5 Online Shopping Facts: Leveraging 3PL for Support
Scott Hothem • March 14, 2014
It is undeniable that the way consumers are selecting and purchasing products is evolving. In order to satisfy these new demands, keep your brand relevant and continue to advance your business, the way you operate needs to evolve as well. Online shopping from home and mobile devices has drastically changed the expectations of consumers. Not only are younger demographics fitting this trend, but your traditional buyers are moving in this direction also. According to iacquire.com, the 45-64 demographic makes up 40.4% of online shoppers. The importance of how your business handles these changes and embraces an omni-channel operation has never been higher. As technology continues to expand in its capabilities, the conventional methods of fulfillment and logistics are proving increasingly out dated. The specialization required to address these changes can be both expensive and difficult to implement within your organization. Leveraging the services of an experienced, capable third party logistics provider (3PL) can allow you the resources to stay ahead of the curve. Below are 5 facts about on-line shoppers that put this growing element of business into perspective.
- The largest share of online revenue generated in 2012 was from retail shopping websites which totaled $186.2 billion. This number is projected to increase to $361.9 billion by 2016 (E-Commerce-Statista Dossier 2013). With such a substantial increase in the size of this market expected, utilizing a 3PL can position your business to capitalize on this rapidly growing segment.
- 42% of consumers chose to find a better price online as their reason for purchasing after shopping in a store (RIS/Cognizant). Price points are becoming a bigger consideration for shoppers. Streamlining fulfillment operations and reducing costs can create a competitive advantage with lower prices.
- The number of U.S. digital shoppers is expected to grow from 137 million in 2010 to 175 million by 2016 (eMarketer). This growing consumer base will also have higher demands as far as fulfillment and delivery options. Your ability to deliver product when and where they desire can create significant new opportunities.
- Half of shoppers say that tracking services for online purchases are essential (comScore). Customers today are avoiding stores and ordering remotely for convenience. A part of that convenience is being able to maintain visibility of their purchase and expect it on a certain date. A 3PL cannot only provide this tracking service, but ensure its accuracy.
- 74% of online shoppers cite having a variety of shipping options available as a key to overall satisfaction (comScore). Does your organization currently have the capability to offer a variety of shipping options? And are these options affordable for the consumer while making sense for your bottom line? The efficiencies and expertise afforded by a 3PL can create a wider variety of shipping methods while also making fiscal sense on both ends of the transaction.
All of these statistics point to a growing variable that cannot be ignored. With the number of existing customers, potential customers, competitors and dollars expanding, you need to be able to position your business to compete. The resources and efficiencies available from a 3PL partner can be specifically geared to face these new challenges and opportunities.
At Barrett Distribution Centers, we work with our clients to create the best supply chain plan for their business. We embrace visibility and technology to generate ROI and a higher level of service.
Recent Blog Posts
This year marks an important milestone for Barrett Distribution — 20 years of participating in The Great Game of Business® (GGOB) , a program that has helped shape our culture, strengthen employee engagement, and create a stronger sense of teamwork and shared success across the organization. Over the past two decades, GGOB has become much more than a business program at Barrett. It has become part of the way we communicate, collaborate, and grow together as a company. Through open-book management principles, weekly huddles, forecasting, scoreboards, and Mini Games, employees across Barrett locations have had the opportunity to better understand the business and actively contribute to its success. One of the most meaningful impacts of GGOB has been the way it brings people together. In an industry built on precision, service, and operational excellence, collaboration is essential. Barrett’s success depends on teams working together across departments, facilities, and regions — and GGOB has helped strengthen those connections by creating a culture centered around communication, accountability, and involvement. GGOB encourages employees to think beyond their individual roles and understand how their work impacts customers, coworkers, and overall company performance. Whether it’s improving warehouse efficiency, supporting transportation operations, enhancing customer service, or identifying process improvements, employees are empowered to contribute ideas and solutions that help move Barrett forward. As Tim Barret, Founder of Barrett, states, "...we share all of the financial results with all of the employees, and they have a vested interest since they will receive a payout result." That sense of involvement creates stronger engagement across the organization. Employees are not simply completing daily tasks — they are participating in the success of the business. By understanding company goals and key performance drivers, teams are able to work together with a shared purpose and celebrate accomplishments collectively. Community and collaboration have always been important values at Barrett, and GGOB has helped reinforce those values over the last 20 years. The program creates opportunities for employees to learn from one another, support one another, and recognize the impact each person has on the organization. It encourages transparency and open communication, helping employees feel more connected to leadership, their teams, and the company’s long-term vision. As Barrett has continued to grow nationwide, maintaining a strong culture has remained a priority. GGOB has played an important role in helping preserve the family-oriented environment that Barrett is known for, even as the company has expanded operations and welcomed new employees across the country. The program helps create consistency in communication and engagement while keeping employees connected to the bigger picture. To help celebrate this 20-year anniversary, Barrett owner Tim Barrett recently participated in a video discussion reflecting on the company’s GGOB journey and the impact it has had on Barrett over the years. The conversation highlighted how collaboration, employee involvement, and shared accountability continue to contribute to the company’s success today. This milestone is ultimately a celebration of the people who make Barrett successful every day. The dedication, teamwork, creativity, and commitment shown by employees across the organization are what continue to drive Barrett forward. Twenty years later, The Great Game of Business continues to strengthen the culture of collaboration and engagement that makes Barrett special — and the future of the game is stronger than ever.
How Barrett Is Improving Inventory Accuracy with AI-Powered Warehouse Visibility
Choosing the right fulfillment partner is one of the most important — and often most difficult — decisions a growing brand can make. As customer expectations continue to rise, brands are being asked to deliver faster shipping, better inventory visibility, seamless omnichannel experiences, and retail compliance at scale. At the same time, the process of finding the right 3PL partner can be time-consuming and overwhelming. That’s why Barrett Distribution Centers is excited to partner with Fulfill.com. Who Is Fulfill.com? Fulfill.com is a fast-growing platform that helps eCommerce and omnichannel brands find the right third-party logistics (3PL) partner for their business. Their team works directly with brands to simplify the 3PL search process by connecting them with vetted fulfillment providers that match their operational needs, growth goals, product requirements, and shipping profiles. Founded by entrepreneurs with firsthand experience navigating fulfillment challenges, Fulfill.com was built to solve a common industry problem: too many brands waste valuable time and money trying to find a reliable logistics partner. Instead of forcing brands to sort through endless provider options on their own, Fulfill.com streamlines the process through industry expertise, technology, and a carefully curated network of fulfillment providers across multiple verticals. For brands, that means less guesswork and a faster path toward finding a fulfillment partner that can truly support long-term growth. Why the Partnership Makes Sense At Barrett, we’ve always believed fulfillment should feel like a partnership — not just a vendor relationship. Since 1941, Barrett Distribution has helped brands scale through customized logistics solutions designed around their specific operational needs. From direct-to-consumer fulfillment and retail distribution to transportation management and value-added services, Barrett focuses on building flexible, scalable solutions that evolve alongside its customers. That customer-first mindset is one of the biggest reasons this partnership with Fulfill.com feels like such a natural fit. Both companies share a common goal: helping brands build stronger, smarter supply chains without unnecessary complexity. What Really Makes a Great 3PL Partner? Recently, Bryan Corbett, Barrett’s VP of Customer Solutions & Marketing, sat down with Dan White, COO of Fulfill.com, during a visit to Barrett’s NJ2 warehouse to discuss what stands out when evaluating 3PL providers across the industry.
