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Looking to take your business to the West Coast? Need a strategic place to locate your warehousing and fulfillment services? Utah is a perfect option. Optimally located to reach the western regions of the United States, you can find many great fulfillment companies in Utah.
Salt Lake City is a central hub for warehousing and is even known as the “Crossroads of the West.” However, there are other great cities and areas that you might find better suit your warehousing needs. We help businesses find:
While location is extremely important when looking for warehousing services, there are many other factors you must consider. What type of products are you storing and shipping? How much does your inventory weigh, and how much space will you need? How often and how far do you ship orders?
If you’re looking for warehouses in Utah, we’ve got you covered with information on the best warehousing and fulfillment companies in the state. We screen companies based on the following criteria, so you can feel confident that they’re the best for growing your business:
Whether you have an established business or you’re just starting out and trying to grow, we can match you with a warehousing and distribution company that fits your needs perfectly. Here is everything you need to know about warehousing services in the Beehive State.
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Utah is a mountain state with picturesque views and a growing economy. Utah has long been referred to as the “Crossroads of the West” because of its central location. The state is home to a variety of industries. It has a vast landscape ranging from desert to high mountain peaks to the amazing Great Salt Lake. When transporting goods across the United States, your company should look at 3PL warehouse companies in Utah because it is the perfect location for easy access to the West Coast and the Continental U.S.
The name Utah originally comes from the Apache word for the Navajos, “Yuttahih,” which means ‘one that is higher up.’ When the Europeans heard this word, they thought it referred to the Ute tribe, so they named the territory “the land of the Utes, Utah.” Some of the first Europeans to explore the area in the early 1800s were fur trappers. The first European settlers arrived in the Salt Lake Valley in 1847. Utah became a United States territory upon the signing of the Treaty of Guadalupe Hidalgo on February 2, 1848. On May 10, 1869, two steam locomotives met at Promontory, Utah, for the “Joining of the Rails Ceremony,” at which the Union Pacific and Central Pacific railroads completed the transcontinental route. This joining made cross-country travel much faster and more economical. It would prove vital to the development of the West. Today, Utah is a popular tourist destination with beautiful state parks and world-renowned ski resorts. In 2002, Utah hosted the Winter Olympics. The economy in Utah is growing steadily and some cities are commonly ranked among the best in the nation for businesses and communities.
There are many reasons why business owners would choose Utah for 3PL warehousing services. Utah is frequently ranked highly on lists of the best places for business. Its location and multi-modal transportation make for easy access to the rest of the United States, Mexico, and Canada. Utah offers low business costs, a high labor supply, and steady growth.
Utah has an established history of trade and commerce. The overland telegraph connected the Midwest to California through Salt Lake City. In 1869 the Golden Spike was driven at Promontory Summit, completing the transcontinental railroad. Several cities stand out as exceptional locations for business hubs and warehousing services in Utah, including Salt Lake City, Provo, Ogden, and St George.
By basing your warehousing and distribution services in Utah, you can ship to half the country in 1-2 days with ground shipping. For air shipping, Utah has 7 major airports including Provo Municipal Airport, St. George Municipal Airport, and Salt Lake City International Airport, so you can reach customers worldwide.
If your business focuses on technology, then Utah is a good place to locate your 3PL fulfillment services. The Salt Lake City and Provo-Orem metro areas were ranked #12 and #11 in the 2013 Kauffman Foundation study. This study measures the ratio of technology start-ups to the population nationwide. Not to mention, Utah is ranked #1 in the Technology Concentration and Dynamism Composite index.
For small business owners, Utah is an ideal fulfillment service location. In 2013, Utah was rated as the #1 small business state by the Thumbtack.com Small Business Survey. It got top scores for overall friendliness, easy regulations, and tax codes.
You may first think of Salt Lake City when you think of Utah, simply because it’s the capital of the state. This city has well over a million people living in it, giving you immediate access to many potential customers. The city is ranked number seven on the Forbes list of Best Places for Business and Careers. These and other factors make warehousing in Salt Lake City a wonderful option for your western US warehousing operations.
Salt Lake City was founded in 1847. During the early development of the city, agriculture was the source of both food and income. The California gold rush brought migrants through Salt Lake City, and in the 1850s during the Civil War, U.S. soldiers were stationed in the settlement, creating trade opportunities. In the early 1900s electric trolleys were installed to transport people living in the Avenues, Capitol Hill, Liberty Park, and Sugarhouse areas to downtown, and many of the historic buildings including the State Capitol were constructed. Between 1900-1930 the population of Salt Lake City tripled as sewer systems and street lighting were installed and city parks were laid out. The 1980s saw the development of the Salt Palace Convention Center, the Salt Lake International Center, the University of Utah Research Park, and the Triad Center.
