Prioritize these criteria: location relative to key lanes and customers, available warehouse footprint (racking and temperature control), WMS/TMS integration, SLA performance metrics (pick accuracy, lead time), and carrier connectivity for reliable outbound shipping. Also evaluate scalability and value-added services such as kitting and returns management.

Transportation access directly impacts both cost and speed: closer proximity to primary trucking corridors reduces road miles and variable transport spend, while a wider carrier pool increases bidding power and service frequency. Assess carrier density, cross-dock options, and typical transit times to target ZIPs when modeling landed cost and delivery windows.

Essential capabilities include a robust WMS with real-time inventory visibility, EDI/API integrations to your storefronts and ERP, barcode or RFID accuracy controls, configurable pick-and-pack workflows, and reporting on KPIs like order cycle time and inventory turns. These reduce errors and support rapid scaling.

Evaluate fixed vs. variable pricing (storage tiers, labor rates by activity), inbound receiving policies, minimums and long-term rebate structures, dimensional pricing for parcels, and any accessorial fees. Negotiate service-level thresholds tied to penalties or credits and confirm carrier-negotiated rates or passthrough arrangements to control end-to-end cost.