Why Your eCommerce Business Needs an Order Fulfilment Company

If you’re running an online shop, you’ll know that making a sale is just the beginning. After the “buy now” button is clicked, the hard work begins — getting the product into your customer’s hands quickly, securely, and affordably. That’s where an order fulfilment company steps in.

At Compare3PLs.com, we help UK businesses find the right fulfilment partner — completely free. In this guide, we’ll explain exactly what an order fulfilment company is, how they work, what they cost, and why they’re essential to scaling your eCommerce brand.

✅ What Is an Order Fulfilment Company?4

An order fulfilment company (also known as a third-party logistics provider, or 3PL) is a business that manages:

• The storage of your products

• Picking and packing orders

• Shipping goods to customers

• Handling returns and exchanges

They take over your entire post-purchase operation, so you can focus on marketing, growth, and customer experience — rather than filling boxes.

📦 What Services Do Order Fulfilment Companies Offer?

Most 3PLs offer a full suite of fulfilment services, including:

• Warehousing Safe and secure storage of your stock in professional facilities, often in strategic locations across the UK or Europe.

• Inventory Management Real-time tracking of your inventory levels to avoid overselling or running out of stock.

• Order Picking and Packing Fast, accurate selection of products from shelves and secure packaging using either branded or standard materials.

• Shipping and Dispatch Orders are sent via trusted couriers — often at discounted rates thanks to bulk deals with providers like Royal Mail, DPD, or Evri.

• Returns Management Returned items are received, inspected, restocked or disposed of according to your policy, with updates sent to you and your customers.

  
  

🔄 How Does the Fulfilment Process Work?

Here’s a step-by-step breakdown of a typical fulfilment journey:

1. Stock Arrival – You send your inventory to the fulfilment centre.

2. Inventory Logged – Products are scanned, checked, and stored safely.

3. Order Placed – A customer makes a purchase on your website or marketplace.

4. Order Synced – Fulfilment software automatically receives the order details.

5. Pick and Pack – The team picks the item(s) and prepares them for dispatch.

6. Dispatch & Shipping – Parcels are collected and sent to the customer.

7. Delivery – Your customer receives the order within the promised timeframe.

8. Returns (if applicable) – Returns are managed professionally and efficiently.

   
   

🎯 Benefits of Using an Order Fulfilment Company

Teaming up with a professional fulfilment partner can transform your eCommerce business:

• Faster Delivery TimesStrategically located warehouses mean shorter transit times and happier customers.

• Lower Shipping Costs 3PLs negotiate discounted courier rates due to high volume shipping.

• Increased Efficiency Optimised warehouse layouts and software reduce picking times and errors.

• Improved Inventory Management You’ll always know what’s in stock — and when to reorder.

• Seamless Returns Process Returns are handled without you lifting a finger, improving your brand’s reputation.

• Scalability Whether it’s Christmas or you’re going viral, fulfilment companies can scale up as needed — without extra hiring or warehouse space.

• More Time to Focus on Growth With logistics off your plate, you can focus on marketing, product development, or expansion into new markets.

  
  

🛒 Is an Order Fulfilment Company Right for You?

You should consider working with a fulfilment company if:

• You're sending more than 100 orders per month

• You’re running out of space at home or in your warehouse

• You want to expand your business across the UK or internationally

• You struggle with time-consuming shipping and packing

• You need faster delivery options for your customers

• You're scaling your eCommerce brand and want to streamline operations

  
  

💷 How Much Do Fulfilment Services Cost?

Fulfilment costs can vary widely depending on your product type, order volume, and service level. Here are typical charges to expect:

• Setup Fees A one-time onboarding fee (though many companies waive this).

• Receiving Fees Cost for unloading and checking your stock upon arrival.

• Storage Fees Charged by pallet, shelf, or cubic metre — either daily or monthly.

• Pick and Pack Fees Charged per order or per item — sometimes includes packaging materials.

• Shipping Costs Depends on item size/weight, destination, and speed of delivery.

• Returns Handling Fees for processing and restocking returned items.

• Value-Added Services Additional options like kitting, gift wrapping, custom inserts, or assembly.

  
  

💡 Helpful Tip: Know Your “Cost Per Order”

To evaluate a fulfilment partner properly, calculate your average:

• Cost per order (CPO) – Total fulfilment cost ÷ total orders

• Fulfilment cost as a % of revenue – A healthy range is 10–15%, depending on product value

The more orders you process, the lower your cost per order will be due to economies of scale.

🚫 Common Mistakes to Avoid

When choosing an order fulfilment company, steer clear of:

• ❌ Choosing based on price aloneLow cost might mean poor service or slow delivery.

• ❌ Not forecasting growthPick a partner who can scale with your business.

• ❌ Ignoring tech integrationYour fulfilment system should sync easily with your store (Shopify, WooCommerce, etc.).

• ❌ Neglecting customer serviceChoose a provider with responsive support when things go wrong.

• ❌ Forgetting about returnsReturns are inevitable — make sure they’re managed properly.

  
  

🧭 How to Choose the Right Fulfilment Company

It’s important to find a 3PL that suits your:

• Product type (fragile, food, clothing, etc.)

• Order volume (100 per month or 10,000?)

• Preferred courier network (UK-based or international?)

• Growth plans (can they scale up with you?)

That’s where Compare3PLs.com can help.

🆓 Use Compare3PLs.com to Find the Best Match

At Compare3PLs.com, we make it easy to find your ideal order fulfilment company:

• 🕵️‍♀️ Free to use — no hidden costs

• ✅ Matched with vetted 3PL providers in the UK and beyond

• ⚙️ Tailored recommendations based on your needs

• 🧾 Transparent pricing comparisons

• 🤝 Expert support and advice

  
  

📈 Final Thoughts: Is It Time to Outsource Your Fulfilment?

If you’re serious about scaling your business, offering faster delivery, and freeing up your time — then yes, now’s the time to consider working with an order fulfilment company.

By handing off your fulfilment to the professionals, you’re not just outsourcing logistics — you’re investing in a smoother operation, happier customers, and stronger profits.