How Toolots Fulfillment Services Help Vendors Grow Their Distribution

 

Part of Toolots' turnkey solutions for our international machinery and equipment vendors is providing local fulfillment. Why’s that so important? For our overseas vendors, shipments to the US can take a long time, especially for large, heavy items that are common in the industries we work with.

Our US-based warehousing and other services allow vendors to sell in the US even if they don’t have teams of their own here. However, our fulfillment services don’t just help overseas vendors who have few other options. They’re valuable to our domestic vendors as well.

 

Our fulfillment services can help US vendors expand operations

We’re happy to announce that we’ve received our first container from a US-based vendor. Most of our overseas vendors use our warehousing and fulfillment services, but NobleLift is our first US-based vendor to do so.

NobleLift makes material handling equipment, specializing in pallet jacks and pallet moving equipment. Included in the recent shipment were some of their best-selling pallet jacks and stackers. (As always, we are a third-party platform, so we do not buy any of our vendors’ goods.)

Most of our US-based vendors either have logistics and order fulfillment functions in place, whether it is their own operations, through their distributors, or a combination of both. But that doesn’t mean they can’t take advantage of our fulfillment services.

NobleLift has a warehouse in Illinois whose central location has been able to support their distribution needs so far. Of course, as with any other company that warehouses in strategic locations to cut the time and price of shipping, growing demand means it might make sense to open a second location.

However, opening new warehouses is no small consideration as it involves investing in and training a new team as well. As NobleLift has seen rising demand on the West Coast, they decided to use Toolots’ fulfillment services for their West Coast orders instead.

NobleLift pallet jacks and stackers have arrived in our warehouse in Cerritos, CA

 

What do our fulfillment services look like?

Sellers on any marketplace platform need a good fulfillment solution. Although the term “fulfillment” is used rather broadly, it generally means anything to do with storing and shipping: warehousing, inventory, software, distribution, shipping providers, returns, etc.

Fulfillment by Amazon (FBA) is a great example of how sellers can streamline sales and cut costs when a marketplace offers fulfillment services fully integrated with their platform. Of course, fulfillment needs are different for consumer goods. Amazon FBA’s competitive advantage is in the various pick-and-package efficiencies they’ve developed for the purpose of fulfilling many disparate small purchases with high turnover, so the cost per square foot is priced accordingly. Industrial equipment orders are higher in value and require less pick-and-package, so it is not cost-effective to pay for fulfillment that is catered towards consumer goods. We charge 50 cents per cubic foot for storage – cheaper than the industry average.

But cost is not the only consideration. Warehouse location and ship time are just as important for B2B equipment than for consumer goods, if not more, because operational downtime is costly for businesses. It’s important that it’s done right.

Contrary to Amazon FBA and third-party logistics companies who handle consumer goods, our fulfillment services are specialized for our industry. In fact, Shopify’s guide to third party warehousing and fulfillment lists “similar industry specialization” as the number one consideration in choosing a fulfillment company. Our warehouse and personnel specialize in handling large, high-value equipment and machinery. By using our services to expand operations, vendors can optimize cost-efficiency and our buyers can rest assured that their purchases are handled properly and arrive in a timely manner.

Are you a US-based vendor interested in selling on Toolots? For more information, contact Toolots customer service.