Warehousing and order fulfilment is in itself a specialist area of business. As ecomerce business you
want to concentrate on your core strengths to grow your brand. Warehousing yourself does not
necessarily help that amibition but doing it can potentially slow your growth. In worse cases it can
actually damage your brand and you can loose out to your competition. Some of the key drawbacks
are:
- split of focus from brand growth to managing challengers related to logistics
- commit yourself to long expensive building leases
- big overheads and bigger utility bills
- perpetual maintenance of the facility costs
- manpower management / payroll / absentism / hiring / HR issues
- technology cost to of warehouse management system