part distributor. So it shows you the versatility MKM was able to provide. We distributed lightning, windshield wipers, and oil filters for Auto Zone, Carquest, all these car shops.

So my first day there, it was very strange, my plant manager and I were discussing things that needed to be done. He mentioned something about “We could get an outside service to help us with this.” I said, “I’ve got one, what about MKM?” And he said, “It’s funny you say that, we’ve already done business with them and we love them.” It’s a small world. An hour away from my old job, and still MKM was known in the area.

I’ve [recently] started working at a 3PL in Florida, and I got to see what MKM went through for all those years with us. It really gave me a sense of appreciation for what they do.

MKM: In what ways did they make the process easier?

KELLER: If they had an issue or a question, they would never do anything without notification from us that it was okay, that it was the way we wanted it done. They have fabulous communication.

And even now, after being in Florida and not needing to do business with them for over three years, I still have a great relationship with Maeghan [Hurley] and I still rely on her business knowledge.

MKM: What would you tell the person why you would want to use MKM now?

KELLER: You’re going to get fabulous service. You’re going to get personal attention. Maeghan goes far and above giving that personal touch and making sure you feel like your business is the most important business they do. I always felt like when I had MKM’s attention, they were solely focused on our needs. But that being said, even knowing they had other customers and things they had to deal with too, I always felt like I was their only customer.

MKM: Do you have any exemplary moments of a time when MKM went above and beyond for you?

KELLER: I just know that I can’t specify one specific time because I felt like almost every time they went above and beyond.

For example, I’d ask them to have a specific project done by the end of the week and it was already Wednesday. They would work overtime and get it done to make it successful. I can’t remember a time they let us down at either facility I was at. Sometimes I was asking the impossible and more times than not they came through.

So one specific time—no. Because there were a lot. Every time they went above and beyond.

Tell us about your project.

How to tell if your logistics company is doing it right.

When it comes to logistics and getting products out into the world, there are a lot of linked parts. Your 3PL is only one part of this chain, but they are an important one. And let’s be honest, all of us are fed up with hearing about supply chain issues. Despite being a real challenge, it is not insurmountable, especially if you’re working with the right logistics company. There are ways to mitigate bottlenecks and manage the many kinks. The question is, “Is your logistics company doing that for you?”

Here are three questions you can ask yourself to identify if your current supplier is managing the supply chain or letting it manage them.

1. Are they being completely transparent?

Transparency can mean different things to different people. But in regards to supply chain issues–is your logistics company leveling with you and dealing with the elephant in the room? Challenges like freight coming in late or getting to where it needs to be can be difficult to discuss. But without transparency, expectations can be off and leave everyone dissatisfied. Especially the customers.

A process of open and honest conversation should be initiated by your 3PL. If your logistics company isn’t starting these types of transparent conversations, consider finding yourself a new team to work with.

2. Are they reliably communicating?

Speaking of open and honest conversations, those talks should be a regular occurrence. Supply chain is an issue rife with shifting sands. Things change. Every day there are new delays and or new dimensions to the current delays. As a result, communication channels should remain open.

Having these types of conversations on a consistent basis gives you a leg up in the industry. By dealing with new problems quickly and head-on, you’ll avoid complications piling on top of each other. This is why you must look at your logistics company as a partner, not simply a vendor. Strong communication is a bridge to prompt solutions.

3. Are they bringing you ideas?

It is difficult to be proactive when you are putting out the kind of fires present with the current supply chain. Some aspects are in your control. Many are not. The key thing your logistics firm should handle is bringing you concepts that can decrease the problems you have to manage.

Here are a few ideas they should be bringing to you:

• Pre-ordering items—planning ahead and being proactive can save you a lot of headache down the road. Good 3PL companies know this and should be bringing these types of solutions to you from the get-go.

• Increasing inventory—this usually wouldn’t be necessary, but with back-orders and staffing issues, having increased inventory on the shelf is never a bad thing.

• Control shipping expectations—Transparency is ideal for everyone involved in the supply chain. That includes your customers. Any knowledgeable 3PL should be ready to help you make accurate and realistic expectations for consumers.

Choosing the right logistics company is vital for a flourishing business. But pricing isn’t the only factor to consider. A 3PL that can navigate the current supply chain challenges requires outstanding communication and problem-solving skills. So when finding the perfect fit for your business, look for transparency, reliability, and proactive ideas that will keep you one step ahead.

That’s what we do at MKM. It’s how we’ve run our business since the beginning: one step ahead.

