Importance of warehousing in logistics

Most businesses that manufacture, import, export, or transport goods require warehousing. Although it may appear to be an unnecessary expense, it can actually save you money and increase your productivity.

When a customer places an order, their journey does not end. A warehouse allows you to better control your inventory and ensures that customers receive their products on time, resulting in increased revenue. 

Some reasons why warehousing is important are:

Proper inventory management

Approximately 8% of small businesses do not track inventory, and approximately 24% have no inventory at all. This frequently results in late shipments, delayed order processing, and a negative customer experience.

Warehouses keep your goods in one location, making it easier to track and manage your inventory. You will store, ship, and distribute products more efficiently if you invest in a warehouse. If something is out of stock, you’ll know right away and make plans to re-stock making the process seamless. 

Well-organized packing and processing

Importance of warehousing in logistics | Kwik

Most warehouses are fitted with equipment required to store, move, package, and process customer orders. To name a few, pallet racks, loading docks, and packing materials. This way, you’ll have everything in one location, saving you time and money.

A warehouse allows businesses to pack and grade their products in accordance with legal requirements and customer preferences.

Excellent customer service

More than 63% of online customers expect to be informed of the estimated or guaranteed delivery time. Approximately 88 percent of respondents would be willing to pay more for faster delivery. In fact, delivery speed is one of the buyers’ first factors they consider when choosing a business to purchase from.

You want to keep your customers satisfied and engaged as a business owner. Your reputation will suffer if you fail to deliver their orders on time. This can harm both your revenue and your brand’s image.

Warehousing enables on-time delivery and optimized distribution, resulting in higher labor productivity and customer satisfaction. It also aids in the reduction of errors and damage during the order fulfillment process as all products are sourced in one location.

Warehousing not only protects against price fluctuations, but it also ensures the safe storage of perishable goods. You can lease a warehouse equipped with refrigerators, freezers, at optimal temperature control based on your needs and type of business.

Plants, artworks, beverages, food, and medications are just a few examples of items that require cold storage. A warehouse that provides this service will keep your goods at the appropriate temperature, preventing spoilage, and color or texture changes. This in turn helps to extend the shelf life of the product and ensures customer satisfaction.

Furthermore, products stored in warehouses are typically insured. This means you have a better chance of receiving compensation from your insurance company in the event of a fire outbreak or theft.

Conclusion

You can partner with Kwik today to enjoy the numerous benefits of our Kwikshelf service.

Our storage facilities are fully insured and you also get a dedicated relationship manager who is assigned to your company to manage your inventory.

Furthermore, you can also enjoy fast and affordable deliveries anywhere in Lagos (2 hours), Abuja (60 minutes), and Ibadan (60 minutes) when customers order items from you.

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