Prioritize measurable operational criteria: SLA and order-to-ship times, inbound dock capacity, inventory accuracy rates (cycle count/OOS metrics), IT and API integration for visibility, and flexibility for seasonal scaling. Also evaluate value-added services (kitting, returns) and carrier network density to meet your delivery windows.

Location impacts transit and cost through proximity to major highways, ports, and parcel hubs. Facilities closer to motorway links reduce regional haul time and fuel costs; proximity to parcel sorting centers lowers last-mile lead times and exceptions. Consider distribution radius to your top ZIPs and carrier drop-off routes.

Require real-time WMS with API support, EDI or direct carrier integrations, batch and single-order picking options, returns processing workflows, and reporting dashboards for KPI tracking. Assess physical infrastructure: racking types, temperature control, dock depth, and staging lanes for peak throughput.

Compare total landed cost models: 3PL variable fees (storage, pick-pack, inbound/outbound handling) versus fixed costs of owned real estate, labor, and capital expenditures. Factor in time-to-market, scalability, and risk (peak season flexibility, equipment uptime). A TCO model and sensitivity analysis by volume scenarios will clarify the better option.