{"id":125,"date":"2021-08-27T12:31:23","date_gmt":"2021-08-27T17:31:23","guid":{"rendered":"https:\/\/www.shipbob.com\/au\/ecommerce-fulfillment\/fulfillment-costs\/"},"modified":"2026-04-21T15:18:23","modified_gmt":"2026-04-21T15:18:23","slug":"fulfillment-costs","status":"publish","type":"page","link":"https:\/\/www.shipbob.com\/au\/ecommerce-fulfillment\/fulfillment-costs\/","title":{"rendered":"Fulfilment Costs Guide"},"content":{"rendered":"\n<section class=\"wp-block-shipbob-blocks-section-hero-standard-form hero-standard\"><div class=\"container row\"><div class=\"col hero-standard-content\"><h1 class=\"hero-standard-title \"><strong>Fulfilment Costs Explained<\/strong><\/h1>\n<p><span>In an <\/span><a href=\"https:\/\/www.shipbob.com\/blog\/ecommerce-supply-chain\/\"><span>ecommerce supply chain<\/span><\/a><span>, fulfilment is where the magic happens.&nbsp;The faster orders can be fulfilled and shipped, the happier your customers will be.&nbsp;<\/span><\/p>\n\n\n\n<p><span>But fulfilment comes with a cost, and the process isn\u2019t as simple as picking and packing boxes. Keeping fulfilment costs low while also meeting customer expectations around fast, affordable shipping can seem impossible \u2013 but luckily, there are several ways to reduce costs while delivering a great customer experience.&nbsp;<\/span><\/p>\n\n\n\n<p><span>This article covers the different line items associated with fulfilment and how to easily calculate fulfilment costs.<\/span><\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-so-what-do-you-want-to-learn\">So what do you want to learn?<\/h4>\n\n\n\n<ul class=\"wp-block-list\">\n<li><a href=\"#what-are\">What are order fulfilment costs?<\/a><\/li>\n\n\n\n<li><a href=\"#h-how-to-calculate-fulfillment-cost-per-order\">How to calculate fulfilment cost per order<\/a><\/li>\n\n\n\n<li><a href=\"#h-the-cost-of-inefficient-fulfillment\">The cost of inefficient fulfilment<\/a><\/li>\n\n\n\n<li><a href=\"#h-order-fulfillment-costs-with-a-3pl-amp-fulfillment-center-pricing\">Order fulfilment costs with a 3PL &amp; fulfilment centre pricing<\/a><\/li>\n\n\n\n<li><a href=\"#explained\">3PL order fulfilment costs &amp; <\/a><a href=\"#h-3pl-order-fulfillment-costs-amp-pricing-explained\">pricing<\/a><a href=\"#explained\"> explained<\/a><\/li>\n\n\n\n<li><a href=\"#common-pricing-models\">Common 3PL pricing models&nbsp;<\/a><\/li>\n\n\n\n<li><a href=\"#ShipBob\u2019s-3PL-pricing-explained-\">ShipBob\u2019s 3PL pricing explained<\/a><\/li>\n\n\n\n<li><a href=\"#CTA\">Lower your fulfilment costs and scale your business with ShipBob&nbsp;<\/a><\/li>\n\n\n\n<li><a href=\"#FAQ\">FAQs<\/a><\/li>\n<\/ul>\n<\/div><div class=\"col hero-standard-form offset-1  \"><div class=\"card hero-home-customer-card form-card\"><h3 class=\"form-title\"><strong>Request Fulfilment Pricing<\/strong><\/h3><h3 class=\"h4 form-subtitle\"><\/h3><p class=\"form-copy\"><\/p><div class=\"card-body form-5c43899c-9cb4-4005-b3cb-a8de85a28882\" data-controller=\"form-controller\" data-form-controller-form-id-value=\"5c43899c-9cb4-4005-b3cb-a8de85a28882\" data-form-controller-form-container-query-value=\"form-5c43899c-9cb4-4005-b3cb-a8de85a28882\"><\/div><p class=\"form-note\">We\u2019ll get back to you within 24 hours. <a href=\"\/privacy-policy\/\">Privacy Policy<\/a><\/p><\/div><\/div><\/div><\/section>\n\n\n\n<p><a id=\"fulfillment-costs\"><br><\/a><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"what-are\">What are order fulfilment costs?<\/h2>\n\n\n\n<p>Order fulfilment costs are the total charges &amp; expenses calculated for receiving inventory, storing products,&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/automated-order-processing\/\">processing orders<\/a>, picking, packing, and shipping of all orders and inventory. Common&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/retail-fulfillment\/\">retail order fulfilment<\/a>&nbsp;costs vary by provider, the number of orders placed, pricing models, and any additional services used.<a id=\"what-is\"><br><\/a><\/p>\n\n\n\n<p id=\"3PL-costs\">Read on to learn how to calculate fulfilment costs for your ecommerce business.<a id=\"calculator\"><br><\/a><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-how-to-calculate-fulfillment-cost-per-order\">How to calculate fulfilment cost per order<\/h2>\n\n\n\n<p><span>Fulfilment costs vary depending on what 3PL and distribution centre you partner with and their pricing model, but standard pick and pack fees usually start around USD $0.20 per pick.<\/span><\/p>\n\n\n\n<p><span>Along with pick and pack fees, there are other costs to consider when you look at the entire fulfilment process.&nbsp;<\/span><\/p>\n\n\n\n<p><span>To calculate total fulfilment costs, you\u2019ll need to add up the following expenses:<\/span><\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><b><strong><a href=\"https:\/\/www.shipbob.com\/warehouse-management\/warehouse-receiving\/\">Warehouse receiving<\/a><\/strong><\/b><span><strong>:<\/strong> Labor costs associated with receiving new inventory, calculated using an hourly rate.<\/span><\/li>\n\n\n\n<li><b><strong><a href=\"https:\/\/www.shipbob.com\/warehouse-operations\/inventory-storage\/\">Storing and managing inventory<\/a><\/strong>: <\/b><span>A monthly cost, including the amount of pallets, shelves, and bins being used to store items<\/span>, as well as any technology fees associated with using or leasing inventory management software.<\/li>\n\n\n\n<li><b><strong><a href=\"https:\/\/www.shipbob.com\/warehouse-operations\/warehouse-order-picking\/\">Warehouse picking<\/a> and packing<\/strong><\/b><span><strong>:<\/strong> Labor costs associated with picking and packing items, calculated by the number of items being picked over time.<\/span><\/li>\n\n\n\n<li><b>Standard o<strong>r <a href=\"https:\/\/www.shipbob.com\/blog\/custom-packaging\/\">custom packaging<\/a><\/strong><\/b><span><strong>:<\/strong> The price of standard packaging (e.g., generic poly mailers and boxes) or the use of branded packaging (e.g., <\/span><a href=\"https:\/\/www.shipbob.com\/blog\/eco-friendly-packaging\/\"><span>eco-friendly packaging<\/span><\/a><span>).<\/span><\/li>\n\n\n\n<li><b><a href=\"https:\/\/www.shipbob.com\/blog\/kitting\/\"><strong>Kitting<\/strong><\/a> (if applicable)<\/b><span><strong>:<\/strong> Pre-assembly of separate pieces into a single offering or the arrangement of a package a certain way, which is offered as an additional service by most 3PLs.<\/span><\/li>\n\n\n\n<li><b><a href=\"https:\/\/www.shipbob.com\/blog\/returns-management-process\/\"><strong>Return management and processing<\/strong><\/a>: <\/b><span>Costs associated with restocking or disposing of returned items.<\/span><\/li>\n\n\n\n<li><b><a href=\"https:\/\/www.shipbob.com\/blog\/automated-shipping\/\"><strong>Automated shipping<\/strong><\/a>: <\/b><span>Courier rates for shipping packages to end customers (costs vary based on destination, weight, dimensions, courier used, shipping speed, etc.).&nbsp;<\/span><\/li>\n<\/ol>\n\n\n\n<p><span>Since there are so many variables associated with fulfilment costs, it\u2019s always best to use <\/span><a href=\"https:\/\/www.shipbob.com\/fulfillment-software\/\"><span>fulfilment software<\/span><\/a><span> that can track your average fulfilment cost per order.