Today, Salt Lake City continues to grow and thrive. Strong economic and employment growth continues today. Salt Lake City has one of the highest concentrations of biomedical, high technology, and software firms in the nation. Livability ranks Salt Lake City 18th on its Top 100 Places to Live. Livability points out that “in recent years the region has added 150 miles of light and commuter rail, reducing commute times, congestion and pollution” and that “the University of Utah spins off more businesses than any university in the nation – including MIT, Harvard, and Stanford.”
SLC is loaded with fulfillment centers, including prominent ones in huge demand. Salt Lake City also has an international airport, which makes shipping across the country and internationally more accessible. This capital city is a great choice to locate your warehousing services.
Salt Lake City has been expanding transportation projects that include I-15 freeway reconstruction and a $312 million light-rail system that transports passengers north and south through the Salt Lake valley and downtown. Forbes ranks Salt Lake City 7th on its list of Best Places for Business and Careers. Economic growth and development in Salt Lake City show no signs of slowing down anytime soon, including the robust Salt Lake City Warehouse market.
Healthcare and transportation are major industries in the city, and it is an industrial banking and transportation center as well. Over the last several years, the state has invested significant resources into upgrading the transportation network, including new investments in the Interstate 15 corridor. The Utah Transit Authority has also added 70 miles of new rail service over seven years, including a connecting line to Salt Lake City International Airport.
Residents enjoy the efforts of the state in making public transportation easily accessible, including light rail. As for living in the city, AreaVibes rates Salt Lake City high when it comes to amenities, noting activities like going to the theater, dining out, and outdoor activities such as hiking, skiing, and snowboarding. There are also numerous world-class resorts in the area as well.
Of all of the cities in Utah, there are more fulfillment centers in Salt Lake City than any others. It is most likely the first and best option for outsourcing within the state.
A good alternative to Salt Lake City is Provo, which is only 43 miles to the south. If you want to cover the Salt Lake City area, you can easily do so within a day. In Provo, you’ll have a slightly smaller city with roughly half the population of SLC.
Provo is about an hour’s drive from Salt Lake City. It is situated by Utah Lake. In 1824, Etienne Provost followed the Provo River down into Utah Valley and set up a trading post near Utah Lake. By 1849 more European settlers had arrived. The colonists began settling and constructing a fort known as Fort Utah south of the Provo River and upstream a couple of miles from Utah Lake. In 1851, the boundaries of the city were officially set. In 1881, the Denver and Rio Grande Railroad reached Provo. Construction of the railroad was completed in 1883, connecting Provo with Salt Lake City and Denver. Manufacturing began to develop in Provo during the early 1900s. In 1930, the Barbizon Manufacturing Company was built. After World War II Provo’s proximity to high-grade iron, coal, and limestone made it a steel center. Development of the city continued and businesses flourished. In 1983, 15 downtown businesses had formal ribbon-cutting ceremonies for a renovation project called Provo Towne Square at University Avenue and Center Street. In 2002, Provo was one of the sites for Olympic events, the Men’s and Women’s Hockey competitions took place in the city.
As of 2019, the population of Provo is 116,403. Today, Provo is often cited as one of the best communities in the U.S to live and work in. “Each morning, its residents wake up to a breathtaking view of the Wasatch Front towering several thousand feet above them,” says Val Hale, president and CEO of the Utah Valley Chamber of Commerce. “They venture out on some of the safest streets in America, and they go to work in what Forbes magazine says is the best place in America to do business, thanks to low tax rates and an extraordinary entrepreneurial spirit and business-friendly environment.” Provo is ranked 4th on Forbes Best Places for Business and Careers. Provo will continue to grow and attract new residents and businesses with its scenic beauty, parks and recreation, great arts and entertainment, outstanding cuisine, and all the other must-haves of a great city.
Provo was ranked number one by Forbes on the Best Small and Medium-Size Cities for Jobs, number two on Best Places for Business and Careers, and number two in Job Growth. AreaVibes cites the amenities, cost of living, and education level as great reasons to live and work in Provo.
When it comes to ground transportation, I-15, US-89, and US-189 all run through Provo. Rail freight is also available, and Provo Municipal Airport provides commercial services.
Many excellent Utah fulfillment warehouses are available in Provo. Since it’s a smaller city, storage and warehousing space will be less competitive than in Salt Lake City. Plus, you’re only an hour from the capital, so you can still reach a large customer base there quickly and efficiently by choosing to locate your 3PL fulfillment services in Provo.
