Fulfilment service providers - how they help product manufacturers

by Carlos
3 Minuten
Fulfilment service providers - how they help product manufacturers

There are many product ideas. But only a few people actually manage to develop a finished product from these ideas. A rough idea is first of all that: just an idea. It first has to be tested against reality. Many things that are thought up do not work out on closer examination. That's why many ideas fail and only a few make it to market. Once a product has been developed and the production hurdles have been overcome, the next problem is how to get the product to the customer. On the one hand, there is marketing, which makes the product known. But the actual delivery is the real problem.

The good thing is: the market also offers suitable solutions for this problem, so that as a producer you don't have to worry about delivery. The main term is fulfilment service provider, often also found under the term Oder Fulfilment. But what do these companies do?

Companies such as Antwerk offer fulfilment services in Germany, the Czech Republic and Poland. Put simply, it's about transporting the ordered product from the manufacturer to the buyer. This requires a lot of effort. From the producer's point of view, if he wanted to do it himself, he would have to deal with different legal situations, price structures, etc. This is already complicated within the EU. This is already complicated enough within the EU. If you ship worldwide, these problems are even more pronounced.

An interesting consideration is the cost. Of course, a fulfilment centre does not offer its services for free. Nor should it, as it has to cover its costs. But since a fulfilment centre knows the market better than a producer, it can offer more favourable prices. If you then add the costs that a producer incurs when he takes care of the logistics himself, the pendulum clearly swings in the direction of the fulfilment service provider.

But what about the basic factors that influence the prices for these services? Often these are based on the quantities that the producer wants to ship. Many service providers also offer flexible options. If the company grows, then this growth can be responded to quickly and cost-effectively. If, on the other hand, demand falls, then a good fulfilment service provider can also deal with this and make its customer an attractive offer. This shows that you need to compare prices for fulfilment centre services to get the best deal. However, always keep in mind that the cheapest provider need not be the best, but the one with the best value for money should become your favourite.