3PL Pricing Explained: The Fulfillment Fees to Expect

How 3PL pricing works: receiving, storage, pick and pack, packaging, shipping and value-added fees — plus how to compare quotes and lower your costs.

By KLS Fulfillment · · 3 min read

Computer screen showing fulfillment and inventory cost analytics

If you’ve started collecting quotes from third-party logistics providers, you’ve probably noticed that no two look alike. That’s because 3PL pricing is usually built from several separate fees, each tied to a different part of the fulfillment process.

Here’s what each fee covers, what drives it, and how to compare quotes fairly.

The main 3PL fees

1. Onboarding or setup

Some 3PLs charge a one-time fee to set up your account, connect your sales channels and load your product catalog. Others include this in their standard pricing. Ask what onboarding includes.

2. Receiving

Receiving covers unloading your inbound inventory, counting and checking it, and putting it into storage. It may be priced per unit, per carton, per pallet, per container or per labor hour. Well-labeled, well-organized shipments are faster to receive, which can reduce this cost.

3. Storage

Storage is billed by the space your inventory occupies — per pallet, shelf, bin or by volume — usually monthly. The biggest driver is how long inventory sits. Fast-moving products cost little to store; slow movers can quietly add up.

4. Pick and pack

Pick and pack covers pulling items from storage and packing each order. It’s commonly charged per order, often with a smaller charge for each additional item. E-commerce fulfillment orders with one or two items look very different from large wholesale orders, which may be priced per case or pallet.

5. Packaging materials

Boxes, mailers, void fill and tape may be billed per order or included in pick and pack. If you use branded or custom packaging, ask whether you supply it or the 3PL sources it.

6. Shipping

Shipping is the carrier cost to deliver each order, driven by package weight, dimensions and destination zone. 3PLs with strong carrier relationships can often offer competitive rates compared with what a small business could get on its own.

7. Value-added services

Value-added services like kitting, labeling, custom packaging and quality inspection are typically priced per unit or per project, based on the labor involved.

8. Returns and other services

Returns processing, special projects, inventory counts and account management may be separate line items. Ask what’s included and what isn’t.

What drives your total cost

Factor Why it matters
Monthly order volume Higher, steadier volume usually lowers per-order costs
Units per order Multi-item orders add pick and pack labor
Product size and weight Affects storage space, packaging and shipping
SKU count More SKUs means more storage locations and complexity
Inventory turnover Slow-moving stock increases storage fees
Customer locations Shipping zones determine carrier costs
Special requirements Kitting, labeling and custom packaging add labor

How to compare 3PL quotes

Individual rates can be misleading — a low pick fee might come with high storage or packaging charges. Instead:

  1. Model a typical month. Take your actual orders, units, inventory levels and destinations for a recent month.
  2. Apply each quote to the same data. Calculate the full monthly total for each provider.
  3. Check what’s excluded. Look for minimums, account fees, packaging and returns.
  4. Weigh service, not just price. Accuracy, speed, communication and scalability affect your revenue as much as your costs.

Ways to lower fulfillment costs

  • Right-size packaging to reduce dimensional weight shipping charges.
  • Keep inventory lean — use inventory management and reorder alerts to avoid overstock.
  • Label and organize inbound shipments to speed up receiving.
  • Bundle products into kits when customers often buy them together.

Get a quote built on your orders

KLS Fulfillment provides custom quotes based on your products, order volume and service needs. Request a quote and include your monthly orders, SKU count and sales channels to get the most accurate proposal.

FAQ

Related Questions

How do 3PLs charge for storage?

Storage is typically billed by the space your inventory occupies — for example per pallet, per shelf or bin, or by volume — for each month it is stored. Slow-moving inventory costs more over time because it occupies space longer.

What is a pick and pack fee?

A pick and pack fee covers the labor to pull items from storage and pack them for shipment. It is often charged per order, sometimes with an additional charge for each extra item in the same order.

How can I get an accurate 3PL quote?

Share your monthly order volume, average units per order, number of SKUs, product dimensions and weights, sales channels, where your customers are located and any packaging, kitting or labeling requirements.

Request Your Custom Quote Today

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