Both! A 3PL (Third-Party Logistics) provider can offer both warehouse and fulfillment center services, but it depends on the specific capabilities and services a 3PL offers.
Warehouse Services: Some 3PL providers primarily focus on warehousing services. They offer storage solutions for their clients’ goods, managing inventory, and providing distribution services. These warehouses may not have the advanced order processing capabilities of a fulfillment center but are crucial for storing goods in bulk and managing inventory efficiently.
Fulfillment Services: Other 3PL providers specialize in fulfillment services. They operate fulfillment centers that handle the entire order fulfillment process, including receiving, picking, packing, and shipping individual orders directly to customers. These fulfillment centers are equipped with advanced technology and automation systems to optimize order processing and ensure efficient delivery.
Some 3PL providers offer both warehousing and fulfillment services, allowing clients to store their inventory in warehouses and utilize fulfillment center services for order processing and shipping. In such cases, they act as comprehensive logistics partners, providing end-to-end solutions for their clients’ supply chain needs.