Discussing Rural Transportation Options

3 Types Of E-Commerce Warehousing

Today's consumers are relying on the Internet to purchase the products they both want and need. With more people logging on to make product purchases, it's a lucrative time to be in the e-commerce industry.

One of the biggest challenges that new e-commerce merchants face is deciding how they will store their excess inventory. Choosing the right warehousing system could mean the difference between building a successful e-commerce business and total failure.

Here are three types of e-commerce warehouses you should consider.

1. At-Home Warehouse

Smaller e-commerce companies can often get by with setting up a warehouse space at the home of the business owner. A garage, spare bedroom, or empty basement can provide a lot of storage space for smaller products. An at-home warehouse can save you a significant amount of money when it comes to storage space for your inventory. Although at-home warehousing is often pretty cheap, you will probably outgrow this type of warehousing as your e-commerce business becomes more popular with online consumers.

2. Independent Warehouse

E-commerce companies that sell large products or a high volume of consumer goods can also benefit from an independent warehouse space. Most business owners choose to rent their warehouse space rather than purchase it. Renting allows you to move to a larger or smaller warehouse as your inventory needs evolve with minimal hassle.

Be sure that your independent warehouse can be accessed easily so that you will be able to ship products in a timely manner. Having an independent warehouse can help you keep your e-commerce business organized and efficient, which will translate into better service for your customers over time.

3. Outsourced Warehouse

One of the easiest warehousing options available to e-commerce companies is an outsourced warehouse. Outsourced warehousing requires an e-commerce company to partner with a third-party logistics company to meet its inventory storage needs.

Third-party logistics companies typically have vast warehouses capable of storing large volumes of inventory. Some third-party logistics professionals even offer packaging and shipping services to help streamline the completion of online sales. You will be able to take advantage of the expertise a logistics company has to better track your inventory status when you outsource your warehousing.

If you are thinking about starting an e-commerce business of your own, you will need to secure a space for your products. Carefully weigh your inventory volume, anticipated sales volume, and current financial status when choosing your warehouse. These factors will help you identify the warehouse that will best meet your e-commerce needs. For more information, reach out to a local e-commerce warehousing service, such as Time-DC Thunderstone Logistics.