Prioritize carrier access, transit times to your customer base, facility capabilities (automation, temperature control), SLA performance metrics, and charge structures for storage, handling and returns. Consider scalability, tech integrations (WMS/APIs), and contingency plans for peak seasons.

Closer proximity reduces drayage and intermodal handling, shortens lead times, and lowers safety stock requirements. Savings come from lower inbound transport costs, reduced inventory holding, and faster replenishment cycles—beneficial for high-SKU or time-sensitive assortments.

Key capabilities include multi-channel order routing, real-time inventory visibility, batch picking and zone optimization, returns processing, and integration with marketplaces and ERP systems. Strong reporting and configurable SLAs enable performance-driven scaling.

Negotiate transparent rate sheets for storage, pick-pack, and inbound handling; volume or term discounts; clear definitions of chargeable events; short notice scaling clauses; and termination or migration support. Request baseline KPIs with financial remedies for missed SLAs.