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The 2023 Warehousing and Fulfillment Costs & Pricing Survey gathers data from over 600 warehouses each year, with 62 targeted questions on costs, pricing, and performance metrics. Our data shows where costs are rising, whether you’re a 3PL provider, a retailer using fulfillment services, or a company managing your own warehousing. This information helps you understand market shifts with most participants from the US (86%) and a smaller portion from Canada (14%), reflecting insights from both markets.
All Survey Findings from 2017-2024:
Warehousing Services Costs, Pricing, Rates and Fees
For our survey, we’ve segmented questions and answers into four categories:
| Performance Trends Questions | 2023 | 2022 | Analysis |
|---|---|---|---|
| What percentage of warehouses measure their performance? | 89% | 73.44% | Significant increase in reported warehouses measuring performance |
| What is the average number of orders per year overall? | 931,000 orders per year | N/A | N/A - (Started question in 2023) |
| What is the average order-picking accuracy? | 99.19% | 99.36% | Minor decrease in reported order-picking accuracy |
| What is the average inventory shrinkage? | 1.38% | 1.37% | Reported inventory shrinkage has remained consistent |
| What is the average number of picks per hour per staff member? | 71.42 picks per hour | N/A | N/A - (Started question in 2023) |
| What percentage of customers do warehouses retain annually? | 91.72% | 94.54% | Slight decline in reported retention rates |
| Agreement Term Questions | 2023 | 2022 | Analysis |
|---|---|---|---|
| Do you increase your pricing on a regular basis? | 72% of providers regularly increase prices | 80% of warehouses increase pricing on a regular basis | Reported decrease in warehouses increasing pricing |
| If you increase your pricing, what percentage do you use for the increase and how frequently do you increase pricing? | 4.54% average price increase annually, 23% of providers raise prices biennially | 3.9% average price increase annually, 37.1% of providers raise prices biennially | Reported increase in average price increase, and a reported decrease in providers who raise prices biennially |
| What percentage of warehouses pay for shipping, picking, and inventory errors? | 89% | N/A | N/A - (Started question in 2023) |
| What percentage of warehouses have a monthly minimum requirement? | 48% | 50% | Slight decrease in reported monthly minimums |
| Minimum monthly spend requirement | $195 | $740.79 | Significant decrease in reported monthly spend |
| What percentage of warehouses offer discounted pick and pack rates? | 65% | 64.29% | Subtle increase in reported warehouses offering discounted pick and pack rates |
| What terms do you offer with your agreements (month-to-month, annually, multi-year, no term, etc.)? | 50% offer month-to-month, 61% offer annual, 26% offer multi-year, 16% offer no-term | 56% offer month-to-month, 43.9% offer annual, 26% offer multi-year, 34.85% offer no-term | Reported increase in warehouses offering month-to-month, annual and multi-year |
| What percentage of companies offer discounted storage rates? | 47% | 38.71% | Significant increase in reported companies offering discounted storage rates |
| For warehouses with multiple locations, what percentage charged the same rates? | 58% charge the same rates | 60% charge the same rates | Reported consistent pricing across locations year over year |
| What percentage of companies include carton fees in their pick-and-pack charges? | 29% | 30% | Reported companies charging fees has remained consistent year over year |
| What percentage of warehouses allow customers to use their freight rates? | 83% allow customers to use their own rates | 90.63% allow customers to use their own rates | Notable reduction in reported companies allowing customers to use their own rates |
| Do you have Commercial Plus pricing with USPS? | 65% | 68% | Small reduction in reported companies using Commercial Plus pricing |
| Customer Cost Questions | 2023 | 2022 | Analysis |
|---|---|---|---|
| What types of storage fees do warehouses charge? | $18.30 per pallet, $0.55 per cubic foot, $1.15 per square foot, $3.20 per bin | $16.21 per pallet, $0.50 per cubic foot, $0.91 per square foot, $3.18 per bin | Reported increases across all major categories |
| Do you charge long-term storage fees, and if so, how much do you charge? | 58% of companies charged, surcharge averaged 50% | N/A | N/A - (Started question in 2023) |
| What percentage of companies charge an account management fee, and what is the average fee? | 28%, $261.80 monthly fee | 51%, $198.93 monthly fee | Significant decrease in reported companies charging account management fees, but an increase for those that do |
| What percentage of warehouses charge setup fees, and what is the average setup fee? | 56%, $377 setup fee on average | 51%, $368 setup fee on average | Notable increases in reported companies charging setup fees |
| What is the average integration fee to connect with a shopping cart? | $231 per integration | $274 per integration | Notable decrease in reported integration cost |
| What is the average cost of receiving? | $2.50 per SKU, $8.69 per pallet, $38.92 per hour, $398.75 per container, $3.00 per carton | $2.50 per SKU, $7.37 per pallet, $39.53 per hour, $396.88 per container, $2.46 per carton | Reported consistency in average receiving fees |
| What is the average B2C pick and pack price for a one-item order? | $2.97 | $3.13 | Slight decrease in reported B2C pick and pack pricing |
| What is the average B2B pick and pack price for a one-item order? | $4.31 | $4.33 | Very slight decrease in reported B2B pick and pack pricing |
| What are the average call center fees? | $1.28 per minute | $1.43 per minute | Notable decrease in reported call center fees |
| What is the average kitting fee? | $39 per hour | $39.60 per hour | Reported consistency in average kitting fees |
| What is the average cost for inserts added to orders? | $0.18 per insert | $0.23 | Notable decrease for reported insert fees |
| How do you charge for shipping? | 65% cost-plus, 35% offer discounts off published rates | 63.49% cost-plus, 19.7% offer discounts off published rates | Significant increase in reported warehouses providing discounted rates |
| What shipping discounts do warehouses offer for Ground, Express, International, and LTL services? | Ground: 15.58%, Express: 19.23%, International: 22.46%, LTL: 22.46% | Ground: 21.82%, Express: 26.4%, International: 24.71%, LTL: 57.30% | Ground, Express, International and LTL have all seen reported decreases |
| What percentage of respondents charge returns fees, and what is the average price? | 88%, $3.60 per return | 89%, $3.62 per return | Consistency across reported return fees |
| How much do you charge for Amazon FBA orders and subscription box orders? | $0.58 per label, $1.00-$2.50 per order | $0.56 per label, $1.50-$3.00 per order | Notable decrease in reported fees per order for subscription box orders |
| Ownership Cost Questions | 2023 | 2022 | Analysis |
|---|---|---|---|
| What is the yearly cost per square foot of warehouse space? | $8.22 | $7.96 | Reported cost per square foot have increased marginally year over year |
| What is the hourly rate of warehouse staff? | $15.78 | $14.97 | Reported hourly wages have increased slightly year over year |
| What is the annual pay for warehouse management staff? | $55,057 | $52,897 | Reported management salaries have increased slightly year over year |
| What percentage of total revenues is represented by occupancy costs? | 24.90% | 25.22% | Minor reduction in reported occupancy cost |
| What percentage of total revenues is represented by labor costs? | 31.70% | 33.09% | Minor reduction in reported labor costs |
| What is the average corporate profit percentage? | 10.49% | 10.58% | Reported corporate profit margins have remained consistent year over year |
Our network includes carefully vetted companies, from smaller niche providers to larger, full-service logistics providers. What sets us apart is our commitment to objectivity. We don’t accept payments to feature companies in our network. Every recommendation is based solely on performance, capability, and alignment with your criteria. We screen providers, considering their technology, accuracy, shipping rates, and customer service, so you don’t have to.
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