Fulfillment House Pricing-
Price vs. Value

Fulfillment house pricing can be a touchy subject. Outsourcing your company’s fulfillment can save time and money, and it can cut back on operational headaches. But not every fulfillment company offers the same scope of services or attention to detail. When you’re choosing a partner to work with, you have to read between the lines to discover what their fulfillment house pricing really entails.

Look for value

Does it include customized services, or merely a one-size-fits-all menu of tasks? You can pick and choose from any menu, but will the fulfillment house pricing you agree to provide everything you need? Or might want later on? Customization could come in the form of:

• High Touch customer service that shun robotic, script-based order taking in favor of personalized conversations. That requires US-based agents who are not only friendly but highly knowledgeable about your products.
• Specialized services such as pick-and-pack, kitting, assembly, gift-wrapping or something else unique to your company. You might need one or more of these services on an ongoing basis, or just occasionally for special promotions.
• Enhanced listening skills. Consider the added value of fulfillment house pricing that includes experts who listen “between the lines” as you discuss your needs, to uncover additional ways they can help achieve your business goals. What if they could (and willingly would) suggest product packaging changes or other enhancements to improve your customers’ experience? What if they could help implement those suggestions? It’s hard to put a price on that.
• Performance measurements and reporting that give you more than a list of statistics. You won’t know if your fulfillment house pricing is generating expected ROI without determining your own key metrics and SLAs. It will be a lot easier to analyze your performance data if you can dictate who receives reports and how often. It will be even easier if you have 24/7 access to your own data, through a secure portal. That way you’ll have all the data you need, in real time, to make better business decisions.

The ability to customize your fulfillment process protects and enhances your company’s brand – arguably your company’s the most valuable asset. Regardless of the dollar amount, if your fulfillment house pricing cannot do that, it is far too high.

So look for fulfillment house pricing that is fair, not merely the lowest bid. We all know that the cheapest product is rarely the best. Look for value-added benefits that will boost your return on investment. And look for metrics that allow you to accurately evaluate performance and ROI, so you know what you’re getting over time

Look for professional facilities, staffed by fulfillment pros

Look for a state-of-the-art fulfillment center, one with:

• Experience handling products similar to yours. Efficiencies come from focus, so a company that specializes in small packages won’t be your best choice if you have large, bulky products. Or vice versa.
• A broad understanding of your industry. Understanding the individualities of your business is vital, but you need a partner you don’t have to educate about the big picture, trends, etc. in your marketplace. That’s doubly true if your products are regulated or you have other specific warehousing concerns.
• Like a single point of contact, a single location ensures greatest efficiency and fewest mistakes or delays. A one-stop fulfillment will house all aspects of their operation in one centrally-located place. That includes their US-based customer contact team.
• State-of-the-art equipment and processes that allow streamlined function and more detailed reporting.
• Few companies enjoy a smooth ride when it comes to customer purchasing. Even if your business isn’t prone to seasonal or other extreme fluctuations, things differ from day to day. A full service fulfillment company takes that in stride without dips in service or excessive up-charges.

What happens if you choose a partially-capable fulfillment company?

You’ll have to hire someone else to do the rest of the work. Or else you’ll have to retain some tasks in-house, negating your efforts to get out of the fulfillment business. When you eventually decide to part with those tasks, too, you have to start all over searching for an appropriate partner.

And you can say goodbye to seamless customer service during that transition.

This makes no sense. Wouldn’t you rather link up with the strongest working right from the start? A full service fulfillment company gives you peace of mind. Your consistent, reliable results backed by the kind of accountability that proves you’ve made a smart business investment.

Want to see how your current fulfillment processes stack up against industry KPIs?

Take a free Fulfillment Needs Assessment to score your fulfillment performance.