Logistics outsourcing for an omnichannel retailer

PTL Co ran a structured outsourcing programme to identify a flexible fulfilment model for store, ecommerce and wholesale channels.

THE CHALLENGE

Finding a flexible multichannel fulfilment partner

Client

Omnichannel retailer

Sector

Retail

Scale

£200m+ sales, 60 stores

Engagement

Logistics outsourcing

PTL Co helped an omnichannel retailer assess external fulfilment options for a £220m sales business operating 60 stores, a 300,000 sq ft warehouse footprint and around 16,000 live SKUs. The operation handled 10.2m items received annually, 10.5m items shipped, 6.1m order lines and around 2m items held in stock, while serving retail, ecommerce and wholesale channels through a facility expected to reach maximum capacity within 3 years.

The brief also needed to reflect the complexity of current operations, including 12 inbound vehicles per day, 200 warehouse staff, a peak 3-shift operating pattern and fixed retail delivery schedules across seven days. Providers had to demonstrate that they could manage channel complexity, space constraints, systems limitations, labour transfer, service continuity and future growth rather than simply take over an existing warehouse operation.

300,000 sq ft

warehouse footprint

16,000

live SKUs

10.5m

items shipped annually

6m

annual order lines

WHAT WE DID

Delivery framework

PTL Co defined the retailer’s multichannel fulfilment requirements, prepared the outsourcing brief and managed provider engagement around a large and space-constrained operation covering 300,000 sq ft, 16,000 live SKUs, 10.5m shipped items and 6m order lines annually. The work brought together store replenishment, ecommerce fulfilment, wholesale requirements, labour transfer, systems considerations and future contract phasing into one evaluation process, helping the client test whether providers could manage channel complexity without creating service, cost or implementation risks.

1. DEFINE REQUIREMENTS

Specify multichannel operating needs across retail, ecommerce and wholesale activity, reflecting the 60-store estate, 10.5m annual shipped items and 6m order-line profile.

2. PREPARE TENDER

Create provider documentation that set out operating expectations, commercial information, service requirements, warehouse scale and evaluation criteria.

3. ENGAGE MARKET

Brief suitable logistics providers and test their appetite, capability and understanding of a 300,000 sq ft fulfilment operation with peak 3-shift requirements.

4. ASSESS SOLUTIONS

Compare proposed operating models, technology, commercial structures and service capability against a consistent decision framework.

5. REVIEW IMPLEMENTATION

Evaluate transition plans, staff transfer considerations and capacity risks so provider options were judged on delivery practicality as well as commercial attractiveness.

WHAT WE ACHIEVED

Outcomes that carried into day-to-day operation

The retailer gained a clearer comparison of fulfilment options across stores, ecommerce and wholesale, with provider solutions tested against the scale of a £220m sales operation, 300,000 sq ft warehouse, 16,000 live SKUs and more than 10m items shipped annually. The process gave the business a stronger basis for selecting a partner that could support channel complexity, manage transition risk, absorb future growth and provide a future model aligned to service expectations, commercial requirements and capacity constraints.

Transparent provider comparison.

Solutions were assessed against consistent multichannel requirements, including store, ecommerce and wholesale activity across a 60-store retail estate.

Clearer commercial structure.

Cost and operating models could be compared against a large-scale operation handling 10.5m shipped items, 6m order lines and around 2m items in stock.

Implementation visibility.

Transition plans and associated risks were evaluated in the context of 200 warehouse staff, peak 3-shift operation and a facility expected to reach capacity within 3 years.

Stronger outsourcing decision.

The client gained an evidence-based framework for comparing future fulfilment options across service, cost, implementation risk, capacity constraints and multichannel fit.

PTL CO EXPERTISE

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