What’s a 3PL and Why Should You Use One

June 11, 2025

What's a 3PL and Why Should You Use One?

A 3PL, or Third-Party Logistics provider, is a company that helps businesses manage different parts of their supply chain, like shipping, warehousing, inventory, and fulfillment. One key thing to know: a 3PL doesn’t actually own your products. They just help move, store, and manage them so you don’t have to.


So, Why Use a 3PL?


Simple: it lets you focus on what you do best, like growing your business, making great products, or building your brand, while leaving the logistics to professionals who do that for a living. A good 3PL can take a lot off your plate and help things run more smoothly behind the scenes.


Wait, Isn’t That What a Freight Broker Does?


Sort of, but not exactly. Freight brokers are one type of 3PL. They focus mainly on arranging transportation, primarily finding carriers to move your goods from point A to point B.

But many other 3PLs can offer an unlimited selection of services like:

  • Storing your inventory
  • Packing and shipping orders
  • Managing returns
  • Helping with inventory tracking
  • Even supporting your entire supply chain from end to end

3PLs Come in All Shapes and Sizes


Some 3PLs just handle one piece of the puzzle (like transportation), while others can take care of almost everything related to logistics. Whether you need help with a small part or your whole supply chain, there's probably a 3PL out there that fits.


Why Partnering with a 3PL Makes a Lot of Sense


1. You’ll Save Money

  • Better Rates: 3PLs usually ship a lot, so they get great deals on freight and storage, and you can benefit from that.
  • No Big Investments: No need to buy your own trucks or lease a warehouse. The 3PL already has what you need.
  • Lower Overhead: Outsourcing logistics frees up your time and staff, so you can focus on growing your business.

2. Things Get More Efficient (and Scalable)

  • Faster Shipping: 3PLs use smart systems that get orders out quickly and reliably.
  • Smarter Inventory: Many offer real-time tracking, so you always know what’s in stock.
  • Easy to Scale: Whether it’s holiday rush or a sudden boom, a good 3PL can flex with your needs.

3. You Get Expert Help

  • They Know Logistics: 3PLs live and breathe this stuff, so they’re great at solving problems and staying compliant.
  • You Focus on Your Business: With logistics handled, you can spend more time on product development, marketing, and sales.

4. Happier Customers

  • Faster, More Reliable Deliveries: Good logistics = happy customers.
  • Better Service: Real-time tracking and updates help customers feel informed and taken care of.

5. Access to Cool Tech

  • Modern Tools: 3PLs use advanced systems for inventory, orders, and shipping.
  • More Visibility: You get dashboards and data that help you make smarter decisions.


The Bottom Line

Working with a 3PL can:

  • Save you money
  • Make your operations more efficient
  • Let you focus on what you do best
  • Improve the customer experience
  • Give you access to better tools and tech

Whether you need help with just shipping or want someone to manage your entire supply chain, a 3PL can be a smart move to help your business grow faster and smoother.


For more information contact FreightXtension today!

By Dwight Neal June 11, 2025
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