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Don’t count Kansas out when it comes to your fulfillment location. Kansas has some great things going for it. First, the state is startup friendly. Kansas City is the home of the Kauffman Foundation, a $2 billion organization dedicated the research and funding of entrepreneurial efforts and the Kauffman Labs startup incubator. Second, the state offers low operating costs, which can really help if you are trying to lower your company’s overhead. Third, Kansas has a large transportation infrastructure for shipping and a skilled work force. Plus, its location is ideal – smack dab in the central US.
Kansas is a centrally located Midwestern state. The state has beautiful views with rolling fields and farmland, but it is also a strategic location for business. Its location makes accessing all areas of the U.S. easy. Canada and Mexico can also be reached by ground, rail and air. Low costs for businesses and various incentives makes Kansas a great choice for warehousing services companies.
On January 29, 1861, Kansas became the 34th state. In 1901 Meade’s Ranch in Osborne County, Kansas, was identified as the Geodetic Center of North America. Since then, it has been the point of reference by which all property lines and boundaries in North America are surveyed. The early 20th century saw aircraft pioneers Clyde Cessna, Walter Beech and Bill Lear begin projects that would set the stage for the state to be a center for aviation. Aircraft corporations Stearman, Cessna, Mooney and Beechcraft were all founded in Wichita in the late 1920s and early 1930s.
Today Kansas is still home to many major aircraft corporations including Boeing, Cessna, Learjet and Spirit AeroSystems. Many other large corporations also have headquarters in Kansas including Sprint Corporation, Embarq, YRC Worldwide, Garmin, Payless Shoes, and Koch Industries. Kansas ranks 15th overall for business competitiveness based on ten key economic factors including workforce, education and transportation. The state has low energy costs and the cost of living is 9% below the national average. Kansas has seen strong economic growth over the past several years and a large influx of new residents. The state offers competitive financial incentives and business-friendly policies.
There is a strong infrastructure which is focused around making it easy and inexpensive to transport goods to and from the state. Many production facilities, warehouses and distribution centers have found that shipping goods is more profitable when you’re located in the nation’s heartland. Several interstates and highways pass through the state including I-70, I-35 and US-69. The state is “a major trucking hub with over 1,000 private carriers, 360 intrastate for-hire carriers and 8,600 Kansas-based motor carriers with intrastate and/or interstate operating authority in Kansas.” There is a robust railroad system in the state with over 4,800 miles of track. Businesses can take advantage of reciprocal switching agreements between railroads. Kansas ranks as the second leading rail center in the nation. Kansas City International Airport and the Wichita Mid-Continent Airport are the largest airports in the state, they provide businesses with immediate access to major markets nationwide.
The extensive multi-modal transportation network in Kansas may surprise companies. Interstate 70 runs east and west, connecting Cove Fort, Utah to Baltimore, Maryland. Interstate 35 is a major north–south route connecting to Oklahoma City, Oklahoma to Des Moines, Iowa. Kansas is a major trucking hub with over 1,000 private carriers, 360 intrastate for-hire carriers and 8,600 Kansas-based motor carriers with intrastate and/or interstate operating authority.
There is a robust railroad system in Kansas with over 4,800 miles of track. The railroads have reciprocal switching agreements to make access easier. Kansas ranks as the second leading rail center in the nation. Several Class I railroads operate in the state including BNSF Railway (BNSF), Kansas City Southern (KCS), Norfolk Southern (NS) and Union Pacific (UP). There are an additional 14 Class III railroads for freight transportation.
Kansas City International Airport, the Wichita Mid-Continent Airport, Dodge City Regional Airport and the Manhattan Regional Airport are the largest airports in the state; they provide businesses with immediate access to major markets nationwide.
Kansas is ranked high business competitiveness based on ten key economic factors including workforce, education and transportation. Warehouse companies see economic advantages to being located in center of the country. Several cities stand out as top locations for warehousing services companies in Kansas including Wichita, Overland Park, Kansas City and Topeka.
The central location of Kansas and extensive multi-modal transportation network makes it an ideal location for warehousing services companies. The state offers competitive financial incentives and business-friendly policies. The population has seen significant growth over the last several years. Cost for business is low and space for expansion is available.
Unlike many other states, Kansas is continuing to grow and develop economically and culturally. The state is already well known for its contributions to jazz music, BBQ and as the setting of classic children’s book The Wizard of Oz. It also has a historical aviation and aerospace industry. Kansas is creating a diverse economy with business-friendly policies. Its central location within the U.S. makes it an ideal location for a shipping and storage hub. Kansas is rapidly gaining attention and attracting both new companies and residents. Low costs, friendly cities and strong infrastructure all guarantee growth for years to come.
But location alone isn’t the only consideration when outsourcing 3PL, warehousing, fulfillment, and shipping in Kansas. At WarehousingAndFulfillment.com, we specialize in painlessly matching you with the best fulfillment centers in Kansas for your company’s specific needs. In addition to location, we match businesses based upon:
And performance metrics aren’t the only consideration we take into mind. We also match you with companies that are best suited for the products you sell, the channels you sell through, the technologies you use, and any other requirements necessary. Get in touch with your ideal matches today – fill out a request for quotes or call us for FREE matches and quotes!
