What Is 3PL Logistics? A Beginner’s Guide for Online Retailers

Click. Payment confirmed. Order placed. That little rush of satisfaction when someone buys from your store—priceless. But once the dopamine fades, what really happens?

The box doesn’t pack itself. Your product doesn’t teleport to the customer. There’s a whole backstage crew moving things along quietly. That’s where 3PL logistics comes in—quiet, behind-the-scenes, but absolutely critical.

And yet, most ecommerce business owners don’t start out thinking about it. You obsess over product quality, branding, your ads. Fulfilment? It’s an afterthought—until you realise you're spending most of your week printing labels and chasing couriers. That’s the moment many founders hit the wall. Enter 3PL.

So, What Exactly Is 3PL Logistics?

Let’s break it down. 3PL stands for Third-Party Logistics. It’s when you outsource parts—or all—of your supply chain logistics to a specialist provider.

Imagine this: you sell oat milk shampoo online. Instead of storing 2,000 bottles in your living room, picking orders yourself, and driving to the post office every day, you partner with a 3PL company. They store your stock in their warehouse, receive orders through your store’s integration, pack the goods, and ship them to the customer. You barely lift a finger.

That’s 3PL in action. Storage, picking, packing, shipping—all taken care of. Some even throw in customer service, returns management, or custom packaging.

So when someone asks, “What does 3PL logistics actually do?”—the answer is: almost everything between the moment a customer clicks “buy” and the moment they unbox your product.

What Do 3PL Providers Actually Do?

It’s not just warehousing and postage. Most 3PL logistics services for ecommerce go far beyond parcel handling. Here’s a breakdown:

• Warehousing: Your products live in the 3PL’s fulfilment centres. No need to rent your own space.
• Inventory Management: You can track stock levels in real time through your 3PL dashboard.
• Picking and Packing: Staff pick each item when an order comes in and pack it according to your requirements.
• Shipping: The 3PL either has direct courier partnerships or offers discounted rates across carriers.
• Returns Processing: Many 3PLs handle returns from start to finish, including inspection and restocking.

Some even offer value-adds: branded packaging, kitting (combining multiple items into one SKU), temperature-controlled storage, or B2B wholesale fulfilment.

If you’re using platforms like Shopify, WooCommerce, or Amazon, most 3PLs integrate seamlessly—orders flow automatically into their system. It’s plug-and-play logistics.

3PL vs 4PL: Is There a Bigger Fish?

Alt text: Illustration comparing 3PL vs 4PL logistics, with small and large fish symbolising each model.

Yes. It’s called 4PL—Fourth-Party Logistics. And it works a bit differently.

Think of a 3PL as your backstage crew: they handle the heavy lifting. A 4PL, however, acts like your logistics director. They don’t own trucks or warehouses—instead, they manage multiple 3PLs, carriers, and brokers on your behalf. They design your whole supply chain.

You’re not just outsourcing tasks; you’re outsourcing the thinking.

Use a 3PL if you need help storing and sending products. Consider a 4PL if your business is scaling fast, you're shipping internationally, or you’ve got multiple 3PL partners and need one command centre.

Here’s the link if you’re curious: 3PL vs 4PL logistics

Why Bother? The Real Benefits of Using 3PL Logistics

Let’s be honest. You didn’t start an online store to become a warehouse manager.

Outsourcing to a 3PL frees up your time—and your hallway. But beyond convenience, there are tangible benefits of using 3PL logistics:

• Cost Efficiency: No warehouse rent, fewer staff, and access to bulk shipping rates.
• Faster Delivery: Many 3PLs operate in multiple locations, meaning products get to customers quicker.
• Scalability: During peak seasons or viral surges, they can handle spikes in demand.
• Improved Customer Experience: Speed, tracking, branded packaging, and easy returns build trust.
• Focus on Growth: Instead of juggling logistics, you focus on product development, marketing, or just sleeping better.

Some founders hesitate, fearing they’ll lose control. But a good 3PL works like an extension of your team. You're not giving up control; you’re gaining breathing room.

