The Third Option: “Brand Fulfillment Model”
Third-party logistics company Evolution Fulfillment is an example of a new breed of 3PL that is pioneering a new model that blends the best – while leaving out the worst – of the direct and distributor model.
Under the Brand Fulfillment model, the brand maintains complete control over retailer relationships, including transparency into key sales data, control over sales & marketing and greater influence over end-consumer pricing. This is fundamentally different from the distributor model, where control over your brand ends once you hand over the inventory to the distributor.
“We basically act as an extension of the brand” said Evolution’s President Ben Martin, “We integrate our inventory, warehouse and accounting systems in the brand’s CRM system so they get complete visibility into their inventory and sales data. We’re completely transparent and accountable to the brand. It’s a better model for brands who want control of the growth of their business while also freeing them from the hassles of logistics so that they can focus on their core. Forget third-party logistics. We’re first-party logistics.”
For key markets, the distributor model has inherent flaws that restrict the control you have over the growth of your brand or, in the worst case, ruin your brand in that market
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