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3PL Pricing Explained: How to Compare Fulfillment Quotes

By Raúl Vaquerizo Tortosa · Published October 26, 2026

Third-party logistics (3PL) providers rarely quote a single price per order. Instead you get a price sheet with a dozen lines, each with a different unit: per pallet, per order, per item, per hour, per month. Two quotes can look completely different and still cost nearly the same - or look similar and differ by thousands a year. The way to compare them is to price each one on your own volumes.

The usual fee categories

Receiving. Charged when stock arrives: per unit, per carton, per pallet, per container or per labour hour. Unusual shipments (loose cartons, mixed SKUs, missing labels) often cost more.

Storage. Usually monthly, per pallet, bin, shelf or cubic foot. Some providers bill on peak usage during the month, others on an average or a snapshot date. Long-term storage surcharges may apply to slow-moving stock.

Pick and pack. The core handling fee. Typically a fee per order that includes the first item, plus a smaller fee for each additional item. Some charge per item only.

Packaging. Boxes, mailers, void fill and tape. Sometimes included in pick and pack, sometimes charged per order or per box size.

Shipping. Many 3PLs buy labels on their carrier accounts and re-bill you. Ask whether rates are passed through at cost, discounted or marked up - shipping is usually the largest line on the invoice.

Returns. A fee per returned order or item for receiving, inspecting and restocking.

Account fees and minimums. A monthly account or technology fee, and often a monthly minimum: if your fees fall below it, you pay the minimum.

One-time and project fees. Onboarding, integration, kitting, labelling, B2B or retail compliance work. These are real costs but not monthly ones.

Why the cheapest pick-and-pack fee rarely wins

Handling fees are easy to compare, so they get the attention. But in a typical parcel operation, postage is a larger share of the bill than handling. A provider whose shipping rates are a few cents better per order can beat a rival with a noticeably cheaper pick-and-pack fee.

Consider an illustrative store shipping 1,200 orders a month:

  • Provider A charges $3.00 to pick and pack and $7.80 average postage.
  • Provider B charges $2.60 to pick and pack and $8.10 average postage.

On those two lines alone, A costs $12,960 a month and B costs $12,840, so B wins by $120. Raise B’s postage by just ten cents, to $8.20, and the two tie. Small differences in shipping rates decide the comparison.

A fair comparison method

  1. Describe your volume once. Orders per month, average units per order, units received, storage used and return rate. Use the same numbers for every provider.
  2. Convert every fee to a monthly amount by multiplying it by its driver: per-order fees by orders, per-item fees by extra items, storage by space used, returns by returned orders.
  3. Apply each minimum. If a provider’s monthly fees fall below its minimum, add the difference.
  4. Add shipping if the provider supplies labels.
  5. Divide by orders to get cost per order.
  6. Test other volumes. Providers with high fixed fees or minimums look worse at low volume and better as you grow.

The 3PL cost calculator follows exactly this method for up to three providers side by side.

Watch for unit mismatches

One quote may price storage per pallet, another per cubic foot, a third per bin. Convert to one unit before comparing. A standard pallet footprint stacked to a typical height holds dozens of cubic feet, so per-cubic-foot pricing that looks cheap can be expensive for bulky, slow-moving stock.

Questions to ask before signing

  • How is storage measured - peak, average or a fixed date each month?
  • Are shipping rates passed through at cost, discounted or marked up?
  • What counts toward the monthly minimum?
  • What are the fees for returns, special handling and peak season?
  • What are the service levels for receiving time, order cut-off and accuracy, and what happens when they are missed?
  • What are the notice period and exit costs?

Price is not the only factor

The lowest estimated cost is not automatically the right provider. Warehouse location affects delivery speed and shipping zones, integrations affect how much manual work you do, and accuracy affects returns and customer satisfaction. Use the cost comparison to narrow the field, then judge the shortlist on service.

Holding stock at a 3PL is only part of what inventory costs you. The inventory carrying cost calculator adds the cost of capital, insurance and shrinkage on top of storage fees.