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If you’re looking for ways to grow your 3PL business, consider adding value-added services. These are services that extend beyond the typical core offering and can help set your business apart from the competition. In this article, we’ll discuss the benefits of value-added services and how 3PLs can integrate them into their business. We will also mention Logimax WMS, a software solution that helps 3PLs, distribution centers, and private warehouses run their businesses more efficiently and profitably.

What is Logistics?

Logistics is the process of planning, executing, and controlling the transportation and storage of goods. It includes the coordination of resources to move goods from one point to another. 3PL providers offer logistics services to businesses that don’t have the internal resources to manage their own supply chain.

What is 3PL?

As mentioned, a 3PL (third-party logistics) provider is a company that offers logistics services to businesses. 3PLs typically provide transportation, warehousing, and other supply chain management services. Businesses outsource their logistics needs to 3PLs when they can’t or don’t want to handle those tasks on their own.

What are Value Added Services?

Value added services are services that extends beyond the typical core offering. 3PLs can offer value added services to their customers to differentiate their business from the competition and increase their earnings. Some examples of value-added services include assembly, kitting, packaging, and customization.

Why Third Party Logistics Providers Should Offer Value Added Services

Gone are the days when 3PLs could simply provide transportation and warehousing services and expect to be successful. In today’s competitive marketplace, 3PLs must offer value-added services to stay ahead of the competition and meet consumer demands.

Here are some compelling reasons why 3PLs should consider adding value-added services to their business. Offering these services can help third-party logistics providers:

  • Increase revenue: 3PLs can increase revenue by offering different and higher tiers of service for their customers. For example, a typical 3PL can offer basic transportation services for customers who just need goods shipped from point A to point B. However, for customers needing more than just transportation, smart 3PLs can offer additional services such as packaging, assembly, kitting, and customization.
  • Improve margins: 3PLs can improve their margins by adding services that are less competitive and have higher margins. For example, 3PLs can offer customization and fulfillment services that require more labor and have higher margins than transportation and warehousing services alone.
  • Attract new business: 3PLs can attract new business by offering services that their competitors don’t offer. For example, if you’re a 3PL that offers turnkey fulfillment of ecommerce orders, you may be able to attract customers who are looking for a one-stop shop for their logistics needs.
  • Build relationships with existing customers: 3PLs can build stronger relationships with existing customers by offering additional services. For example, if you’re a 3PL that offers assembly services, you may be able to build a stronger relationship with your customer by helping them save time and money on their manufacturing process.
  • Reduce churn: 3PLs can reduce customer churn by offering value-added services that keep customers happy and improve customer satisfaction. By tuning in to the needs of your customers, you can offer the services they are just starting to think about. This will prevent customers from needing to go elsewhere.
  • Gain a competitive advantage: 3PLs can gain a competitive advantage by offering value-added services that their supply chain competitors don’t offer. For example, 3PLs can offer unique services such as product customization, kitting, and assembly.
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List of 3PL Value-Added Services to Grow Your Business

The core 3PL services typically involve transportation, warehousing, and other supply chain management services. However, as we’ve said, 3PLs can extend their offering to differentiate their business while meeting the growing consumer demand.

Here are some value-added services 3PLs can offer to grow their business:

Kitting and Assembling Products:

3PLs can put together products that need to be shipped as a set. This is often done with products that are frequently ordered together or with seasonal items.

Repackage and Rebranding:

3PLs can help customers with their packaging and branding needs. For example, a customer may need to change their branding and repackage their products for a different market.

Reverse Logistics:

3PL providers can offer reverse logistics services to their customers. This could include returns processing, refurbishing, and recycling.

Returns Processing:

Returns processing is the process of handling returns from customers. 3PLs can offer returns processing services to their customers as an added value service.

Disposal or Destruction:

3PL providers can offer disposal or destruction services to their customers. This could include disposing of hazardous materials, recycling products, and destroying products as required.

