What is Third Party logistics?

What is Third Party logistics?

Third party logistics is a service provided by a Logistic Company that gives you peace of mind and takes care of your shipment. The logistic company kept your shipment in warehouses and delivered to your given location on time.

Third-party logistics companies provide any number of services having to do with the logistics of the supply chain. This includes transportation, warehousing, picking and packing, inventory forecasting, order fulfilment, packaging and freight forwarding. Wondering if your business needs to use a 3PL provider? When in doubt, use a pro-con list – we got started on one for you.

3PL Companies provides many services, which include transportation, warehousing, pickup and delivery create a database. Here are some reasons why you have to use 3PL Service.

What is PL Stands for?

There are many logistic companies which provide different types of Service like every company needs different types of needs as per their company requirements. Choose wisely the type of company you have.


1PL: First Party Logistics

Those companies who create the product and deliver it directly to the customer are called first-party logistics, for example, in a dairy farm that directly provides milk to customers.

2PL: Second Party Logistics

If a company hires transportation service which transports their goods to the customer called second party logistics.

3PL: Third Party Logistics

When manufacturing companies hire a logistic company to handle their shipment, the logistic company stores products in warehouses, create the database, and transports the product to the final customers.

What are the benefits of using Third Party Logistics?

Using third-party logistics gives you hassle-free Service. Your company doesn’t need to worry about your shipment delivery and storage; 3pl Company takes care of that and delivers shipment wherever you want.

  • Cost-Effective. Using third-party logistics is cost-effective because logistic companies store and transport in high volume, which reduces the cost of transportation. Compared to a logistics company, if you are using your delivery, it costs you more and more stress.
  • Less stress: 3PL gives you stress-free storage and transport service. You don’t have to worry about your shipment safety, storage and transportation. The logistic company provides complete documentation and hassle-free Service.
  • Fast Service: the customer always wanted on-time delivery with using logistic Service you can ship your product same day or next day delivery without worrying about product safety
  • Quality Customer Support: You can track your shipment and ask for any type of query with customer service.
  • Less Risk: While shipping the product, there is always a concern for product lost or damaged, but if you are using logistic Service, then you don’t have to worry about your product safety because now the risk is diverted to logistic company and they have to ship the product safely to the destination.
  • Flexibility:  Using 3PL Service gives you much time to expand your business. You don’t have to worry about shipment, and you can focus on your business more and grow.

Service provided by Third party logistics company:

  • Transportation:  Arranging for the consolidation, deconsolidation, management and transportation of goods
  • Warehousing: Providing temporary storage for goods in warehouses and similar locations
  • Inventory management: Manage product documentation and create a database.
  • Packaging: Customize packaging the product before sending it to the customer.
  • Order fulfilment: Receiving orders from customers, picking and packing and arranging for the orders to be completed and sent out

Conclusion: Third-party logistic is Service which provides logistic Service to manufacturing or eCommerce companies. If you have an e-commerce company, then you need a trusted logistic company.


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