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West Coast and California Logistics Blog

Can you lower your warehouse rates?

Wed, Jan 07, 2015 @ 11:00 AM / by Weber Logistics

As a 3PL that provides warehousing services, we get that question a lot.

If the characteristics of the project are not changing, then the real question being asked is, “Can you lower your profit?” 

Well, we could, but then we’d have little or no money to reinvest in the business.

Eventually, quality would suffer and we’d go out of business.

Bad for us, but bad for the customer as well, who now needs to find another provider and move their inventory at a significant cost and disruption.

(Did we mention, bad for us?)

That’s why the right response to the warehouse pricing question is to discuss ways to change how the product is stored or handled in order to be more efficient.

It’s here that understanding the details of warehouse pricing really helps. The more you know about how rates are determined, the more ability you have to adapt how your product is ordered, stored and shipped in order to reduce these costs.

To help with this challenge, Weber has developed a Guide to Commercial Warehouse Pricing.  Download the Guide.

commerical warehouse pricing guide

Topics: Third Party Logistics, Warehouse Rates, Warehouse operations

Written by Weber Logistics

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