eCommerce Fulfillment Calculator: Free Excel template download
A simple tool for eCommerce brands to calculate their monthly bill based on their 3PL contracts
How to Use the eCommerce Fulfillment Calculator
The eCommerce Fulfillment Calculator is designed to help brands accurately estimate their fulfillment costs based on their 3PL contracts. This Excel-based calculator simplifies the process, allowing you to input contract details and get a clear understanding of monthly billing. Here’s how to use it:
- Input 3PL Contract Details: Begin by entering your 3PL billing details into the provided fields. You can specify if you’re billed per pallet, per unit per day, or any other arrangement based on your contract.
- Calculate SKU-Specific Costs: The calculator allows you to break down costs by SKU size, ensuring that you can factor in the unique storage and handling costs for each product category.
- Factor in Return Rates: If you deal with product returns, you can input your average return rate, and the calculator will adjust your cost estimates accordingly.
- Monthly Outbound Volume: Enter your expected monthly outbound volume to see how it affects your fulfillment costs. The calculator helps you plan for fluctuations in order volumes throughout the year.
- Review and Adjust: Once you’ve input all the necessary details, the calculator provides an estimate of your total monthly fulfillment costs. You can easily adjust any variables to see how changes in SKU size, return rates, or monthly volume impact your overall expenses.
Why Use WareIQ’s eCommerce Fulfillment Calculator?
Fulfillment costs can vary significantly depending on your contract terms and how efficiently your logistics are managed. By using this calculator, you can:
- Gain Full Transparency: Understand exactly how your fulfillment costs are calculated, so there are no surprises when you receive your 3PL invoices.
- Plan Ahead: Accurately forecast your fulfillment expenses by factoring in your inventory cover, SKU sizes, and return rates.
- Save Time: Instead of manually calculating your costs, this tool provides a quick and accurate estimate, allowing you to focus on scaling your business.
Key Factors Considered by the Calculator
Monthly Outbound Volume: The number of orders you fulfill each month plays a big role in determining your overall fulfillment costs. The calculator helps you see how variations in outbound volume affect your budget.
SKU Size: Different product sizes incur different costs in fulfillment centers. Larger items may require more storage space or special handling, which increases overall costs.
Return Rates: High return rates can significantly impact your total costs. The calculator allows you to input expected return percentages, ensuring your cost estimates are accurate.
Inventory Cover: WareIQ’s calculator considers inventory cover, which affects how long products sit in storage. Longer storage times can drive up costs, so it’s crucial to account
How to Use the eCommerce Fulfillment Calculator in Google Sheets
Save and Reuse: You can save the Google Sheet for ongoing use. Whenever your fulfillment details change, simply update the relevant fields to get updated cost estimates.
Download and Open: After downloading the calculator, open it in Google Sheets. Simply upload the Excel file to your Google Drive and select “Open with Google Sheets” to get started.
Input Your Data: Start by entering your fulfillment details, such as the number of SKUs, average return rate, and monthly order volume
Adjust for Your Business: Customize the input fields to match your specific needs. For instance, if you’re billed per pallet, you can input pallet costs, or if you’re billed per unit, enter those numbers instead
Analyze Your Results: Once your data is entered, the calculator will automatically generate your estimated monthly fulfillment costs
