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5 Tips on Hiring a Fulfillment Company for New eCommerce Business

Ecommerce business owner hiring a fulfillment company.

Partnering with the right fulfillment company can be the difference between steadily growing your sales or floundering in place. Here are five questions to ask when evaluating a potential fulfillment company.

1. Do they provide speedy shipping?

Home delivery is part of the convenience of online shopping. Customers don’t want to wait for their purchases, and they’ve come to expect rapid shipment. Slow delivery times is one of the major reasons consumers switch to another eCommerce company.

2. Are they reliable?

Both you and your customers need to rely on the performance of your fulfillment company. Communication should be open and frequent across all channels, and the company should be providing you with comprehensive and accurate data regarding inventory, delivery times and other metrics.

3. Are they tech-forward?

With all the moving parts involved in the order fulfillment process, it’s nearly impossible to manage it manually. Sophisticated high-tech systems provide real-time data that enables you to respond promptly to any areas that need attention.

4. Are their services cost-effective?

Use of a fulfillment company is a good way to consolidate expenses, but you still have to make it work within your budget. When evaluating costs, go past the initial charges to see if they have tiered pricing schedules, volume discounts and other ways to maximize your investment.

5. Are they scalable?

As your business grows, the last thing you want to do is start over with a different fulfillment company because your original choice can’t handle the increased workload. Look for a company that can accommodate seasonal fluctuations and long-term growth so you can develop a mutually beneficial partnership.

Your Top Choice for Fulfillment Warehouse Services

Medallion Fulfillment & Logistics has extensive experience working with eCommerce companies of all sizes and types. Contact us to learn more.

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Tips for Fulfilling a One Time Shipment like Kickstarter

Kickstarter Success! DIY shipping or Hire a Fulfillment Company?

Fulfillment: DIY vs. 3PL

Congratulations, your Kickstarter campaign was a success! While the funds are rolling in and the social media congratulations are buzzing, you’re facing the next big challenge: fulfilling your promises. For many creators, the most difficult part of a crowdfunding campaign isn’t raising the money; it’s delivering the product to your backers.

Manufacturing, shipping, and handling thousands of orders can be overwhelming. This guide will help you understand the two main approaches to Kickstarter fulfillment—doing it yourself or partnering with a third party logistics provider—so you can make the best choice for your project.

Understanding Kickstarter Fulfillment

Before you can ship a single product, you need a solid plan. Successful fulfillment starts long before your campaign ends. It requires careful planning and budgeting to ensure you can meet your backers’ expectations without eating into your profits.

One of the biggest mistakes first-time creators make is underestimating costs. Your budget needs to account for more than just manufacturing. Remember to factor in platform fees (which can be 8-10% of your total funding), payment processing, packaging materials, and shipping. It’s crucial to build a financial buffer to cover unexpected expenses like shipping damages or production delays.

The DIY Fulfillment Approach

Managing fulfillment in-house means you handle every aspect of the process, from storing inventory and packing boxes to printing labels and shipping orders. This hands-on approach is often the default for smaller campaigns.

Advantages of DIY Fulfillment

  • Total Control: You oversee every detail, ensuring the packaging and presentation align perfectly with your brand. You can add personal touches like handwritten notes to create a memorable unboxing experience.
  • Direct Backer Relationship: Handling fulfillment yourself keeps you directly connected to your supporters. This can be a valuable learning experience, offering insights into your customer base.
  • Lower Upfront Costs: You avoid the fees associated with a fulfillment partner, which can be appealing if your budget is tight.

Challenges of DIY Fulfillment

  • Massive Time Investment: Packing and shipping hundreds or thousands of orders is a monumental task. This can easily become a full-time job, pulling you away from other critical business activities.
  • Space Requirements: You’ll need a dedicated space to store your inventory and set up a packing station. For many, this means turning a garage or living room into a temporary warehouse.
  • Potential for Errors: Without established systems, the risk of making mistakes—like sending the wrong item or using incorrect postage—is high. International shipping adds another layer of complexity with customs forms and regulations.

The 3PL Fulfillment Approach

A third-party logistics provider (3PL), or fulfillment company, handles your storage, packing, and shipping for you. You send your manufactured products to their fulfillment center, and they take care of the rest.

What is a 3PL?

A 3PL provider acts as your outsourced operations department. Their services typically include warehousing, inventory management, order processing, and shipping. At Medallion Fulfillment, we have extensive experience managing special orders and kitting, ensuring that even complex rewards with multiple items are assembled and shipped correctly.

Advantages of 3PL Fulfillment

  • Focus on Your Core Business: Outsourcing logistics frees you up to concentrate on what you do best—developing new products, marketing your brand, and growing your business.
  • Scalability: A fulfillment company is equipped to handle large order volumes. If your campaign is more successful than anticipated, a 3PL can easily scale to meet the demand.
  • Shipping Expertise and Better Rates: 3PLs ship in high volumes, which allows them to negotiate better shipping rates with carriers than a small business could get on its own. They are also experts in navigating the complexities of international shipping and customs.