How to Choose a 3PL Provider (Without Losing Your Mind)

Not all 3PLs are created equal. Some specialise in fragile goods, others in fashion or cold storage. Here’s what to look for when picking one:

• Location, Location, Location: Do they store goods close to your customers? A fulfilment centre in the wrong region = delayed parcels.
• Tech Integration: Can they sync with your ecommerce platform and show real-time inventory updates?
• Specialisation: Do they understand your product type? Beauty, supplements, electronics—all need different handling.
• Transparent Pricing: No one likes surprise fees. Ask about storage rates, pick-and-pack charges, shipping markups, and minimums.
• SLAs and Support: What’s their standard delivery time? Do they offer customer service support? Can you call a human?

Use this guide for deeper help: Fulfilment 3PL

A Day in the Life: What a 3PL Workflow Looks Like

Let’s use a mock brand: Glow&Grain, a vegan skincare line.

1. Inventory Sent to 3PL: You send 2,000 units to the 3PL warehouse in Manchester.
2. Store Integration: Your Shopify store is linked, so orders go straight to the 3PL’s system.
3. Order Placed: A customer in Brighton places an order for a serum and cleanser.
4. Picking and Packing: Warehouse staff pick both items, wrap them in branded tissue paper, and include a handwritten thank-you card.
5. Shipping: The parcel is labelled and dispatched via DPD with 2-day tracking.
6. Delivery: Your customer posts a happy unboxing on Instagram.
7. Return (If Needed): The 3PL receives the return, checks the items, restocks them.

You didn’t touch a box—and your customer had a premium experience.

Common Misconceptions About 3PLs

Alt text: Illustration of people showing confusion, concern, and cost issues about 3PLs, with a warehouse and delivery truck in the background.

For many ecommerce founders, the idea of outsourcing fulfilment comes with a fair bit of hesitation—and that’s completely fair. It’s your product, your reputation, your customer experience on the line. But much of the worry stems from outdated assumptions or second-hand horror stories that don’t reflect how modern 3PL providers actually work. Let’s untangle a few of the most common myths:

“It’s only for big brands”

This one’s widespread, but way off. There was a time when only big-box retailers or fast-scaling unicorns had the budget or volume to justify a 3PL. Not anymore. Today, many 3PLs are built specifically for smaller brands, even solo founders. In fact, a growing number of fulfilment providers cater to startups with zero minimum order requirements, flexible pricing, and month-to-month contracts. They know today’s two-person DTC brand could be tomorrow’s breakout success—and they’re betting on long-term relationships over immediate volume. Whether you’re shipping 50 orders a month or 5,000, there’s likely a 3PL tailored to your size.

“I’ll lose control”

Understandable fear—but the opposite is often true. When you’re doing fulfilment yourself, your visibility is limited to what’s physically in front of you. You might be tracking stock levels in spreadsheets or printing shipping labels manually. With a 3PL, most providers offer robust, real-time dashboards where you can see:

• Inventory levels across multiple warehouses
• Order statuses from pick to dispatch
• Delivery tracking and carrier performance
• Return rates and stock discrepancies

Some even flag slow-moving SKUs or recommend restocking thresholds. Rather than losing control, you gain a level of insight that’s near impossible when you’re buried under packing slips and bubble wrap.

“It’s too expensive”

It might feel expensive when you see line-item fees—£0.70 to pick an item, £1.50 to pack it, £0.20 for void fill. But when you run the full calculation—warehouse rent, insurance, staff salaries, packaging materials, printer maintenance, courier pickups, your own hourly labour—it starts looking a lot more sensible. Many 3PLs operate on economies of scale you can’t match on your own. They’ve already negotiated bulk shipping discounts, operate at higher warehouse efficiency, and cut wastage through tech and automation. And unlike renting your own space, you’re not tied to long-term leases or overheads—you pay for what you use, when you use it.