&nbsp;<\/span><\/p>\n\n\n\n<p><span>For instance, ShipBob\u2019s fulfilment technology makes it easy to break down fulfilment costs by activity. Through ShipBob\u2019s dashboard, you can get insights into:&nbsp;<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><span>What is my average storage <a href=\"https:\/\/www.shipbob.com\/blog\/cost-per-unit\/\">cost per unit<\/a>?<\/span><\/li>\n\n\n\n<li><span>What is my average fulfilment cost per order?<\/span><\/li>\n\n\n\n<li><span>How much are my customers spending by shipping method?<\/span><\/li>\n\n\n\n<li><span>What is my average shipping cost per shipping method?<\/span><\/li>\n\n\n\n<li><span>What is the total number of bins\/shelves\/pallets I\u2019m being charged for?<\/span><\/li>\n\n\n\n<li><span>What is the average shipping cost by shipping method and order?<\/span><\/li>\n\n\n\n<li>What is your average US shipping zone?&nbsp;<\/li>\n\n\n\n<li>What is your average billable weight by shipping method?&nbsp;<\/li>\n<\/ul>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" is=\"responsive-img\" height=\"438\" width=\"700\" src=\"https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/11\/7dc5d99b1b09518852785b9733c7605f-700x438.png\" alt=\"\" class=\"wp-image-16057\" \/><\/figure>\n<\/div>\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img decoding=\"async\" is=\"responsive-img\" src=\"https:\/\/www.shipbob.com\/au\/wp-content\/uploads\/sites\/33\/2024\/08\/image-1-2.png\" alt=\"\" class=\"wp-image-14403\" \/><\/figure>\n<\/div>\n\n\n<p><span>With deeper insights into fulfilment performance, you can find ways to optimise fulfilment costs, such as moving inventory into a <\/span><a href=\"https:\/\/www.shipbob.com\/blog\/choose-order-fulfillment-center-location-outsourcing-3pl\/\"><span>fulfilment centre location<\/span><\/a><span> closer to your customers.&nbsp;<\/span><\/p>\n\n\n\n<p><span>This <\/span><a href=\"https:\/\/www.shipbob.com\/blog\/inventory-allocation\/\"><span>inventory allocation<\/span><\/a><span> method reduces the average shipping zones of shipments by keeping inventory closer to your end customers, therefore reducing the cost of shipping while speeding up delivery).<\/span> ShipBob even offers an Inventory Placement Program that will not only help you calculate the most optimal inventory allocation plan to minimise shipping costs and times, but will also handle regional inventory distribution for you.&nbsp;&nbsp;<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cRight after we partnered with ShipBob, we joined their Inventory Placement Program, which streamlines inventory distribution across the US, taking multi-location inbound shipments, inventory allocation, and rebalancing off merchants\u2019 plates. <\/em><\/p>\n\n\n\n<p id=\"common-pricing-models\"><em>Since launching in the program, we\u2019ve been able to allocate our inventory across 4 of ShipBob\u2019s fulfilment centres in the United States, which cut our shipping times by a third \u2013 from 5.2 days down to about 3.6 days. Not only has transit time dropped, but at the same time we reduced fulfilment costs by over $2 per order compared with our old 3PL. This combination has been key to profitable growth this year.\u201d<\/em><\/p>\n\n\n\n<p>Matt Crane, Co-Founder and Chief Science Officer at <a href=\"https:\/\/www.shipbob.com\/blog\/semaine-health\/\">Semaine Health<\/a><\/p>\n<\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-the-cost-of-inefficient-fulfillment\">The cost of inefficient fulfilment<\/h2>\n\n\n\n<p>Because fulfilment is generally a huge cost centre, it\u2019s normal for brands to look for cost-savings opportunities. But more often than not, cutting corners in fulfilment only leads to more problems and expense down the line.&nbsp;&nbsp;<\/p>\n\n\n\n<p>For instance, many brands assume that keeping fulfilment in-house is cheaper and better than outsourcing to a professional partner \u2013 but this approach leaves you prone to errors, takes up all your time, and isn\u2019t scalable in the long run.&nbsp;<\/p>\n\n\n\n<p>For brands that do partner with a 3PL, the temptation is to focus on price \u2013 but the cheapest 3PL isn\u2019t always the best option for your business. Even if their prices are low, many fulfilment platforms don\u2019t offer the infrastructure, modern technology, visibility, expertise, and customer support that ecommerce brands need to build a high-quality, reliable and scalable fulfilment strategy.&nbsp;<\/p>\n\n\n\n<p>Without taking the time to evaluate and choose the fulfilment solution for your needs, there is a lot at risk that can hinder the growth of your business. <\/p>\n\n\n\n<p>Here are some of the most common results of selecting the wrong fulfilment strategy or a sub-par fulfilment partner.&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-inefficiencies-and-roadblocks\">Inefficiencies and roadblocks<\/h3>\n\n\n\n<p>Whether you\u2019re fulfilling orders yourself or outsourcing to a provider, doing things manually is inefficient and often results in more errors. Following outdated processes or using old of clunky technology also imposes other limitations, like:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>No bulk discounts:<\/strong>&nbsp;If you\u2019re not shipping millions of packages each year, you don\u2019t have the leverage to negotiate shipping rates with major couriers. Plus, if you\u2019re only working with one courier, you may be missing out on the strengths of another, such as discounted&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/international-shipping\/\">international shipping<\/a>&nbsp;costs. If you\u2019re just starting out and shipping a low volume, you\u2019ll also be paying commercial prices for packing materials.<\/li>\n\n\n\n<li><strong>Lack of integrated systems:<\/strong>&nbsp;If your processes aren\u2019t connected to the technologies you already use, you lack automation, data to drive decisions, and transparency for customers. This can slow down and even impair your operations.<\/li>\n\n\n\n<li><strong>Only shipping from one location:<\/strong>&nbsp;If you are stuck shipping orders out from a single location, you may have to pay higher postage for packages that travel across multiple shipping zones.<\/li>\n\n\n\n<li><strong>Trips to the post office:<\/strong>&nbsp;Making several trips to the post office each week is time-consuming and expensive.<\/li>\n\n\n\n<li><strong>High overhead:<\/strong>&nbsp;Choosing to invest in the operational infrastructure to fulfil orders yourself is expensive. This set of fulfilment costs includes warehouse space, forklifts and other equipment, warehouse management software, recruiting and labour, workers comp, liability insurance, and other&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/logistics-costs\/\">logistics costs<\/a>&nbsp;\u2014 not to mention the time it takes to get this all set up.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-keeping-customers-waiting-for-their-deliveries\">Keeping customers waiting for their deliveries<\/h3>\n\n\n\n<p>When shipments take too long to reach your customers, you may be jeopardizing future business.<\/p>\n\n\n\n<p>Today\u2019s consumers expect Amazon-like service everywhere they shop online. Nobody likes to wait. Slow delivery times can fail to meet customer expectations. When this happens, they are less likely to become repeat customers. So if you\u2019re constantly making trips to the post office, or if your 3PL partner is taking days to get orders out for delivery, you won\u2019t be providing the quick and affordable delivery experience that wins repeat business.