Their 3PL Dropped Them in 2022 – They Have Grown 15x Since | SupplyChainBrain

Their 3PL Dropped Them in 2022 – They Have Grown 15x Since

Photo: iStock / aydinmutlu
Photo: iStock / aydinmutlu

The Challenge

Today, Chagrinovations is a rapidly growing consumer goods invention company that collaborates with merchants and an internal team of engineers to design and manufacture innovative products. But back in 2022, when Chagrinovations was on the verge of expanding its direct-to-consumer business across nationwide sales channels and marketplaces, its 3PL partner walked away, citing Chagrinovations as "too small."

“We were essentially a startup, maybe just shy of a million dollars in revenue three or four years ago,” says Chagrinovations Chief Executive Officer Dan Perella.

It wasn’t just a simple matter of finding another 3PL to fulfill its existing direct-to-consumer business. Chagrinovations realized that the B2C and marketplace growth it envisioned could only be achieved with an all-encompassing logistics solution. Its new partner would need the capacity to manage a wide range of newly developed product types while supporting a growing mix of direct-to-consumer sales channels across the country.

Those sales channels required reliable order ingestion, inventory visibility, flexible fulfillment workflows and delivery through multiple small-parcel carriers. Scalability was another concern.

“I think one of the things that our customers worry about with new brands or emerging companies is: Can they scale?”  Perella says.

Any 3PL solution would also need to be equipped to handle intense surge periods, as Chagrinovations regularly features products on programs such as Good Morning America. The sudden spikes in orders would require the adjustment of pick faces and other facility preparations in anticipation of the high demand on specific SKUs. 

A single standardized process was not an option for Chagrinovations. Their supply chain partner needed to be capable of evolving with a rapidly growing and diverse business. 

The Solution

With the need to pivot quickly, Chagrinovations turned to the 3PL arm of a company with which it already had a working relationship. Fulfilled by Staples provides B2C e-commerce and direct-to-consumer fulfillment services for enterprise and growing brands. Fulfilled by Staples not only had the nationwide logistics capacity to support Chagrinovations’ consumer sales channels but was also willing to invest resources and capital into the business.

“The folks at Staples took a really big shot at us. They believed in the future of what we would deliver, and they invested in our future,” Perella says.

Fulfilled by Staples offered Chagrinovations warehouse storage, order fulfillment, coast-to-coast parcel services, systems integration and repackaging. Other value-added services include continuous customization to support emerging requirements from new product launches, marketplaces and direct-to-consumer sales channels.

“They’re very dynamic — always launching new products,” says Fulfilled by Staples senior director of fulfillment operations Chris James. “[That] means we have to be very flexible in our ability to meet those needs.”

The Fulfilled by Staples team works directly with Chagrinovations and its manufacturers to establish new processes that support product launches and fulfill orders across expanding B2C and direct-to-consumer sales channels.

Each consumer sales channel has distinct order, inventory and delivery requirements. Fulfilled by Staples provides the flexibility to adapt workflows as Chagrinovations launches new products and expands into additional marketplaces and direct-to-consumer channels.

In addition to the bespoke customization services, Fulfilled by Staples also made substantial capital investments in its facilities, such as additional racking and other build-outs, to accommodate for Chagrinovations’ surge periods. 

The operating model provides the flexibility to support high-speed, automated direct-to-consumer fulfillment while adapting to the unique requirements of multiple B2C sales channels.

Implementation

Even with the right solution, Chagrinovations needed a seamless implementation that allowed fulfillment to continue while logistics operations scaled up to meet the needs of its growing business. A full warehouse shutdown and migration period from one system to another was out of the question.

Fulfilled by Staples was able to maintain business continuity by interfacing with Chagrinovations’ systems directly to avoid unnecessary manual intervention, including when they upgraded from a QuickBooks environment to NetSuite.

“It was pretty flawless in terms of implementations and changing warehouse providers,” Perella says. “We didn't have any of the stereotypical problems of a system implementation or a warehouse movement.”

After the initial transition, implementation continued. Whenever Chagrinovations introduced new products or sales channels, additional requirements and customizations followed. Fulfilled by Staples developed those capabilities as needed, including new system integrations, order workflows, packaging processes and parcel-delivery options.

In many respects, the implementation process for both companies remains indefinite. “The solution is always evolving, and we're always growing alongside them,” James says. 

Following the success of the partnership, Fulfilled by Staples in 2025 expanded its 3PL implementation to Brands to Retail (BTR), a sister company of Chagrinovations co-founded by Perella, that helps established and digitally native brands expand their presence across consumer sales channels.

BTR was a larger and more developed operation at the time, with approximately 6,000 pallet locations and a broad portfolio of brands and sales channels. By bringing both businesses under the same logistics infrastructure, Fulfilled by Staples could leverage the capital investments and agile processes already developed for Chagrinovations and apply them to BTR’s business as well.

The Results

Four years after its 3PL partner left, Chagrinovations grew 15 times their annual revenue — and they expect to double in size this year as well. This impressive rate of growth would not have been possible without a 3PL solution that offered agile process creation, frequent customizations, a nationwide distribution network and the means to make capital investments.

“I think the biggest thing is we're eminently scalable ... it’s given us superpowers with our customers,” Perella says. “Wherever the consumer wants to buy the product, we have that capability now because of Staples. And we're not limited by any other infrastructure that would throttle our growth.”

Fulfilled by Staples’ valuation and commitment to Chagrinovations’ ever-evolving needs were the difference between a supposedly undersized company not worth adding to a vendor list and a rapidly growing one in high demand.

“If you look at where we are in 2026, there are a lot of companies that would be fighting us for Chagrinovations and BTR’s business,” James says. “And we feel like we have so many different avenues to continue to pursue. I think growth is only limited by our imagination from both companies.”

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