If you own a ski equipment business, you’ll want definitely want to check out Ogden due to the many ski resorts in the city. Just 10 miles away from Salt Lake City, Ogen also offers a chance to find a fulfillment center in a slightly smaller city without the intense competition.
The city of Ogden sits east of the Great Salt Lake and north of Salt Lake City and has a population of 86,833. Ogden has long been a railway hub and is still a center for freight rail traffic, making it an ideal location for manufacturing, warehousing, and commerce. Ogden is the economic hub for the northern part of Utah. Several industrial areas are located in the western part of the city. Major interstates include I-15 and I-84. Ogden also has Utah’s busiest municipal airport, Ogden-Hinckley Airport.
Ogden is ranked number eight on Forbes’s list of Best Places for Business and Careers. The city has many great trails that allow hikers to access the foothills of the Wasatch Range. Visitors can hike, run, mountain bike, ski, and even snowshoe on the trails.
St. George is located in the southwest part of Utah along the Arizona border. Its population is close to that of Ogden’s at 84,500 residents. It is the fifth fastest-growing metro area in the country. Ground transportation is aided by direct access to I-15 and also I-70, which connects Utah to the East Coast of the United States. St. George Regional Airport connects St. George to several large cities including Denver and Phoenix.
St. George has earned Forbes’s number two spot for Job Growth while also highlighting the city’s natural beauty saying, “St. George’s trademark is its geology, specifically the red bluffs which make up the northern part of the city with two peaks covered in lava rock in the city’s center. The northeastern edges of the Mojave Desert are visible to the south.”
Overall, Utah has a growing economy while maintaining low costs for business. Its location is perfect for transporting goods across the Contiguous United States. The state has put an emphasis on developing multi-modal transportation, making ground, rail, and air transport easy. Salt Lake International Airport is also connected to several regional airports. Major interstates run through all of the big cities. Several railway hubs connect Utah to the rest of the country. Utah is an ideal location for warehousing, transportation, and commerce.
The state named “Crossroads of the West” is an excellent hub for transportation. Its proximity to the West Coast and access to the continental U.S. make it an ideal location for storage and warehousing. Contact us for information on the best 3PL warehousing solutions for your company. Finding the perfect fulfillment center in Utah or the surrounding states can be confusing. Let us take care of it for you. Just fill out our form, and we will quickly find the best fulfillment centers for your business’s unique needs and present you with your options.
If you’re planning on bringing your business to Utah, there are many factors to consider. To help with your decision, we’ve provided some key data so that you can better know if Utah is a good fit to locate your third-party warehousing and fulfillment services.
|Population||3.206 million (2019)|
|Warehouses in State||4,965 (from rencomony)|
|Amazon Warehouses in State||16|
|Average Warehouse Labor Rate||$16.44/hr|
|Sales Tax Rate||4.7%|
|Property Tax Rate||0.58%|
|Personal Tax Rate||4.95%|
|Corporate Tax Rate||4.95%|
|Inventory Tax Rate||No taxes on inventory in Utah|
For many reasons, it’s important to look at the top businesses in Utah. Doing so can help you understand what industries thrive in the state, what competition might you encounter, or whether or not your business could cater to an untapped niche. Here are the top 10 businesses in the state of Utah:
|Business Name||Number of Employees|
|Teleperformance - Salt Lake City||300,000 employees|
|Intermountain Healthcare - Salt Lake City||41,700 employees|
|University of Utah Health - Salt Lake City||20,000 employees|
|Zions Bancorporation - Salt Lake City||10,000 employees|
|Vivint Smart Home - Provo||10,000 employees|
|Southern Utah University - Cedar City||6,964 employees|
|CHG Healthcare - Midvale||3,000 employees|
|Utah Transit Authority - Salt Lake City||2,900 employees|
|Weber State University - Ogden||2,500 employees|
|Icon Health & Fitness - Logan||2,400 employees|
Utah has long been the choice of many companies for outsourced fulfillment because of its business friendly environment as well as its lower cost structure compared to other western US states, such as California. Utah ranks lower than the national average for fulfillment pricing overall. In fact, all average fulfillment and warehousing fees were lower in Utah than the national average in our annual surveys. Below are some of the fees and prices in Utah, as compared to the US overall.
