Some of the advantages of kitting include shorter assembly times, fewer shipping errors, improved packaging, and more efficient space allocation.
Shorter Assembly Times
When kitting is performed in bulk instead of individually processing every single order, the entire process becomes more linear which helps reduce time. Taking care of your own order fulfillment will also help you to save time. When the order fulfillment aspect is outsourced, every kit will be taken as one SKU instead of making payment for the picking and packing of each individual product. Therefore, the costs incurred from picking and packing will be significantly reduced.
Fewer Shipping Errors
Shipping items in kit form will increase the accuracy of order fulfillment and hence lesser mistakes. Our client or their fulfillment house will also have the freedom of pre-printing the shipping labels, hence removing the time it takes to weigh and label every single item.
Improved Packaging
Kitting will translate to an increase in postal savings as the packaging is more cost-effective and efficient. A customized packaging box can be created for popular kits instead of cramming all the individual items into a standardized box. This will then reduce the weight and the size of the packages.
Efficient Space Allocation
Lastly, kitting will significantly lower costs by having a more efficient space allocation and better stock control. On average, many businesses spend approximately twenty percent of their inventory value on storing and handling the items. When starting to use a kitting service to warehouse your items, the stock on hand is reduced which leads to more space and a lesser need for stock control.