&nbsp;&nbsp;<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cIn the world of ecommerce, making sure the customer has a good experience is a top priority. We want to do everything we can to ensure a customer will continue to order from us, so we must impress them. We do that by using ShipBob for fulfilment because they receive and fulfil orders on-time, provide communications about tracking, and offer speedy delivery.\u201d <\/em><\/p>\n\n\n\n<p>Cesar Contreras, Head of Supply Chain of <a href=\"https:\/\/www.shipbob.com\/blog\/wholesome-goods\/\" target=\"_blank\" rel=\"noreferrer noopener\">Wholesome Goods<\/a>&nbsp;&nbsp;<\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-only-focusing-on-fulfillment\">Only focusing on fulfilment<\/h3>\n\n\n\n<p>When it comes to growing a successful ecommerce business, time is money. While your to-do list is never-ending, some tasks deserve your time more than others.<\/p>\n\n\n\n<p>Whether you\u2019re making phone calls or emailing back and forth with a traditional 3PL, constantly checking for new orders, or packing your items and waiting in line at the post office to wait in line, you\u2019re missing the opportunity to grow your customer base, develop new products, market your business, and much more.<\/p>\n\n\n\n<p>In other words, you may be losing money by not outsourcing operational tasks to an experienced, affordable fulfilment provider. Outsourcing fulfilment can help you dedicate valuable time to performing tasks that require more attention and provide higher value to your business.&nbsp;<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p id=\"CTA\"><em>\u201cOur order volume has grown immensely since we started the business, to where fulfilment doesn\u2019t leave time for us doing anything else. At the scale we\u2019re starting to operate at, keeping everything in-house would mean that we would be picking and packing orders all day! We have even bigger ambitions for our business going forward, including launching new products and increasing stock. So we wanted to free up our time to focus on growing our business, and knew it was time to outsource fulfilment to experts like ShipBob.\u201d<\/em><\/p>\n\n\n\n<p>Adelina Zotta &amp; Connor Westby, Co-Founders of <a href=\"https:\/\/www.shipbob.com\/blog\/nutripaw\/\" target=\"_blank\" rel=\"noreferrer noopener\">NutriPaw<\/a><\/p>\n<\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-order-fulfillment-costs-with-a-3pl-amp-fulfillment-center-pricing\"><span>Order fulfilment costs with a 3PL &amp; fulfilment centre pricing<\/span><\/h2>\n\n\n\n<p>Below is an example of a common 3PL pricing model and the associated costs.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><b>Service<\/b><\/td><td><b>Pricing model<\/b><\/td><td><b>Cost<\/b> (in USD)<\/td><\/tr><tr><td>Receiving<\/td><td>Flat rate<\/td><td>$35 for the first two hours, and $45\/hour for each subsequent hour<\/td><\/tr><tr><td>Storage<\/td><td>Per bin, shelf, and pallet<\/td><td>$40\/pallet\/month<br>$10\/shelf\/month<br>$5\/bin\/month<\/td><\/tr><tr><td>Pick and pack fees<\/td><td>Included in total fulfilment cost<\/td><td>A set number of picks included, then $0.26 for each subsequent pick<\/td><\/tr><tr><td>Standard packaging materials<\/td><td>Included in total fulfilment cost<\/td><td>Free<\/td><\/tr><tr><td>Kitting fees<\/td><td>Per-project basis<\/td><td>A flat fee for the kitting project (e.g., $25) and each additional touch at $0.04 &#8211; $0.50 per unit or kit<\/td><\/tr><tr><td>Shipping<\/td><td>Courier pricing passed directly on to client<\/td><td>Varies based on order destination, weight, dimensions, shipping speed, etc.<\/td><\/tr><\/tbody><\/table><figcaption class=\"wp-element-caption\">NOTE: The above pricing is an example, and is not necessarily reflective of ShipBob\u2019s service pricing.<\/figcaption><\/figure>\n\n\n\n<p>Just like there is no one-size-fits-all fulfilment solution, there is no one pricing model that fits all businesses.&nbsp;<a href=\"https:\/\/www.shipbob.com\/quote\/\">Reach out directly to ShipBob team<\/a>&nbsp;for custom pricing that takes into account your business\u2019s size, needs, and budget.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p id=\"explained\"><em>\u201cWhat we love about ShipBob is we have fulfilment pricing information so much ahead of time that we know exactly how much to build into our COGS. We couldn\u2019t do this with our prior fulfilment providers. We\u2019ve been able to build a proper pricing forecast and models, and do so much cost analysis because ShipBob makes it easy to calculate what our actual costs will be, which helps us continue to run profitably.\u201d<\/em><\/p>\n\n\n\n<p>Kayleigh Christina, Co-Founder and CMO at <a href=\"https:\/\/www.shipbob.com\/blog\/clearstem\/\" target=\"_blank\" rel=\"noreferrer noopener\">CLEARSTEM<\/a><\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-what-is-a-3pl\">What is a 3PL?<\/h3>\n\n\n\n<p>A 3PL (short for \u201cthird party logistics provider\u201d) is a&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/logistics-service-provider\/\">logistics services provider<\/a>&nbsp;that allows merchants to&nbsp;<a href=\"https:\/\/www.shipbob.com\/ecommerce-fulfillment\/outsourced-fulfillment\/\">outsource fulfilment<\/a>, which includes warehousing, inventory management, and fulfilment. 3PLs take care of all fulfilment-related tasks \u2013 tasks that can often be too costly and unproductive to manage in-house.<\/p>\n\n\n\n<p>Partnering with a 3PL can help your business save money&nbsp;and time, freeing up resources and attention so you can focus instead on product development, marketing, and business growth.<\/p>\n\n\n\n<div class=\"wp-block-shipbob-blocks-blog-arrow-card blog-arrow-card\">\n<p>However, not all 3PLs are created equal, especially when it comes to&nbsp;<a href=\"https:\/\/www.shipbob.com\/digital-fulfillment\/\">digital&nbsp;<\/a>fulfilment pricing models&nbsp;and&nbsp;3PL costs. <\/p>\n\n\n\n<p>To help figure out which 3PL is best for your ecommerce business, it\u2019s important to familiarize yourself with the different expenses and pricing models involved. <\/p>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-3pl-order-fulfillment-costs-amp-pricing-explained\">3PL order fulfilment costs &amp; pricing explained<\/h2>\n\n\n\n<p>While there are several different fulfilment pricing models, there are many common costs across fulfilment providers. Here are some of the expenses you may encounter when working with a 3PL and what to know before you&nbsp;sign an agreement.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-onboarding-costs\">Onboarding costs<\/h3>\n\n\n\n<p>When getting started with a new fulfilment partner, you may encounter onboarding costsor setup fees to get&nbsp;<a href=\"https:\/\/www.shipbob.com\/\">ecommerce fulfilment services<\/a>&nbsp;up and running. Onboarding is worth the investment, since it is designed to help reduce headaches and confusion as you get started with a fulfilment provider.