Challenges of 3PL Fulfillment

  • Cost: Partnering with a 3PL involves service fees. While you save on shipping, you need to budget for costs related to storage, order processing, and packing.
  • Less Direct Control: While you still control your brand, you give up direct oversight of the packing and shipping process. This is why choosing a trusted partner is so important.

Choosing the Right Fulfillment Model

So, should you go the DIY route or hire a 3PL? The right answer depends on several factors:

  • Scale and Volume: For projects with a small number of backers (e.g., under 200) and simple rewards, DIY can be manageable. For larger campaigns, especially those with significant international orders, a 3PL is often the better choice.
  • Budget: While DIY seems cheaper upfront, the hidden costs of time, materials, and potential errors can add up. A 3PL has clear costs, but you must ensure they fit within your budget.
  • Your Expertise and Time: Be honest about how much time you can dedicate to fulfillment. If you’re already juggling other responsibilities, outsourcing to a third party logistics expert can be a lifesaver.

When evaluating 3PL providers, look for a partner with experience in crowdfunding campaigns and the flexibility to handle unique requirements like kitting and assembly.

Key Steps in the Fulfillment Process

No matter which model you choose, the core steps remain the same:

  1. Manufacturing Oversight: Keep in close contact with your manufacturer to ensure production stays on schedule and meets your quality standards.
  2. Transportation: Arrange for your finished goods to be shipped from the factory to your home or your 3PL’s fulfillment center.
  3. Pledge Management: Use a tool like BackerKit to collect final shipping addresses from your backers. It’s best to do this just before you’re ready to ship to avoid issues with outdated addresses.
  4. Communication: Keep your backers informed every step of the way. Regular, transparent updates build trust and patience, especially if there are delays.

Finding Your Fulfillment Balance

Successfully fulfilling your Kickstarter campaign is a balancing act between cost, control, and customer satisfaction. The DIY approach offers maximum control but demands significant time and effort. A 3PL provider offers expertise and scalability, allowing you to focus on your business while ensuring your backers receive their rewards efficiently.

By carefully planning your fulfillment strategy from the beginning, you can turn the challenge of delivery into an opportunity to build lasting relationships with the supporters who brought your project to life.

Ready to take the stress out of shipping? Let the experts at Medallion Fulfillment & Logistics handle the details.

Get a Free Fulfillment Quote

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How 3PLs Empower DTC Brands to Scale Faster Pt 2

Third Party Logistics Provider for DTC (Direct to Consumer Ecommerce)

Direct-to-consumer (DTC) brands are rewriting the rules of retail—building loyal communities, controlling their messaging, and delivering curated experiences. But as orders grow and customer expectations rise, fulfillment becomes a bottleneck. That’s where third-party logistics (3PL) providers step in—not just as operational support, but as strategic accelerators. If you didn’t catch part one of this article you can find it here.

Four Key Benefits of 3PL Partnerships

Cost Reduction Through Operational Efficiency

3PL providers achieve economies of scale that individual brands cannot match. By consolidating shipments and leveraging established carrier relationships, they secure better shipping rates. Medallion Fulfillment’s bulk shipping agreements result in significant savings that we pass directly to our clients.

Storage optimization reduces warehousing costs through efficient space utilization and shared infrastructure. Instead of paying for dedicated warehouse space year-round, brands only pay for the storage they actually use.

Enhanced Focus on Core Business Activities

When logistics operations move to experienced 3PL providers, internal teams can redirect energy toward revenue-generating activities. Marketing campaigns, product development, customer service, and strategic partnerships all benefit from increased attention and resources.

This refocusing often accelerates growth beyond what improved fulfillment efficiency alone could achieve. Brands that outsource ecommerce fulfillment typically see faster product launch cycles and more aggressive market expansion.

Improved Customer Experience and Satisfaction

Professional 3PL operations deliver consistently superior customer experiences. Order accuracy rates typically exceed 99.8%, while shipping times often improve by 2-3 days compared to in-house operations.

Advanced tracking systems keep customers informed throughout the fulfillment process, reducing support inquiries and increasing satisfaction. When issues do arise, experienced 3PL teams resolve them quickly without involving brand resources.

Scalability Without Operational Complexity

3PL partnerships eliminate the need to forecast warehouse capacity, hire seasonal staff, or invest in additional fulfillment infrastructure. During peak seasons or promotional periods, your 3PL automatically scales operations to meet demand.

This flexibility proves especially valuable for DTC brands with seasonal products or those experiencing rapid, unpredictable growth. You can focus on driving sales without worrying about fulfillment capacity constraints.

