Consolidation warehouse

Consolidation warehousing boasts a wide range of advantages for companies looking to store and distribute products, among these:

• Reduced shipping time - Utilizing consolidation warehouses can significantly reduce your shipping costs because consolidation warehousing combines small loads of shipments into full truckloads and ships them directly to the destination. As a result, your transportation costs are shared with other companies that are shipping to a similar location
• More frequent shipping - With consolidation warehousing, you can ship smaller orders more frequently while reducing costs. These facilities can facilitate the storage and consolidation of small loads of shipments and their transportation per your customers’ requirements. This results in improved flexibility for your freight shipping needs
• Improved customer satisfaction - Consolidation warehousing provides you the flexibility to ship goods in a cost-efficient and frequent manner. This enables you to charge your customers less and effectively accomodate their demands which eventually enhances your customer satisfaction levels
• Minimized handling and claims - Since the loads are combined and shipped directly to the destination, this form of warehousing minimizes material handling of goods along the way. With fewer touches, the risk of product damage is significantly lowered, which in turn, reduces the chance for claims
• Requires lower levels of inventory - Since consolidation warehousing involves the sharing of space by multiple suppliers, lower levels of inventory are required to fulfill customers’ orders. This can further result in an easier organization of goods and reduced inventory carrying costs
• Reduced fuel emmissions - Since smaller shipments from various suppliers are consolidated into larger loads, this form of warehousing utilizes fewer trucks for transportation. This results in reduced fuel emissions and expenses, and, eventually, environmentally-friendly logistics.