In the fiercely competitive landscape of modern ecommerce, where consumer expectations are continuously rising, the efficiency of your fulfilment operation has become pivotal to success. Robust logistics now stands at the forefront of brand reputation and customer loyalty. In this article, we delve into why many ecommerce brands find their in-house fulfilment efforts undermining their growth, and how a strategic 3PL partnership can unlock significant competitive advantages. 

The Challenge: The Hidden Costs of In-House Fulfilment

For many growing retail ecommerce brands, the decision to manage fulfilment in-house is based on a desire for control. However, this approach often becomes a financial and operational burden, held back by outdated thinking and internal resistance to change.

As customer expectations for rapid, accurate warehousing, fulfilment and delivery intensify and supply chains become more complex, handling logistics internally can severely limit a brand’s ability to scale effectively.  

A strategic third-party logistics (3PL) partner is the definitive solution to this challenge, transforming a brand’s supply chain from a cost centre into a competitive advantage.  

The Solution: Why Choose THG Fulfil as a 3PL Partner?  

While the benefits of outsourcing are clear, the choice of partner is critical. THG Fulfil is distinct from conventional 3PLs, offering a transformative approach to ecommerce logistics built on significant investment in automation and proprietary technology.  

1. Significant Investment in Automation and Technology: THG Fulfil has invested over $200 million in state-of-the-art distribution facilities and over $70 million in advanced automation. This network ensures 24/7 operational capability and means 95% of all units are handled by some form of automation. Our proprietary technology suite provides complete control over the entire fulfilment journey from D2C orders to B2B shipments and store replenishment.
2. Industry-Leading Delivery Speed and Accuracy: Our technological advantages translate directly into a superior customer experience. We provide next-day delivery cut-off times as late as 1am in the UK, with an average standard delivery of 1.5 days. Globally, our infrastructure maintains a 99.7% system uptime and a 99.9% pick accuracy rate.  
3. Proven Scalability for Global Brands: Our infrastructure is engineered to manage up to one million outbound orders daily, and that’s just from a single distribution facility based in Manchester. With two decades of experience transforming global brands, we have evolved beyond the limitations of traditional 3PLs. As a build and distribution partner for AutoStore and Libiao robotics, we provide our clients with unique access to the world’s leading automation solutions.  

Ready to Optimise Your Fulfilment Strategy?

The modern ecommerce market demands speed, precision, and a flawless customer journey. Managing complex logistics in-house is a liability your brand can no longer afford. Partner with THG Fulfil to transform your supply chain into a powerful competitive advantage. 

What are the Disadvantages of In-House Ecommerce Fulfilment?  

Attempting to manage a complex fulfilment operation without specialised support results in several critical business challenges:  

Unsustainable Operational Costs:

• The high fixed costs of maintaining a warehouse, investing in infrastructure and managing a large workforce are now becoming unsustainable. In the current economic climate, persistent labour inflation is putting immense pressure on profitability, turning a large, manually operated warehouse handling D2C, B2B, or retail store replenishment into a significant financial liability.  
• This immense financial pressure is a direct result of a reliance on familiar, manual fulfilment methods that are no longer fit for purpose. What was once considered a safe, known approach is now the source of recurring problems. Without embracing automation, businesses are destined to face the same bottlenecks, accuracy issues, and labour challenges year after year.  
• A modern 3PL partner directly solves both issues. It immediately converts these substantial fixed costs into predictable, variable ones, meaning you only pay for the resources you use. This model is highly effective for cost control, with 75% of businesses reporting that using a 3PL reduced their overall logistics expenses.  

Operational Ceilings: Gaps in Technology, Expertise, and Scalability

• Effective fulfilment requires sophisticated Warehouse Management Systems (WMS) and automation. The capital investment and expertise required to implement and maintain this technology are often prohibitive for individual brands. The technology gap creates an operational ceiling, making it inefficient and expensive to scale for volatile ecommerce demand, such as seasonal peaks. A 3PL partner provides immediate access to both the advanced systems and the necessary agility to manage these fluctuations seamlessly.  

Distraction from Core Business Growth

• Managing logistics is a complex, full-time function. Outsourcing this frees up internal teams to concentrate on product development, marketing, and customer engagement, which are core drivers of business growth.  

Negative Impact on Customer Experience

• Modern consumers and B2B partners have high expectations for delivery. Inaccurate orders and shipping delays directly harm customer trust and brand reputation. Specialised 3PLs are structured to meet these demands. A study showed that 86% of 3PL clients reported improved customer service as a direct result of their 3PL partnerships.  

The Solution: Why Choose THG Fulfil as a 3PL Partner?  

While the benefits of outsourcing are clear, the choice of partner is critical. THG Fulfil is distinct from conventional 3PLs, offering a transformative approach to ecommerce logistics built on significant investment in automation and proprietary technology.  

1. Significant Investment in Automation and Technology: THG Fulfil has invested over $200 million in state-of-the-art distribution facilities and over $70 million in advanced automation. This network ensures 24/7 operational capability and means 95% of all units are handled by some form of automation. Our proprietary technology suite provides complete control over the entire fulfilment journey from D2C orders to B2B shipments and store replenishment.
2. Industry-Leading Delivery Speed and Accuracy: Our technological advantages translate directly into a superior customer experience. We provide next-day delivery cut-off times as late as 1am in the UK, with an average standard delivery of 1.5 days. Globally, our infrastructure maintains a 99.7% system uptime and a 99.9% pick accuracy rate.  
3. Proven Scalability for Global Brands: Our infrastructure is engineered to manage up to one million outbound orders daily, and that’s just from a single distribution facility based in Manchester. With two decades of experience transforming global brands, we have evolved beyond the limitations of traditional 3PLs. As a build and distribution partner for AutoStore and Libiao robotics, we provide our clients with unique access to the world’s leading automation solutions.  

Ready to Optimise Your Fulfilment Strategy?

The modern ecommerce market demands speed, precision, and a flawless customer journey. Managing complex logistics in-house is a liability your brand can no longer afford. Partner with THG Fulfil to transform your supply chain into a powerful competitive advantage.