Success Stories: DTC Brands That Scaled With 3PLs

Several household-name DTC brands have leveraged 3PL partnerships to achieve remarkable growth:

Warby Parker revolutionized eyewear retail through their direct-to-consumer model, but their success required efficient distribution to compete with traditional optical chains. Strategic 3PL partnerships enabled rapid geographic expansion while maintaining their distinctive customer experience.

Glossier built a devoted following around minimalist beauty products and community-driven marketing. As order volumes exploded, partnering with experienced 3PLs allowed them to maintain fast shipping and branded packaging without diverting resources from product development and customer engagement.

Allbirds gained popularity through sustainable footwear and transparent business practices. Their complex supply chain and global shipping requirements made 3PL partnerships essential for maintaining their ethical standards while scaling internationally.

Casper transformed the mattress industry with their bed-in-a-box concept, but shipping large, bulky products required specialized logistics expertise. 3PL partnerships enabled reliable delivery of their innovative packaging while supporting rapid market expansion.

Choosing the Right 3PL Partner

Success depends on selecting a 3PL provider that understands DTC brand needs and can grow alongside your business. Look for partners offering seamless technology integration, transparent pricing, and experience serving similar brands.

At Medallion Fulfillment, we specialize in supporting DTC brands through every growth stage. Our scalable services, strategic warehouse locations, and flat-rate fulfillment programs for startups provide the flexibility growing brands need. Whether you’re shipping 100 orders per month or 10,000 per day, our systems and expertise adapt to your requirements.

Transform Your Fulfillment Into a Competitive Advantage

The most successful DTC brands treat fulfillment as a strategic capability, not just an operational necessity. 3PL partnerships enable this transformation by providing professional operations, advanced technology, and scalable infrastructure—freeing you to focus on what you do best.

Don’t let fulfillment bottlenecks limit your growth potential. Contact Medallion Fulfillment today to start your third party logistics for ecommerce partnership and discover how professional fulfillment services can accelerate your DTC brand’s success.

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How 3PLs Empower DTC Brands to Scale Faster Pt 1

Third Party Logistics for Ecommerce Brands

Direct-to-consumer brands have revolutionized retail by cutting out middlemen and building direct relationships with customers. However, as these brands scale, fulfillment operations often become their biggest bottleneck. Managing warehouses, processing orders, and shipping products can quickly overwhelm growing businesses. That’s where third party logistics for ecommerce becomes essential—transforming fulfillment from a headache into a competitive advantage.

The Fulfillment Bottleneck That Stops DTC Growth

When DTC brands experience rapid growth, their initial fulfillment setup rarely keeps pace. What works for 50 orders per week quickly crumbles under 500 orders per day. Common challenges include:

Limited warehouse space forces brands to rent additional storage or turn away inventory. Growing product lines need more room, but securing additional space requires long-term commitments and upfront costs.

Rising operational costs eat into profit margins. Hiring warehouse staff, investing in packaging equipment, and managing inventory systems drain resources that could fuel marketing and product development.

Inventory management nightmares lead to stockouts and overstock situations. Without sophisticated tracking systems, brands struggle to maintain optimal inventory levels across multiple SKUs.

Time drain on core activities pulls leadership away from strategy and growth. When founders spend hours packing boxes instead of building partnerships or developing products, growth stagnates.

These pain points compound as order volume increases, creating a ceiling that prevents sustainable scaling.

How 3PLs Transform Fulfillment Into Growth Engines

A strategic 3PL partnership addresses these bottlenecks while creating new growth opportunities. Modern third party logistics for ecommerce providers offer far more than basic warehousing—they deliver comprehensive solutions that scale with your business.

Nationwide warehouse networks eliminate geographic limitations. When you outsource ecommerce fulfillment to providers like Medallion Fulfillment, you gain access to strategically located facilities. Our Los Angeles and Boston locations enable coast-to-coast coverage, reducing shipping times and costs for customers nationwide.

Advanced technology integration connects your ecommerce platform directly to fulfillment operations. Real-time inventory tracking, automated order routing, and predictive analytics eliminate manual processes while providing valuable business intelligence.

Branded fulfillment experiences maintain your customer relationships even when orders ship from third-party facilities. Custom packaging, personalized inserts, and kitting services ensure your brand identity reaches customers intact.

Transform Your Fulfillment Into a Competitive Advantage

The most successful DTC brands treat fulfillment as a strategic capability, not just an operational necessity. 3PL partnerships enable this transformation by providing professional operations, advanced technology, and scalable infrastructure—freeing you to focus on what you do best.

Don’t let fulfillment bottlenecks limit your growth potential. Contact Medallion Fulfillment today to start your third party logistics for ecommerce partnership and discover how professional fulfillment services can accelerate your DTC brand’s success.

