January 11, 2022

5 Key Factors To Choose The Best Warehousing Solution

Warehousing is a crucial part of the global supply chain. The process of managing inventory is not complete without warehousing. Both traditional retailers and eCommerce fulfillment services need warehousing. There are many modern warehousing solutions at the disposal of supply chain logistics. 

Owning and maintaining a warehouse is expensive for any business enterprise. Thus, the trend is to rent spaces in warehouses owned by third-party agencies. The key is to detect the best warehousing solution per your specific requirements. Here we have discussed some tips to make an informed decision.

What Are Warehousing And Its Importance? 

The fundamental question is, what is a warehouse? A warehouse is a brick-and-mortar space where goods are stored in an organized manner. Warehousing is required either by manufacturers to keep inventory before being shipped to the retail stores or by eCommerce retailers to store inventory destined for shipment directly to customers placing online orders. The two basic types of warehouses are public warehouses for short-term storage and contract warehouses for long-term storage. 

Goods are stored in an organized manner in a warehouse. The warehouse staff records the location of each item, the number of items received, and the outgoing shipment. The inventory in a warehouse is also safe and secure against theft and damage. 

Types Of Products 

The kind of inventory you sell is essential in determining the type of warehousing for products suited to your needs. All warehouses do not offer the same kinds of facilities. Hence, it is necessary to determine beforehand whether the warehouse that you are considering is suitable to store your inventory or not.

Some examples of warehousing concerning products are as follows.

  • If you want to store perishable items such as food products, the warehouse should have a temperature control facility or cold storage. 
  • If you want to store high-risk prone inventory, the warehouse must have advanced safety standards and a staff trained in advanced safety procedures. 
  • The warehouse must be well equipped to handle fragile items to store glassware and other breakable inventory.

Time duration 

Businesses selling seasonal items such as jackets can opt for public warehouses. Public warehouses charge a monthly fee. On the other hand, contract warehouses provide long-term storage and are well suited for businesses selling inventory throughout the year. However, contract warehouses charge more because additional costs such as fees for maintenance of the equipment are also added to the contract.


Small and Medium businesses should opt for warehouses close to their main offices and retail stores or customers. Large-scale companies operating throughout the country need to choose warehousing facilities at maximum locations all over the country to fulfill orders as soon as possible.

Warehouse located near railway terminals, ports, and major highways should be given priority.


The warehouse-size must be enough to meet the storage requirements of the business. The extent required must also factor in potential business growth and consequent increase in the volume of inventory.


The cost of warehousing depends upon the types of products, facilities and fulfillment needs apart from the space occupied. Making a budget is essential, but your specific storage requirements should not be subordinated to the cost.


When it comes to warehousing solutions, there are many factors to consider. To help you get started, we’ve listed five key considerations that will affect the storage costs and efficiency of your warehouse. Keep these in mind when determining which type of inventory management strategy is right for you. If none of this sounds like marketing speak or if you just want someone with experience managing warehouses to take care of all the details so that you can focus on growing your business—we can do that too! 

Conveyr has everything 3PLs need to not only compete but win new customers by offering an affordable solution they won't find anywhere else. Contact us today for more information about how our warehousing services work together with logistics software and other technology.

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