“I’ll lose my brand’s personal touch”

Fair concern, especially if your brand is built on thoughtful details. But this is one area where modern 3PLs have really stepped up. Many offer custom packaging options—branded boxes, tissue paper, stickers, even handwritten notes. Some can assemble PR kits, gift bundles, or influencer packs with the same care you would. You can even provide your own packaging materials to be stored and used with each order. And if you're serious about presentation, there are 3PLs that specialise in high-end DTC brands where packaging is part of the unboxing theatre. In other words, your customer won’t know it didn’t come directly from you—and might even think you’ve levelled up.

If you're still worried about that disconnect between brand and backend, consider starting with a hybrid model: fulfil some orders in-house while testing a 3PL with overflow or international shipments. You’ll quickly see which parts you’re happy to hand off—and which ones you’d rather keep close. Most brands find that the trade-off isn't control versus chaos—it's freedom versus bottleneck.

So, Where Does 3PL Fit Into Shipping Logistics?

Think of shipping logistics as the broader category: all the moving pieces involved in getting products from one place to another. 3PLs are a specific type of provider within that system. They don’t just ship; they store, pick, and pack too.

If you're mapping out your supply chain, shipping logistics includes freight, customs, courier coordination, tracking, and more. 3PLs help you manage a huge chunk of that. They’re like your middle layer—connecting your ecommerce frontend to the physical delivery process.

For more, see this breakdown: Shipping Logistics

When to Make the Jump: Signs You’re Ready for 3PL

Still packing orders in your garage? Here are a few signs it might be time to pass the torch:

• You’re spending more time on fulfilment than marketing
• Your hallway is filled with packing peanuts
• Orders are getting delayed or lost
• You’re waking up at 2AM remembering you forgot to restock toner
• Black Friday gives you a panic attack—not excitement

There’s no shame in outsourcing logistics. It’s smart. Whether you're selling phone cases or artisanal chilli oil, there comes a point when doing everything in-house stops being cost-effective—and starts holding you back.

About Bezos

Alt text: Logo of Bezos.

Bezos isn’t your typical 3PL provider—it’s fulfilment built for ecommerce brands that expect more.

We help online sellers streamline operations without sacrificing speed, control, or brand personality. Whether you're a growing DTC startup or an established ecommerce brand scaling across the UK and Europe, our tech-first fulfilment solution gives you the visibility and flexibility you need to grow confidently.

Here’s what sets us apart:

• No order minimums – Start small and scale as you grow
• Pan-European fulfilment – Store your products closer to your customers
• Same-day dispatch – Orders placed by 5pm ship the same day
• Real-time tracking and dashboards – Keep tabs on inventory, deliveries, and returns in one place
• Branded packaging options – Protect the unboxing experience that your customers love
• Transparent pricing – No surprises, no hidden fees

Whether you're handling 100 or 10,000 orders a month, Bezos plugs directly into your ecommerce store and takes care of everything behind the scenes—so you can focus on what matters most: building your brand.

Get a custom quote from Bezos and find out how effortless ecommerce fulfilment can be.

Conclusion

Great fulfilment doesn’t have to be complicated. But it does need to be reliable, fast, and scalable. That’s what a good 3PL logistics partner brings to the table. You stay focused on growing your brand. They make sure every customer gets their order—with the care and speed they expect.

Still unsure if 3PL is right for you? Start by getting a quote—it costs nothing to compare.

Get a custom quote from Bezos today!

FAQ

What is 3PL logistics?

It’s when a business outsources parts of its logistics—like warehousing, picking, packing, and shipping—to a third-party provider. It’s a popular solution for ecommerce brands that want to scale without building their own fulfilment infrastructure.

What does 3PL logistics do?

A 3PL handles the physical movement and storage of your products. They store your goods, process customer orders, pack them, and deliver them—often faster and cheaper than you could do yourself.

What is 3PL and 4PL in logistics?

3PL refers to a partner that handles fulfilment tasks like storage and shipping. 4PL is more strategic—it manages your entire supply chain, possibly working with multiple 3PLs and couriers to optimise everything from procurement to delivery.

What is an example of a 3PL?

Companies like ShipBob, Bezos.ai, and Fulfilmentcrowd are well-known 3PLs. They operate warehouses and handle the full order fulfilment process for ecommerce brands.

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