Many shipping containers at a port

The Role of Third-party Logistics

Third-party logistics providers are an integral component of the UK’s supply chain. Also referred to as fulfilment providers or 3PL, they oversee the logistics operations and supply chain of external businesses.

By subcontracting fulfilment processes, clients of third-party logistics providers generally save when it comes to saving on transportation, warehouse space, distribution sites, eCommerce platforms, retail outlets, logistics management software and logistics labourers.

What Types of Services Do 3PL Companies UK Offer?

The degree of support is solely contingent on the requirements of the client, however, the most in-demand 3PL services include:

  • Procurement: Requisitioning and receiving products from the supply chain.
  • Order fulfilment: Receiving Requisitions from clients, packing and picking and seeing to it that the orders are finished and sent out.
  • Highly trained Drivers: 3PL companies have highly qualified drivers with appropriate licenses upskilled by specialists in HGV training.
  • Storage: Offering temporary storage in warehouses and suitable locations.
  • Transportation: Arranging for the management, deconsolidation, consolidation, and transportation of goods.

By subcontracting logistics and supply chain operations, businesses can get the chance to focus on essential areas that make the most money.

What Do Third-party Logistics Providers UK Need to Oversee a Client’s Supply Chain?

Given how third-party logistics oversee such integral business operations for their clients, they need maximum visibility on the supply chain data of their clients.

Data sharing between 3PL providers and their clients is essential if you want to remove the probability of an error occurring and ensure optimal efficiency.

What are the benefits of using third-party logistics companies in the UK?

Although a firm may be an expert in a certain field and have unmatched expertise when it comes to the type of products or services they are selling as well as a good relationship with their clients, overseeing the logistics of the supply chain is an entirely different spectrum.

Third-party logistics providers are supply chain specialists and remain up to par with the top industry development and practices. Their part is to allow businesses to ascertain sustainable growth when it comes to the customer base and profitability, without incurring the cost of relocating or physically growing.

Given how the UK is a key global exporter, third-party logistics providers offer an integral service. By using the support of a third-party logistics provider, your firm can meet the needs of a global market without needing to send amenities abroad. A 3PL company oversees travel, shipping, compliance and customs, making sure that your products get to anywhere across the globe.

How Has COVID and E-commerce Boom Affected 3PL Providers?

A report released recently discovered that eCommerce in the United Kingdom accounted for almost 35% of all retail revenue, taking into account that the initial lockdown was not enacted till late March. What’s more, almost 57% of the UK clients surveyed reported that they will carry out more online shopping even post-pandemic.

In spite of the fact that in the same survey it was discovered that 15.6% of companies in the UK closed shop, 8.8% launched eCommerce with an additional 30% growing their reach in eCommerce.

Although restrictions have not reduced the demand for consumers, with the COVID crisis still going on and post-Brexit legislative alterations, this is exerting significant strain on the logistics industry in the UK.

What is Third-party Logistics Software?

You can get end-to-end, completely integrated software that improves how third-party logistics providers carry out their operations and deliver the best service to their clients regardless if they specialise in packaging, warehousing or distribution.


Getting professional logistics services can assist make your enterprise stand out from the rest.

This is because it will help harness the value of existing professional relationships, industry know-how, and how to transport your product in the safest manner.

Knowing what is logistics and the advantages of this service can really assist your business scale greater heights.