In 2021, the Philippines’ eCommerce market sales reached $17 billion, largely contributed by 73 million online active users. This makes the e-commerce industry a prominent one in the country. However, this also means e-commerce business owners face various challenges. Customers not only expect competitive prices and a wide variety of products, but also fast, reliable, and affordable delivery.
To meet these growing demands and ensure a seamless customer experience, superior fulfillment services are no longer a luxury, but a necessity. This is where fulfillment companies come in, offering a strategic solution for e-commerce businesses to focus on their core strengths while guaranteeing efficient and cost-effective order fulfillment across the Philippines.
We’ve compiled a comprehensive guide to the Top 10 fulfillment companies in the Philippines. Let’s dive in!
Overview of Fulfillment In The Philippines
The Philippines is experiencing a digital revolution, driven by a sharp increase in e-commerce activity due to a public that is becoming more and more internet literate. E-commerce businesses can find many opportunities in this country, but there are practical challenges as well. E-commerce business entrepreneurs frequently deal with similar issues like:
- Limited Storage Space: Managing inventory efficiently can be a nightmare, especially for businesses operating from cramped home offices or small spaces. Additionally, warehousing space can be expensive, considering a business would need multiple warehouses to provide nation-wide delivery.
- Time-Consuming Fulfillment Processes: Picking, packing, and shipping orders can be incredibly time-consuming, diverting your focus from core business activities like marketing and product development. However, it can be effectively outsourced to an e-commerce fulfillment company to help you focus on critical business activities and decision making
- Delivery Challenges: Ensuring fast, reliable deliveries across the Philippine archipelago can be complex, particularly for businesses located outside major cities.
These challenges highlight the rising popularity of outsourced fulfillment solutions. Partnering with a fulfillment company allows e-commerce businesses to:
- Free Up Valuable Resources: By offloading warehousing, order fulfillment, and inventory management to a fulfillment company, e-commerce owners can dedicate their time and energy to core business functions. Additionally, businesses get real-time visibility into their inventory, allowing them to make data-driven decisions. They also provide out-of-stock indicator, so you never have a case of stockouts.
- Benefit from Scalability: Fulfillment companies offer flexible solutions that can scale alongside business growth. This eliminates the need for upfront investments in warehouse space and fulfillment infrastructure.
- Reach Customers Faster: Many fulfillment companies have strategically located warehouses across the Philippines. This translates to faster delivery times and improved customer satisfaction.
Consumer Needs and Requirements Drive the Fulfillment Landscape:
- Fast and Reliable Delivery: Rapid delivery options are no longer a luxury, but an expectation. Consumers want their orders delivered quickly, efficiently, and with clear tracking information. A reliable fulfillment company can ensure that the orders are delivered on time and provides satisfaction to the customer, especially last-minute shoppers.
- Transparent Returns and Exchange Policies: Seamless returns and exchange processes are crucial for building customer trust and loyalty. When there is hassle free returns policy, it improves customer satisfaction and increases the chances of the customer returning to your business
- Positive Overall Customer Experience: From a user-friendly online shopping experience to efficient order fulfillment and responsive customer service, every touchpoint contributes to a positive overall experience.
What Can Outsourcing Fulfillment Do For Your Philippine Business?
Benefits Of Partnering With A Fulfillment Provider
| Aspect | In-House Fulfillment | Outsourced Fulfillment (3PL) |
| Focus | Diverts resources from core business activities | Frees up resources for growth & marketing |
| Efficiency | Time-consuming processes can hinder growth | Streamlined operations improve efficiency |
| Scalability | Limited scalability as business grows | Flexible solutions adapt to growth surges |
| Inventory Management | Risk of stockouts or overstocking | Accurate inventory forecasts & control |
| Delivery Speed | Potentially slower delivery times | Faster deliveries through strategically located warehouses |
| Expertise | Limited logistics knowledge | Access to logistics expertise and industry best practices |
Factors To Consider When Choosing A Provider
Selecting the ideal fulfillment company for your e-commerce business in the Philippines is crucial for streamlining your business operations and propelling your business towards success. Here’s a comprehensive breakdown of key factors to consider:
Inventory Management:
- Inventory Forecasting: Look for a fulfillment company that utilizes data analytics to generate accurate inventory forecasts. This minimizes the risk of stockouts that can lead to lost sales and customer frustration, while also preventing excessive inventory that incurs high holding costs.
- Warehouse Management System (WMS): A robust WMS ensures real-time inventory visibility for business owners to monitor stock levels across multiple locations and optimize order fulfillment processes.
- Inventory Replenishment: Partner with a fulfillment company that offers efficient inventory replenishment strategies to maintain optimal stock levels and avoid disruptions.
Fulfillment Capabilities:
- Order Processing: Efficient order processing is critical for timely deliveries. Choose a fulfillment company with a proven track record of handling high order volumes accurately and swiftly.
- Picking and Packing: Look for a provider with skilled personnel and efficient picking and packing processes to minimize errors and ensure orders are shipped quickly and securely.
