Predictability cost of warehousing
The choice between managing your own warehouse and outsourcing operations to a third party depends on your business's specific needs, size, growth plans, and available resources.
Below, we address the most common motivations behind a warehouse transition, as well as the differences between managing your own warehouse, using a traditional 3PL, and Spedify's model.
Managing your own warehouse can be costly, as it requires investments in warehouse infrastructure, personnel, warehouse management systems, maintenance costs, and more.
Here are cost examples associated with managing your own warehouse:
- Rental of premisesMaintenance (cleaning, electricity, etc.)
- Equipment (forklifts, trolleys, computers, various tools, etc.)
- Staff/Warehouse employees (salaries and social costs)
- Consumables (pallets, packaging, filler material, tape, etc.)
With your own warehouse, the capital risk is high due to significant investments required for startup and internal capacity expansion. Additionally, you are vulnerable to staff absences due to illness.
traditional 3PL can often be more cost-effective, as you only pay based on the services you use.
Here are order handling costs associated with 3PL services:
- Price-per-orderstart
- Price-per-orderline
- Price-per-unit
- Price-per-insert
- Price-per-packaging
- Price-per-label
Most 3PL providers also operate with 'additional costs':
- System Access (recurring monthly fee per user)
- Goods Receipt (for initial setup and restocking, including registration and storage)
- Storage Rental (recurring monthly fee per box, shelf, or pallet space)
- Returns Handling (order handling costs are reapplied for returns processing)
With traditional 3PL, the cost structure is unclear as service usage varies based on needs, and fees are adjusted annually.
Using Spedify is both cost-effective and predictable, as you only pay upon sales and incur no fixed or additional fees for using the service.
Here is the cost associated with Spedify services:
- We agree on a price upfront that includes everything.
Icluding
- Software
- Inbound
- Storage
- Fulfillment
- Standard / reused Packaging
- Returnhandling
- Support
With Spedify, you have full control over your costs. We ensure you always have complete transparency in pricing. For us, openness is a given—no hidden fees, just clear and straightforward pricing. We share a mutual interest in achieving success while adapting to market developments.