Tell us about your project.

The case for custom fulfillment

Whether you run a thriving enterprise or operating a small to medium-sized business, custom fulfillment could meet your customers’ needs better and make your life easier.

As you start to think about ordering and shipping your products, where do you start? If you go to a huge logistics provider, you may be asked about your volume early on. They may want to know about your pack and ship, which you probably haven’t even established yet. They may expect you to order a round number that either creates under-deliveries of orders or leaves you with excess product. And, just like a friend of ours learned the hard way, they might drop your order without warning right before it’s due to ship.

Large businesses with established distribution networks may feel that they’ve dodged a bullet when they hear about the complications a small business or startup can face. But even established companies can find themselves in need of a faster delivery, a specific packaging process, or a unique offering. And then they run into the same problems startups and small businesses face. Often, large distributors just won’t cut it. They are not built to be flexible.

This is why custom fulfillment is so important. Some projects need to be tailored and require special attention to meet the needs of your customers. At MKM, we specialize in custom fulfillment because we’re driven by the challenge of solving your unique problems.

Take the example of a top shoe brand. This brand has most of its shoes made overseas. It got the kind of shipment every U.S.-based company that outsources production fears: the shoes weren’t matched up in size, style, or gender. It was a nightmare for the brand’s top distributor. The first time a botched shipment like this arrived, it took the brand’s trusty distributor over a month to sort the shoes correctly and get them shipped to their final destination. The second time a botched shipment arrived in the U.S., the brand’s established distributor recognized it was taking way too much time to execute a sort. They reached out to MKM, hoping for a custom touch. The team at MKM segregated the shoes and had them on the road in a day. My team saved that brand tens of thousands of dollars and got their product to the end user much faster.

To this day, that brand uses their third party distributor for normal orders. But anytime they need custom fulfillment, they call on MKM.

Not everyone has a need for an emergency backup. Some businesses are on the lookout for a long-term distributing partner. Remember the friend we mentioned earlier? This CEO of a startup had his first shipment set up and ready to run with a large provider. The evening before distribution was scheduled, this company dropped his order entirely. He contacted us, understandably frantic. We mobilized and provided him the custom fulfillment he needed to keep his new business alive. He learned the risky way that large distributors don’t ever become partners. If you want a partner, you go custom.

Are you wondering whether a project of yours could benefit from custom fulfillment? Ask yourself: if someone else who is experienced and prepared absorbed that task for you, would it leave you room to grow? Would it give you more time and energy to spend on your own expertise?

We’re passionate about empowering our partners to serve their customers in the best way they can. One size rarely fits all. When you are ready for custom fulfillment, talk to MKM. Bring us a challenge. We’ll deliver.

Retailers, we’re entering uncharted territory in e-commerce fulfillment. Consumers today have higher expectations for their customer experience than ever, and it’s up to you to meet them. How can you stay ahead of the curve and keep your customers happy? From better customer service to flexible shipping and delivery options, here are the 10 biggest trends in e-commerce fulfillment to keep in mind this year.

1. Give your customers more opportunities to ask you questions

Your customers want to talk with you before, during, and after their purchases. So, make yourself available. There are many ways you can make yourself available – whether it’s a link to live chat on your website, inviting phone calls by displaying your number in prominent high-traffic places on your site, or being more active in responding to customer questions and feedback on social media. Fast and friendly customer service will help your customers feel comfortable with your business.

2. Dim weight

In 2015, FedEx and UPS changed their billing processes to account for dimensional (dim) weight for all domestic and international package shipments. Calculating dim weight adds another layer onto an already complicated shipping process – and if not considered ahead of time, measuring by dim weight can be more expensive.

3. Customers want to know exactly when their product will ship

When checking out online, customers like to see several shipping options – especially ones that are fast and free. Open communication with customers about when they can expect their product to arrive, a tracking number if you have one, and the ability to ship to nontraditional locations such as their local store or a delivery locker.

4. Omnichannel commerce

More retailers are striving to create a seamless customer experience between brick-and-mortar stores and their website. A few ideas include offering free delivery to your store, creative promotions connecting in-store and online, or even a mobile app with more information about the products you have in store.

5. Simplified returns process

Time to clean up your returns process. An unclear and complicated returns process leads to unhappy customers, and retailers are taking the hint and making returns as simple as possible. A few trends are including a return shipping label in the box with your products and offering free shipping on returns.

