Fulfilment Costs and Prices Explained
Fulfilment costs can be confusing. If you’re looking into the costs associated with outsourcing fulfilment and you’ve been left scratching your head, you’re definitely not alone.
The problem is, different fulfilment companies calculate costs in completely contrasting ways. That makes it tricky for businesses to compare options, and even harder to calculate costs per unit sold. The end result is a business that struggles to decide which fulfilment supplier offers the best value for money, and which option best suits their evolving requirements.
We’re here to change that. Talk to our team and we’ll be able to take you through the mystery that is fulfilment costs and let you know exactly how our prices are calculated. We’ll help you save money, skip the queues and make the most of your time, all by simply outsourcing fulfilment. Have a chat with our fulfilment experts and your cost confusion will soon be a thing of the past.
If you’d like to find out a little more about what exactly you get for these fulfilment costs and how the prices are calculated, read on. Today, we’re going to delve a little deeper and let you know what costs are involved in outsourcing these time-consuming, energy-zapping tasks. If you’re sitting comfortably, we’ll begin…
What is a fulfilment fee?
A fulfilment fee is the price you pay for a third-party fulfilment company to manage your orders for you; firstly retrieving your products from you and then getting them into the hands of your customers. The fees charged by fulfilment companies range according to each businesses’ requirements and tend to cover tasks such as collection, packaging and delivery. Some fulfilment companies might also charge additional fees for storage space in warehouses, and for managing customer returns.
Tell me about the different types of fulfilment costs
Most commonly, fulfilment costs are variable. By that, we mean that costs are calculated according to the services you use. With Weengs, for example, you’ll pay as you send, so your business won’t risk paying a hefty monthly fulfilment charge if you don’t send as many parcels that month. This pay as you go cost covers the whole fulfilment process and includes collection, packing materials, professional packing, insurance up to £200 and reduced shipping rates (that means you get access to half-price shipping every time you send a parcel with us!)
Some fulfilment companies charge what’s known as fixed fulfilment costs. These monthly costs remain the same and give businesses full access to the same range of fulfilment services, as well as software and support. Whilst this might be a good option for companies that tend to have very similar delivery requirements each month, the vast majority of businesses will find that pay as you go options are more cost effective, and better reflect the changing needs of their company.
How to calculate order fulfilment costs
If you know how heavy your parcel is, how much the contents are worth, what size it is and how far it needs to travel, you can easily calculate the approximate price of fulfilment. Most fulfilment companies offer an online fulfilment calculator, where you’ll be able to input the details of your parcel and get an instant price.
Using an online fulfilment calculator is a quick and easy way of getting an estimated cost of outsourcing fulfilment. However, many businesses will offer reduced rates if you choose to ship larger volumes of parcels with them, so many sure you contact your chosen fulfilment company to get a detailed breakdown of costs if you’re looking for fulfilment on a larger scale.
If you want to keep things really simple, you can get a fulfilment quote within seconds, right here with Weengs. We can even give you a call to talk things through if you’re still unsure about how our fulfilment costs are calculated. We’re here to help.
How much does fulfilment cost?
Not entirely sure about your requirements yet? That’s ok! You can still get a good idea of the different costs involved in order fulfilment before you begin. Fulfilment options for small, light parcels are incredibly affordable, that’s why fulfilment has fast become the best friend of many a small business.
Did you know, for example, that you can outsource fulfilment for small letters (up to 100g) for less than £1? And the price of fulfilment for standard-sized parcels isn’t earth-shattering, either! In fact, small parcels can be sent to your customers, on your behalf, for under £6.
If you’re surprised by these prices, it might be time to start thinking seriously about how outsourcing fulfilment could enhance your business! Of course, prices will rise for larger, heavier parcels, or deliveries that need to be sent overseas, however, fulfilment companies are still able to offer very affordable fees, as a result of the economies of scale they are able to achieve.
If you still need a little clarity on the exact amount fulfilment companies will actually charge you, why not grab that phone and give the Weengs team a call? Fulfilment is what we do, so we’ll be more than happy to talk you through what our fulfilment costs are, and how they’re calculated. Fulfilment can seem like a confusing beast at first, but with one of our experts on hand to help, you’ll soon know all there is to know about outsourcing fulfilment.
Get in touch with our team today and we’ll give you a quick, easy to understand overview of fulfilment costs and provide you with a detailed estimate of what it would cost your business to outsource fulfilment. Once you see what we can do, you’ll wonder why you ever bothered juggling fulfilment in-house. Let us take the hard work off your hands, and you’ll be free to concentrate on those all-important business matters. Or just put your feet up, if you like!