A distribution warehouse is an affordable option for those looking to save on shipping and storage costs. But what exactly do they have to offer and what should you look for when choosing one? Read on, then contact our team to learn more.
Why Use a Distribution Warehouse?
A distribution warehouse offers an affordable option for companies moving large amounts of product over extended distances. Basically, you can use a distribution warehouse to store large quantities of products before they are broken down and distributed.
In our article, “What is LTL Shipping and How Can it Save You Money?” we talked about a situation in which a company needed to get their product from a manufacturer on the east coast to three retail locations across the country. Using a distribution warehouse, the company reduced delivery times, allowed for better inventory management, and saved a good deal on shipping costs.
Here’s How it Works
Company X wants to move products from Baltimore, MD, to three retail stores in various locations across the country. Instead of shipping the products individually from Baltimore to the stores using parcel post, they instead use LTL or FTL to move larger quantities of products to warehouses more centrally located to their retail outlets.
The large freight or less-than-truckload shipment would then be broken down and shipped from the distribution warehouse to the retail stores. This option offers cost savings, a lower risk for loss or damage, and streamlined tracking.
3 Things to Look for in a Distribution Warehouse
Choosing a distribution warehouse can be difficult, so we took the time to see what the top three things reputable distribution warehouses had to offer prospective clients.
1. What the Distribution Warehouse Stores
Whether your products are chemical, automotive, food, or dry goods, you’ll need to know the distribution warehouse can properly store and handle them. Be sure to choose a company that offers storage for a variety of product types to ensure your product will be handled correctly. Additionally, ensure the warehouse storing your product meets all state and federal regulations as they pertain to your product. Chemical storage, for example, has strict storage and transportation requirements.
2. Shipping & Delivery Options from the Distribution Warehouse
Regardless of where the distribution warehouse is geographically (more on that below), the location should ideally be near easily accessible trucking or rail lines. Most freight and LTL shipments will use these methods of transport and easy access is paramount to cost savings.
3. Distribution Warehouse Location
Finding a distribution warehouse in a central location means savings on shipping and logistics. You’ll also want to make sure the distribution warehouse offers modern facilities with diverse product handling so you can get your product from Point A to Point B without getting damaged or lost.
Want to find a distribution warehouse?
Distribution warehouses can be found all over the United States, but that doesn’t necessarily mean that any warehouse will solve your specific warehousing challenges.
Amware, a full-service freight and logistics provider, offers a unique location in Cleveland, Ohio, which is only a day’s drive from over 80% of the US population. If you’re looking for a distribution warehouse and logistics provider who can take care of all of your storage and distribution needs, contact our team today.