5 Reasons 3PLs Must Work with Final Mile Partners for a Best-in-Class Delivery Experience

Third-party logistics (3PLs) providers are crucial in the world of modern eCommerce, it is predicted that by 2026 the 3PL market will reach around $1.75 trillion! [1] They offer businesses efficient and cost-effective logistics solutions, enabling them to meet increasing demands and customer expectations. However, while 3PLs are experts in mass shipping, to ensure a frictionless customer experience from start to finish, third-party logistics services should look into working with last mile delivery partners.

Here are five reasons why:

1. Improved delivery times:

3PLs typically focus on warehousing, transportation, and distribution, but they may not have the resources to handle last mile delivery themselves. Working with last mile delivery partners ensures that orders are delivered quickly and efficiently, leading to improved delivery times and higher customer satisfaction.

2. Increased cost efficiency:

Last mile delivery can be expensive due to the final leg of transportation being the most complex and time-consuming, it is estimated that the final mile can account for around 53% of the total shipping cost [3]. By partnering with GFS Final Mile Services, third-party logistics providers can leverage the expertise and infrastructure needed to reduce last-mile transportation costs and increase efficiency. This can result in significant cost savings that can then be passed on to their retail customers, making their services more attractive and competitive in the market.

3. Enhanced customer experience:

With access to the widest network of carriers available in the market and the unique Enterprise Carrier Management (ECM) technology, GFS is able to provide the best-in-class delivery experience retailers need to suit business demands. How? By quickly and efficiently integrate new shipping services that best suit a 3PL’s retail customer, delivery capacity and scaling of operations can be taken care of with one straightforward integration. Which is a complete win-win as this richer delivery experience meets the retailers’ needs and satisfies the end customers’ expectations.

4. Greater visibility and control:

Last mile delivery partners offer 3PLs greater visibility into the delivery process, enabling them to track shipments and provide real-time updates to customers. This level of transparency is critical to meeting customer expectations and building trust in the supply chain.

5. Access to specialised expertise:

According to the 2023 Third-Party Logistics Study, retailer satisfaction with their 3PL relationship has fallen by 7% since the previous year. To build a partnership that would help 3PLs build the trust of their customers, they in turn need to bring in a unique set of skills, experience and expertise. By working a partner like GFS, who specialises in the final leg of the delivery process, 3PLs can tap into their knowledge and experience to ensure that orders are delivered on time and in perfect condition, no matter the circumstance.

Furthermore, by choosing to work with a partner such as GFS Final Mile Services, 3PLs are able to provide retail businesses with the most sustainable shipping routes, which will bring an advantage for retailers, what with 67% of shoppers check a brand’s sustainability before purchasing this is a vital part of the delivery service [2].

GFS The Only Final Mile Partner You Need

With GFS, you can ship freight worldwide in bulk, while we take care of the all-important final mile.

Single access to a network of 1,000+ services across domestic, international & specialist carriers

Best-in-class delivery & returns experience for the end customer

Parcels collected, cleared & injected into relevant carrier networks

One-time integration for multi-carrier labelling & tracking worldwide