No matter how you look at the supply chain, it costs your business money to make money. So, it’s important that you’re always analyzing where your money is going and how much each dollar maximizes your storage, packing, and shipping efforts.
One of the biggest expenses that many brands don’t realize the complexity of is bin pricing for long-term and short-term storage.
At GFS Logistics, we always aim for transparency and are here to clear out the fog on this topic and help you best determine your potential costs for storing your brand’s goods at a warehouse throughout the year.
Not All Fees and Bins Are Created Equal
While some storage facilities offer an average order fulfillment fee that sets a limit on the price of storage, regardless of size, other pick and pack fees are charged by the order and item size.
Prices for individual bins can even range from $1 a month in some cases to $24 a month for larger items that take up whole pallets.
Although we will give you valuable insight into how you can plan out bin pricing for your supply chain, the bottom line is that you should always look into a warehouse’s storage and bin rates before signing on the dotted line.
How Can You Estimate Your Bin Costs?
Once you’ve narrowed down your potential storage partners based on price and their initial storage capacity, here are three steps you should always take toward estimating your total bin costs per warehouse capabilities.
Analyze What You’re Storing
Every brand has its specialty and some require longer storage times than others. Whether you’re fulfilling subscription boxes, have steady e-commerce sales, or know that you have a heavy season every year, knowing what you’re storing can help you start the research process regarding monthly and annual bin-pricing information.
Review Your Monthly Storage Needs
So you now have an idea of what storing the type of storage you have will cost. Next, you’ll have to determine just how much inventory you’ll actually receive and move throughout every month.
Most storage centers charge by the bin and your monthly storage needs. So, work with your team to determine the average orders you process each month. Present these numbers to a potential storage center and ask them their monthly bin options and fees for the number and type of units you’ll store each month.
Compare Bins for Pick and Pack Fees
Finally, ask storage centers about their bins, storage options, and how their rates will apply to your brand’s storage needs.
Most warehouses will already have a set bin standard for the units you’ll need to be stored. Remember that the larger your storage needs, the higher your pick and pack fees will be each month.
How Can GFS Logistics Help You Make the Most of Your Storage Rates?
At GFS Logistics, we pack every item in our warehouse based on size to maximize warehouse space, reduce pick and pack fees, and streamline the overall picking process during fulfillment.
Storage should be one of the most simplified aspects of your fulfillment process, and are determined to give each customer a storage experience that saves their bottom line and reduces fulfillment risk.
Our storage fees ensure order inventory management, local and international item processing, multiple shipping options, the latest WMS, and dedicated customer service.
Questions About Bin Pricing in Dallas?
If you want to work with a logistics company that supports fair and balanced bin-level pricing, GFS Logistics is ready to lend our helping hands. Whether you’re storing seasonal products or want to use our warehouse for storing and shipment of year-round items, our 1.6 million square foot warehouse has room for your brand.
We’re ready to show you the benefits of working with a supply chain partner that puts your needs first. Contact us today to learn more about our services.