Fulfillment Industry: Kitting—What It Is, How It Works & Why Atlanta-Based Brands Choose All Points

‍

Kitting simplifies complex order assembly for DTC brands, retail marketers, and procurement leads shopping 3PLs. In today’s fulfillment industry—defined by faster delivery expectations and tighter SLAs—this guide explains what kitting is, when to use it, the workflow, pricing drivers, KPIs, risks, and why Atlanta’s location gives All Points an advantage for speed and cost.

What Is Kitting and When Should You Use It?

Kitting is the process of assembling multiple components or SKUs into a single, ready-to-ship unit—think subscription boxes, promotional bundles, limited drops, PR kits, and multi-piece product sets. Rather than picking items piecemeal during order fulfillment, you define kit specifications (what goes in and how it’s packed), and your 3PL assembles those kits in advance or on demand.

Where kitting fits in today’s fulfillment industry:

     
• DTC brands: Seasonal bundles, welcome kits, cross-sell sets, and gift-ready packs
     
• Retail/wholesale: Pre-packed displays, multi-pack inner cartons, and store-specific assortments
     
• Marketing and events: PR mailers, launch packs, and collateral-included kits
   

Use kitting when you need consistent packouts, branded unboxing, or time savings at shipping. It’s especially effective when:

     
• SKU complexity is rising (multiple small components, directions, inserts)
     
• Order volume spikes seasonally and you want to protect cycle times
     
• You need standardized presentation and compliance (retail-ready, lot/batch coding)
     
• Launching new bundles without adding permanent SKUs
   

Kitting Workflow: Step-by-Step Process

A well-run kitting program at an Atlanta 3PL like All Points typically follows these detailed steps:

1. Receiving and Inspection of Components

     
• Book inbound appointments and share ASNs (Advance Shipping Notices) and packing lists.
     
• Verify counts, condition, and lot codes upon arrival to catch inconsistencies early.
     
• Flag discrepancies immediately to prevent inventory inaccuracies downstream.
   

2. Inventory Placement with Custom SKU Tracking

     
• Assign each kit component to dedicated warehouse locations equipped with barcode labels integrated in the Warehouse Management System (WMS).
     
• Create a distinct kit SKU representing the assembled product, maintaining version control when components or pack configurations change.
     
• Maintain real-time visibility for both components and finished kit inventory, enabling responsive replenishment and order management.
   

3. Assembly per Kit Specifications

     
• Follow detailed Standard Operating Procedures (SOPs) outlining exact picking and packing sequences (e.g., tray, product A, product B, collateral insert, seal).
     
• Integrate printed materials and branded elements inline using our in-house printing and marketing materials services, eliminating handoffs and boosting speed and accuracy.
     
• Utilize jigs, fixtures, or specialized conveyors for handling small or delicate parts, improving repeatability and reducing errors.
     
• Ensure traceability by linking batch/lot information and print management for instructions and inserts.
   

4. Quality Control and Accuracy Checks

     
• Conduct barcode scans to verify the presence and correctness of each component within a kit.
     
• Perform random or interval audits to verify count accuracy, proper placement, and presentation quality meet brand standards.
   

5. Final Packaging and Labeling

     
• Select packaging type suitable to the product and shipping requirements including mailers, cartons, and custom inserts that balance protection, branding, and dimensional weight concerns.
     
• Apply shipping, inner, or outer labels necessary for downstream fulfillment accuracy and carrier requirements.
   

6. Shipping Preparation and Staging for Fulfillment

     
• Stage completed kits for ecommerce picking or wholesale shipping, ensuring first-in-first-out (FIFO) order where appropriate.
     
• Sync inventory counts with storefronts and ERP systems to prevent overselling and enable real-time order tracking.
   

For full project scoping or pricing, see our custom kitting and assembly services.

‍

What Drives Kitting Costs?

Understanding cost drivers behind kitting helps brands budget accurately and spot efficiency opportunities. Key factors include:

     
• Number of SKUs per Kit: More SKUs increase handling steps and risk of error, resulting in higher labor and QC costs.
     
• Total Kit Volume and Run Length: Higher volumes enable amortizing setup and tooling costs, reducing unit cost.
     
• Assembly Complexity: Operations such as folding, heat sealing, multi-layer bundling, and inserting printed materials add time per unit.
     
• Packaging Type and Customization: Branded boxes, molded trays, cushioning materials, and tamper-evident seals change material and handling expenses.
     
• Labor Intensity and Automation: Use of robotics or semi-automated equipment lowers per-unit labor expenses compared to manual assembly processes.
     
• Storage Requirements and Inventory Turnover: Slow-moving kits increase warehouse rent and risk write-downs; faster turnover improves cost efficiency.
     
• Freight and Shipping Profile: Carton dimensions, weight, and destination zones impact carrier costs; proximity to major markets—like All Points’ Atlanta hub—can reduce logistics expenses.
     
• Changeovers and Versioning: Frequent kit spec changes require retraining and may pause operations, increasing indirect costs.
   

A transparent, itemized quote breaks down these elements, helping you identify areas to optimize. Always request detailed rate cards and volume-tier pricing during vetting.

Risks in Kitting & How All Points Mitigates Them

Kitting involves several operational risks. Here’s how All Points manages them proactively:

     
• Inventory Inaccuracies Causing Kit Errors
  Mitigation: Real-time WMS integration, barcode scanning at pick and pack stages, cycle counting, and run reconciliation ensure component integrity.      
     
• Assembly Delays Impacting Order Cycle Times
  Mitigation: Detailed SOPs, operator training, dedicated workcells, capacity planning for seasonal peaks, and KPI dashboards monitor throughput and alert to bottlenecks.      
     