- Shipping and Delivery: Strategically located warehouses across the Philippines are essential for faster deliveries and improved customer satisfaction. Consider the fulfillment company’s network reach and their partnerships with reliable courier companies.
Technology and Integration:
- Multi-Marketplace Integration: The ability to seamlessly integrate with popular e-commerce platforms like Lazada, Shopee, TikTok Shop and your own online store is essential for managing orders from multiple channels efficiently.
- Real-Time Order Tracking: Provide your customers with the ability to track orders by partnering with a fulfillment company that offers real-time order tracking capabilities. This reduces the need for your customers to reach out to the customer support team.
- API Integration: A robust API (Application Programming Interface) facilitates smooth data exchange between your e-commerce platform and the fulfillment company’s system, ensuring seamless order fulfillment and accurate inventory tracking.
Additional Considerations:
- Out-of-Stock Indicator: An effective out-of-stock indicator prevents customer disappointment by automatically updating your online store’s inventory levels and notifying you when products are running low.
- B2B Order Workflow: If you cater to B2B clients, ensure the fulfillment company has expertise in handling bulk orders, dedicated account management for your business needs, and the ability to fulfill complex B2B order workflows.
- Expiry Management: For businesses dealing with perishable or time-sensitive products, choose a fulfillment company with robust expiry management systems that track expiration dates and prevent expired products from being shipped.
- Scalability: As your business grows, your fulfillment needs will evolve. Partner with a fulfillment company that offers flexible solutions that can scale alongside your business without requiring significant upfront investments in infrastructure.
- Pricing Structure: Compare pricing models from different providers to ensure transparency and find a solution that aligns with your budget and business volume.
- Customer Service: Responsive and reliable customer service from your fulfillment company partner is crucial for addressing any issues that might arise during the fulfillment process.
Top 10 Fulfillment Companies In Philippines
1. Locad
Locad offers e-commerce businesses a tech-driven approach to bolster sales in the Philippine e=commerce industry. The main nerve center of your operations is its robust Order Management System (OMS), which makes it easy to link well-known marketplaces like Lazada, Shopee, Tiktok Shop, and Shopify.
This implies that you will have a single, unified view of your inventory and orders across all sales channels, negating the need to manage separate platforms for various marketplaces.
Locad’s commitment to technology goes beyond its collaborations with online retailers. With features that boost efficiency and optimize your fulfillment operations, their Out-Of-Stock indicator (OMS) gives you the ability to prevent stockouts and maintain control over your inventory.
Additionally, automated operations within the OMS avoid repetitive labor like order picking, packing, and shipping. Bulk shipment management gives you total control over your fulfillment processes, making it simple to handle and reject large orders.
Because of Locad’s emphasis on technology, you can increase productivity, optimize business processes, and ultimately provide outstanding client experiences.
Locad’s services include:
– Same Day Delivery/Fulfillment: Get your products into customers’ hands faster, boosting satisfaction and loyalty.
– Locked stock handling: Ensure accurate inventory control by dedicating specific stock to pre-orders or promotions.
– Inventory Forecast: Predict future demand with data-driven insights to avoid stockouts and overstocking.
– Multichannel selling: Sell seamlessly across multiple online marketplaces, reaching a wider audience effortlessly.
– Cross-border selling: Expand your reach beyond Philippine borders and tap into global markets.
– B2B Order Workflow: Streamline the ordering process for businesses, fostering stronger relationships with wholesale clients.
Experience fulfillment by Locad today!
2. DelGate Logistics
DelGate Logistics is a 3PL in the Philippines, meeting the demands of expanding e-commerce companies. They provide a whole range of services, such as inventory control, order fulfillment (picking, packaging, and shipping), and even cash on delivery (COD) alternatives.
DelGate uses technology to improve efficiency and may include features like order status updates and real-time inventory tracking. Their primary objective is to offer organizations scalable online fulfillment solutions that are both economical and efficient, all without requiring substantial initial outlays.
What Customers Say
– Comprehensive Services
– Technology Integration
– Expensive
– Delayed shipping
– No personalisation
3. Airspeed
For more than 35 years, Airspeed has established itself in the Philippine logistics market. From being a global air freight forwarder, they have developed into a full-service 3PL supplier. Airspeed provides warehouse services all throughout the Philippines, enabling online retailers to arrange their inventory for quicker shipping across the country.
Order fulfillment, which includes selecting, packaging, and delivering via their own courier network or alliances with reputable carriers, is included in their service offering. Their features include the capacity to manage cash-on-delivery (COD) transactions and customized packaging, which appeal to both B2C (business-to-consumer) and B2B (business-to-business) demands.
What Customers Say
– Tech-integration
– Good customer service
– Delayed delivery
– Inaccurate tracking
– Complicated return process
4. TOP Logistics
TOP Logistics is a prominent player in the international logistics industry in the Philippines and has its sights set on the rapidly expanding e-commerce business.
They have a national network of warehouses that are arranged for effective delivery throughout the Philippines. Additionally, they provide order fulfillment services, which include picking, packaging, and shipping, in addition to inventory management and warehousing. It may be possible to integrate with well-known e-commerce systems, which would simplify order processing for companies.