6. Clearer returns policies

Where are your return policies spelled out on your website? Are they covered with legal jargon or vague language? More retailers are digging these out and making it easier for customers to read and understand. Straightforward, friendly return policies will help your customers feel more comfortable about purchasing your products.

7. Ecommerce forecasting

Forecasting busy and slow times in e-commerce has been a growing trend for the last few years. As technology continues to improve, so will the ways to forecast your demand – and be able to more accurately plan staffing levels, inventory, and delivery schedule.

8. Subscription services

More and more companies are adopting a subscription delivery model, where customers receive several small packages over a period of time (usually a few months or a year). Subscription models are a great way to engage customers with your products and create a sense of loyalty to your brand over time.

9. Packaging personalization and customization

Do you include a note or receipt in your packages? Think about adding the customer’s name and a little message or coupon. Little things, like thanking your customers for being so awesome and inviting them to talk to you if they’re unhappy with their purchase, can lead to big things, like stellar product reviews and buzz on social media. Your customers matter to you – make sure they know that!

10. New fulfillment center and warehouse technology

Fulfillment centers equipped with new technology are seeing quicker and more efficient operations. New transportation management systems and supply chain software allows you to automatically track orders and inventory levels, easily add new SKUs, and keep data secure.

Warehouse management is constantly evolving. Keep an eye on the trends and think about how you can make the most of the advances in e-commerce fulfillment to make your customers happy.

Strategic delivery services don’t just happen on the road. You can save precious time at the distribution and loading dock, too. That’s where a 3PL with a transportation specialty comes in. When you work with transportation experts, you can rest easy knowing that your shipments are getting out in good time.

5 Signs Your 3PL is Serious about Great Transportation

Today’s top retailers know the importance of customer satisfaction. The global economy has raised consumer expectations and demands to the extreme. If your brand is going to compete, you know you’ve got to stay ahead of the curve. When it comes to e-commerce, there’s a fine line for fast shipping. Teaming up with a great 3PL can help give you that edge—as long as you know what to look for.

1. Specific Experience

Transportation services have boomed in recent years, but that doesn’t mean all 3PLs are equal. For important yard work, you want to go with a company that’s experienced and well-trusted. MKM Distribution Services has over 35 years of experience in the trucking industry. Because we’ve learned to grow and adapt to the unique challenges in e-commerce, we’re an ideal fit for most large-scale retailers.

2. Dedicated Contractors

When you outsource transportation, it’s important to go with a company that has a stable driving pool. Our company’s experience and track record allows us to find and retain contracted drivers on your behalf. That way, your operation isn’t burdened by recruitment processes, onboarding, or high turnover.

3. Ability to Plan Ahead

Our team of logistics specialists can help you solve your most crucial, time sensitive issues—just like we’ve done for plenty of other major retailers. You want to hire a transportation company to help your productivity, and that means they need to have the right people on staff. MKM is dedicated to serving your business with the utmost respect and care. We use our insight and expertise to help ensure our yard is protected from preventable interruptions, day after day.

4. Reliable Equipment

Regular maintenance checks for spotters will help keep your operation streamlined. Be sure to check whether your 3PL provider takes the time to perform these vital steps. At MKM, we service all of equipment regularly. We even have backup spotting equipment available nearby. Since we have multiple spotters across our service area, it’s relatively easy for us to expand our fleet to meet your needs.

5. Scalable Services

We work closely with our clients to develop the unique 3PL solutions you need—whether that’s with one-off projects, seasonal fluctuations, or something more long-term. Our crew isn’t just trained for professional spotting. We also provide experienced picking, shipping, material handling, unloading, and inventory process services to help keep our clients’ operations on schedule.

MKM Distribution is ready to assist your company year-in and year-out. No matter what your transportation needs might be, we’re here to work with you in developing a strategic, creative solution for your bottom line.

To learn more about our logistics solutions and services, please send us a message. We would be happy to provide you with additional resources on our process. 

Imagine having all of your products in four or five separate locations. Now imagine trying to get a product from each of those distribution centers to one location. In theory, operating multiple distribution centers doesn’t sound so bad. However, the logistics of running multiple distribution centers or origins for products can become a nightmare. For many, this has always been the way distribution has been, but distribution certainly does not need to stay that way.

One of the best ways to alleviate the logistic nightmares of operating multiple distribution centers is to create a central distribution center. From a single distribution center, you will be able to access all of your products and still be able to ship them where they need to go in a timely manner. A centrally located distribution center allows you to focus more on the important aspects of business, like retail, rather than trying to figure out how to get your products to customers.

