According to a recent article published by Food Logistics, consumer demand for functional beverages, which provide additional energy or nutritional value for individuals, is skyrocketing due to current health trends and as a market response to COVID-19.
The appeal and need for functional beverages makes sense, for the time being at least, with the country’s food supply chain strained and shoppers making fewer in-person store visits. Many people are, therefore, looking for more types of food and beverages that do more. Functional beverages, for example, are often more nutrient dense. Many are also more shelf-stable and lend themselves better as direct-to-consumer deliver, which eliminates the need for a store visit at all.
To accommodate these changes in demand, many functional beverage manufacturers are focusing on e-commerce fulfillment; however, online sales require a new supply chain approach. And, many are finding 3rd party logistics companies and warehouse partners help fill this need. 3PLs are helping bridge the gaps for smaller businesses or newer brands that lack the proper capital and infrastructure needed for seamless service and successful scalability.
If you are selling any type of functional beverage, here are some things you should confirm when evaluating a potential third-party logistics partner to help fulfill and ship your products:
- Do the location(s) of its fulfillment center and carrier network provide the service-levels necessary to get your goods where they need to be at competitive rates?
- Is modern technology properly employed within its operation to provide the inventory and order visibility you need to ensure food safety and on-time delivery?
- Does it have enough functional beverage product experience to provide you with an innovative, forward-thinking solution?
- Does the provider offer co-packing or other value-added services you may require?
If you want to learn more information about the logistics of functional beverages, click here to read the full article.
*Kenneth Kowal is a logistics content creator, and the founder of ShipStarter, with over 20 years of experience in the logistics industry.