Assess port and airport proximity, bonded and cold storage availability, ramp and dock capacity, and road connectivity to primary urban centers. Verify carrier integrations (sea lines, air freight, national carriers), scheduled sailings/freight frequency, and local trucking networks to ensure consistent lead times and predictable inbound/outbound flows.

Davao typically offers lower land and labor costs, which can reduce storage and handling charges. Tradeoffs may include fewer same-day inter-island shipping options and less frequent carrier schedules than Metro Manila. Quantify end-to-end transit times, freight premiums, and inventory carrying costs to determine total landed cost and service impact.

Prioritize a modern WMS with API inventory visibility, real-time order routing, multi-channel order orchestration, and clear SLA reporting. Value-added services to confirm: pick-and-pack accuracy, kitting, returns processing, temperature-controlled handling (if needed), and ability to scale picking labor during seasonality.

Conduct onsite audits covering receiving flows, racking density, security, IT integrations, and temperature control. Review KPIs (OTIF, pick accuracy, dock-to-stock times), request reference client performance, validate insurance and customs/bonded credentials, and model total cost under realistic SKU velocity scenarios before finalizing terms.