Most 3PL quotes are short on purpose. A pick fee, a storage rate, maybe a receiving charge, and a friendly line about "no hidden fees." The detail lives in the fee schedule attached to the contract, and that's what shows up on your invoice every month. Reading a quote well means knowing which lines are there, which are missing, and what each one will cost at your volume rather than theirs.
A complete 3PL quote covers receiving, storage, pick and pack, packaging, shipping, returns and any account or minimum fees, plus the less frequent charges: onboarding, special projects, relabeling, peak surcharges and carrier adjustments. If a quote only shows two or three of these, ask for the full fee schedule. The single most important question is how shipping is billed: at the 3PL's actual carrier cost, or with a margin added.
A Sample Quote, With Notes
Below is a made-up quote for a brand shipping around 1,500 orders a month. The rates sit within common US ranges but don't belong to any real provider. The right-hand column is the question we'd send back about each line.
| Line | Sample rate | What to ask |
|---|---|---|
| Receiving | $30 per pallet; $45/hr for loose cartons | How long until received stock is available to sell? What happens if cartons arrive unlabeled? |
| Storage | $25 per pallet, $5 per shelf bin, monthly | Is storage billed on the peak day, the month-end count, or the daily average? |
| Pick & pack | $3.10 first item, $0.55 each additional | Is an "item" a unit or a SKU line? Are inserts and gift notes extra? |
| Packaging | At cost + 10%, or $0.40–$1.20 by box size | Can I supply my own boxes? Who decides the box size for each order? |
| Shipping Most important | "Discounted carrier rates" | Is postage billed at your cost? If not, what's the margin, in writing? |
| Returns | $3.50 per return | What's included: inspection, restock, photos? How fast are returns processed? |
| Account fee | $250/month minimum | Is it a floor on total spend or an extra charge on top? |
| Onboarding | $500 one-time | What does it cover: integration, SKU setup, first receipt? |
Every rate in this table is illustrative. Use it to see the shape of a complete quote, not as a benchmark for any particular region or product.
The Lines That Cause the Most Arguments
"Item" can mean two different things
Some 3PLs charge the additional-item fee per unit. Others charge it per SKU line, so three of the same candle count as one pick. For a brand whose customers buy multiples of the same product, that difference can move the pick and pack line by 15% or more. Get the definition in writing.
Storage has a measurement date
Storage billed on your highest inventory day of the month costs more than storage billed on a daily average, especially if you receive a big container once a quarter. Neither is wrong. They just produce very different bills for the same stock, so ask which one you're getting.
Receiving depends on how your supplier ships
A quote's receiving rate usually assumes clean, labeled pallets. If your factory floor-loads a container, or packs three SKUs into one unmarked carton, expect hourly labor charges on top. Send the 3PL a photo of a typical inbound delivery and ask what they'd charge to receive exactly that.
Minimums are sometimes additive
A "$250 minimum" usually means you'll pay at least $250 in total fees in a month. Occasionally it means a $250 account fee charged regardless of activity. The wording in the contract decides which, and it matters most in your slowest months.
How to Tell if Shipping Is Marked Up
Postage is often the largest number on a fulfillment bill, bigger than all the 3PL's own fees combined. It's also the line most likely to carry a margin you can't see, because a quote that says "discounted rates" is technically true even if the discount is mostly kept by the warehouse.
Marking up shipping isn't wrong in itself. Some 3PLs price their labor thinly and make their margin on postage, and the total can still be competitive. What matters is knowing, so you can compare quotes on the same basis. Three ways to find out:
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Ask directly, and get it in the contract
"Is postage billed at your actual carrier cost, or cost plus a margin? If there's a margin, what is it?" A provider that passes rates through at cost will say so plainly.
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Ask for a rate table and compare it to the carrier's
Request their rates for your most common package (say, 2 lb to zones 4 through 8) and compare them to the carrier's published rates for the same service. If their price is close to or above the published rate, the "discount" isn't reaching you.
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Ask how surcharges are billed
Residential, delivery area, additional handling, fuel and peak surcharges are all set by the carrier. Ask whether they're passed through as the carrier charges them or rolled into a flat rate, and whether address corrections are billed back to you.
Charges That Show Up Later
These rarely appear on a first quote, but they're common on invoices. None of them are unreasonable. Surprise is the problem, so ask about each one up front.
Relabeling, repacking a bad shipment from a supplier, pulling stock for a photo shoot. Usually billed hourly. Ask for the hourly rate.
When a carrier re-weighs a parcel or corrects an address, it bills the shipper after the fact. Your 3PL will pass that on. Accurate SKU weights and dimensions keep it low.
Carriers add surcharges in Q4, and some 3PLs add their own for labor. Ask what changed last November and by how much.
Pulling your inventory out at the end of a contract takes labor, and it's billed. Ask what offboarding costs before you onboard.
Turn Every Quote Into One Number
Once you have complete fee schedules, run each through the same set of assumptions: your monthly orders, average units per order, storage footprint, inbound volume, return rate and typical package weight. Add up a month's worth of charges, add postage for your shipping mix, and divide by orders. That cost per order is the only figure worth comparing. Our 3PL cost guide has three worked examples, and the 3PL cost calculator will do the arithmetic for you.
Then read the contract that sits behind the quote. Rate increases, minimum terms and exit fees can matter more over two years than a few cents on the pick fee. We cover those in our guide to negotiating a 3PL contract.
Frequently Asked Questions
A complete quote covers receiving, storage, pick and pack, additional items, packaging, shipping, returns, account or minimum fees and onboarding. It should also list less frequent charges such as special-project labor, relabeling, peak surcharges and offboarding. If a quote doesn't, ask for the full fee schedule.
3PLs bundle and name their charges differently. Some include packaging in the pick fee, some bill storage by pallet and others by cubic foot, and some quote postage separately while others fold a margin into it. Converting each quote into total cost per order for the same volume makes them comparable.
Ask whether postage is billed at the 3PL's actual carrier cost or with a margin, and get the answer in the contract. You can also compare their rates for your most common package against the carrier's published rates, and ask how surcharges and address corrections are billed.
It's the fee for each item after the first in an order. Some 3PLs count every unit, while others count each distinct SKU line, so multiples of the same product count once. Confirm the definition, because it can change your pick and pack cost noticeably.
Often, especially if you can show a credible volume forecast or accept a short ramp-up period. Also confirm whether the minimum is a floor on total spend or a separate fee charged every month.
The most common are hourly special-project labor, carrier re-weigh and address-correction charges, peak-season surcharges, relabeling of non-compliant inbound stock, and offboarding fees when you leave. Ask about each one before signing.
Want a second opinion on a quote?
Send us a quote you've received, with the provider's name removed if you like. We'll mark up what's missing and what we'd ask, whether or not you end up working with us.