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cI was considering a couple fulfilment providers, but I noticed that ShipBob ranks really highly among the competition, so I decided to give ShipBob a try. The onboarding process was really, really easy \u2013 and that\u2019s coming from someone that didn\u2019t understand shipping at all! <\/em><\/p>\n\n\n\n<p><em>We were assigned an Implementation Specialist, and she helped us with everything: integrating our Shopify store to ShipBob\u2019s dashboard, getting all of our inventory sent and stored in our first ShipBob fulfilment centre, and making sure we had what we needed. It was all very seamless. <\/em><\/p>\n\n\n\n<p><em>Now that the business has grown, I&#8217;m out of the role where I&#8217;m managing fulfilment or connecting with ShipBob\u2019s team day-to-day, but I really appreciate how simple it was to get started with ShipBob.\u201d<\/em><\/p>\n\n\n\n<p>Tyler McCann, Co-Founder of <a href=\"https:\/\/www.shipbob.com\/blog\/taste-salud\/\" target=\"_blank\" rel=\"noreferrer noopener\">Taste Salud<\/a><\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-inventory-receiving-costs\">Inventory receiving costs<\/h3>\n\n\n\n<p>Before a fulfilment partner can start processing and fulfilling orders from your online store, they first need to receive your inventory.<\/p>\n\n\n\n<p>In&nbsp;<a href=\"https:\/\/www.shipbob.com\/ecommerce-logistics\/inbound-outbound-logistics\/\">inbound and outbound logistics<\/a>, receiving refers to the acceptance and storage of incoming inventory. Different 3PLs charge for receiving in different ways, including per-unit, per-pallet, flat rates, or per-hour. At ShipBob, we charge a flat USD fee for the first two hours of receiving and storing inventory (then an additional USD surcharge per hour after that). For more information on ShipBob&#8217;s receiving pricing, click <a href=\"https:\/\/support.shipbob.com\/s\/article\/Send-Inventory-to-ShipBob-WRO\/\">here<\/a>.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-inventory-storage-costs\">Inventory storage costs<\/h3>\n\n\n\n<p>When you store your inventory at a&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/differences-warehouse-fulfillment-center\/\">3PL\u2019s fulfilment centre<\/a>, you will be charged for storage space. Warehousing fees can range from per-SKU or per-unit storage fees to a fixed fee for each bin, shelf, or pallet used.<\/p>\n\n\n\n<p>ShipBob charges for&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/ecommerce-warehousing\/\">ecommerce warehousing<\/a>&nbsp;on a per-shelf, per-bin, and per-pallet basis, so you only pay for the space you use on a monthly basis. You can also view your storage costs at any time through ShipBob&#8217;s dashboard. <\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"1958\" height=\"1125\" is=\"responsive-img\" src=\"https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/11\/ecfa784a294634d8e1d650a9b419ef27.jpg\" alt=\"\" class=\"wp-image-16060\" srcset=\"https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/11\/ecfa784a294634d8e1d650a9b419ef27.jpg?w=1958 1958w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/11\/ecfa784a294634d8e1d650a9b419ef27.jpg?w=160 160w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/11\/ecfa784a294634d8e1d650a9b419ef27.jpg?w=400 400w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/11\/ecfa784a294634d8e1d650a9b419ef27.jpg?w=768 768w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/11\/ecfa784a294634d8e1d650a9b419ef27.jpg?w=700 700w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/11\/ecfa784a294634d8e1d650a9b419ef27.jpg?w=1536 1536w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/11\/ecfa784a294634d8e1d650a9b419ef27.jpg?w=1280 1280w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/11\/ecfa784a294634d8e1d650a9b419ef27.jpg?w=240 240w\" sizes=\"auto, (max-width: 1958px) 100vw, 1958px\" \/><\/figure>\n<\/div>\n\n\n<h3 class=\"wp-block-heading\" id=\"h-order-pick-and-pack-costs\">Order pick and pack costs<\/h3>\n\n\n\n<p>Some 3PL providers&#8217; models include pick and pack pricing. Once your customer places an order, the fulfilment process begins with picking, or collecting each ordered item from its designated storage location using a&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/picking-list\/\">picking list<\/a>. Many fulfilment providers charge on a per-pick basis, meaning you pay a fee for each item included in an order.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-kitting-costs\">Kitting costs<\/h3>\n\n\n\n<p>Some 3PLs offer&nbsp;<a href=\"https:\/\/www.shipbob.com\/ecommerce-fulfillment\/kitting-assembly\/\">kitting and assembly services<\/a>. Kitting refers to any unique accommodations for the way in which items are assembled, arranged, or packed before shipping. Common applications for kitting include assembling multiple&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/how-to-find-sku-number\/\">SKUs<\/a>&nbsp;or preparing inventory in a particular way during the packing process. Because this service is so specific to each individual client, kitting fees can vary.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-packaging-costs\">Packaging costs<\/h3>\n\n\n\n<p>Your packaging is often a customer\u2019s first in-person impression of your brand. Some 3PLs will charge for packing materials (such as standard boxes) as a separate line item, while others include them as part of their fulfilment services.<\/p>\n\n\n\n<p>At ShipBob, for example, standard packing materials \u2014 brown boxes, yellow bubble mailers,&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/poly-mailers\/\">white poly bags<\/a>, packing tape, and airfill \u2014 are included at no extra cost. Merchants can use&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/custom-packaging\/\">custom branded packing<\/a>&nbsp;materials at an additional cost.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWhen we first started out, our packaging process was really simple \u2013 we just picked the product, stuck it in a brown box, and shipped it. Because ShipBob can support custom packaging, we\u2019ve leveled up our strategy to include Bloom-branded boxes, marketing inserts, and the ability for customers to add personalised gift notes to their orders. <\/em><\/p>\n\n\n\n<p><em>The level of customisation that ShipBob supports helps us reinforce our image as a premium-quality product, and lets us curate a branded experience at scale for customers as soon as their package arrives on their doorstep.\u201d<\/em><\/p>\n\n\n\n<p>Neil Blewitt, SVP of Operations at <a href=\"https:\/\/www.shipbob.com\/blog\/bloom\/\" target=\"_blank\" rel=\"noreferrer noopener\">Bloom Nutrition<\/a><\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-shipping-costs\">Shipping costs<\/h3>\n\n\n\n<p>Finally,&nbsp;<a href=\"https:\/\/www.shipbob.com\/ecommerce-shipping\/\">ecommerce shipping<\/a>&nbsp;costs: the amount a fulfilment provider charges to ship an order from their fulfilment centre to your customer\u2019s doorstep. Many 3PLs have relationships with major shipping couriers that allow them to pass bulk volume discounts onto their clients.&nbsp;Shipping fees&nbsp;take a variety of factors into account, including shipping speed (such as&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/guide-offering-affordable-2-day-shipping\/\">two-day shipping<\/a>),&nbsp;<a href=\"https:\/\/www.shipbob.com\/ecommerce-shipping\/shipping-zones\/\">shipping zones<\/a>, and&nbsp;<a href=\"https:\/\/www.shipbob.com\/blog\/dimensional-weight-explained\/\">dimensional weight<\/a>.