Kansas City spans across Kansas and Missouri. On the Kansas side, companies will likely find more available space and lower costs. Kansas City is the home to the General Motors Fairfax Assembly Plant.
Interstate 35 and Interstate 70 run through the city. Kansas City International Airport is available for air freight. Railroads in the area include Union Pacific, BNSF, Kansas City Southern and the Missouri & Northern Arkansas.
Wichita is located in south-central Kansas, along the Arkansas River. Wichita is the largest city in the state in terms of both land area and population (over 644,000 people). The leading industries are aviation and healthcare. There are several aviation companies in the city including Cessna, Spirit AeroSystems and Beechcraft. The city is nicknamed “Air Capital of the World” for its long history of aviation industry.
The city is an industrial and cultural hub for the state. Forbes highlights, “An area cultural center, Wichita is home to Intrust Bank Arena as well as numerous nightclubs, restaurants, shopping centers, museums and parks. Several universities are in Wichita, the largest being Wichita State University.” It is also the home of Kansas Cosmosphere and Space Center, Prairie Dunes Country Club and the Kansas State Fair. Some of the key advantages of living in the city include the local amenities, low cost of living, high graduation rates and nice climate.
Interstates 35 and 135 aide ground transportation. Wichita Dwight D. Eisenhower National Airport and Colonel James Jabara Airport service the area. Two Class I railroads, BNSF Railway and Union Pacific Railroad operate freight rail lines through Wichita.
Overland Park has the second largest population in Kansas. The city has a large assortment of indoor and outdoor recreation options as well as good restaurants and shopping areas, an exceptional school system and low crime rate. The city has an ideal balance of residential, commercial and green spaces.
Forbes ranks Overland Park number two on its list of Best Cities for Finding a Job in 2016. Several major companies have headquarters in the city including Sprint Corporation, Embarq and YRC Worldwide. The cost living is well below the national average.
Overland Park was awarded No. 15 for America’s 50 Best Cities to Live according to 24/7 Wall St. “Of more than 500 cities considered nationwide, Overland Park came in at No. 15 for many community components we all recognize, appreciate and expect,” said Council President Paul Lyons. “Truly, education is one of the most important community components. We are thankful for the outstanding public and private elementary and secondary schools.” Livability ranked Overland Park No. 14 on its list of Top 100 Best Places to Live 2016 “Overland Park has made the top 100 Best Places to Live list for all three years of its existence, thanks in part to our excellent schools, great recreational facilities and entertainment options, stable economy, exceptional public services and strong governance.”
Interstates and highways in the area include I-435, I-35, US Route 50 and US Route 56. Kansas City International Airport services the area. BNSF Railway and Union Pacific Railroad each operate a freight rail line through Overland Park.
Topeka is the capital of Kansas. The city is located in the northeast part of the state along the Kansas River. Topeka has several colleges, universities and technical schools including Washburn University, Friends University, Washburn Institute of Technology, and the Baker University School of Nursing. With over a quarter of a million people living in the capital of Kansas, Topeka is an excellent location for a fulfillment center. However, the competition is always more challenging in the big capital cities.
Interstate 70, I-470, and I-335 all run through Topeka. Topeka Regional Airport serves the area. Rail freight service is provided by the Burlington Northern Santa Fe railroad and Union Pacific Railroad and several short line railroads throughout the state.
Choosing the best 3PL warehouse in Kansas is a complex decision. Below is summary information about Kansas population, number of warehouses, and taxes so that you can make a more informed decision about whether the state offers your company the best fulfillment services potential.
|Population||2.94 million (2020)|
|Warehouses in State||16,188 (from reonomy)|
|Amazon Warehouses in State||3|
|Average Warehouse Labor Rate||$16.93/hr|
|Sales Tax Rate||6.5%|
|Property Tax Rate||1.37%|
|Personal Tax Rate||3.1%-5.7%|
|Corporate Tax Rate||4%|
To get an idea of the types of companies that operate in Kansas, check out the top 10 largest companies in the state.
|Business Name||Number of Employees|
|Koch Co.||120,000 employees|
|Koch Industries||120,000 employees|
|Koch Chemical Technology Group||120,000 employees|
|Synergy Group||40,000 employees|
|NPC International||29,000 employees|
|AMC Theatres||22,284 employees|
|YRC Freight||19,000 employees|
|YRC Worldwide||19,000 employees|
The below table gives a high-level idea of what average rates might look like in Kansas for fulfillment services, based upon surveys of outsourced warehousing companies throughout the US.
|Pricing Type||National Average|
|B2C Order Fulfillment Fee Per Single Item Order||$3.13|
|B2B Order Fulfillment Fee Per Single Item Order||$4.33|
|Pallet storage fee per pallet per month||$16.21|
There isn’t a state in the union that is more centrally located than Kansas. This is a boon for your fulfillment needs because the central location allows shipments to be sent anywhere in the United States quickly and more efficiently. The central location of Kansas and extensive multi-modal transportation network make is an ideal location for warehousing services companies. The state offers competitive financial incentives and business-friendly policies. The population has seen significant growth over the last several years. Cost for business is low and space for expansion is available.
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