Why SLC E-Commerce Entities Outsource Logistics to Freight Forwarders

Sep 14, 2021

As virtually anyone who has purchased products or services online in recent years is well aware, the e-commerce world continues to grow at an amazing pace. As this realm becomes a larger and larger part of business for many companies, more and more e-commerce businesses have realized the value in outsourcing many of their basic logistics to professional freight forwarders.

At Western Peaks Logistics, we're proud to provide comprehensive freight-forwarding services to numerous clients across the e-commerce world, from Salt Lake City to wherever your products are headed. From our air freight and ground freight services to courier services, express shipping, and more, we help e-commerce businesses of all types and sizes get their freight where it needs to be -- while also handling several other logistical details on your behalf in the process. How has the world of e-commerce changed and grown over recent years, and why are more and more companies relying on services like ours to meet their needs? Here's a primer.

The Rise of E-Commerce in General

First and foremost, let's spend a little time talking about how much the e-commerce world has grown recently. This industry was already on a major rise for years, but the COVID-19 pandemic accelerated everything even further -- sales have risen by nearly 100% in many sectors since the start of the pandemic.

E-commerce now makes up nearly 25% of all retail sales in the United States, and there's no reason to think this number will go down any time soon. This means that for many businesses, the need to get products from A to B via a safe and efficient delivery method is more important than ever before.

In fact, if anything, the recent changes in our society only highlighted how important these services are. With more businesses realizing they don't have the in-house expertise and resources to handle their logistics needs, they're turning to the pros at places like Western Peaks Logistics.

Demand for Improved Shipping Practices

Within the pandemic timeline, there's been a major increase in demand for not just the same old shipping and logistics services, but rather providers that can offer improved shipping solutions. More and more companies are starting to realize that they don't just need basic freight-forwarding services, but rather providers who can actually help improve their supply chain as well.

The supply chain is constantly under pressure today due to increased e-commerce sales, the COVID-19 pandemic, etc., meaning it's even more important than ever before to have a reliable and flexible supply chain in place to handle supplier shipments, offer improved shipping options for customers, etc.

Think about an area like order returns, for instance. Customers who lean into e-commerce sectors want to know that every part of their experience will be convenient, even when it comes to returning their products. For this reason, logistics providers are starting to focus more on return shipment management as well -- not just managing the initial delivery, but following through with logistical support for both customers and companies after the transaction as well.

This may require pre-sorting shipments before they even hit production or distribution centers, offering end-to-end order management, etc. It all adds up to a better customer service experience overall, and that's what these e-commerce companies are looking for when they turn to logistics providers like WPL.

How Freight Forwarders Are Contributing

As pandemic restrictions have begun to lift or at least become more limited, businesses are realizing that many of the changes they made to freight forwarding and shipping during the pandemic are worth keeping around. Companies who ship overseas, especially, have begun to rely more on freight forwarders recently -- not just for traditional shipping methods but also to help them comply with the increased focus on global trade.

Freight forwarders are seeing increased demand as companies realize they need help leveraging the new environment for their own advantage -- not just for efficient delivery methods but also to ensure that their supply chain meets the stricter standards coming up in recent years.

Specific Benefits of Outsourcing to Freight Forwarders

If everything we've been over to this point still hasn't convinced you that going with a freight forwarder for your shipping needs is valuable, here are a few critical benefits to consider as well:

  • Better customer service due to improved knowledge of supply chain management.
  • Improved shipping options due to expert knowledge of the global trade industry.
  • Efficient distribution and delivery methods that give you a leg up on your competitors.
  • Compliance with local, national, and international regulations regarding safety and security.
  • Transparency on both ends of your supply chain.
  • Ability to manage larger amounts of inventory.
  • Cost reduction and lower overhead, which leads to increased profits.
  • Fewer logistical nightmares, which ultimately results in increased productivity and profitability.

These are just a few of the critical benefits that have helped push more companies toward working with freight forwarders. If you're looking for the logistics provider who can give your business an edge in today's rapidly changing business environment, contact our team at Western Peaks Logistics to learn about our services in SLC and other nearby areas.

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