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.

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.

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.

Best Ecommerce Platforms for Startups: From a Fulfillment Center

Top Ecommerce Platforms for Startups According to an Ecommerce Fulfillment Company

Starting an online business has never been more accessible. With global ecommerce sales projected to reach 21% of all retail sales by 2029, selecting the right platform can make or break your startup’s success. The key is finding an ecommerce platform that balances affordability with scalability while providing the tools you need to grow.

As a business owner, you want a solution that gets you selling quickly without overwhelming technical complexity. You also need confidence that your chosen platform won’t limit your growth as your business expands. Here’s what you need to know about the top ecommerce platforms for startups and the key features that matter most.

Essential Features Every Startup Needs

Cost Structure and Transparency

Your budget is tight, so understanding the true cost of each platform is crucial. Look beyond monthly subscription fees to consider transaction fees, payment processing costs, and required add-ons. Hidden costs can quickly turn an affordable platform into an expensive mistake.

Customization Without Complexity

Your brand needs to stand out, but you don’t have time for complex coding. The best startup ecommerce platforms offer professional templates you can customize easily, plus the flexibility to make deeper changes as your business grows.

User-Friendly Interface

You’re focused on growing your business, not learning complicated software. Choose platforms with intuitive dashboards that make adding products, managing inventory, and processing orders straightforward. And in the future being able to integrate with you 3PL or fulfillment center will be a huge bonus.

Growth-Ready Scalability

Your startup may be small now, but your platform should handle increased traffic and sales volume as you grow. Look for unlimited product listings and bandwidth to avoid costly platform switches later.

Marketing Tools Integration

Customer acquisition is vital for startups. Platforms with built-in email marketing, SEO tools, and social media integrations help you reach customers without juggling multiple software subscriptions.

Reliable Customer Support

When issues arise, you need quick resolution. Platforms offering 24/7 support ensure your store stays operational, protecting your revenue and customer relationships.

Top Ecommerce Platform Comparison

Shopify: The All-Around Leader

Shopify dominates the startup ecommerce space for good reason. Starting at just $5 per month, it offers over 100 professional themes, unlimited products and bandwidth, and no transaction fees. The platform includes email marketing tools, abandoned cart recovery, and seamless social media selling. With 24/7 support and an extensive app library, Shopify grows with your business from startup to enterprise.

WooCommerce: WordPress Integration

If you’re already using WordPress, WooCommerce might seem appealing. While the plugin is free, you’ll need WordPress hosting ($4-$45 monthly) plus paid extensions for essential features. The total cost often exceeds dedicated ecommerce solutions, and technical complexity can overwhelm non-developers.

Squarespace: Design-Focused Solution

Squarespace excels in visual appeal with 180+ templates perfect for creative businesses. Plans start at $16 monthly but include transaction fees on lower tiers. The limited app ecosystem may restrict growth, making it better suited for businesses with basic ecommerce needs.

Wix: Quick Setup Option

Wix offers rapid site creation with 2,000+ templates and no transaction fees. Plans start at $29 monthly, but the platform lacks scalability features that growing businesses need. It’s ideal for simple stores but may require migration as you expand.

Square Online: Service Business Focus

Square provides a free plan and specializes in restaurants and service businesses. While cost-effective initially, limited ecommerce features and templates make it less suitable for product-focused startups planning significant growth.

BigCommerce: Enterprise-Oriented

BigCommerce targets larger businesses with advanced features but higher setup costs. Starting at $29 monthly with mostly paid themes, it may overwhelm startups while offering more complexity than needed.

Ecwid: Embedding Specialist

Ecwid excels at adding ecommerce to existing websites. Plans range from $5-$105 monthly, but you’ll need the highest tier for unlimited products and POS integration, making it expensive for growing businesses.

Shift4Shop: Single Plan Approach

With one plan at $39 monthly, Shift4Shop offers enterprise features but may be overkill for startups. The platform requires their payment gateway for transaction fee elimination, limiting payment flexibility.

Additional Ecommerce Fulfillment Solutions

Once your startup gains momentum, managing inventory, packaging, and shipping becomes complex and time-consuming. This is where ecommerce fulfillment solutions become invaluable.

Professional fulfillment services like Medallion Fulfillment & Logistics handle order processing, warehousing, pick and pack, and shipping operations. This allows you to focus on marketing, product development, and customer relationships while experts manage the operational details. Many fulfillment providers integrate directly with popular ecommerce platforms, streamlining your entire order management process.

