I have made headway doing fulfilment for a few E-COMMERCE brands in Australia at a smaller scale and it is definitely profitable on a small scale.
I want to get an understanding of the ins and outs from someone that has been in the industry and knows what net profit % most 3pl providers generate.
Running a 3PL (Third-Party Logistics) business can indeed be profitable, and your experience with fulfillment for E-COMMERCE brands in Australia is a solid foundation. The profitability of a 3PL business can vary based on several factors, including scale, efficiency, and the range of services offered.
It's common for 3PL providers to operate within a net profit range of 5-10%, but this can fluctuate based on the specificities of the business model, industry trends, and operational efficiency. The key lies in optimizing processes, managing costs effectively, and providing high-quality services to clients.
For a deeper understanding of logistics management systems and insights into streamlining operations, you might find this article valuable: https://www.cleveroad.com/blog/logistics-management-systems/. It explores the benefits and considerations of implementing such systems, which can contribute to the overall efficiency and profitability of a 3PL business.
If you have specific questions or need more information, feel free to ask. Best of luck in further growing your 3PL business! 🚚💼
