Whatever sector you work in and however big your business, you need to be confident that your third-party logistics (3PL) partner is working for you.

You are, after all, its customer. Its job is to make your business run smoothly so you can get on with other things. But if you're having to make time to deal with its errors – well, it could be time for a change.

Having a good relationship with your 3PL is essential because it's part of the face of your company. If an order goes missing, telling your customer it was your 3PL's fault isn't going to cut it. They'll just look at you blankly and take their custom elsewhere.

If your 3PL is literally not doing the thing you're paying it to do, you at the very least need to have words. But there are other, less obvious reasons for parting ways with your fulfilment service.

First up: communication. 

The importance of good communication

As the owner of a startup or SME, you know the importance of keeping clear lines of communication open with your customers. It's not only that it helps resolve issues more quickly – it also helps foster trust. And that trust in turn can foster customer loyalty.

The same applies to your relationship with your 3PL. It's working for you – so you need to feel sure that it's communicative and responsive.

That means answering your queries quickly and transparently. If you have a problem, it needs to acknowledge it as one and tell you what it's going to do about it, pronto.

Whether it's a query about inventory levels, an enquiry about scaling up (or down) or a parcel that got lost in transit, you need to know that it's got your back.

If you've partnered with a 3PL so you can spend some quality time on product development or branding, the last thing you want is to be chasing up emails or listening to its answerphone message on repeat.

Communication is key: if it's not there, it could be time to jump ship. But there's also the question of growth.

Have you outgrown your logistics provider?

Most people want their businesses to grow. Sure, some people reach a point that they're happy to maintain indefinitely, but many more want to see lines go up, up and away.

If your business is growing, your operations have to change. Someone selling three mugs a month on Etsy is going to need fewer resources and materials than someone with 200 sales a month. Heck, that's why you struck a deal with a 3PL in the first place – to accommodate your new levels of stock.

But if you've got more inventory to store and your 3PL can't take it on, it's time to end things and it's not you – it's them. Scalability is key to a good 3PL. Can you be sure it will have space for you when your ship comes in?

The same applies, of course, to the other scenario – where, whether by accident or design, you're rolling back your stock. A good 3PL isn't a fair-weather friend. It will be happy to scale down as well as up.

In either case, make sure your new 3PL is flexible. Otherwise, you may find your golden goose is only good for guano.

Is its technology up to snuff?

Any 3PL worth its salt will have a solid, reliable warehouse management system (WMS).

A good WMS will sync up with your online store so stock levels are updated automatically. It will send out notifications both to you and to your customers. And it will furnish you with rich seams of data that you can mine for insights.

Because let's face it, the 3PL is there to do your dirty work. If you're having to cross-check stock levels or account for figures that don't add up, you may as well be throwing money into the wind.

Similarly, a good WMS will add value to your company in the form of data reporting and analytics. It will automate sales reports so you can see in detail what's selling well and what's not working.

This can lead to better decision-making when you come to launch a new product or make adjustments to your range. 

So if you find yourself frustrated by your 3PL's tech, it could be time to shop around.

Is it making mistakes?

Orders are going AWOL. Parcels turn up late or simply melt into thin air. One customer excitedly tears open a parcel expecting a pair of Adidas trainers and finds a fake Versace cap. Another sheds a bitter tear as they open a box full of air.

Who do they blame? You! Even the kindest and most merciful customer doesn't really care who's in charge of your fulfilment process. They just want the job done.

If you're getting bad reviews, negative comments on social media or just aren't shifting units like you used to, it's not necessarily your 3PL's fault – but they could certainly be a factor.

Don't lose customers because someone else is doing a bad job. If customers are getting dissatisfied with fulfilment, it might be time to ditch your 3PL.

Does it go the extra mile with packaging?

Packaging is as big a part of your brand as your website or promotional materials. Stickers, customised labels, flyers, gift packages – all are ways to engage your customer even after the sale has been made.

A good 3PL will add value to your sales. They'll offer packaging solutions that work for you. If you ask for your logo on the label and they raise their eyebrows, don't delay – it's time to look elsewhere.

Stowsafe Fulfilment is a third-party storage and fulfilment company based in the southwest of England. If you're looking for a 3PL, get in touch to learn more about our services.