How 3PL Providers Can Help Reduce Your Logistics Costs

In 2021, the global Third Party Logistics (3PL) market was valued at USD 1,032 Billion. That number is expected to grow in the coming years, with a predicted market value of USD 1,656.7 Billion for 2027.

During the pandemic, shipping has become one of the most important businesses in the country. Unfortunately, as the demand for reliable shipping has increased, the number of qualified drivers has decreased.

3PL, which involves hiring a third-party business for outsourcing logistics and distribution, can help ease shippers’ burdens. Utilizing a 3PL can also help businesses to decrease costs in some areas. Let’s take a look at what 3PLs do and how they can help your business.

How a 3PL Works 

Any organization that ships a product can hire a 3PL provider. The primary function of a 3PL is to help fill the logistics gaps in your supply chain, from transportation to warehousing to fulfillment and distribution. A valuable 3PL partner can help you identify opportunities to optimize your supply chain and create long term logistics solutions.

An experienced 3PL, such as Paystar Logistics, will be able to connect partners across their network to create best-fit solutions for both clients and carriers

How a 3PL Can Save You Money

The up-front cost of 3PL can seem prohibitive for some businesses,  but when weighing options, you should take a look at the long-term cost benefits.

Optimization is key when trying to keep logistics costs manageable. Having a trusted 3PL partner who knows and understands your business needs, will allow you to better manage lane and load capacity to reduce costs and improve performance across your distribution channels. 

When it comes to building solutions, Paystar Logistics has earned a reputation for filling trouble lanes with long-term sustainable capacity. We do this by employing your active sourcing method. That means 

  • No Load boards, 
  • No RFPs, 
  • No auction sites 
  • No transactional deals

This creates a win-win scenario. For our clients, we are able to provide reliable freight transport across their distribution chain. For our carriers, we create reliable and predictable capacity that helps them optimize their fleet usage.

These on-going partnerships help to consolidate less than container load (LCL) or less than truckload (LTL) freight, lower transportation costs, drive network efficiencies and create lasting solutions for a variety of supply chain challenges. Through our freight management process we’re able to provide a higher level of visibility to the things that matter most to your business. 

Other Benefits of Using a 3PL

While cost savings and supply chain optimization are driving factors for many businesses in the decision to use a 3PL, Paystar Logistics brings these added benefits. 

Industry Knowledge & Experience

Our team at Paystar is composed of experienced logistics professionals who have a working knowledge of the challenges and opportunities that exist in freight transportation. Through years of experience, we have developed a process to help us identify the right carrier to solve our clients problems leading to a mutually beneficial, long term transportation partnership. 

Expansive Network

Our years of experience also come with years of dedication to growing and developing our fleet network. This means that when your trouble lanes come with a unique set of parameters for transportation, we have an extensive list of possible solutions to help you cover your loads. 

Growth and Development

Because we take the time to get to know you and your business, we’re able to help you optimize for growth with transportation solutions in mind. 

For Clients this looks like providing proactive options as you grow your distribution channels across national and international lanes. 

For Carriers this looks like developing relationships with retail and manufacturing partners to create consistent capacity and cash flow for your business so you can grow your fleet. 

Final Benefit: Peace of Mind

As a business owner, you have enough to worry about. A 3PL provider can take some of that worry off your plate.
You can rely on Paystar Logistics to keep your trouble lanes filled and your loads optimized, helping you save time and money, and setting you up for future success. Ready to get started? Get in touch today.



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