Making Your Platform Decision

For most startups, Shopify offers the best balance of affordability, features, and scalability. Its comprehensive toolset eliminates the need for multiple software subscriptions while providing room for growth.

Consider your specific needs: creative businesses might prefer Squarespace, while those with existing WordPress sites may explore WooCommerce. However, factor in total costs and growth limitations before committing.

Remember, switching platforms later is expensive and disruptive. Choose a solution that supports your current needs while accommodating future growth.

Your ecommerce platform is the foundation of your online business. Take time to evaluate options thoroughly, test free trials when available, and select the platform that aligns with your startup’s goals and budget. The right choice will support your success from launch through expansion.

Ready to optimize your ecommerce operations? Contact Medallion Fulfillment for Your Fulfillment, 3PL or Warehousing Needs and discover how professional fulfillment services can accelerate your startup’s growth.

Is Amazon FBA Right for My Business: Fulfillment Services Comparison

Fulfillment Services

Is Amazon FBA Right for My Business?

As someone who’s worked with countless ecommerce businesses at Medallion Fulfillment, I’ve seen firsthand how the choice of fulfillment services can make or break a company’s growth trajectory. Amazon FBA has become incredibly popular, but is it the right fit for your business? Let me walk you through what you need to know.

Amazon’s Fulfilled by Amazon (FBA) program allows sellers to store their products in Amazon’s fulfillment centers. When customers place orders, Amazon handles the picking, packing, shipping, and customer service. It sounds straightforward, but the reality is more complex.

Understanding Amazon FBA Basics

Amazon FBA works well for businesses selling primarily on Amazon’s marketplace. Your products get the coveted Prime badge, which can significantly boost sales since Prime members prefer fast, free shipping. Amazon handles customer service inquiries, returns, and refunds—removing a major operational burden.

However, FBA comes with strict requirements. Your products must meet specific packaging standards, labeling requirements, and inventory restrictions. Amazon charges storage fees based on cubic footage, which can become expensive for bulky items that don’t sell quickly.

Control and Flexibility: Where FBA Falls Short

Here’s where I see many of my clients struggle with Amazon FBA—the lack of control. You can’t choose your shipping carriers, customize packaging with your branding, or control the customer experience beyond the initial product listing. Everything ships in Amazon-branded boxes, and you have no say in delivery methods.

For businesses that value brand identity and customer relationships, this can be problematic. You’re essentially handing over your customer experience to Amazon, which may not align with your brand values or service standards.

Storage Costs and Hidden Fees

Amazon’s fee structure is notoriously complex. While they advertise a simple per-item fulfillment fee, there are numerous additional charges: long-term storage fees, removal fees, return processing fees, and seasonal storage surcharges. These costs can quickly eat into your profit margins.

I’ve worked with businesses that discovered their Amazon FBA costs were 30-40% higher than expected due to these hidden fees. For companies with seasonal inventory or slower-moving products, storage costs can become particularly burdensome.

Shipping and Branding Limitations

With FBA, you lose control over the unboxing experience—a crucial touchpoint for building customer loyalty. There’s no opportunity for branded packaging, personalized notes, or promotional inserts that could drive repeat purchases.

Additionally, Amazon’s shipping methods may not align with your sustainability goals or customer preferences. You can’t choose eco-friendly packaging options or work with local carriers who might offer better service in specific regions.

Recommendation Based on Business Needs

Amazon FBA makes sense if you’re exclusively selling on Amazon, have small, lightweight products, and prioritize hands-off operations over brand control. It’s particularly effective for high-volume sellers who want to leverage Amazon’s massive logistics network.

However, if you sell across multiple channels, have larger products, want to maintain brand identity, or prefer predictable pricing, consider alternative ecommerce fulfillment solutions. At Medallion Fulfillment, we’ve helped many businesses transition away from FBA to achieve better cost control, enhanced branding opportunities, and improved customer relationships.

Making the Right Choice for Your Growth

The best fulfillment solution depends on your specific business model, growth goals, and priorities. Amazon FBA isn’t inherently good or bad—it’s about finding the right fit for your unique needs.

Before committing to any fulfillment service, carefully evaluate your current and projected order volumes, product characteristics, sales channels, and brand objectives. Consider speaking with fulfillment experts who can provide unbiased guidance based on your specific situation.

Ready to explore your fulfillment options? Contact our team at Medallion Fulfillment to discuss how we can support your business growth with flexible, cost-effective solutions tailored to your needs.