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p id=\"calculate\"><em>\u201cOur subscribers are some of our closest, most valued customers, so we want to give them the option of receiving their first order in 2 days. With ShipBob, we can make that happen. Not only that, we can make it happen without compromising on cost. Because of ShipBob\u2019s overall order volume, they can negotiate bulk discounts with couriers that we simply couldn\u2019t. By partnering with ShipBob, we get better quality fulfilment and shipping for a better price.\u201d<\/em><\/p>\n\n\n\n<p>Maria Osorio, Logistics and Operations Director at <a href=\"https:\/\/oxfordhealthspan.com\/\" target=\"_blank\" rel=\"noreferrer noopener\">Oxford Healthspan<\/a><\/p>\n<\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-common-3pl-pricing-models\">Common 3PL pricing models<\/h2>\n\n\n\n<p>Third-party fulfilment pricing and cost structures can be confusing \u2013 especially depending on the model that your fulfilment partner uses. Some models are also more prone to include hidden additional fees, which can add up quickly and squeeze your profit margin, so it\u2019s important to figure out which 3PL pricing model is simplest and most transparent for your business.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Here are three of the most common 3PL pricing models, and how they work.&nbsp;&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-total-fulfillment-cost-shipbob\">Total fulfilment cost (ShipBob)<\/h3>\n\n\n\n<p>ShipBob\u2019s pricing model is reflective of a total fulfilment cost for standard, direct-to-consumer order fulfilment. Rather than cluttering your invoice with line items or hidden fees, this pricing model simplifies fulfilment costs by only charging a single fulfilment fee for picking, packing, shipping, packaging materials, and labour (along with separate fees for receiving inventory, monthly&nbsp;<a href=\"https:\/\/www.shipbob.com\/warehouse-operations\/inventory-storage\/\">inventory storage<\/a>, and other add-ons like kitting and returns).<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\"><div class=\"wp-block-embed__wrapper\">\n<iframe loading=\"lazy\" title=\"Inside A ShipBob Logistics and Fulfillment Hub: A 360\u00b0 Look in 4K HD\" width=\"500\" height=\"281\" src=\"https:\/\/www.youtube.com\/embed\/7l-FgE4piic?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe>\n<\/div><\/figure>\n\n\n\n<p>This simple pricing model helps ensure that retailers avoid any hidden fees or surprise costs during the fulfilment process.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cThere have been obvious cost benefits in working with ShipBob \u2014 their cost structure is much more favorable than any 3PL we\u2019ve worked with. With our multipick orders, we were getting slammed by pick fees all over the world. Our 3PLs before ShipBob also were a total black box when it came to pricing \u2014 we\u2019d just get one invoice with no line items, which made it impossible to work out what was what. With ShipBob, it\u2019s very transparent billing and pricing, and now we know exactly what we\u2019re being charged.\u201d<\/em><\/p>\n\n\n\n<p>Jonathan Byrt, Director &amp; Co-founder at <a href=\"https:\/\/www.shipbob.com\/blog\/memobottle\/\" target=\"_blank\" rel=\"noreferrer noopener\">memobottle<\/a><\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-pick-and-pack\">Pick and pack<\/h3>\n\n\n\n<p>As the name suggests, the pick-and-pack pricing model includes charges for each individual item picked in the process of assembling an order. This model is generally favored by fulfilment companies, as it makes it easier for them to track and charge for every touchpoint in a package&#8217;s fulfilment lifecycle.<\/p>\n\n\n\n<p>For each individual pick, there usually is between a USD $0.20 and $5.00 fee depending on the fulfilment centre. If you ship several items in one order, these fulfilment costs can quickly add up.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-amazon-fba\">Amazon FBA<\/h3>\n\n\n\n<p>Fulfilment by Amazon (FBA), the outsourced fulfilment service for products that are sold via the Amazon marketplace, uses a unique pricing model.<\/p>\n\n\n\n<p>Amazon is able to charge discounted fulfilment fees because they also receive a cut of every sale, called the seller fee. Seller fees mean that merchants often take home less profit on each sale than they would by selling on their own website. Sellers also lose the ability to highlight their brand when they ship via FBA \u2014 all packages are shipped in Amazon-branded boxes, and the entire customer experience and communication will take place via Amazon.<\/p>\n\n\n\n<p>The Amazon FBA pricing model also includes several conditional fees, including (but not limited to):&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><a href=\"https:\/\/sellercentral.amazon.com\/help\/hub\/reference\/external\/GJQNPA23YWVA4SBD\" target=\"_blank\" rel=\"noreferrer noopener\">Aged inventory surcharge<\/a>&nbsp;<\/li>\n\n\n\n<li><a href=\"https:\/\/sellercentral.amazon.com\/help\/hub\/reference\/external\/GV8JEETWV9Q33CMX\" target=\"_blank\" rel=\"noreferrer noopener\">Inventory storage overage fee<\/a>&nbsp;<\/li>\n\n\n\n<li><a href=\"https:\/\/sellercentral.amazon.com\/help\/hub\/reference\/external\/G201000230\" target=\"_blank\" rel=\"noreferrer noopener\">Unplanned services fees<\/a>&nbsp;<\/li>\n\n\n\n<li><a href=\"https:\/\/sellercentral.amazon.com\/help\/hub\/reference\/external\/G202061550\" target=\"_blank\" rel=\"noreferrer noopener\">Manual processing fees<\/a>&nbsp;<\/li>\n\n\n\n<li><a href=\"https:\/\/sellercentral.amazon.com\/help\/hub\/reference\/external\/GC3Q44PBK8BXQW3Z\" target=\"_blank\" rel=\"noreferrer noopener\">Inbound placement service fee<\/a>&nbsp;<\/li>\n\n\n\n<li><a href=\"https:\/\/sellercentral.amazon.com\/help\/hub\/reference\/external\/GV43F6S76Y9DHYRH\" target=\"_blank\" rel=\"noreferrer noopener\">Low-level inventory fee<\/a>&nbsp;<\/li>\n\n\n\n<li><a href=\"https:\/\/sellercentral.amazon.com\/help\/hub\/reference\/external\/GL5XA3MNXAJKJE8E\" target=\"_blank\" rel=\"noreferrer noopener\">Inbound defect fee<\/a>&nbsp;<\/li>\n<\/ul>\n\n\n\n<p id=\"ShipBob\u2019s-3PL-pricing-explained-\"><a href=\"https:\/\/www.shipbob.com\/blog\/amazon-fba-fees\/\">Amazon FBA costs<\/a>&nbsp;are complex, varying based on seasonality, the type and size of the item, and a variety of other factors.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-shipbob-s-3pl-pricing-explained\">ShipBob\u2019s 3PL pricing explained<\/h2>\n\n\n\n<p><span>Since there is no one-size-fits-all fulfilment solution, there is no one pricing model that fits all businesses.&nbsp;<\/span><\/p>\n\n\n\n<p><span>However, that doesn\u2019t mean you should be left in the dark on how much you\u2019ll be paying for fulfilment costs when partnering with a 3PL.<\/span><\/p>\n\n\n\n<p><span>Unlike many fulfilment partners and supply chain technology platforms, ShipBob offers transparent, <\/span><a href=\"https:\/\/www.shipbob.com\/pricing\/\"><span>custom pricing<\/span><\/a><span> with no hidden fees. Our pricing model is reflective of a total fulfilment cost for <\/span><a href=\"https:\/\/www.shipbob.com\/direct-to-consumer-fulfillment\/\"><span>direct-to-consumer fulfilment<\/span><\/a><span>, so you\u2019ll know exactly what your costs will be.