How to Choose a 3PL
Quick answer
Choose a 3PL in five steps: 1) write down your order profile (orders per month, units per order, SKUs, weight, channels, special handling); 2) shortlist 3–5 providers whose locations, minimums and specialties fit it; 3) send every one the same data and the 25 questions below; 4) compare total monthly cost on your real orders, not headline pick fees; 5) check references and contract terms before signing. Fit beats price: the cheapest quote from a 3PL that can't handle your channel or product will cost you more.
Key takeaways
- Send every 3PL the same order profile so their quotes are comparable.
- Compare total monthly cost (receiving, storage, pick/pack, postage, minimums), not the pick fee.
- Minimums vary widely: some 3PLs publish none (eFulfillment Service), others a set amount (Simpl: $750 a month).
- Same-day cutoffs vary: published examples run from 12:00 PM CT (Simpl) to 2:00 PM local (Tondo, Fulfillrite).
- Ask for two references who sell a product like yours, on the channels you use.
What do you need to know before you contact a 3PL?
Build a one-page order profile. Every 3PL will ask for it, and quotes built on guesses are worthless.
| Data | Why it matters |
|---|---|
| Orders per month (average and peak) | Sets tier pricing and minimums |
| Units per order | Drives per-item pick fees |
| Active SKUs and storage volume (pallets, bins) | Drives storage cost |
| Average weight and box size | Drives postage, usually the biggest line |
| Customer locations (top states or zones) | Decides whether you need one node or two |
| Channels | Shopify, Amazon FBA prep, TikTok Shop, retail EDI |
| Special handling | Lot/expiry, kitting, hazmat, fragile, temperature |
| Inbound pattern | Parcels, pallets or containers, and how often |
Export 90 days of orders with ship-to zip, weight and SKUs. You'll use it to check each quote.
How do you build a shortlist?
Filter on hard constraints first, price second:
- Product fit. Supplements and food need FDA-registered facilities and lot control; heavy items need a 3PL built for them; perfume needs hazmat handling. See the supplement, beauty and beverage guides.
- Volume fit. Some 3PLs target a band: Fulfyld cites 500–5,000 orders a month as its optimal range; Shipfusion targets 2,000+; Thrive 3PL serves 200–20,000.
- Location fit. Can their node(s) reach your customers inside your delivery promise?
- Channel fit. Direct integrations to your store and marketplaces.
- Terms fit. Month-to-month or multi-year, and notice period.
Three to five 3PLs is enough.
What questions should you ask a 3PL before signing?
Operations
- What's your same-day cutoff, and what percentage of orders shipped on time last quarter?
- What's your order accuracy, how is it measured, and is it scan-verified at pick and pack?
- How long from inbound arrival to available-to-sell?
- How do you report receiving discrepancies?
- How often do you cycle count, and can I see the results?
- How do you handle peak (Black Friday, a viral day)? What's your surge plan?
- How are returns processed, and how fast?
Product and channels
- Do you support lot and expiry tracking with FEFO? (If relevant.)
- Which of my channels do you integrate with directly?
- Can you do Amazon FBA prep, retail EDI or TikTok Shop if I add them?
- Can you kit, bundle and run insert rules?
- Which of your facilities would hold my stock, and is it registered or certified for my category?
Cost
- Can you quote my last 90 days of orders as a total monthly cost?
- What's your monthly minimum, and how is it billed?
- Which fees are not on the rate card (projects, special handling, account management)?
- How is postage priced: pass-through, marked up or bundled?
- How much notice before rate increases, and how often have you raised them?
People and tech
- Who's my day-to-day contact, and what's the response time?
- Can I see your client portal in a live demo, not slides?
- Can I export all my data at any time?
Contract and risk
- What's the term and termination notice?
- What's your liability per unit for lost or damaged inventory?
- What insurance do you carry, and can I get a certificate?
- What are your exit fees and inventory release timeline?
- Can I speak to two current clients like me, and one who left?
How do you compare 3PL quotes?
Put every quote into one sheet and run your real 90 days of orders through it:
| Line | 3PL A | 3PL B | 3PL C |
|---|---|---|---|
| Receiving | |||
| Storage | |||
| Pick and pack (orders x fee + extra items) | |||
| Packaging | |||
| Postage (your zips, your weights) | |||
| Minimum top-up | |||
| Platform or account fees | |||
| Total per month | |||
| Per order |
The pricing models differ, which is why you need the sheet. ShipCalm itemizes (DTC $2.65 per order + $0.95 per item, storage by cubic foot per week, platform fee from $49 a week). Simpl publishes all-in pricing from $7 per order including postage. Many 3PLs, ShipBob and Red Stag among them, quote only.
What are red flags when choosing a fulfillment partner?
- They won't quote on your real order data, only on averages.
- No live portal demo, or the demo is a video.
- Accuracy claims with no definition of how they're measured.
- They say yes to every special requirement without asking a question.
- No references in your category, or only references they choose without your criteria.
- A contract with a liability cap per pound and a lien on future minimums. See the 3PL contract guide.
- Pressure to sign a multi-year term before you've done a pilot.
What happens after you pick one?
Before signing, ask for the draft contract and the SLA schedule, and negotiate them together. After signing, run a structured onboarding: integrations, SKU data, a test inbound and test orders before go-live. Use the 3PL onboarding checklist. If you're moving from another 3PL, plan the cutover with switching 3PL providers.
Frequently asked questions
How many 3PLs should I get quotes from?
Three to five, all given the same order profile and 90 days of order data so the quotes compare like for like.
What's the most important factor when choosing a 3PL?
Fit with your product and channels. Price matters only among 3PLs that can handle your product, channels and delivery promise.
How do I find a 3PL?
Start from your hard constraints (product, volume, location, channels) and build a shortlist from provider comparisons, peer referrals and your platform's partner directory.
Should I choose a 3PL near me or near my customers?
Near your customers, for delivery speed and postage. Near you only matters if you visit often or ship inbound yourself.
Should I do a pilot with a 3PL?
If you can, yes. A pilot with one channel or a subset of SKUs tests integration, accuracy and support before you move everything.
Sources
- eFulfillment Service homepage (no minimums)
- Simpl Fulfillment pricing
- Simpl Fulfillment homepage (cutoff)
- Tondo Fulfillment homepage (cutoff)
- Fulfillrite homepage (cutoff)
- Fulfyld homepage (target volume)
- Shipfusion homepage (target volume)
- Thrive 3PL homepage (volume range)
- ShipCalm pricing calculator
- ShipBob pricing
- Red Stag Fulfillment pricing