Co-warehousing as D2C Lifeline
Tyler Scriven, CEO of Saltbox, on co-warehousing and D2C ecommerce
The real threat is not shipping cost by itself, it is that modern ecommerce now rewards operational precision that most small brands cannot build alone. A merchant that once won with a Shopify store and some paid ads now also needs inventory planning, carrier pickups, warehouse space, labor, and often capital. When those pieces break, the founder ends up packing boxes at home, missing delivery expectations, and tying up cash in inventory instead of growth.
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The pain starts before fulfillment. Saltbox frames logistics as the whole cash to inventory to cash loop, including sourcing, importation, warehousing, fulfillment, and inventory financing. For a small brand, each added step means more systems, more vendors, and more working capital pressure.
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Traditional 3PLs are built for scale, not for messy small merchants. They expect pallets, fixed rules, and clean handoffs into large remote warehouses. Saltbox’s bet is that SMBs need nearby micro warehouses, flexible labor, and the ability to switch gradually from self operated shipping to outsourced fulfillment.
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This pressure exists because the market benchmark keeps rising. ShipBob grew to an estimated $500M in 2023 by helping merchants offer fast shipping across a 50 warehouse network, while Amazon keeps pulling more of ecommerce into its own logistics stack. Small brands are increasingly competing against infrastructure, not just other products.
The next phase of ecommerce belongs to companies that turn logistics from a fixed burden into an on demand utility. That is pushing the market toward bundled models that combine space, labor, software, fulfillment, and financing, giving small merchants a way to act bigger without building an operations team from scratch.