Contract packing companies are useful since they can provide help as volumes of orders enter your business. They will pack the items for delivery and make sure they arrive on time. For now, you do not have a partnership with these companies. Instead, you have a team of full-time employees doing the job. It might work for now, but these signs will tell you that it is time to partner with a Fulfilment company.
You are spending a lot on wages
When you hire full-time employees, you are paying them a regular monthly salary. You also need to spend money to offer generous benefits. When you outsource this service, you reduce your full-time employees. You are only paying based on the services you receive, and it is a cost-effective move.
You do not deliver on time
It is annoying for many customers if they fail to receive their orders on time. They will feel like the company is letting them down. Since packaging and delivery are not among your company’s strengths, it is impossible for you to improve this service. You need an expert to do the job. With contract packing companies, you can drastically cut the time required to fulfil the delivery request.
You want to downsize
Downsizing is an opportunity to save money. The problem is that you cannot downsize if you need the services provided by the employees. When you outsource packing and delivery services, you can start to downsize without affecting the flow of the services offered. If anything, this move improves your company.
You do not conform to industry standards
These days, people are keen on details, including the packaging of the items ordered online. You do not want to be behind the competition if you do not offer something that is up to the standards of your competitors. It is easy for customers to stick with companies that will provide something better than what you have.
You want a centralised shipping location
The problem when you do not have a contract shipping partner is that things could quickly get messy. You want the services offered by the company since you want everything to start from the same location and have the items ready for shipment to their final destination.
You need to track everything accurately
You also need experts in packaging and delivery to monitor the orders and provide reports. You need it for accounting and marketing analysis purposes. Some contract packing companies include these services in what they offer. Hence, it is easy for you to determine how to improve not only the way you deliver the goods but the business in general.
Start by asking for a contract packing company about the services they offer. You can let them know that you feel interested in what they have to offer. If you are okay with the cost and the services included, you can continue the partnership; otherwise, it is easy to find other contract packing companies that are worth your money.