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3 Logistics Myths that could be slowing down businesses

3 Logistics Myths small

As a growing business, we know that you are no stranger to logistics. With a focus on gaining a strong footing in your industry, there is a chance that you, like millions of others, considered the prospect of Logistics. Unfortunately, the myths that surround logistics could be holding your business back. Here are 3 common Logistics myths and why they are not true.

1 - Logistics will reduce my Profits

Maximize profit and minimize costs - the golden rule every business owner knows. Whether it's distribution, freight forwarding or a complete logistics solution, logistics is inherently a cost. Like any cost, it will cut into profits, right? In most cases, this is but a myth.

In truth, logistics solution providers work to increase efficiency by streamlining the flow of goods by warehousing, packaging, assembling, transporting and distributing goods. In contrast to the efficiency and benefits running parallel with logistics, the costs are only marginal. It helps you allocate resources where they are needed and shoulders some of your burden.

2 - Logistics only reduces Costs

Logistics aims at streamlining the flow of goods, reducing resource wastage and using best practices to maximize your profits. Interestingly enough, many small business owners tend to cling to this belief and weave it into their very definition of logistics. In truth, Logistics does more than reduce costs.

Proper warehousing, kitting and distribution ensures that your products are available to your customers in no time at all. This helps improve customer satisfaction and increase your customer retention ratio. In fact, Caterpillar has an extensive logistics network that has helped to dramatically improve its customer satisfaction.

More than just customer satisfaction, a good logistics partner helps your small business ensure that your customers receive undamaged and properly packaged goods. This helps your business exceed customer expectations and ensure they return.

3 - You can handle your own Logistics Efficiently

What’s interesting about logistics is that it looks rather simplistic on paper. Looking at logistics from a theoretical standpoint, most business owners believe that they can handle their own logistics efficiently. Unfortunately, this is but a myth because practically, it can be rather costly, risky and can dramatically slow down your company’s growth.

While there are certain elements that you can handle such as transport and distribution, a logistics partner enables businesses to tap into a vast market effortlessly. This not only ensures timely delivery and greater customer satisfaction but dramatically increased revenue.

With the amount of attention that it has garnered, it is no surprise that logistics has earned itself a few myths. After all, at its core, logistics can be a whirlwind affair if done incorrectly. With so much to gain and almost nothing to lose, acquiring a logistics partner - for small and large businesses alike - can be a sound choice.

Like the information above but still have questions? If you require more on the topic of logistics and all your confusions removed, contact TVI today by clicking on the link and completing a small and simple form.

If you found this information helpful and want to stay updated with more relevant information in future posts, subscribe to our newsletter by filling in the subscription form. Because at TVI, we empower you with the right information so you can make the right choices and help your business grow.

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