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Logistics / practical steps

Choose a fulfilment partner with fewer surprises

A practical third-party logistics evaluation kit for small brands moving beyond packing every order themselves.

STEP 01

Describe the orders, not just the monthly total

Give each provider the same order profile: average and peak daily orders, SKU count, units per order, parcel sizes, destination mix and returns. Include seasonal spikes. A quote based on a quiet month will hide the capacity you actually need.

STEP 02

Request a complete cost schedule

Ask separately about receiving, storage units, pick fees, additional items, packaging, shipping, returns and account minimums. Record the billing unit beside each rate. A pallet rate cannot be compared directly with a cubic-foot rate.

STEP 03

Test the exception workflow

Walk through an incorrect pick, damaged receipt, address correction and stock discrepancy. Identify who investigates, what evidence is retained and when an update is due. Ask for the stock movement report you would use to reconcile inventory.

STEP 04

Run a limited pilot

Use representative products and destinations before moving the whole catalogue. Compare inventory accuracy, dispatch timing and customer issues against the agreed definitions. Keep a written exit plan covering stock retrieval, data export and final billing.

Choose the right next step

  • Own warehouse: greater direct control, but staffing and capacity remain your responsibility.
  • Shared fulfilment: assess peak capacity, minimum charges and how your inventory is separated.
  • Special handling: demonstrate the actual product, packaging and storage requirements before agreeing a scope.

Worked example

A brand has 600 orders in a normal month and 1,800 during a sale. It sends both volumes to each bidder, with a two-item average basket and a sample returns file. It compares normal, peak and low-volume scenarios instead of choosing the lowest headline pick fee.

Reference and further reading

Trade.gov: shipping responsibility terms

Use the linked publisher’s current instructions for its products or standards. The workflow and example above are original TechEdges educational material.