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West Coast and California Logistics Blog

Find the Best Warehouse Pricing the First Time Around

Thu, Mar 10, 2016 @ 11:56 AM / by Weber Logistics

When the search begins for a 3PL, we evaluate and consider many things. One of the make or break factors includes pricing. Now, do you want a rate generated on the spot or are you willing to wait for some number crunching? While some warehouses offer standard rates that can be provided on the spot, these rates may not be the best deal you can get. Most warehouse pricing models use a variety of data which includes product volume, case size, pallet size and weight. Evaluating and manipulating all this data, means if you want the best rate for your situation, it cannot happen overnight.

In order for you to get the best warehouse pricing for your customized needs, your data must be shared. Remember what our previous blog mentioned… open & honest communication. Having accurate data allows intense number crunching to occur which gives the best rate possible to you the first time. Also, be sure you provide the same data to all 3PLs and ask for the pricing to be returned in the same manner, so you can compare side by side.

When a 3PL doesn’t have the data for its warehouse pricing model, the company has to make assumptions. For example, let’s say a shipper does not know if products can be stored 2 pallets high or 3 pallets high. If the 3PL needs to charge $15 per pallet footprint, then the rate for 2-high storage would be $7.50 per pallet. But if the product can be stored 3-high, the rate would drop to $5.00 per pallet.  

We have included a work sheet and provided more examples in our Commercial Warehouse Pricing Guide to help you get your best warehouse pricing the first time around. Download our guide now to learn more about warehouse pricing and understand how it is done.



commerical warehouse pricing guide

Topics: 3PL, Warehouse Rates, Warehouse operations

Written by Weber Logistics

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