How to Choose and Use Chilled Storage Services

Start with your product needs

Before evaluating providers, list exactly what you store: product types, ideal temperature ranges (e.g., 2–4°C for certain dairy and pharma items), humidity preferences, shelf life, batch/lot traceability needs, and any regulatory requirements. Also estimate typical volumes, seasonal peaks, and order profiles (palletized bulk, retail cases, or direct-to-consumer picks).

Key selection criteria

Use these categories when comparing chilled storage vendors:

• Temperature capability and stability: Can the facility maintain your specific temperature band? Ask for historical temperature logs and how they handle excursions.
• Monitoring and alarm systems: Look for continuous monitoring with cloud-based alerts, documented calibration schedules, and redundancy (backup power and refrigeration).
• Compliance and certifications: Request HACCP, Good Distribution Practice (GDP) for pharmaceuticals, local food safety approvals, and recent audit reports.
• Inventory management: A modern Warehouse Management System (WMS) that supports lot tracking, FIFO/FEFO rotation, expiry date management, and integration with your ERP or order platform is critical.
• Handling capabilities and equipment: Confirm cold-rated forklifts, fast-access doors, air curtains, and insulated staging areas to keep temperature changes minimal during handling.
• Location and transportation links: Proximity to production, distribution hubs, and major transport routes reduces transit times and costs—important for perishable goods.
• Value-added services: Pick-and-pack, repackaging, kitting, cross-docking, quality inspections at receipt, and last-mile refrigerated packing.
• Pricing model and transparency: Understand fees for storage (per pallet or per cubic meter), handling (inbound/outbound), picking, labeling, long-term storage surcharges, and utilities. Ask for typical monthly invoice examples.
• Insurance and liability: Verify insurance coverage for temperature-related losses and liability limits. Clarify responsibilities during transport and storage.

Questions to ask providers

When you talk to a chilled storage provider, ask:

1. What are the standard temperature zones and their tolerances?
2. How do you monitor temperature and humidity? Can we access live logs?
3. What are your SOPs for inventory rotation and recall handling?
4. How are goods protected during loading/unloading to prevent temperature shocks?
5. What are your disaster recovery plans (power outages, refrigeration failure)?
6. Can you handle peak volumes, and how do you price seasonal surges?
7. Do you offer integrated transportation or preferred carriers for refrigerated freight?

Onboarding checklist

Once you select a provider, plan a structured onboarding:

• Confirm contract terms, pricing, and KPIs.
• Share product specs (temperature/humidity, packaging, labelling, shelf life) and provide samples if possible.
• Integrate systems: connect your ERP/order management to the provider’s WMS for electronic orders, ASN (advance ship notices), and inventory visibility.
• Agree SOPs for receiving, quality checks, FIFO/FEFO rules, returns, and recalls.
• Schedule training sessions for your and the provider’s staff on product handling and documentation.
• Run a pilot: send a limited batch to validate temperature control, picking accuracy, and reporting before full migration.

Packing and transport considerations

Even the best chilled warehouse can’t protect poor packaging. For last-mile shipments, use insulated boxes, gel packs or refrigerated vehicles as appropriate. Coordinate with the chilled storage provider on pallet build patterns, strapped loads, and how to stage outbound orders to minimize door-open times and temperature drift.

Operational metrics to monitor

Establish KPIs to track performance and hold the provider accountable. Common KPIs include:

• Temperature excursion incidents and response time
• Order accuracy and on-time dispatch
• Inventory shrinkage and spoilage rates
• Average dwell time and storage utilization
• Audit and compliance findings

Cost management tips

Chilled storage is energy-intensive. Ways to control costs include consolidating shipments, optimizing pallet utilization to reduce wasted space, negotiating fixed-rate windows for predictable volumes, and exploring off-peak receiving or dispatching. Some providers offer shared-cost programs for energy efficiency improvements or long-term contracts with locked rates.

Scaling and flexibility

If your volumes fluctuate seasonally, public chilled warehouses provide flexibility without capital investment. For rapid growth, review expansion clauses and contingency capacity in your contract. If you need tight control over quality and brand experience, a dedicated facility or private contract may be preferred despite higher fixed costs.

Common scenarios and examples

Example 1: A meal-kit company integrates its e-commerce platform with a chilled fulfillment center’s WMS for real-time inventory, allowing same-day cutoffs and accurate FEFO picking, reducing waste and improving freshness.

Example 2: A pharmaceutical manufacturer uses a bonded chilled facility near the port to hold imported biologics while customs clearance completes, ensuring product integrity and traceability.

Final tips for beginners



Start by defining temperature and traceability needs clearly, ask for data (temperature logs, audit reports), run a pilot, and build transparent SLAs and KPIs into contracts. Good chilled storage partners combine technical capability with operational discipline to protect your product and reputation.