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You’re looking for warehouse space for your product, but can only find long-term contracts and landlords with rising rates. It’s difficult to find a logistics partnership that benefits your business and contributes to growth. With the advent of a rapidly expanding eCommerce market, warehouses are stocked to the brim with rapidly expanding inventories, and warehouse space is dwindling. This increased need for space “has led the Urban Land Institute (ULI) to place the industrials category at the top of the commercial property sector for investment and development prospects in 2016.” It’s a good idea to leverage a 3PL’s services when you cannot find the space.
In the current strong economic market, landlords are raising rates and driving contract terms. A landlord might overcharge, or require you to sign a longer-term lease than necessary. Increasing demand for space has caused landlords to increase prices, higher and higher. When the focus of the partnership is on price, this leaves little room for attention to improvements and factors that would contribute to improved performance and savings. But with a 3PL warehouse, there’s no need for a landlord.
A 3PL can offer short term contracts and flexible space, enabling you to adjust your inventory based on the natural course of customer demand. This means that you won’t run the risk of running out of room for your product or have to pay for unused space when volumes are low. If you aren’t in need of long-term contracting for your logistics needs, it’s possible to receive those services month to month. Having a flexible lease means you don’t have to shop around for other warehousing options when the terms of your lease are up. It’s possible to stay on with a 3PL for an extended period of time if necessary.
At Evans we can provide these 3PL services and more—allowing you to focus on your developing your product, sales, and your bottom line. Saving you money through flexible warehousing and leasing, flexible space, and more, a 3PL will greatly impact the future of your business, and prepare you for success. Using a 3PL opens up a mutual responsibility—from both ends, a focus on better rates, better solutions, and more flexible real estate solutions in a tight market. Get in touch with us and we can start the conversation about your options today.