Third Party Shipping: Top 5 Benefits

By | March 28, 2025

Third Party Shipping: Top 5 Benefits

Businesses require transportation methods for their products, but not all have the resources or expertise to establish their own logistics operations.

To make this easy, companies may consider hiring a third party to assist in managing their logistical needs and shipping inventory from one location to another. For example, a customer orders something from your business, the order details are sent to the third-party shipping provider. Then, it manages that order by picking, packing, and preparing it for shipment. After that, the package is shipped using a chosen carrier (FedEx, UPS, USPS, etc.) and sent to the customer.

Grand View Research projects that the global third-party logistics market, valued at USD 1,095.85 billion in 2023, is projected to grow at an 8.1% CAGR from 2024 to 2030. Factors such as transport infrastructure development, e-commerce growth, and new technologies are driving growth, with shippers outsourcing for cost-effectiveness.

Let’s delve into this blog to explore what 3rd party shipping is and its benefits.

What is Third Party Shipping?

Third party shipping is a business process where inventory is sent to a 3PL logistics provider, who handles shipping and distribution for a fee. This saves businesses from investing in complex and expensive operations while also providing experience and connections from established third parties. This allows companies to focus on other business aspects.

Top 5 Benefits of 3rd Party Shipping

Utilizing a 3PL logistics provider (3PL) for shipping can significantly enhance the efficiency and cost savings of companies.

MetaShip enhances the benefits of third-party shipping by integrating directly with Microsoft Dynamics 365 Business Central, allowing businesses to:

Automate third-party billing – Charge shipping costs directly to customer/vendor accounts.

Optimize shipping costs – Get real-time shipping rates from all carriers and choose the best carrier rates. Also, MetaShip is seamlessly integrated with major carriers: FedEx, UPS, USPS, and Purolator.

Improve efficiency – MetaShip confirms a shipment, generates a shipment label with third-party billing information, and syncs real-time tracking updates with Business Central.

Ensure global compliance – The system automates the creation of customs documentation, export declarations, and compliance reports, thereby facilitating seamless cross-border transactions with minimal delays.

Seamlessly integrate with Business Central – Sync orders, invoices, and tracking data effortlessly.

By leveraging MetaShip, businesses can unlock the full potential of third-party shipping, reducing costs while improving operational efficiency.

Multi-carreir shipping

Shipping Agents

How does it work?

Third party shippers typically handle inventory management after a contract is negotiated. Businesses ship their inventory to a third party for storage, and when new orders arrive via the business’s website, the third party coordinates and sends the shipment. Let’s make it simple:

  • The company selects a 3PL provider for product shipping.
  • 3PLs handle order processing, product pick and packing, shipment preparation, transportation, and delivery.
  • 3PLs may manage company inventory and returns.
  • The contract outlines terms, including pricing, service levels, and responsibilities.
  • 3PL uses company resources like warehouses, trucks, and staff.

Why Choose MetaShip for Third-Party Shipping?

MetaShip is a revolutionary solution for businesses looking to streamline third-party shipping. It integrates with Dynamics 365 Business Central, eliminating the need for multiple platforms and improving shipping accuracy. MetaShip offers multi-carrier support, end-to-end automation, cost savings, improved tracking and reporting, and scalability. It allows businesses to choose from top third-party carriers, streamline logistics, and optimize costs by selecting the best rates. It also provides enhanced visibility into shipping operations and adapts to business growth and changing shipping needs.

Contact us at MetaOption to learn more about how MetaShip can revolutionize your logistics strategy with effortless third-party shipping.

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