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5 Steps to a Successful Ecommerce Startup

Ecommerce Startup Fulfilment Program

Starting an ecommerce business can feel overwhelming, but after years of helping ecommerce startups through our fulfillment programs at Medallion, I’ve seen what separates successful launches from costly failures. The key isn’t having unlimited resources—it’s following a proven roadmap that minimizes risk while maximizing your chances of success.

Whether you’re testing a new product idea or ready to scale your existing business online, these five essential steps will guide you toward a profitable ecommerce startup that stands the test of time.

Find Product Opportunities and Choose What to Sell

The foundation of any successful ecommerce startup begins with the right product selection. Through our work with hundreds of startups, I’ve learned that the most successful entrepreneurs don’t just follow trends—they identify genuine market gaps.

Start by researching your target market thoroughly. Use tools like Google Trends, Amazon Best Sellers, and social media platforms to identify products with growing demand but limited competition. Look for problems you can solve rather than products you want to create.

Validate your product ideas before investing heavily. Conduct surveys, create simple landing pages to test interest, or run small social media campaigns to gauge response. This validation process can save you thousands of dollars and months of wasted effort.

Consider your sourcing strategy early. Whether you’re manufacturing custom products, working with suppliers, or starting with dropshipping, understand your costs, minimum order quantities, and lead times. These factors will directly impact your pricing strategy and cash flow requirements.

Research Your Competition and Write a Business Plan

Understanding your competitive landscape isn’t just helpful—it’s essential for ecommerce fulfillment success. Analyze at least five direct competitors, studying their pricing strategies, product offerings, customer reviews, and marketing approaches.

Pay close attention to their customer complaints. These pain points represent opportunities for your business to excel. If customers consistently complain about slow shipping, poor customer service, or product quality issues, you’ve found your competitive advantage.

Your business plan doesn’t need to be complex, but it should address key questions: Who is your target customer? What’s your unique value proposition? How will you acquire customers? What are your projected costs and revenue for the first 18 months?

Include realistic financial projections that account for inventory costs, marketing expenses, and fulfillment operations. Many ecommerce startups fail because they underestimate these ongoing operational costs.

Choose a Business Name and Set Up Your Online Store

Your business name should be memorable, easy to spell, and available as a domain name across social media platforms. Avoid overly complex names that customers might struggle to remember or find online.

When selecting your ecommerce platform, consider factors like ease of use, customization options, payment processing fees, and integration capabilities. Popular options include Shopify, WooCommerce, and BigCommerce, each offering different benefits depending on your specific needs.

Focus on creating a professional, user-friendly website that builds trust with potential customers. Include clear product descriptions, high-quality images, customer reviews, and transparent shipping and return policies. Your website often provides the first impression of your brand—make it count.

Optimize your site for search engines from the start. Use relevant keywords in your product descriptions and page titles, ensure fast loading times, and create valuable content that attracts your target audience.

Choose a Shipping Strategy and Set Marketing Goals

Shipping strategy can make or break your ecommerce startup. Customers expect fast, affordable, and reliable delivery options. Consider partnering with an experienced ecommerce fulfillment provider to leverage their carrier relationships and expertise.

At Medallion, we’ve seen many startups benefit from our Flat Rate Fulfillment Starter Program, which provides predictable costs during the crucial testing phase. This program includes account setup, order processing, customer service, shipping, warehousing, and return processing—all at a fixed rate that helps you budget accurately.

Set specific, measurable marketing goals before launch. Rather than vague objectives like “increase sales,” establish concrete targets such as “acquire 100 new customers in the first month” or “achieve a 3% conversion rate within 60 days.”

Develop a multi-channel marketing approach that includes email marketing, social media advertising, content marketing, and search engine optimization. Start with one or two channels, master them, then expand your efforts.

Launch Your Business

Before going live, conduct thorough testing of your entire customer journey. Place test orders, check payment processing, verify inventory management, and ensure your ecommerce fulfillment process works smoothly.

Create buzz before your official launch through social media teasers, email campaigns to friends and family, and partnerships with complementary businesses or influencers in your industry.

Monitor your key performance indicators closely during the first few weeks. Track conversion rates, average order values, customer acquisition costs, and inventory turnover. This data will guide your optimization efforts and help identify issues quickly.

Be prepared to iterate rapidly based on customer feedback and performance data. Successful ecommerce startups remain flexible and responsive to market demands while maintaining focus on their core value proposition.

Ready to Scale Your Ecommerce Startup?

Launching an ecommerce store successfully requires careful planning, strategic thinking, and reliable operational support. While these five steps provide the roadmap, having the right fulfillment partner can significantly impact your success trajectory.

Our Starter Program has helped numerous ecommerce entrepreneurs test their markets efficiently while maintaining professional operations from day one. With predictable costs and comprehensive service, you can focus on growing your business while we handle the logistics.

Explore Medallion’s Startup Program and discover how our flat-rate fulfillment solution can support your ecommerce journey from launch to scale.