FULFILLMENT GUIDE · CANADIAN ECOMMERCE
Fulfillment Costs Every Ecommerce Brand Should Know
A fulfillment quote can include more than picking and packing: receiving, storage, extra items, packaging, postage, returns, minimum charges and setup or exit fees. Compare the billing units and triggers behind each fee. Ask for a sample invoice using your own products, order mix and shipping destinations.
Read the conditions behind the rate
This guide focuses on charges and billing rules that are easy to overlook when comparing quotes. It is not another average-cost guide. A fee can be clearly disclosed and still surprise you if you forecast using the wrong unit or assume it is included.
Start by requesting an example invoice based on your products and order mix. Ask for inclusions, exclusions, billing units and circumstances that trigger additional work. A low pick-and-pack number is not enough to predict the full bill.
Minimums: a spending floor or a separate charge?
A monthly minimum might mean eligible activity is billed up to a minimum amount, or it might be described differently in the proposal. Ask which charges count toward it and whether the minimum is added on top of activity. Do not infer the formula from the label alone.
For illustration, a $200 floor against $140 of eligible activity would create a $60 difference. A separate $200 account fee on top of $140 would produce $340. These are hypothetical billing structures, not AURA rates. Clarifying the wording changes the forecast.
Extra picks and the definition of an item
Ask whether the base fee includes the first item, a quantity of units or another arrangement. Two units of the same SKU and two different products may be treated differently. Bundles can also be supplied preassembled or built during fulfillment.
Give the provider sample orders and ask it to calculate each one. Check whether insert cards, gift notes, component assembly or promotional items count as extra handling. Do not use a single-item rate for a store that routinely ships several items.
Packaging: materials, labour and replenishment
Confirm what standard materials are included and what is purchased separately. Branded cartons or inserts can require storage, replenishment and extra preparation as well as the cost of the material itself. Ask what happens if your approved supply runs out.
Packaging can also alter the carrier charge. Canada Post compares physical and volumetric weight when pricing parcels. A material saving that produces an oversized box can change the delivery cost, so compare the packed shipment.
Shipping markups, surcharges and adjustments
Ask whether the provider passes through a carrier charge, applies a markup or uses another quoted structure. Confirm whether estimates include applicable surcharges and what happens when measured parcel dimensions differ from the original label details.
Request a few examples using your package and destinations. Check which service is assumed and whether optional coverage or other services are included. The point is not that every provider has the same extra fees; it is that your estimate needs the actual billing rules.
Receiving work beyond the assumed shipment
A receiving price may assume labelled, organized inventory. Mixed cartons, missing information, detailed counts, relabelling, inspections or unusual unloading can require additional work. Ask what the standard receiving unit covers and what falls outside it.
Explain how your stock actually arrives, rather than describing an ideal delivery. Confirm appointment requirements, unexpected arrivals and the approval process for work that was not scoped. Request notice before extra work is undertaken where that is part of your agreed arrangement.
Storage rules that change a quiet-month bill
Ask how storage is measured, when the charge is assessed and how partial periods or overflow are treated. Find out whether long-held stock or returned goods awaiting a decision are priced differently. Avoid assuming storage falls in proportion to order volume.
Slow sales can leave the same stock in place for longer. Build a quiet-month scenario with realistic stock levels and check how minimums interact with storage. The forecast should describe inventory held, not only units shipped.
Setup, software and change requests
Confirm onboarding, store setup, integrations, account support and reporting charges. Ask which are one-time, recurring or triggered by a change. Adding a sales channel or a new bundle may require work outside the initial setup.
Make sure you know what is automatic and what your team must do manually. Paying for a connection does not by itself establish how errors are monitored or how much support is included.
Returns, projects and exit costs
Inspection, photos, repacking, relabelling, disposal and other returns work may have their own charges. Kitting or special projects can also use different billing units. Ask how the provider requests approval and records work performed.
Before signing, ask about notice, inventory removal, stock counts, preparation for collection and any agreed account-closing costs. Understanding an exit does not mean you plan to leave; it means you can compare the complete commitment.
A quote-review checklist that catches misunderstandings
For each charge, record the trigger, unit, rate, included work and approval rule. Request normal, busy and quiet-month examples using the same inputs. Keep inbound freight, taxes and work outside the scope visible as exclusions rather than silently assuming zero.
If two quotes differ, ask each provider to calculate the same sample orders and inventory profile. Choose based on the full service and bill you understand. For the main cost categories and a worked monthly budget, use the linked Canadian cost guide rather than treating this checklist as a rate benchmark.
Frequently asked questions
Are all extra fulfillment charges hidden fees?
No. Extra work can be priced transparently and be appropriate. A surprise often comes from unclear assumptions, billing units or inclusions. Ask what triggers each charge and how it is approved.
How do I compare two different rate cards?
Give both providers identical stock and order profiles and request sample monthly invoices. Compare inclusions, billing units, minimums and exclusions, not only the lowest listed rate.
Should I ask about leaving before I sign?
Yes. Clarify notice requirements and any agreed stock removal, counting, preparation or account-closing charges so you understand the full arrangement.
Related services and guides
Discuss your requirements with AURA Fulfillment
AURA Fulfillment is a Vancouver-based business working with ecommerce brands of every size. Review our services and pricing approach, then contact AURA Fulfillment with your products and the work you want help with. Product suitability, the proposed workflow and terms are confirmed for your individual requirements.