Here are a few of the big retail logistics advantages to housing your products in a central distribution center, rather than multiple warehouses.

• Accessibility: One of the biggest advantages of having all of your products in one central location means you have easy access whenever you need it. Instead of trying to keep track of which products are where, you know, at all times, where your products are and how to access them.

• Transportation: While you might see a slight rise in your inbound transportation costs, the fact that all of your products are in one central location will make shipping your products much more efficient. Yes, sometimes your products will have to travel a little further than they would if you had multiple distribution centers. However, spreading your products throughout multiple distribution centers could mean delays in the shipping of some products over others, potentially leading to customer dissatisfaction. Multiple distribution centers also means there are multiple delivery routes, which can make the logistics of distribution even more congested.

• Reporting: Depending on what sort of business you’re in or what sorts of products you offer customers, you need to keep a close eye on what you have in stock. With a central distribution center, creating these types of reports becomes incredibly easy. You only have to go to one source rather than track down multiple reports from multiple distribution centers.

• Costs: You’ll save money in the long run since you won’t operate multiple distribution centers. You will also be able to cut down on employee costs because it does not take as much manpower to operate a single facility when compared to multiple centers.

Having a centralized distribution center may not make sense for every company out there. For some, having multiple distribution centers makes sense. However, if you are moving a lot of products and are in a large area, the advantages of having a centralized distribution center could make it the right choice for you and your products. 

Interested in learning more? Just give us a call or shoot us an email.

There are many different theories and techniques when it comes to retail logistics and distribution. Companies can choose between operating one centrally located distribution center and operating multiple distribution centers throughout a region or country. There is plenty of debate regarding which is most efficient and effective. Ultimately, it all comes down to how much product you are shipping and where you are shipping. Depending on these factors, one of the two models is probably more appropriate for you and your business than the other.

Imagine trying to get your product to the middle of Texas when your single distribution center is located in New York. While the product would eventually get there, would you lose anything by having it take so long? When you have multiple distribution centers, there are clear advantages that will help your business in the long run. From saving on transportation costs to making customers happy, the use of multiple distribution centers just makes sense.

Here are a few of the advantages you will find by using multiple distribution centers.

• Quick Delivery: With multiple points of distribution, delivery time can be cut down pretty dramatically, which means you can move more product at a quicker pace. Instead of customers waiting for products to arrive from one central distribution center, orders will be shipped quickly from various centers to nearby addresses, meaning products arrive quickly.

• Low Transportation Costs: Because products will be spread out over a larger area when you use multiple distribution centers, the cost of delivering an order can significantly decrease.

• Easy Access: Instead of having your products only in one place, they will be in multiple places, which means if you need something for display, in a retail center, or need to get it to a customer, the entire process becomes much easier. Having your products spread out means having easy access at multiple points rather than one location.

• Multiple Inventories: When you have just one distribution center, even if it is centrally located, you only have one inventory. By spreading your inventory out over multiple distribution centers, it seems as if you actually have multiple inventories, which will serve as a sort of back-up system for when one location runs out of a particular product that you need to ship.

The advantages of having multiple distribution centers go well beyond what is listed above. With the right shipping methods and logistics, having multiple distribution centers can save you money, time, and allow you and your business to function much more efficiently.

Of course, other companies may find more advantages to a central distribution center. 

Contact us to figure out which is right for you.

Drivers aren’t just driving anymore. It takes more than just delivering boxes and unloading them. Drivers are offering a lot more services—things that aren’t necessarily in their job description, but are important to retailers. That may mean taking out the trash from a delivery, or a number of other things. As a retailer, here are a few things you can expect from white glove delivery.

Large or Small

People often associate the deliveries of small packages with parcel services, like UPS or FedEx. White glove delivery, however, may mean that specialty carriers are dropping off smaller packages to a business instead of a parcel service provider. And there’s one important difference: you never know when UPS or FedEx might show up. A white glove delivery driver, on the other hand, will give you a finite window during which you can expect your delivery, whether large or small.  For a retailer, product and sales associates need to be in front of the customer to capture every possible sale, and if managers know when a delivery will arrive they can schedule staff accordingly.

Special Delivery

Not all retailers have a back door. With some in malls, that means all deliveries have to come through the front door, regardless of whether the package is large or small. During hours, that means there will be customers in the store, shopping. White glove delivery is an assurance that a driver will be polite to other customers without bothering them, navigating the delivery through the store in the most effective way without affecting the shopping experience, especially when stores are crowded during the holidays. Outside of business hours, it gets more technical. Drivers are responsible for understanding cues so that no store associate ever feels threatened in any way. There’s a focus on professionalism.

