Competition is fierce among ecommerce order fulfillment 3PLs. As a result, 3PL companies must proactively support two initiatives to remain viable in the marketplace: 1.) Protect and retain their existing customer base; 2.) Aggressively pursue new business opportunities.
These two initiatives become more important as we see the growth of ecommerce slowing and inflation eating away at profit margins. While the service providers must continue to do what they do best, they must also adjust to changing inventory/customer needs of both existing and new customers. In its simplest form, survival in the marketplace for an order fulfillment 3PL is about managing the inventory and adapting to customer’s inventory needs to keep and grow the business.