The Longer Game - Retail Reimagined

View Original

How To Avoid Partnership Divorce In Ecommerce

Finding great partners is a pain. How do you know when someone is just trying to close you vs. actually being able to fulfill their promises? Is going with the cheapest price point really the best idea? Kristina Mertens, Marketing Manager at Everstox, is giving us the inside scoop on why finding a 3PL partner can be so difficult. Some of her advice: you have to do your homework and you get what you pay for. We talk not just about fulfillment but why we think getting to the bag in ecommerce is NOT the most important thing. If you like Bavarian beers and want to grow your brand without choosing the wrong partner, you're in the right place.

Why Finding the Right 3PL Partner Is Crucial

Switching to a 3PL too late can cause significant problems for ecommerce businesses. When you're overwhelmed with orders and struggling to keep up with fulfillment, it's tempting to rush the process of finding a third-party logistics (3PL) partner. However, onboarding a new 3PL takes time, and switching too late means you might not get the smooth transition you need.

Kristina Mertens highlights that the key to avoiding these pitfalls is to do your homework. Thoroughly research potential partners and ensure they have the capabilities and track record to support your business needs. The right partner will offer more than just a service; they will invest in your success.

Beware of Too-Good-To-Be-True Promises

In the world of 3PLs, if something sounds too good to be true, it probably is. Many providers will promise the world, painting an unrealistic picture of effortless fulfillment and skyrocketing sales. If the 3PL you're deciding upon promises you the world and paints a picture that's too good to be true, it is.

Look for a partner who is honest about the challenges and realistic about the results. Transparency and reliability should be at the top of your checklist when evaluating potential 3PL partners.

Finding a Partner Who Cares

One of the most critical factors in choosing a 3PL is finding a service provider that genuinely cares about you and your business. Find a service provider that actually gives a f*^k about you and your business.

A partner who is invested in your success will go above and beyond to ensure your operations run smoothly. They will be responsive, proactive, and dedicated to helping you grow your business.

Reinvesting in Your Business

Really successful ecommerce business owners often learn to live with less in the beginning and reinvest it back in their business. This strategy helps to build a strong foundation and ensures long-term growth. Kristina shares that once these businesses have established themselves and have some security, they can then increase their payout.

This approach requires patience and discipline but pays off in the long run. Reinvesting profits into improving your operations, marketing, and customer experience can yield significant returns over time.

The Importance of Due Diligence

Ultimately, avoiding a partnership divorce in ecommerce comes down to due diligence. Take the time to vet potential partners thoroughly. Look for testimonials, case studies, and reviews from other businesses in your industry. Assess their capabilities, resources, and track record.

Engaging in detailed discussions and asking the right questions can reveal a lot about a potential partner's suitability. A 3PL partner should align with your business values and be committed to supporting your growth.

Conclusion 

Choosing the right 3PL partner is crucial for the success and sustainability of your ecommerce business. By doing your homework, being cautious of too-good-to-be-true promises, finding a partner who genuinely cares, and reinvesting in your business, you can avoid the pitfalls of partnership divorce.

Follow us

For more insights and a detailed conversation with our host Michael Maher and Kristina Mertens, watch the full episode 11 conversation here. Follow our page for more valuable content and tips on growing your ecommerce business successfully.