• Damage During Assembly or Packaging
  Mitigation: Ergonomically designed workstations reduce human error; product-specific protective packaging adheres to best practices; multi-layer quality inspections catch issues early.      
• Miscommunication of Kit Specifications
  Mitigation: Structured onboarding processes, documented Bills of Materials (BOMs), version control for kit samples, and recurring client reviews minimize errors.      
     
• Freight Rate Volatility or Carrier Delays
  Mitigation: Atlanta-based network with diversified carrier options optimizes zone coverage; leveraging shorter transit routes lowers exposure to cost spikes and delays.      
   

These layered safeguards enable All Points to deliver high-quality kits consistently while adapting quickly to evolving client needs.

‍

The Atlanta Advantage for Kitting and Fulfillment

Atlanta’s unique logistics ecosystem offers unbeatable benefits for kitting and fulfillment:

     
• 2-Day Ground Reach to ~80% of the U.S.
  This expansive coverage accelerates delivery speed and reduces costly air freight requirements for most customers.
     
• Reduced Freight Costs Compared to Coastal 3PLs
  Atlanta’s central location shortens transit zones and leverages competitive carrier density and local linehaul providers, lowering shipping expenses.
     
• Robust Transportation Infrastructure
  Extensive highway networks, major airport hubs, and rail terminals support tight SLAs and quick replenishment cycles.
     
• One-Roof Efficiency
  Combining kitting, printing, warehousing, and ecommerce fulfillment services under a single roof eliminates handoff risks and compresses lead times, boosting accuracy and responsiveness.
   

As fulfillment industry trends point toward decentralized and automated operations, Atlanta remains a resilient, cost-effective hub that can scale alongside your business.

What You Get with All Points

     
• End-to-End, Operator-Grade Execution
  Custom kitting and assembly tailored precisely to your product complexity, timelines, and unique brand requirements, all supported by standardized SOPs and measurable KPIs.
     
• Integrated Service Offering
  Kitting that seamlessly connects with warehousing and ecommerce fulfillment, plus our in-house printing and marketing materials solutions to customize product inserts, instructions, and branded collateral.
     
• Accuracy and Speed Assured
  Targeting 99.5%+ kit accuracy and 98%+ on-time shipping, with dock-to-stock times for components under 12 hours.
     
• A True Partnership Mindset
  Forecast and seasonality consultations upfront allow us to flex capacity responsively and scale as demand evolves. Your success is our priority beyond just transaction fulfillment.
   

Ready to launch or scale your kitting program? Get a kitting quote through our custom kitting and assembly services.

Secondary CTA: Prefer a broader vendor comparison? Download the All Points 3PL Guide to compare fulfillment partners for confidence in your selection.

FAQ: Kitting in Today’s Fulfillment Industry

Q: What are typical kitting pricing drivers?
   A: Key pricing factors include the number of SKUs per kit, assembly complexity, packaging choices, volume/run length, storage needs, and shipping profiles. Setup, materials, and labor scale with kit intricacy.

Q: What KPIs ensure quality in kitting?
   A: Critical KPIs are kit accuracy ≥ 99.5%, on-time ship rate ≥ 98%, order cycle time ≤ 24 to 48 hours, and dock-to-stock time ≤ 12 hours. Clear SLA definitions on measurement methods and exceptions are essential.

Q: How long does kitting implementation take with All Points?
   A: Standard setups launch within 2 to 4 weeks after receiving components and specs. Complex packaging or regulatory compliance may extend timelines with phased ramp-up to protect launch dates.

Q: How does an Atlanta location improve shipping times and costs?
   A: Atlanta offers 2-day ground coverage to approximately 80% of the U.S., reducing transit zones and costly air freight dependency. Extensive parcel and LTL networks enhance reliability and speed.

Q: Can All Points integrate printing with kitting?
   A: Yes. All Points prints inserts, sleeves, instructions, and branded collateral in-house, integrating these elements directly into kits inline. See our printing and marketing materials for details.

‍

Implementation Checklist

     
• Define kit Bill of Materials (BOM), packaging, labeling, and version controls.
     
• Share accurate forecasts and seasonality data to size workcells and optimize storage.
     
• Provide ASNs and arrival schedules for kit components.
     
• Approve "golden sample" kits and SOPs before production begins.
     
• Set SLAs and KPIs alongside reporting cadence and change-control processes.
     
• Align on shipping methods, cutoffs, and carrier mix to ensure smooth fulfillment.
   

2025 Fulfillment Industry Context: What’s Changing

     
• Faster, More Local Fulfillment: Expansion of distributed and hyperlocal fulfillment networks compress last-mile delivery windows.
     
• Smarter Planning: AI-driven forecasting improves component availability and reduces last-minute changes, stabilizing supply chains.
     
• Automation Where it Fits: Robotics and semi-automation take over repetitive tasks; humans focus on complex judgment calls.
     
• Omnichannel by Default: Kits are designed to support both DTC and retail-ready flows, demanding flexible packaging and fulfillment strategies.
     
• Security and Sustainability: Heightened data protection and eco-conscious packaging materials influence fulfillment costs and brand perception.
   

These trends favor partners who integrate kitting closely with warehousing, printing, and fulfillment—core capabilities All Points has invested in to meet evolving market demands.

Sidebar

     
• Based in Atlanta since 1995
     
• Phone: [Insert phone]
     
• Email: [Insert email]
   

Disclaimer

All Points is an Atlanta-based, family-owned 3PL founded in 1995. We deliver end-to-end logistics—from custom kitting and ecommerce fulfillment to warehousing, distribution, and printing—so your brand ships accurately, on time, and at scale.

‍