By: Jason Kay
Submitted: 2010-04-26 23:50:27 | Word Count: 527
One of the most important aspects of your business is the order fulfillment. Order fulfillment is getting the customer what they paid for in a timely manner and a great way to accomplish this is by using an order fulfillment service.
When considering whether or not an order fulfillment service is the route you want to take it is important to consider all the costs that are associated with it. Some of the coasts that may be incurred with an order fulfillment service include:
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• Storage Cost: Because you will have your entire inventory stored in the order fulfillment service’s warehouse you will have to pay for such storage. Some services will charge per item and some will charge per pallet so be sure you know ahead of time so that you don’t run into an unwelcomed fee.
• Shipping: You will be responsible for all the shipping charges that occur as your items will ship out. If you ship enough you may be able to get one of the major parcel carriers to give you a bulk discount, but either way it is you that will have to pay the charges.
• Package and Handling: You will likely also have to pay a package and handling fee to the order fulfillment service as they will be the ones responsible for boxing, padding, and handling your items that get as shipped out.
• Receiving Fee: If you have items sent on a regular basis to your order fulfillment service’s warehouse you can expect to pay a receiving fee.
• Inventory Fee: Some order fulfillment services will also charge a fee for keeping your inventory up to date. Though any fee is bothersome, this one is an important one to have because it means that the order fulfillment service is up to date with what you do and do not have to ship out. This can save you from accidentally selling something that you currently have out of stock.
• Set up Fees: This fee is not seen as much as it once was due to an increase in competition. However, you should always ask if the order fulfillment service you are considering charges a set up fee. If they do it is only going to be a onetime fee and may be worth it to you if the facility is convenient to you.
• Return Processing Fees: Sometimes a customer will want to return an item for a number of reasons. When this happens many order fulfillment services will charge you a return processing fee or a re stocking fee.
These days it is not unusual to find an order fulfillment service that is all inclusive. In other words, they will charge you one flat fee that included everything and this will usually be due on a regular basis. Still others will charge on an ala carte basis so it pays to ask ahead of time what fees you will incur. Before making your final decision, talk to a few different order fulfillment services and do a little comparative shopping. Just be sure that you are getting an order fulfillment service that will meet your needs as well as your budget.
