Distribution Centers 101

Once you have your product line and are getting some sales, there are many logistics to think about: retail stores, inventory warehouses, trucks, box and labels, and more.  An option worth considering for managing your end product is a warehouse distribution center. Here are some common questions brands encounter when deciding:

When do you need a distribution center?

If your business has grown beyond keeping stock in your garage, a storage space or if you don’t have the time necessary to oversee this important process, it may be time to take the next step. Distribution centers like Argents can guide you through this process by providing cost effective solutions to best manage your inventory and shipping needs. In addition, as you begin to utilize new suppliers throughout the US, the process of managing your supply chain can become very cumbersome and could take you away from your primary goal of design and sales.

What is a distribution center?

A distribution center acts as the logistical glue between you and your customers. A distribution center will pick up your products direct from the manufacturer and ship them to a distribution center to house your inventory. The product remains in the warehouse protected, organized and ready for distribution.

What are the benefits?

– The DC (distribution center) will pack, label and ship each customer’s order directly to their door

– You will have full inventory control and know the demand of your product for replenishment

How much do they cost?

Costs for your product are dictated by a few key factors:

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– How much product (by size and weight) is stored

– Number of different SKUs in stock

– Number of orders going in and out the door

A distribution warehouse is able to create a customized program for clients that allows for full control of inventory from anywhere in the world.

Who can use a distributor?

Whether you are a purely an e-commerce site or primarily a brick and mortar store looking to expand your reach, it may useful to utilize a warehouse distribution. Many distributors can link your preferred order replenishment system to their warehouse to create a seamless link between you and your customers.

How are returns usually handled?

Warehouse distributors can arrange pre-paid return boxes for your customers to make the process simple and easy. The returned product can be restocked or sent back to you for processing. Many distributors have contracts with major carriers such as USPS, UPS and Fedex in conjunction with larger trucking and logistic companies, making the distributor a one stop shop for getting your product delivered.

Argents is an option for your warehouse distribution needs, here is their email: distribution@argents.com (ask for Tony) and phone number: 888-982-4422.