What Multi-Channel Sellers need to know about fulfillment fees


“Multi-channel fulfillment company helps you grow your business by giving you access to its various operational fleets and shipment options for multi-sourced orders like offline, telephonic, online or any other sales channel” As a multi-channel seller you must be aware of certain things like the price involved in shipping of various sizes and weights. The fulfilment company with charge you a fixed price for each of these dimensions and the shipping location along with the quantity of shipment. This is what we called it as a multi-channel fulfilment fees.

An MCF helps in scaling your business and thus enabling you to deliver faster to your customers. Products that are returned by customers gets back to the warehouse or in other words it gets stored in the inventory. Shipping can be of two types, standard and priority shipping or fast shipping. The fulfilment company has the complete right to decide on the order fulfilment fees for each of the order that is shipped. Most of often, as the orders are received in bulk, the shipping fee is also calculated by grouping in orders of similar quantity and size.

All the MCF partners will have their detailed guide on the fulfilment fees and charges. A typical fulfilment guide will have the size and quantity wise shipping fees for both standard shipping and priority shipping. The split of the sizes will be small oversize, medium oversize, large oversize and special oversize. These are the tiers of size. You must be able to identify the tiers in which your products will fit into. If you are owning a business which sells only one products at two or three different sizes, then it will be easy for you to calculate the fulfilment fees otherwise you would be badly in need of a fulfilment calculator.

For any standard product that weighs 1lb or less and even for some special oversized products use the unit weight conversion as much as possible. We are telling you this because, the standard for tier calculation will be given in unit measurement and hence it will be easy for you to convert the sizes and calculate the fees. The dimensional weight is equal to the unit volume (length x width x height) divided by 139. And finally, the shipping weight is calculated for each unit. This comprises of the packaging weight and the unit weight. All weights are rounded-off to the nearest pound. Once the shipping weight is calculated, the fulfilment fees is arrived.

For larger products, dimensional weight is used rather than unit weight.

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