The Importance of Packaging for E-Commerce Fulfillment
Scott Hothem • April 14, 2016
In the increasingly competitive world of e-commerce, controlling costs is essential. Remaining efficient while keeping operations costs down is what allows for lower prices and quicker delivery options. While advanced software, warehouse automation and other technological elements are very important and helpful, one often overlooked aspect of e-commerce fulfillment is packaging, and this can be an expensive oversight. A recent editorial in Modern Materials Handling discusses how costly packaging can be in your supply chain. Read the article here.
Recent Blog Posts
Your product assortment is growing. New collections are arriving, inventory requirements are shifting, and customer expectations show no signs of slowing down. Yet behind the scenes, the warehouse responsible for fulfilling those orders may still be operating with storage systems designed for a much simpler business. For brands evaluating a third-party logistics provider, warehouse adaptability deserves serious consideration. The way inventory is organized, accessed, and moved can influence everything from order fulfillment to the ease of introducing new products. At Barrett Distribution Centers' 550,000-square-foot facility in Forney, Texas, that adaptability is taking shape through a combination of Pallite PIX modular storage and Locus Robotics . A recent walkthrough with Kevin Lawton from The New Warehouse offered a closer look at how these technologies work together. Your Products Change. Your Warehouse Should Be Able to Adapt. Imagine launching a new collection with products that vary considerably in size. Smaller accessories might fit neatly into compact storage locations, while handbags, jackets, and other bulkier merchandise require additional room. A rigid warehouse layout can make those changes cumbersome. Barrett's Forney facility uses Pallite PIX storage units with 28 individual locations per standard configuration. Their modular design allows shelves to be removed or repositioned, creating larger compartments when the inventory demands it.
When people picture a third-party logistics operation, the warehouse usually comes to mind first. Forklifts maneuver between towering racks, associates prepare orders, and packages make their way toward waiting trucks. It's a familiar image, and an important one. Yet some of the most consequential work in fulfillment happens far from the warehouse floor. Behind every successful distribution operation is a network of professionals coordinating customer relationships, analyzing data, managing technology, planning transportation, and anticipating the needs of the brands they serve. Their contributions may be less visible, but they are woven into nearly every order that leaves the building. The Work You Don't Always See Consider everything that happens before an order reaches a warehouse associate. Technology teams help maintain the connections between ecommerce platforms, inventory systems, and fulfillment operations. Transportation specialists examine shipping options and distribution costs. Finance and commercial teams develop pricing structures that reflect the realities of each customer's business. Meanwhile, customer support professionals manage the steady exchange of information that keeps brands informed and their operations aligned. At Barrett Distribution Centers, these functions work alongside warehouse teams to support a fulfillment experience that extends well beyond picking, packing, and shipping. Each department brings a different perspective, and their coordination becomes particularly valuable when a brand introduces new products, expands into retail, or encounters unexpected demand. Relationships Require People, Not Just Processes For Adam Robertson , Barrett's Vice President of Customer Experience, supporting customers begins with establishing genuine accountability. “When a customer reaches out to us, they only need to reach out once and they know we will own the issue.” That principle guides Barrett's One Call Resolution approach, which has been introduced to more than 200 employees. Customer service, however, reaches beyond the individuals answering emails or participating in meetings. A request may require input from inventory specialists, technology professionals, warehouse leadership, or other departments before a solution can be implemented. Through that collaboration, customers gain access to the collective expertise of the organization rather than relying on a single point of contact to have every answer. A Fulfillment Partnership Takes an Entire Team As brands grow, the demands placed on their distribution partners become increasingly sophisticated. New retail relationships introduce unfamiliar requirements, changing order patterns call for thoughtful planning, and evolving technology creates opportunities for greater visibility. Meeting those demands requires people who understand how individual decisions influence the larger operation. The associates working inside a distribution center remain essential to Barrett's success. Alongside them, office-based professionals contribute the analysis, communication, coordination, and judgment that allow fulfillment operations to function cohesively. Their work rarely appears in an unboxing video or a photograph of a busy warehouse. Customers experience its impact nonetheless, through clear communication, informed decisions, and dependable execution. A warehouse moves the products. The people throughout the organization help move the business forward. Looking for a 3PL that takes the time to understand your business? Start a conversation with Barrett Distribution Centers.
A competitive fulfillment quote can be persuasive, particularly when rising expenses are putting pressure on margins. But the true cost of a third-party logistics partnership rarely becomes apparent during the proposal stage. It reveals itself through everyday execution, unexpected charges, retailer requirements, and the provider's ability to accommodate a growing business. Choosing a 3PL based primarily on price can deliver immediate savings while introducing considerably greater expenses down the road. When Lower Rates Come With Hidden Costs Comparing fulfillment proposals requires more scrutiny than examining storage and handling rates. Pricing structures vary, and seemingly minor differences can accumulate as order volumes increase or distribution requirements evolve. Dan Klenkar of Barrett Distribution Centers cautions brands against making price the deciding factor. “Anyone who typically chooses to pick the lowest cost provider is gonna be making a change before they know it because they didn't dig into all the details.” A warehouse may offer attractive rates but lack experience with complex retailer requirements. Another provider might quote inexpensive storage while introducing additional charges for specialized handling or seasonal fluctuations. Once inventory has been transferred and operations are underway, discovering those limitations becomes considerably more expensive. Look Beyond the Warehouse Invoice Fulfillment costs extend across the entire supply chain, from inbound transportation and inventory storage to order processing and final delivery. Klenkar emphasizes the importance of evaluating “the entire supply chain from source to delivery” rather than concentrating on one expense. Consider a warehouse with exceptionally low storage rates but a location that increases transportation distances. The initial savings may gradually disappear into higher shipping costs. Equally important is pricing transparency. Klenkar identifies clear expectations as a cornerstone of effective 3PL relationships, advocating for