&nbsp;<\/span><\/p>\n\n\n\n<p id=\"the-cost\">Please refer to ShipBob&#8217;s Help Centre for the most up-to-date fees, including:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><a href=\"https:\/\/support.shipbob.com\/s\/article\/United-States-Fulfillment-Center-B2C-Pricing\/\">Standard B2C pricing<\/a><\/li>\n\n\n\n<li><a href=\"https:\/\/support.shipbob.com\/s\/article\/Additional-Services-Pricing\/\">Additional service pricing<\/a><\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-lower-your-fulfillment-costs-and-scale-your-business-with-shipbob-nbsp\">Lower your fulfilment costs and scale your business with ShipBob&nbsp;<\/h2>\n\n\n\n<p>As an expert supply chain and fulfilment platform, ShipBob has helped thousands of ecommerce brands reduce their fulfilment costs, improve their fulfilment quality, and build a fulfilment strategy that scales with them.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Brands like yours can save on fulfilment by leveraging ShipBob\u2019s services and capabilities, including:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Transparent billing and easy-to-understand invoices (with each individual line item broken down to prevent mystery fees).&nbsp;<\/li>\n\n\n\n<li>Intuitive software that features built-in inventory and order management capabilities&nbsp;<\/li>\n\n\n\n<li>An <a href=\"https:\/\/support.shipbob.com\/s\/article\/ART-Analytics-Reporting-Tool\/\">analytics dashboard<\/a> where you can view key inventory, order, and fulfilment performance metrics and data in real-time, plus insights to help you optimise your operations for cost.&nbsp;<\/li>\n\n\n\n<li>Inventory distribution across <a href=\"https:\/\/www.shipbob.com\/shipbob-locations\/\">dozens of<\/a> <a href=\"https:\/\/www.shipbob.com\/shipbob-locations\/\">global fulfilment centres<\/a> (including locations in Canada, the UK, Europe, and Australia) to shorten shipping time and reduce shipping costs.&nbsp;&nbsp;<\/li>\n\n\n\n<li><a href=\"https:\/\/www.shipbob.com\/ecommerce-fulfillment\/omnichannel-fulfillment\/\">Omnichannel fulfilment<\/a> for retail dropshipping and distribution, marketplaces, and social channels to streamline operations through a single provider.&nbsp;&nbsp;<\/li>\n\n\n\n<li><a href=\"https:\/\/www.shipbob.com\/partners\/\">Seamless integrations<\/a> with dozens of major ecommerce platforms and tools (so you don\u2019t have to pay for and juggle multiple partners).&nbsp;<\/li>\n\n\n\n<li><a href=\"https:\/\/www.shipbob.com\/product\/customization-suite\/\">Customisation options<\/a> such as gift notes and marketing inserts to delight customers and drive engagement&nbsp;&nbsp;<\/li>\n<\/ul>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cFor me, the cost of fulfilment is completely outweighed by the level of service and the commitment that ShipBob shows to merchants. Even if I were spending my own personal money, I would pay double \u2013 the fulfilment quality and support are that good.\u201d<\/em><\/p>\n\n\n\n<p>Kelly Bond, Operations Manager at <a href=\"https:\/\/www.shipbob.com\/blog\/elle-sera\/\" target=\"_blank\" rel=\"noreferrer noopener\">Elle Sera<\/a>&nbsp;<\/p>\n<\/blockquote>\n\n\n\n<p id=\"FAQ\">Get a fulfilment quote from ShipBob below and learn if we\u2019re a good fit for your business.<\/p>\n\n\n\n<div class=\"wp-block-buttons is-content-justification-center is-layout-flex wp-container-core-buttons-is-layout-16018d1d wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/www.shipbob.com\/quote\/\" target=\"_blank\" rel=\"noreferrer noopener\">Request a Quote<\/a><\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-\"><\/h2>\n\n\n\n<section class=\"wp-block-shipbob-blocks-single-heading-accordion single-heading-accordion\" data-controller=\"accordion-controller\" data-accordion-controller-open-value=\"false\"><div class=\"single-heading-accordion-heading-container\" data-accordion-controller-target=\"actionElement\"><h2 class=\"single-heading-accordion-title h2\">Fulfilment cost FAQs&nbsp;<\/h2><\/div><div class=\"single-heading-accordion-inner-content\" data-accordion-controller-target=\"innerContent\">\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">How much does ecommerce fulfilment cost?&nbsp;<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>It varies based on the 3PL you partner with. For general pick and pack fees, it can cost around USD $.20 \u2013 $1.00 per pick. With ShipBob, it varies by country of fulfilment and when you start fulfilling with ShipBob. Please find more here.&nbsp;<\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">Are fulfilment costs under COGS?&nbsp;<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>Yes, fulfilment costs are usually factored into an ecommerce brand\u2019s COGS calculation. This is because the cost of fulfilling orders is considered a part of the overall cost of creating and selling those goods (since without fulfilment, it would be impossible to get goods to the end customers who purchased them).&nbsp;<\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">How do fulfilment costs impact overall profitability for an online store?&nbsp;<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>Fulfilment costs are typically a big cost centre for ecommerce businesses and can mean the difference between profitability and unprofitability. If your fulfilment costs are so high that they eat into your bottom line, you will need to find ways to lower your fulfilment costs in order to stay profitable.&nbsp;&nbsp;<\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">What percentage of ecommerce fulfilment costs comes from order picking?&nbsp;<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>Order picking is usually just one of many costs in ecommerce fulfilment, especially if you work with a 3PL partner that has its own pricing model for various outsourced services. Other cost-drivers in ecommerce fulfilment include:&nbsp;&nbsp;&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Inventory receiving<\/li>\n\n\n\n<li>Inventory storage&nbsp;<\/li>\n\n\n\n<li>Kitting and assembly&nbsp;<\/li>\n\n\n\n<li>Packaging (particularly custom branded packaging)&nbsp;&nbsp;<\/li>\n\n\n\n<li>Labor&nbsp;<\/li>\n\n\n\n<li>Technology (such as software, scanners, and forklifts)&nbsp;<\/li>\n\n\n\n<li>Shipping&nbsp;&nbsp;<\/li>\n\n\n\n<li>Returns processing&nbsp;<\/li>\n<\/ul>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">How does ShipBob help clients optimise fulfilment costs?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>ShipBob helps merchants reduce fulfilment expenses through:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Discounted courier rates<\/strong>: Leveraging our collective shipping volume for better pricing<\/li>\n\n\n\n<li><strong>Distributed inventory<\/strong>: Strategic positioning reduces shipping zones and costs<\/li>\n\n\n\n<li><strong>Technology optimisation<\/strong>: Our system automatically selects the most cost-effective courier and service level<\/li>\n\n\n\n<li><strong>Transparent analytics<\/strong>: Identify cost-saving opportunities through detailed reporting<\/li>\n\n\n\n<li><strong>Efficient operations<\/strong>: Streamlined processes reduce labour and handling costs<\/li>\n\n\n\n<li><strong>Flexible storage<\/strong>: Pay only for the space you use without long-term warehouse commitments<\/li>\n<\/ul>\n\n\n\n<p>Our platform provides visibility into every cost driver, empowering you to make data-driven decisions that improve margins while maintaining excellent customer experiences.