Onport Logistics

What is Onport’s Logistics as a Service?

It is Onport providing logistics services alongside FARFETCH to marketplaces, brands and retailers. Our process consists in capturing the orders through the client’s frontend and sending them to Onport where we connect with FARFETCH’s DHL account in order to deliver a shipping label to the customer (vendor or brand/retailer’s ecommerce platform or vendor’s portal). Then, we synchronize the tracking info and update the end customer of the movements of the package.

Why did Onport decide to develop Logistics as a Service?

One of the reasons why Onport was acquired by Farfetch was to help FARFETCH bring its logistics offering to market. FARFETCH sees a lot of value in what they built so far and wanted to share the knowledge with the market to help other companies manage logistics. Also, as Onport, we saw that some of our marketplace clients struggled with taking control of their supply chain until they reach a certain point and they just delegate it to the vendors that use their own carriers’ contracts (with rates that are not great due to low volumes). We also saw the complexity, especially in Europe, where there’s a very fragmented market - there's lots of local carriers and you need to have contact with multiple jurisdictions, … So, there’s a huge complexity in establishing a supply chain that operates from multiple fulfillment locations. Onport adds value because we have access to these relations and we have the tech that is already built to help the broader FARFETCH group. There’s this need in the market and the synergy FARFETCH-Onport is able to deliver logistics at a reduced risk.

What is the mission?

To enable sophisticated supply chain models to operate with great cost efficiencies. We believe that businesses are able to manage their logistics process but it will bring a huge level of complexity that will be difficult to support. So we want to offer that complexity removal as a service, so our clients can focus on what is essential to their business: selling.

What are the main benefits of this service?

• Optimized Shipping Costs: we tap into Farfetch’s shipping rates and we are now able to deliver savings to our customer base. This is due to FARFETCH’s capability to negotiate these contracts with millions of orders going through DHL each year.
• Reduced risk: backed by FARFETCH’s 14 years of experience and knowledge on supply chain management, we provide a reduced risk for our customers that want to act on the market
• Instant Access to Carrier Network: with Onport’s logistics services, you don’t need to negotiate with each carrier on a region by region basis. You will have instant access to DHL’s carrier network across all of its regions inside the European Union (that can be really complex to negotiate). So we take the negotiation complexity off the table of our clients and we provide them the shipping labels directly. We also provide updated tracking information to the end customer.
• Decreased Billing Complexity: One monthly invoice for all shipments instead of having to look at invoices from each local carrier.

How much does this service cost?

We will provide you with a personalized offer according to your main markets and the origins of each shipment. IF you’d like to receive a proposal, please talk with our sales team.

Are the rate cards parcel rates, consignment rates or both?

Parcel rates

Do you have rates for parcels below 1kg as well? Our minimum weight bracket is (1-5kg) so we cannot provide rates for parcels below 1kg.

What’s the tax fuel being applied?

The fuel surcharges can be found here (our rates are DHL Express to provide a better service to our clients, not DHL Parcel). Fuel charges are updated monthly. Economy and UK-UK Domestic Economy are rates Regional Day Definite and Time Definite Closing for domestic business. Express and Domestic Express (except UK-UK) are the International Time Definite rates.

Where can I see more details of the surcharges?

You can find more info on the shipments surcharges here.

Is there a covid or a home delivery tax?

No, there are no such charges.

What is the difference between Economy and Express? What are the delivery times in both cases? (Inside the European Union)

Economy is a ground/road service and the delivery time depends on the routes: 3 - 4 working days for shorter routes, 5/6 working days for longer routes, like Portugal - Romania, for example. Express is an air service with an average of 1/2 working days to delivery.

What are the returns options?

Onport offers pre-generated return labels that are created at the moment the shipping label is emitted to be attached to the order. However, the return label is only charged if the final customer activates it at the carrier postal office, when proceeding with the return to the vendor.

How much does a return cost?

The Rate card that we’ll share with you is related to the shipments and return costs.

For marketplaces, if packages are returned to the sender, will they be sent back to the vendor’s address?

Yes.

How does customer support work?

• It is supported by FARFETCH’s delivery support teams. As shipments are fulfilled by FARFETCH accounts, FARFETCH is the one that will troubleshoot the issues directly with the carriers. We provide you access to the support portal that will get you in touch directly with the FARFETCH delivery teams that are in touch with the carriers. FARFETCH has already optimized the support system with DHL so clients just need to add the information of order number/tracking number to optimize the conversation flow.
• Onport only intervenes on topics related to Onport’s usage (not receiving shipping labels, setup questions,…) and to bridge the relationship between our customer and the FARFETCH teams.

What is the covered insurance value on each parcel sent?

Cargo insurance is not supplied by Farfetch and Onport is not responsible and shall have no liability in respect of loss or damage caused by a third-party carrier providing the shipping service. We will use reasonable endeavors to bring a claim against the carrier for lost or damaged products during shipment, provided that the carrier offers basic insurance cover for risks that would normally be insured against in connection with such shipment, and where any such claim is successful, Onport shall pay any compensation received from the carrier.

Insurance is only available on fine jewelry and fine watches and shipments up to $35k.

Marketplaces are also free to select the insurance company of their choosing, outside Onport services.

How is the collection process done?

The collection of the packages is done on the day after the label generation, during standard working hours - no specific time.

Is there the option to drop the orders at a drop-off point?

Yes, you can leave at the carrier’s drop-off location.

What type of information appears on the Shipping label?

On the shipping label, you’ll be able to see the sender and receiver info, so vendor/brand and final client (FARFETCH is not mentioned).

What are the limitations of the service?

Weight and Dimensions: DHL is a parcel carrier and we can only ship up to 30 Kgs - 120cm max on any side with a combined volumetric weight below 30 Kgs (as per DHL’s calculation: length x width x height divided by 5000).