When to Switch from Self Shipping

Self shipping feels scrappy; past a point it becomes a distraction from growth. This guide gives clear signals for when to switch to a 3PL and how to choose the right 3PL partner for CPG brands without guesswork. The goal is simple: protect the customer experience, protect your margins, and free your calendar for selling and growing.

How do I know when my time filling orders becomes an issue?

Orders hijack your week

Ten or more hours on labels, tape, and claims means sales work is already crowded out. Add the mental load of ad hoc inventory counts and carrier follow ups; you lose whole sales cycles. If fulfilment dictates your day instead of your pipeline, it is time to switch to a 3PL partner and get your focus back. A good starting point usually falls around 300 units per week. Sustained three hundred sellable units a week flips the math. Pick fees plus pallet storage beat overtime and error credits; cold chain brands reach this crossover sooner since delay risk equals spoilage risk. Run a simple test: increase output by twenty percent for a seasonal lift; if errors spike or ship times slide, choosing the right 3PL partner becomes an investment, not a cost.

Storage takes over your space

Cases in hallways or paid self storage means you already pay for warehousing without racking, scanners, or insurance. Add pest risk, climate swings, and limited lift access; damage odds climb. A food grade 3PL rolls those sunk costs into one predictable pallet rate and carries the liability; you gain physical space and mental space.

Retail ship windows slip

Late shipments invite chargebacks and lost promo slots. A single deduction on a small order can erase your margin; a pattern lands you on a problematic vendor report. If your team lives inside cutoffs and apology emails, switch to a 3PL partner and put ship speed into an SLA you can manage to weekly.

Channel complexity hits

Running direct parcels and distributor pallets from the same room creates mismatched counts and messy lot codes. Manual uploads into systems steal hours; marketplace orders queue while you fix ASN errors. A 3PL with real integrations keeps retail and direct channels in sync; fewer touches, fewer mistakes.

Quality and compliance pressure

Regional grocers expect temperature logs, lot traceability, and mock recall results. Home setups rarely pass that test; risk compounds as volume grows. A 3PL with current SQF or BRCGS certification turns compliance into a standard workstream; you keep FSMA responsibility yet gain evidence you can produce on demand. Be an expert on your product, let the right partner be an expert on getting it where it needs to go, when it needs to get there.

Freight costs balloon

Inbound loads from a co manufacturer and pallets of packaging trigger residential accessorial fees, lift fees, and redeliveries. One refused delivery can fund a month of professional storage. A commercial dock with appointments, yard space, and routine live unloads lowers your landed cost; the savings offset part of the pick and pack bill.

Quick diagnostic checklist

  • Did you ship three hundred or more units per week for the past four weeks?

  • Did you miss two or more ship windows in the past month?

  • Do you pay for self storage or store cases in living or office space?

  • Do you run both retail pallets and direct parcels from the same station?

  • Do you handle refrigerated, frozen, or lot tracked items?

  • Did inbound freight trigger lift, residential, or redelivery fees last month?

  • Are returns rising due to damage or mis picks?

If you checked any of these, it could be time to choose a 3PL partner for CPG brands.

Cost breakeven sanity check

Add last month’s labour for packing and claims; use your fully loaded hourly rate. Add packaging supplies, self storage rent or rent you pay yourself, inbound accessorial fees, and write offs for damage or mis ships; even consider how much more home delivery from parcel service costs vs bulk from ULine. Divide by total units/cases shipped. This is your handling cost in your current setup, per unit/case.

A 3PL partner will usually give you a price list in a variety of line items. We explain those in detail in our 3PL Pricing Guide. Take your pallet in/out, case handling, pick pack & ship charge, and other costs associated with moving a single case. That’s your new cost per case. You’ll often find you can save when using a partner. The importance is comparing your time and the costs of mistakes when doing it yourself; people often overlook that.

Common objections answered

We will lose control. You gain control when accuracy, ship speed, dock to stock, and shrink live in an SLA with weekly reviews; misses become visible and fixable.
We can just hire a part timer. Added labour still sits outside audits, recalls, and carrier programs; a 3PL is built for those; you avoid supervisor time.
Our demand is lumpy. Shared space providers absorb peaks; you pay for the space and touches you use; your customers get stable fulfillment times when they matter most.

next steps

FAQ

1) What are the clear signs it is time to switch to a 3PL?
Look for steady three hundred unit weeks, missed ship windows, storage spilling into paid units, and added risk from cold chain or lot tracking. When fulfilment starts dictating your calendar, it is time to switch to a 3PL partner for CPG brands. This is step one in how to choose the right 3PL partner with data rather than guesswork.

2) How do I run a quick cost check for self shipping vs a 3PL?
Add last month’s packing and claims hours; multiply by your fully loaded rate. Add packaging supplies, self storage rent, accessorials, and write offs; divide by total orders. Compare that number to a live 3PL quote for pick and pack plus storage; if the gap is under fifteen cents per order, switch to a 3PL.

3) Should my 3PL be near my co manufacturer or my customers?
If products are perishable or require cold chain, proximity to your co manufacturer lowers inbound freight, dwell, and damage; for DTC heavy brands, proximity to core customers shortens transit and protects on time to promise. The best choice when you pick the right 3PL partner often blends both; stage near production, then add regional nodes as volume grows.

4) Do I still need an internal logistics lead after I choose a 3PL?
Yes. A 3PL is not your logistics department; appoint an internal owner who manages forecasts, inbound prep, data, and weekly KPIs. This role is central to how to be successful in your 3PL partnership; it prevents churn and keeps SLAs for accuracy, ship speed, and dock to stock on track.