Key criteria: proximity to primary transport corridors, warehouse layout and throughput capacity, technology (WMS/OMS integration), SLA and accuracy metrics, inbound/outbound handling costs, labor availability, value‑added services (kitting, returns), and contingency for peak season scalability.

Compare landed cost per order including transport, handling, safety stock, and service penalties. Model scenarios for demand density, average order size, and carrier rates; include inventory carrying costs and estimate lead times to measure service level impacts on revenue and returns.

Prioritize real‑time WMS/OMS integration, inventory visibility across channels, distributed order management, accurate pick‑pack processes, reverse logistics handling, and SLA reporting. These reduce stockouts, speed same‑day/next‑day options, and control return costs.

Effective strategies: establish multi‑carrier contracts with local and regional couriers, use zone‑based inventory placement to position stock near demand clusters, employ cross‑docking to minimize dwell time, and negotiate integrated pickup schedules to reduce handoff delays.