What Customers Say
– Nationwide warehousing
– Limited technology
– Uncertain scalability
– Poor customer service
– Lack of clarity in pricing
5. CEVA Logistics
CEVA Logistics is a leading global leader in shipping and logistics, and it is a division of the CMA CGM Group. The supply chain requirements of large and medium-sized domestic and international businesses are complex and constantly evolving, and their experts specialise in developing end-to-end tailored solutions to meet those needs.
What Customers Say
– International Shipping
– Lack of personalized packaging
– Incompetent website
– Poor customer service
– Delayed delivery
– Delayed pick-up
6. Susumi Philippine Logistics
Susumi Philippine Logistics markets itself as the Philippines’ all-inclusive supplier of logistics solutions. They serve a broad spectrum of industries, maybe including online retailers.
Susumi provides warehouse options all throughout the Philippines, which enable planned inventory placement and even expedited national delivery. They offer fulfillment services that include shipping, packaging, and selecting. To guarantee effective product distribution, they may form alliances with reputable courier services or operate their own delivery network.
What Customers Say
– Nationwide warehousing
– Handles complex logistics
– No multi-channel selling
– No marketplace integration
– Lack of tech-integration
– Poor customer service
7. FedEx PH
FedEx Philippines distinguishes itself beyond conventional 3PL services with its expertise in quick and dependable international express delivery. Companies may reach clients anywhere in the world by utilizing their well-established infrastructure and vast global network. They offer a range of shipping choices and online facilities for tracking goods, catering to both people and corporations.
What Customers Say
– International shipping
– Expensive
– Delayed delivery
– Poor customer service
– Excessive taxes
8. Makati Express
Makati Express, a seasoned player in the Philippine logistics scene since 1980, provides businesses with logistics and cargo forwarding solutions. With possibilities for both air and sea cargo, they provide both domestic and international freight movement. E-commerce companies may use their services for door-to-door delivery, warehousing, and even reaching overseas clients. When it comes to e-commerce fulfillment, Makati Express might not be as skilled as specialized 3PL suppliers. There may be a lack of features like smooth e-commerce platform integration or real-time tracking.
What Customers Say
– International reach
– Door-to-door delivery
– Not data-driven
– Lack of tech-integration
– Poor customer service
– Complicated return process
9. Anchanto
Anchanto Logistics Philippines provides a full range of 3PL options, specifically for e-commerce companies. They include value-added elements like kitting, personalized packaging, and cash-on-delivery (COD) management together with storage and fulfillment services. Utilizing technology, Anchanto guarantees a smooth interaction with e-commerce platforms and offers real-time tracking visibility during the entire fulfillment process.
What Customers Say
– Real time tracking
– Poor customer service
– Expensive
– Delayed delivery
– Poor refund and return system
10. Transportify
Transportify Logistics Philippines connects businesses with a network of delivery and on-demand trucks via a technologically advanced platform. They assist businesses of all sizes by providing same-day delivery options, intercity cargo movement, and even freight forwarding services inside the Philippines.
What Customers Say
– Offers real-time tracking
– Digital proof of delivery
– No sea and air forwarding
– Expensive
– No international shipping
Choosing The Right Fulfillment Provider In Philippines
E-commerce is booming in the Philippines, and like most things that gain popularity immensely, it comes with its own bout of challenges. This is where outsourced fulfillment comes into play.
By working with the right fulfillment partner, your business may improve customer satisfaction, streamline operations, and finally experience sustainable growth. Before you choose a fulfillment partner, keep the following in mind:
1. Technology Integration: It’s critical that your online store and e-commerce platform integrate seamlessly. Effective fulfillment companies employ Robust Order Management Systems (OMS) and interface with well-known marketplaces such as Lazada, Shopee, and TikTok. This reduces errors and streamlines fulfillment by enabling automated processes, centralized order processing, and real-time inventory tracking.
2. Scalability and Flexibility: As your company expands, so will your needs. Select a fulfillment partner who can grow and adjust their offerings to fit your company’s needs. They ought to be equipped with the tools and resources necessary to deal with variations in the number of orders and kinds of products.
3. Geographic Coverage and International Expansion: Consider your target market. Does the fulfillment provider have strategically located warehouses across the Philippines for efficient domestic deliveries? If international expansion is part of your vision, explore if they offer expertise and established relationships with international shipping carriers to facilitate cross-border fulfillment.
4. Communication and Customer Service: Open lines of communication and prompt customer service are top priorities for a dependable fulfillment partner. Seek for suppliers who give committed account managers and easily reachable assistance to quickly resolve any issues or questions.
Conclusion
So there you have it, the top 10 companies in the Philippine fulfillment game! Remember, the perfect fulfillment partner depends on your specific needs. Do your research, make use of this list as a starting point, and choose the fulfillment provider that empowers you to focus on what you do best – building your brand and creating amazing products. With a reliable fulfillment partner by your side, you can help your business grow and reach global success! Partnering with Locad can help you leverage Locad’s expertise and network to optimize your inventory management and secure competitive shipping rates. Don’t let your fulfillment bother you, sign up with Locad today!
