Neto Blog

View latest posts

Logistics: Dropshipping, 3PL & DIY

Logistics: Dropshipping, 3PL & DIY

Ryan Murtagh
Ryan Murtagh
If you are selling physical products you will need to warehouse, and eventually ship your products to your customers.  Alternatively, you can have suppliers or manufacturers fulfil orders on your behalf (drop shipping) or utilize the services of a third party logistics provider (3PL).
Drop shipping

Drop shipping is a supply chain management technique in which the retailer does not keep goods in stock, but instead transfers customer orders and shipment details to either the supplier or manufacturer for fulfilment.   
Neto makes drop shipping easy by supporting multiple drop ship suppliers per order, automatically splitting orders for multiple drop ship suppliers and delivering drop ship orders by email, FTP or a web service.  Drop ship suppliers can also login to your Neto supplier portal to process orders on your behalf.

Benefits of Drop Shipping
  • Low setup costs
  • Low ongoing costs
  • Fast implementation
Negatives of Drop Shipping
  • Loss of control
  • Traditionally lower margins due to handling fees and inability to buy stock in bulk                             

3rd Party Logistics (3PL)

A third-party logistics provider (abbreviated 3PL, or sometimes TPL) is a company that provides a one stop shop service to its customers of outsourced (or "third party") logistics services for part, or all of their supply chain management functions.  This includes warehousing products, picking, packing and sending orders on the merchants’ behalf.
Neto integrates with a number of 3rd party logistics providers and also offers its own 3PL service through its partner, Cellnet Logistics (  This complete logistics service is ideal for businesses of any size and allows you to focus on selling, while we focus on delivering your products to your customers for the best possible price.
Benefits of Cellnet’s 3PL Service
  • Automated integration with your Neto back-end
  • Complete scalability
  • Economies of scale
  • Peace of mind
  • Reliable delivery
  • Simple cost structure
  • Flexible & customised solutions
  • Transparency
  • Specialised reporting
  • Best practice inventory control
  • Importing or sourcing assistance
  • Increased speed to market
  • Professional customer experience
  • Industry expertise

Do It Yourself (In house)

If you warehouse, pick, pack and dispatch orders in-house (your own warehouse), you will need to employ the services of a shipping carrier or multiple shipping carriers.  Shipping carriers will deliver your products to your customers. 
In Australia there are a number of shipping carriers and services available.  The carrier(s) you choose will be determined by the products you sell, the urgency of your orders and location of your customers.

Express or Air carriers will typically deliver goods within 24 hours while standard road carriers will take anywhere from 2-14 days to deliver your products (depending on the location of the customer).  

If you liked that, why not subscribe for more?

Scale your business with tips, tricks and inspirational case studies delivered to your inbox.

Unsubscribe at any time

Start your trial today

No fees. No credit card. No risk.

Shopping Cart - 0 Items