Storage and Distribution for Marketing – Choosing a Fulfilment Partner

Finding the right partner for your marketing is important. If you are looking for someone you can trust to handle the promotional merchandise and printed collateral and ensure they are shipped to the event, exhibition or direct to customer in a timely fashion – this discussion may help.

Price and cost effectiveness

Fulfilment companies tend to fall into different categories with different pro and cons particularly around price.

1. E- commerce Fulfilment.

A google search for e-commerce fulfilment will give you several companies that specialise in holding stocks for those selling on Amazon, Etsy, Ebay and Shopify.

These fulfilment companies focus on large volumes and integration with shopping platforms, but the costs of storage and stock picking is low. The disadvantage is that they do require large volumes from their clients and are inflexible regarding things like returns and kit creation – they will also not monitor the delivery unless paid an additional fee to do so.

So whilst the unit price maybe low – the requirement of the platforms is for high volume and the product is highly systemised with little deviation from standard processes. Typical cost for a pick and pack will be around £1 plus shipping but you will need to be spending £500-£1000 per month

2. Mailing Houses

As the name suggest these companies focus on mailing products and have automated enclosing equipment. They can provide discounts on mailing costs through volume discounts with Royal Mail or other mailing companies. Some will hold stocks of promotional items for kitting and despatch, but it is not their core business. Excellent value for letter mailings- particularly if mailing discounts can be obtained. Sending 100s of small packages at one time will be very cost effective but sending one or or two at a time is not the core business.

3. Specialist promotional products fulfilment

A smaller promotional goods supplier and fulfilment company will be able to handle small and larger events and understands the industry much better. More expensive when looking at the headline price of storage and pick, but more competitive when all costs are considered. Note: not all promotional product distributors will hold stock and ship internationally. Indeed the vast majority of promotional products distributors will not hold stock nor ship internationally

PDI pricing is discussed here on the You Tube video: https://youtu.be/CEkKOTTgjvA

Flexibility

When considering a fulfilment company ask questions about flexibility. Can they send a single parcel to a residential address and also send a dedicated van to the large exhibition centres requiring co-ordination with on-site logistics companies to ensure goods arrive at the stand. Most marketing departments have a requirement for large events and small round-table events as well as shipping to individuals.

Two issues in particular are important:

1. International shipments and the handling of export documentation
2. Returns from an event – bringing back unused promotional giveaways and stand materials like roller banners and table cloths, to be reused.

Knowledge and Experience

Another area to question is the fulfilment houses experience of marketing and events. Not just deliveries, previously mentioned, but the fast pace and speed of turnaround required. Despite all the marketing plans and effort, the fact remains the world of marketing requires high levels of responsiveness and changes to plans. Experience in this area is paramount, and it is where the specialist score over the low-priced e-commerce fulfilment companies.

Deliveries to large events is not always straightforward requiring liaison with the onsite logistics companies. Each have individual and sometimes quite quirky requirements. Often a lot of form filling and product details which on the surface may seem irrelevant but we have come to learn there is no point debating the issue, just follow their procedures. This requires a fulfilment company with knowledge staff who can cut through this apparent bureaucracy.

Range of Additional Services

By definition all fulfilment house will hold stock, and when ordered will pick the stock and send it. Not all companies will also:

• Track the shipment to point of delivery
• Liaise with logistics companies at an event
• Organise a return of materials
• Examine returns, ensuring only items in good condition are returned to stock
• Create bespoke kits
• Personalise kits and shipments with a printed note
• Provide and create gift boxes
• Source roller banners, tablecloths and other items
• Have on-site printing facilities for last minute data sheets and brochure printing

Whilst for some companies these are just ‘additional’ services for the marketer organising events, these are essential services. Do check what your supplier will and will not do and ascertain the price upfront.

International Shipping

International shipping is not the same as handing over the parcel to a DHL or Federal Express. It also requires an understanding of the documentation required including commercial invoices and the various customs requirements from EORI numbers to KYC documents. If you have a need for international shipping, ensure your fulfilment company has experience in this area. Many promotional product companies simply will not get involved.

 To understand the PDI range of services see: https://www.pdi.co.uk/global-marketing-fulfilment or just drop us a line. We are happy to share our experiences without obligation

Author: David Platt, BSC, BA, MBA. Dip. M

 David has been involved in promotional products for 30 years, and storage and fulfilment for 15 years as Executive Director of PDI – he has the scars of hundreds of shipments, events and promotions, as well as a formal education in Business Management and Marketing.

David Platt: https://www.linkedin.com/in/david-platt-a84b12b8/

PDI: https://www.linkedin.com/company/pdi-europe-limited/?viewAsMember=true