<\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">How are fulfilment cost increases communicated to ShipBob merchants?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>ShipBob prioritizes transparency with advance notice of any pricing changes. We communicate our annual General Rate Increase (GRI) well ahead of implementation through multiple channels, including email notifications and dashboard alerts, per our Terms of Service. All pricing updates are published in our Help Centre for easy reference. This proactive communication approach gives you time to plan, adjust pricing strategies, and make informed business decisions. <\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">Which 3PL has the most straightforward &#8220;all-in&#8221; pricing model, as opposed to complexity with invoices?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>ShipBob offers the industry&#8217;s most transparent, all-inclusive pricing model. Unlike competitors who nickel-and-dime with dozens of hidden fees, our straightforward pricing bundles essential services together, eliminating invoice complexity. You&#8217;ll see clear, predictable costs without surprise charges for standard operations. Our unified billing approach means fewer line items, easier accounting, and better budget forecasting. ShipBob&#8217;s transparent pricing philosophy extends across our platform, from fulfilment to storage to shipping, so you always know what you&#8217;re paying for. We believe straightforward pricing builds better partnerships and lets you focus on growth rather than deciphering complicated invoices.<\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">Does ShipBob bundle shipping and fulfilment into a single cost?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>Yes! ShipBob&#8217;s inclusive pricing model bundles multiple services together to simplify billing. Unlike many 3PLs that charge separately for every component, our costs include the shipping label plus picks per order (based on your pricing plan), packaging materials, labour, custom pack-out, and more. This all-in approach eliminates unnecessary one-off fees and makes invoices easier to understand and predict. You&#8217;re not juggling dozens of line items. Instead, you get transparent, bundled pricing that covers the complete fulfilment process. This simplification helps you forecast costs accurately and avoid the billing headaches common with traditional 3PLs.<\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">Can ShipBob provide a cost breakdown for each service line item?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>Yes! ShipBob offers detailed billing reporting that breaks down costs by service line item, giving you complete transparency into your fulfilment expenses. Our platform provides granular visibility into picking, packing, storage, shipping, and any additional services, helping you understand exactly where your money goes. These detailed reports enable better financial planning, identify optimisation opportunities, and support informed decision-making. You can export data for accounting purposes or analyse trends over time. ShipBob combines straightforward bundled pricing with comprehensive reporting, giving you both simplicity and the detailed insights you need to manage your business effectively.<\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">How does ShipBob structure fulfilment costs such as receiving, storage, pick-and-pack, shipping, returns, and kitting?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>ShipBob structures fulfilment costs with transparent, predictable fees across all service categories. Receiving is typically charged per hour rather than per unit, storage fees are based on bin\/shelf\/pallet space used per month, and pick-and-pack includes a base fee plus per-item charges for additional units. Shipping costs reflect courier discounts with no markups, returns processing is charged per unit received, and kitting fees are based on assembly complexity and time required. All fees are clearly outlined in a comprehensive rate card without hidden charges.<\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">What typical cost benchmarks do brands see when using ShipBob?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>ShipBob\u2019s pricing model for direct-to-consumer (DTC) orders is designed to be clear and transparent, combining several services into one total fulfilment cost. The primary fees include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Receiving:<\/strong> A fee for receiving your inbound inventory via a Warehouse Receiving Order (WRO).<\/li>\n\n\n\n<li><strong>Warehousing\/storage:<\/strong> Monthly fees for storing your products. <a href=\"https:\/\/support.shipbob.com\/s\/article\/US-Fulfillment-Center-Additional-Services-Pricing\">In the US<\/a>, for example, these are $5.00 per bin, $10.00 per shelf, and $40.00 per pallet per month. These fees are prorated daily.<\/li>\n\n\n\n<li><strong>All-in fulfilment cost (pick, pack, &amp; ship):<\/strong> For B2C orders, this single cost covers the labour for picking and packing the order, standard plain packaging materials (boxes, mailers, dunnage), and the shipping label.<\/li>\n\n\n\n<li><strong>Shipping rates:<\/strong> Shipping costs are variable and depend on the package&#8217;s billable weight (the greater of actual vs. dimensional weight), its dimensions, the shipping destination (i.e., shipping zones in the US), and the selected courier service.<\/li>\n<\/ul>\n\n\n\n<p>Additional service costs:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Customisation:<\/strong> While standard packaging is free, you can use your own branded boxes and mailers; you just pay for the storage of these materials. Services like kitting, gift notes, and marketing inserts are also available for a small additional fee.<\/li>\n\n\n\n<li><strong>B2B orders:<\/strong> Wholesale and retail distribution orders have their own pricing structures, which can be reviewed in detail on ShipBob&#8217;s pricing pages.<\/li>\n<\/ul>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">How can brands reduce fulfilment expenses through inventory distribution and volume discounts?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>Reduce fulfilment expenses by strategically distributing inventory across multiple fulfilment centres to lower shipping zones and enable ground shipping for orders that would otherwise require expensive air services.&nbsp;<\/p>\n\n\n\n<p>Implement inventory forecasting to maintain optimal stock levels that qualify for volume storage discounts without overstocking.&nbsp;<\/p>\n\n\n\n<p>Consolidate inbounding to reduce receiving costs, optimise product packaging to minimise dimensional weight charges, and group similar SKUs in storage to improve picking efficiency. <\/p>\n\n\n\n<p>Many brands that partner with ShipBob have been able to reduce their fulfilment costs through these strategies. <\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">What hidden or variable charges should companies watch for in fulfilment pricing?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>Watch for hidden fulfilment charges, including account setup fees, receiving charges per item (rather than per hour, long-term storage penalties), minimum monthly order requirements with shortfall fees, packaging materials markups, peak season surcharges, and account management fees.