3PL companies use a few different pricing models depending on the type of services you need, how often you ship, how much space you use, and how complex your products are to handle so you can choose the best plan for your business.
One common pricing model is per-unit pricing, where you pay a fixed amount for each item that is picked, packed, and shipped, so this works well if you have simple and consistent orders that go out regularly.
Another popular model is storage-based pricing, where you pay based on how much space your products take up in the warehouse, and this could be by the pallet, by the shelf, or by cubic feet which makes it easier to understand your costs if your inventory size stays fairly stable.
Some 3PLs offer hourly pricing, where you pay for the actual labor time spent on your tasks like unloading, labeling, packing, or special handling, and this can be helpful if your needs vary or if you don’t always have the same type of work every day.
There’s also transaction-based pricing, which means you’re charged for each service or action done like receiving a shipment, processing a return, or shipping an order, so it gives you a detailed view of what you’re paying for but might become costly if you have lots of small actions.
A few companies offer flat-rate pricing, where you pay one fixed monthly fee that covers everything such as storage, picking, packing, and shipping up to a certain limit which makes budgeting easier but may not work well if your volumes change a lot.
Finally, some larger businesses prefer custom pricing, where the 3PL creates a tailored plan that fits your specific needs, order volumes, product types, and service levels, so this approach gives you flexibility but usually requires a long-term relationship.
Each pricing model has its own pros and cons, and the best one depends on your business size, order volume, and how predictable your needs are throughout the year.