|Pricing Type||Utah||National Average|
|B2C Order Fulfillment Fee Per Single Item Order||$3.03||$3.13|
|B2B Order Fulfillment Fee Per Single Item Order||$3.71||$4.33|
|Pallet storage fee per pallet per month||$12.40||$16.21|
There are many great 3PL warehousing companies located in Utah. Here are a few highly recommended 3PLs in the state, as well as some reviews of some companies without the best track record. WarehousingAndFulfillment.com provides honest reviews. We do not get paid for these reviews below by any of the mentioned companies - so you can trust the integrity of the recommendations. Companies are listed in no particular order:
Elite Ops has dedicated over two decades to helping customers through each step of the supply chain process with their full-service warehousing and fulfillment centers. With warehousing locations in Utah and Atlanta, they are strategically placed to ship from coast to coast. They offer technology-driven logistics and storage systems and house a team of highly-trained professionals focused on the needs of their customers. Elite Ops is a great 3PL company for both small and large businesses.
Address: Spanish Fork, Utah
Retention rate of customers: 82%
Annual order volume: 15,000,000
Order rate: 99.8%
Shipping rate: 97%
Inventory accuracy rate: 97.7%
Aligned Fulfillment is a veteran-owned third-party logistics company located in Salt Lake City specializing in e-Commerce fulfillment, reverse logistics, and transportation. They use a cloud-based warehouse management system that allows customers to monitor their inventory at all times.
Address: Salt Lake City, Utah
Retention rate of customers: 98.2%
Annual order volume: 100,000
Order rate: 99.8%
Shipping rate: 99%
Inventory accuracy rate: 99.9%
Power SCM is a 3PL located in Salt Lake City that utilizes the best fulfillment technology to ship orders quickly and accurately. They offer competitive pricing and accommodate any unique fulfillment and storage needs.
Address: Salt Lake City, Utah
Retention rate of customers: 99.53%
Order rate: 99.89%
Shipping rate: 99.86%
Interwest Transportation is a third-party logistics provider that takes pride in their commitments to timely deliveries and customer service. Their warehouse is strategically located to reach customers quickly and efficiently in the West, and customers can expand their business by saving time and money with their 3PL fulfillment services.
Anchor 3PL offers full-service contract warehousing for a wide variety of storage distribution needs. They are centrally located so that business owners can reach customers in the western United States quickly and efficiently. Anchor 3PL ensures that each step of the supply chain process is handled with accuracy, efficiency, and care so that their customers can continue to grow their business.
Red Stag Fulfillment is a highly reputable fulfillment company with warehousing located in Salt Lake City, UT. They promise 100% inventory accuracy, same-day fulfillment, order accuracy, and U.S.-based customer service.
Address: Salt Lake City, UT
Order rate: 99.9%
Shipping rate: 99.9%
Inventory accuracy rate: 99.9%
Shipbob has locations across the globe – the US, Canada, Europe and Australia. The company is venture capital backed and has experienced rapid growth over the last few years. However, the company has struggled with delivering consistently high quality reviews with customers. On most review platform, the company has 2-3 Star ratings out of 5 stars. Furthermore, the company has long been known to specialize in B2C fulfillment. While it has offered B2B options, it’s quality hasn’t been as consistent. While this may likely be one of the most popular names in the industry, the company isn’t a shoe in for small businesses and startups.
Shiphero began as a shipping software company and recently expanded into offering fulfillment services. Initially, the company offered streamlined low flat rate fulfillment fees – which sounded great. However, some companies reported that the rates were changed if order volumes weren’t met. The company most likely makes margin on the shipping fees as well, which isn’t uncommon but likely part of the overall pricing matrix. If considering Shiphero, it is important to understand the exact rates that will be charged. Furthermore, it’s important to ensure their commitment to their fulfillment side of their business, as the software side has been the mainstay and profit center for their company from the beginning.
Momentum Shipping, Fulfillment & Logistics in Kaysville, Utah immediately catches one’s attention, as it has some excellent reviews online. Even though there are less than 20, the sentiment is similar – customers seem wowed by the excellent customer service. One potential area of concern, however, is the number of mentions in these reviews of Jon. Jon is the President of the company, which is great that he is actively involved. However, as the company grows it will need adequate staff that is trained and able to deliver the same high quality and consistent service as the owner. The company appears to be a potentially good option for smaller companies.
Address: Kaysville, Utah
American Warehouse Services in Salt Lake City, Utah offers a full suite of warehousing and fulfillment services for smaller tier customers: from e-commerce order fulfillment and drop shipping support to pallet storage and cross docking. The company is also a food grade warehouse facility. The company does achieve an average review rating online, and some recent reviews are extremely negative, which means they should be researched more thoroughly before making a decision.
Address: Salt Lake City, Utah
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