Prioritize transit time to core customer zones, carrier density and frequency, warehouse slotting and storage density, and available value-added services (kitting, returns, temperature control). Also evaluate scalability, IT integration (WMS/API), and measurable KPIs such as order accuracy, dock-to-door lead time, and cost-per-order.

Closer proximity reduces linehaul miles and fuel-related costs, improves pickup/drop windows for carriers, and lowers variability in transit times. It enables more predictable LTL consolidation and faster replenishment for retail and direct-to-consumer channels, which reduces safety stock and inventory carrying costs.

Verify the 3PL's WMS functionality, real-time scanning and traceability, SKU-level inventory accuracy, and API connectivity for order routing. Confirm capabilities for returns processing, kitting, multi-temperature handling, and scalable labor models to support peak season volume without sacrificing service levels.

Negotiate clear unit-cost structures (storage, picks, packaging, inbound handling), SLAs for order accuracy and on-time shipments, volume-tier discounts, and minimum term flexibility. Include KPI-based reporting, chargeback thresholds for performance lapses, and periodic review clauses to realign pricing with volume and service changes.