<\/p>\n\n\n\n<p>Other potential hidden costs include system integration fees, special project rates for inventory counts or reorganization, return processing charges beyond the base fee, shipping insurance markups, and address correction fees. Request a comprehensive rate card that outlines all possible charges before signing.<\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">How does ShipBob&#8217;s transparent pricing model help forecast fulfilment expenses?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>ShipBob&#8217;s transparent pricing helps brands forecast expenses through clearly defined fee structures that eliminate surprises, apply ShipBob&#8217;s volume-based discounted shipping rates, and provide detailed reporting that breaks down costs by category.<\/p>\n\n\n\n<p>The analytics dashboard shows historical fulfilment costs by component (storage, handling, shipping), enabling accurate budgeting based on projected growth.<\/p>\n\n\n\n<p>Additionally, the platform provides shipping cost calculators, storage forecasting tools, and volume threshold notifications that alert you when approaching discount tiers.<\/p>\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" itemscope itemprop=\"mainEntity\" itemtype=\"https:\/\/schema.org\/Question\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 itemprop=\"name\" class=\"single-faq-title\">What metrics should brands track to manage cost per order effectively?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" is=\"responsive-img\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" itemscope itemprop=\"acceptedAnswer\" itemtype=\"https:\/\/schema.org\/Answer\" data-faq-controller-target=\"answer\"><div itemprop=\"text\">\n<p>Track these metrics to manage fulfilment costs effectively: <\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Average cost per order broken down by component (pick-and-pack, shipping, storage, packaging)<\/li>\n\n\n\n<li>Shipping cost as percentage of average order value<\/li>\n\n\n\n<li>Dimensional weight vs actual weight ratio<\/li>\n\n\n\n<li>Average shipping zone distribution<\/li>\n\n\n\n<li>Storage cost per unit<\/li>\n\n\n\n<li>Inventory turnover rate<\/li>\n\n\n\n<li>Perfect order percentage (cost of errors)<\/li>\n\n\n\n<li>Returns as percentage of shipments<\/li>\n<\/ul>\n\n\n\n<p>Additionally, monitor average units per order, which directly impacts picking efficiency, and regularly analyse slow-moving inventory that accumulates storage fees without generating revenue.<\/p>\n<\/div><\/div><\/div>\n<\/div><\/section>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>What are order fulfilment costs? Order fulfilment costs are the total charges &amp; expenses calculated for receiving inventory, storing products,&nbsp;processing orders, picking, packing, and shipping of all orders and inventory. Common&nbsp;retail order fulfilment&nbsp;costs vary by provider, the number of orders placed, pricing models, and any additional services used. Read on to learn how to calculate [&hellip;]<\/p>\n","protected":false},"author":149,"featured_media":0,"parent":124,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"hub.php","meta":{"content-type":"","inline_featured_image":false,"footnotes":""},"class_list":["post-125","page","type-page","status-publish","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.4 (Yoast SEO v27.4) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Fulfilment Costs Guide - ShipBob Australia<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.shipbob.com\/au\/ecommerce-fulfillment\/fulfillment-costs\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Fulfilment Costs Guide\" \/>\n<meta property=\"og:description\" content=\"What are order fulfilment costs? Order fulfilment costs are the total charges &amp; expenses calculated for receiving inventory, storing products,&nbsp;processing orders, picking, packing, and shipping of all orders and inventory. Common&nbsp;retail order fulfilment&nbsp;costs vary by provider, the number of orders placed, pricing models, and any additional services used. Read on to learn how to calculate [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.shipbob.com\/au\/ecommerce-fulfillment\/fulfillment-costs\/\" \/>\n<meta property=\"og:site_name\" content=\"ShipBob Australia\" \/>\n<meta property=\"article:modified_time\" content=\"2026-04-21T15:18:23+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/11\/7dc5d99b1b09518852785b9733c7605f-700x438.png\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"23 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/ecommerce-fulfillment\\\/fulfillment-costs\\\/\",\"url\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/ecommerce-fulfillment\\\/fulfillment-costs\\\/\",\"name\":\"Fulfilment Costs Guide - ShipBob Australia\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/ecommerce-fulfillment\\\/fulfillment-costs\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/ecommerce-fulfillment\\\/fulfillment-costs\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/www.shipbob.com\\\/wp-content\\\/uploads\\\/2024\\\/11\\\/7dc5d99b1b09518852785b9733c7605f-700x438.png\",\"datePublished\":\"2021-08-27T17:31:23+00:00\",\"dateModified\":\"2026-04-21T15:18:23+00:00\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/ecommerce-fulfillment\\\/fulfillment-costs\\\/#breadcrumb\"},\"inLanguage\":\"en-AU\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/www.shipbob.com\\\/au\\\/ecommerce-fulfillment\\\/fulfillment-costs\\\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-AU\",\"@id\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/ecommerce-fulfillment\\\/fulfillment-costs\\\/#primaryimage\",\"url\":\"https:\\\/\\\/www.shipbob.com\\\/wp-content\\\/uploads\\\/2024\\\/11\\\/7dc5d99b1b09518852785b9733c7605f-700x438.png\",\"contentUrl\":\"https:\\\/\\\/www.shipbob.com\\\/wp-content\\\/uploads\\\/2024\\\/11\\\/7dc5d99b1b09518852785b9733c7605f-700x438.png\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/ecommerce-fulfillment\\\/fulfillment-costs\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Ecommerce Fulfilment Guide\",\"item\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/ecommerce-fulfillment\\\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Fulfilment Costs Guide\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/#website\",\"url\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/\",\"name\":\"ShipBob Australia\",\"description\":\"Just another ShipBob Network site\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/www.shipbob.com\\\/au\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-AU\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Fulfilment Costs Guide - ShipBob Australia","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.shipbob.com\/au\/ecommerce-fulfillment\/fulfillment-costs\/","og_locale":"en_US","og_type":"article","og_title":"Fulfilment Costs Guide","og_description":"What are order fulfilment costs? Order fulfilment costs are the total charges &amp; expenses calculated for receiving inventory, storing products,&nbsp;processing orders, picking, packing, and shipping of all orders and inventory. Common&nbsp;retail order fulfilment&nbsp;costs vary by provider, the number of orders placed, pricing models, and any additional services used. 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