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Fulfillment as a Service (FaaS)

Fulfillment-as-a-Service (FaaS)

What is Fulfillment-as-a-Service (FaaS)?

Fulfillment as a Service (FaaS) refers to a B2B service model where a service provider takes care of all fulfillment needs of an enterprise customer, typically a B2C retailer. The range of services differs but typically includes the picking, packing, and physical storage and shipment of customer orders. FaaS is related to third-party logistics, often abbreviated as 3PL, in logistics and supply chain management. In some cases FaaS is also referred to as Logistics as a Service or LaaS for short.

What are the benefits of FaaS (Fulfillment-as-a-Service)?

Financials: from capital expenditure (CAPEX) to operating expenses (OPEX), more flexibility and no upfront investment

Scalability - FaaS grows with your needs

Economies of scope leading to more efficient and faster shipping

Plannable and predictable

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