More than Scanning

It’s easy to scan a box, nod your head, and move on about your day, but white glove delivery often requires more than that. It may even mean becoming familiar with a specific computer system to assist in putting inventory into system. Drivers may not be responsible for moving boxes around, but if it’s necessary to do so when they show up with a delivery, it’s something that they’ll do.

It’s not just delivering a package. It’s making sure that the retailer gets the kind of service they deserve, and help with the things they need. For us, that means going above and beyond. Reach out to learn more.

E-commerce is the future. Without utilizing it, retailers will get left behind, because you can bet that if you aren’t taking orders online, your competition is. At the same time, fulfilling online orders is a complicated task. It’s not as simple as simply shoving some items in a box and mailing it out. There are a lot of factors that go into e-commerce fulfillment, and all of those factors have costs associated with them. Some of those costs may be what you would expect: the direct costs. Other costs aren’t so direct; they’re just a result of fulfilling e-commerce. Over the course of several blog posts, we’ll look at the wide variety of costs associated with e-commerce fulfillment.

Transportation

To fulfill e-commerce orders, you need product. That product needs to arrive to your facility on a truck. Simple, right? And while these inbound freight costs should be evaluated, measured and monitored, they are hardly the impact on your bottom line that your outbound shipping costs amount to. For example, it may cost $800 to deliver a truckload of 10,000 inventory pieces.  That’s 8 cents per item to receive the product. But to ship that same item out via a parcel carrier amounts to dollars per item. And if you can shave, say, $.50 per item from your parcel shipping costs, then that amounts to significant savings over the course of a year (we go into more detail on this in the next section). Bottom line. Transportation costs matter, but in an ecommerce operation inbound transportation costs don’t have as much impact on your per item costs as outbound parcels do.  Your time is best spent ensuring your Third Party Logitics Provider (3PL) is price competitive and that you are geographically located to gain the most savings on outbound transportation.

Keep in mind that transportation and 3PL providers get impacted by outside cost increases as well. The biggest factors driving transportation costs right now, aside from fuel prices, are regulations and capacity: driver shortages, equipment (truck & trailer) shortages, and hours of service restrictions (CSA 2010). Plus, insurance costs are skyrocketing and there is even a proposal for a mandated 10-fold increase in liability insurance coverage.

Location

Of course, a significant factor in e-commerce fulfillment costs is location. It directly impacts a number of things. First is rent. Are you in New York City? Then rent is higher than say, somewhere in the Midwest. Second is labor. Again, major markets tend to draw higher salary costs, even among hourly workers. And speaking of workforce, location plays a pivotal role in available labor. Does your location have a shortage of labor or a surplus? Another point to consider with location is access to transportation. Can you get trucks in and out of your area efficiently? Do you have easy access to major highways? The last consideration for location is about shipping times and costs. If your location is remote or even isolated from major population centers, you may have longer shipping times or higher outbound shipping costs to customers. Today, because of larger shippers like Amazon, 2-day shipping has become the norm. So if your location limits you to 3 or 4 day shipping to a majority of your customers, then you may find yourself losing out to your competitors who are more ideally located and can ship faster.  Or you may be spending extra money on priority deliveries. Location also impacts your bottom line; let’s assume the average e-commerce order has 2 items in it. If the fulfillment center is geographically positioned to save an average of $0.50 per package on shipping, then the savings on outbound shipping for 10,000 pieces (or 5000 orders) is $2500.  It adds up quick.

Transportation and parcel costs are one of the largest categories of spend for an online retailer.  When analyzing your shipping spend, consider where your optimal fulfillment location(s) would be to get closest to a majority of your customers.  For some this means adding regional centers, and for others this means adding a single central location.

So what’s your take? Do you have a handle on your transportation and location costs? How much do they contribute to each shipment you make? For more information on this topic, download our white paper. Or reach out. We’re always here.

Businesses are proud of a lot of things, but the quality of the things they produce might be their greatest source of that pride. Because a customer purchases a product they believe is high quality, those businesses want to make sure that customer get what they ask for. When a product is well made, customers realize that and recommend it, and often the company, to their friends, and so on. Even with a focus on quality, though, things can slip through the cracks and damage a brand. Depending on your warehousing partner, some items that come in already damaged or not packaged correctly can still be shipped out in orders. There are many reasons why quality control at the warehousing level is important.

