A Large 3PL Company or A Small Company, Whats The Better Choice?

While using a 3PL you would definitely want to have the peace of mind when your shipment leaves for the delivery, you must be assured that the shipment will reach the destination without any problem and on time. When you think about your customer you would want them to be 100% satisfied and you would want to provide them with the best customer service possible. This is not only necessary to keep your existing customers but also to get more and more customers, and it will increase the repute and trust in the market about your company. No business can exist in the market for too long if your customers are not satisfied and happy.

Generally the 3PL companies that are big in budget, revenue and resources have the high scale and huge advantages over lots of other smaller companies. A magazine called LQ magazine stated that “The feedback we get from customers indicates more “A” performances from these midsized 3PLs”. When it comes to large heavy items the shipping cost can add up very quickly and drastically. On the other hand having a very small 3PL has its disadvantages as well. A very small shipping company cannot provide you with the best pricing model and resources that you might require for the satisfaction of your customer. This business model has a very small margin, but you definitely don’t want to join hands with those giant companies too and just shuffle around being just one another customer in their huge sized database.

You can also contact a carrier yourself but that is a good idea only if you are giant company like Proctor and Gamble, but if you are a small to medium sized company than you will require a well reputed 3pl to act on your behalf. This way you will have a better chance of approaching bigger carriers by using a bigger 3PL than you.

This is also a fact that if you decide to go with a huge sized company than you might have to compromise on the customer service, and sometime the situation can get confusing too. Also there may be some lack of communication and relationship between you and the 3PL provider. But again you have to make sure that you decide to opt for a company that is well known for its high quality customer service. On the other hand a smaller company might have a great personal relationship with you and your company and great communication but they might have lack of cutting edge technology to help you in satisfying your customers.

With whatever company you opt to decide, make sure that you are assigned a separate and dedicated account manager whose responsibility is to serve you in the best possible way.

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