Custom Labeling:

Custom labeling is the process of creating labels for products that are not already labeled. 3PLs can create custom labels for their customers according to their specifications.


3PL providers can offer personalization services to their customers. This could include engraving, embossing, or printing a customer’s name on a product.


Cross-docking is the process of unloading goods from one transportation vehicle and loading them onto another. 3PLs can offer cross-docking services to their customers to save them time and money.

Negotiating Shipping Rates:

3PL providers can use their volume discounts with shipping companies to get lower domestic and international shipping rates for their customers. This helps 3PL customers in reducing shipping costs.

Managing Recurring Subscription Boxes:

3PL providers can manage the storage, packaging, and shipping of recurring subscription boxes for their customers.


3PL providers can offer rework services to their customers. This could include fixing damaged products, repackaging products, and labeling products.


Postponement can include storing products until they are needed, packaging products according to customer specifications, and customizing products.

Retail Preparation:

Retail preparation means getting items ready for sale in retail environments. It can include adding barcodes or hang tags, pricing products, and packaging products for retail sale.

Sorting and Inspection:

Sorting and inspection services include sorting products, inspecting products for damage, and removing defective products.

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International Trade Compliance:

International trade compliance services can include filing paperwork, paying tariffs, and helping to comply with customs regulations.

Blister Packs:

3PL providers can offer blister pack services to their customers. A blister pack is a type of pre-formed plastic wrapping used for small consumer items, foods, and pharmaceuticals.

Shrink Wrapping:

Shrink wrapping service is a value-added service your customers may need. Shrink wrapping is a type of packaging that is used for products that need to be protected from the elements.

Call Center Management:

3PL providers can offer call center management services to their customers who would otherwise need to outsource this. This could include answering end-customer calls, managing customer accounts, and providing customer support.

Firmware Testing:

3PL providers can offer firmware testing services to their customers. This could include testing the software of products, updating firmware, and providing customer support.

Vendor Managed Inventory (VMI):

3PL providers can offer Vendor Managed Inventory (VMI) services to their customers. This can include managing inventory levels, ordering products, and arranging for delivery.

How to Add Value-Added Services to Your 3PL Business

If you’re interested in adding value-added services to your 3PL business, there are a few things you should keep in mind.

  1. First, you’ll need to identify the needs of your customers and what value-added services would be most beneficial to them.
  2. Next, you’ll need to find a way to integrate the value-added services into your existing business model. For example, you may need to purchase tools for heat sealing, printing, or engraving, or you may need to upgrade your phone system, and train employees to use them correctly.
  3. Finally, you’ll need to price and market the value-added services to your customers.

Logimax WMS Software for 3PLs and Supply Chain Management

If you’re looking for a way to improve your 3PL business, consider Logimax WMS software. Logimax WMS is a cloud-based warehouse management system that helps 3PLs run their businesses more efficiently.

Logimax WMS features for 3PLs include:

  • 3PL Order Management: Logimax WMS includes an order management system that helps 3PLs manage their orders more efficiently. It includes features such as order tracking, order history, and order notes.
  • 3PL Inventory Management: Logimax WMS also includes an inventory management system that helps 3PLs manage their inventory. It includes features such as inventory tracking, inventory history, and inventory reports.
  • 3PL Shipping Integration: Logimax WMS also includes shipping integration that helps 3PLs manage all of their shipping needs. It includes features such as shipping tracking, shipping quotes, and shipping labels.

Logimax WMS is an affordable, easy-to-use, cloud-based software solution that can help you grow your business. To learn more about Logimax WMS, contact us today. We will be happy to answer any of your questions.


If you’re looking for ways to grow your 3PL business, consider adding value-added services. These services can help increase revenue, improve margins, attract and retain customers, and differentiate your business from the competition.

Logimax WMS is not only a great way to manage your core 3PL operation, but can also handle value-added services that help grow your business.

Contact us today to learn more about Logimax WMS and what it can do for your company.

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