Limiting Returns

Returns are pricey, and a large number of items are returned because they’re defective, or at least packaged incorrectly. They cost money to process, to inspect, and to reship (if the customer even wants a new item). Then you have to refund the original money, and then perhaps repair or simply scrap the original item. In order to limit the number of returns, a simple quality check before an item is stocked can make a huge difference. If there are a large number of defects in a specific run, the entire load can be returned to the manufacturer without ever reaching the end customer and potentially damaging your company’s reputation.

Order Accuracy

A batch of defective products can hurt e-commerce fulfillment, especially if there are orders for that item waiting to go out. Even if items come in defective and are stocked, a quick check for quality before they’re pulled can ensure that an order is picked and sorted correctly, avoiding a potential return. An accurate order ensures the absolute best experience for the customer, and that’s always the best outcome. 

Bigger Problems

On some occasions, a warehouse may end up with returns based on the specific way an item is put together. That may mean an off stitch in a piece of clothing, or maybe a protective film was put on a screen before the outer case was put on, making it impossible to remove without dismantling the item. Some customers may simply deal with it. Others—most likely the majority—will just return the item. This creates a lot of extra work, which means time lost. If a warehouse notices the issue early on in a quality control check, they’re able to alert the manufacturer so that they can adjust the way they piece together their items. 

One sure fire method to securing your demise is to underestimate the importance of your shipping and handling fees for e-commerce fulfillment.  Too high or too low and you can wreck your e-commerce business model. If you charge too much, your cart abandonment rate can skyrocket. If you charge too little, your profit margins can quickly disappear.

For most online merchants, cost of goods sold and operating costs are fairly easy to calculate. But shipping and fulfillment costs are sometimes difficult to determine, by comparison. One way to handle this problem is to reduce the complexity of shipping and handling to a single spreadsheet that captures everything you need to know.

Determine Current Rates and Volume

First, gather all the facts about your current shipping costs.

Determine current shipping rates. 

To begin, you will need:

1. The current USPS rate chart for USPS shipments.

2. The UPS daily pick-up rate chart if you have a UPS or FedEx contract.

3. The UPS retail rate chart if you drop off your parcels at a UPS or FedEx store.

Please note that the published daily pick-up UPS and FedEx base rates and surcharge rates are the same – there are some minor differences in the retail rates (sometimes called counter rates) that are charged by UPS stores and FedEx.

Determine surcharge rates. 

These are typically the USPS delivery confirmation fees, UPS and FedEx residential and delivery area surcharges and the UPS and FedEx fuel surcharge.

Estimate surcharge volume.

This is the percentage of your UPS and FedEx parcels that are subject to the residential surcharge and to the delivery area surcharge. You will also need to estimate the percentage of your USPS parcels that include the delivery confirmation option.

Determine your per-order warehouse and supplies expense.

To do this, add your monthly warehouse labor cost, shipping supplies expense, and facility cost (excluding USPS, UPS or FedEx delivery costs) and divide this by your average monthly shipping volume. For example, if your total warehouse and supplies is $5,250 per month and you ship 1,000 orders per month, the per order cost equals $5.25.

Per-Order Costs

Then, calculate your average, per-order shipping and handling costs. Using a spreadsheet, include current USPS and UPS base rates and surcharges rates. Include a line item for warehouse and supplies expense and surcharge usage factors, such the UPS residential delivery surcharge. When a rate calls for a zone designation, use Zone 5, which is about the average amount compared to the entire Zone 2 to Zone 8 cost range. You can easily change these assumptions to match the facts of your unique shipping and handling situation.

With this simple model, you can project your actual shipping and handling cost for each package weight as well as rate-shop between carriers and delivery methods.

Compare Sales Amounts to Shipping, Handling Costs

Next, compare your individual sales totals to their corresponding shipping and handling costs. Since you now know your shipping and handling costs by package weight, simply compare a representative sample of your per-order sales totals to their individual package weights and associated real shipping and handling costs.

From this, you can develop your shipping and handling fee strategy. You may even be able to introduce free delivery because you know the true cost to your bottom line. Moreover, you can use this information to compare your in-house order fulfillment costs with outsourced fulfillment options to either expand your capabilities or reduce costs.

Summary

Setting your online shipping and handling fees too high or too low can cost you more than you think. But, it really isn’t that difficult to create a shipping-and-handling cost model based on package shipping weights, and when you do, you’re operating from a position of knowledge and can manage your business more effectively. 

 Want to learn more? Contact us and we'll be happy to talk.