If you’re running or scaling an eCommerce business in 2025, chances are you’re already balancing multiple sales channels, customer expectations, and the challenge of getting orders out the door on time. But one of the biggest decisions that will impact your bottom line and your brand reputation is how you handle eCommerce fulfilment.

Getting fulfilment right can seriously affect your profit margins, especially as you grow. There’s no perfect formula that suits everyone, but knowing all the costs involved helps you find the right approach for your business.

What are eCommerce fulfilment costs made up of?

eCommerce fulfilment costs are the ongoing expenses involved in getting your products to customers, and they directly affect your profit margins, pricing, and delivery performance. These costs depend on the fulfilment model you choose, the types of products you sell, and the delivery speed (i.e. express, overnight, etc).

Inventory Cost

While technically not a fulfilment fee, your inventory costs directly impact your fulfilment overheads. If your stock is slow-moving, it takes up paid storage space, but if you underbuy, you risk missing out on sales and paying a premium for last-minute restocks.

Warehousing & Storage Fees

Once inventory is in the system, it has to be stored safely and efficiently somewhere.

Warehousing costs are usually based on volume (e.g. per cubic foot) and vary depending on the type of product, duration of storage, and seasonality. If you’re scaling, look for options that can flex with your growth without locking you into rigid minimum volumes.

Storage costs tend to rise during busy periods. For example, providers increase rates between October and December due to holiday demand.

Fulfilment services may also introduce surcharges like:

Aged Inventory – stock held for extended periods may rack up extra fees (e.g. Amazon charges up to £5.71/ft³ after one year)
High Storage Utilisation – If you hold more stock than you’re shipping, expect additional charges to encourage efficient turnover.

Pick & Pack Fees

Pick and pack is the process of finding an item within a warehouse, packaging it, and preparing it for dispatch. This takes time and has a labour cost, whether you do it yourself or through a fulfilment partner.

Fee structures vary, but here’s a general idea of what to expect:

3PL Charges: Most third-party fulfilment providers charge either per order or per item, depending on how involved the packing is and how many products are in each order.
Integrated Models: Some platforms build picking and packing into their overall fulfilment fees. For example, shipping a standard parcel weighing under 1kg via Amazon FBA costs between £2.94 and £3.07.
DIY Costs: Businesses managing this in-house should factor in wages, packing materials, and the time spent per order, which can fluctuate depending on order volume and process efficiency.

Logistics & Shipping Costs

Shipping is one of the biggest and most changeable parts of your operational costs. What you pay will depend on the size and weight of your parcels, where you’re sending them, and how quickly they need to arrive. You might also see extra charges for fuel, packaging, or international customs, especially if you’re sending overseas.

Courier pricing and service levels can differ a lot. For smaller, less time-sensitive parcels, take a look at DPD vs Royal Mail for the best combination of price and reliability. If you’re shipping internationally, DHL vs DPD is worth a look, especially when fast delivery and smooth customs clearance matter.

If you’re using a fulfilment partner, you’ll benefit from better rates and bulk shipping discounts that aren’t available when booking directly.

Staffing Costs

Staffing is an important part of product fulfilment costs because you need people to physically manage and move stock. This includes receiving deliveries, storing goods, picking and packing orders, and handling returns.

Technology & Admin costs

Smart tools and automations keep modern fulfilment centres running smoothly. From tracking inventory to syncing orders across platforms, the right supply chain technology prevents errors, reduces delays, and improves the overall customer experience.

Most fulfilment setups rely on:

Warehouse management systems (WMS) to monitor stock levels and track movement in real time.
Order syncing tools that connect your eCommerce platforms (like WooCommerce or TikTok Shop) with your fulfilment operation.
Automation for tasks like shipping label generation, order updates, and customer notifications.
Admin support for handling delivery issues, B2B paperwork, and general fulfilment queries.

These systems reduce the chance of human error, speed up dispatch, and keep customers in the loop with accurate tracking and updates. They also make it easier to manage inventory, especially across multiple channels, so you don’t sell what you don’t have or leave stock collecting dust.

Return & Reverse Logistics

Returns are often overlooked, but they still land on your balance sheet. Efficient returns management involves:

Inspecting the incoming item for damage
Repackaging or disposal
Customer communication
Restocking

Some fulfilment services charge a high amount for returns and reverse logistics. For example, Amazon charges a returns processing fee equal to 50% of the fulfilment fee for categories like clothing and shoes.

Fulfilment Services Compared: From DIY to Done-For-You

Your fulfilment strategy will shape your total cost of fulfilment and the time and effort you’ll need to put into operations. There are four main approaches to choose from:

In-House Fulfilment

This is the most hands-on approach. You store your own stock, pack your own orders, and manage every step, from buying packing tape to arranging collections.

Where the costs come in:

Storage space (garage, storage unit, or rented facility)
Packaging materials
Courier fees (often higher without volume discounts)
Time spent picking, packing, labelling, and dealing with missed deliveries

It gives you full control, but it can become time-consuming and expensive as orders increase.

Hybrid Model

In a hybrid setup, you handle some parts of fulfilment yourself, like storing fast-moving products or managing certain channels, while outsourcing others, like international shipping or complex packaging jobs.

A common example is Amazon FBM (Fulfilled by Merchant), where you ship Amazon orders yourself or through a 3PL. This gives you more control over inventory and branding, but you’ll still need to meet Amazon’s delivery and service standards.

Some Amazon FBM sellers use a hybrid strategy where they fulfil the smaller, less frequent orders themselves, and then use Amazon FBM services for their most popular items so they meet Amazon’s seller-fulfilled Prime requirements.

Costs might include:

A mix of in-house expenses and third-party fulfilment fees
Variable courier rates depending on who’s fulfilling each order
Extra software or tools to coordinate orders across platforms like Amazon, Shopify, and WooCommerce

This setup gives you flexibility without fully committing to one fulfilment method. It can work well if you’re testing new markets, dealing with bulky items, or managing a wide product range with different needs.

Fully Outsourced to a 3PL

When you outsource to a third-party logistics provider (3PL), you hand over the entire fulfilment process, including storage, picking, packing, shipping, and returns. You send them your inventory, and they manage the day-to-day logistics, freeing up your internal resources.

Typical cost elements:

Storage fees, often based on volume and duration
Per-unit costs, like pick and pack charges
Postage, typically with access to discounted shipping rates
Returns processing, which may be billed per unit or per event

This setup is ideal for brands looking to scale without building their own warehouse team. It reduces internal overhead and provides consistent service levels across multiple channels.

In-Platform Fulfilment Services

Several marketplaces now offer their own fulfilment services, handling storage, packing, shipping, and even customer service. These options are designed to simplify logistics for sellers while meeting the delivery standards expected by customers on each platform.

The most common services are:

Amazon FBA (Fulfilment by Amazon)
eBay Fulfilment by Orange Connex
TikTok Shop’s Fulfilled by TikTok (FBT)

Each service comes with structured fee models and specific handling requirements.

Costs include:

Storage fees that are charged per cubic foot or item per month, and often increase during peak seasons.
Fulfilment fees are based on the item’s size and weight, with higher rates for bulky or heavy goods.
Returns are often charged per item, with additional fees for categories like clothing.
Incorrect labelling, late shipments, or non-standard packaging often incur a penalty.

These services are convenient and often have platform-specific benefits, like Prime eligibility or Buy Box advantages. However, to avoid additional costs, you need to keep a close eye on your stock turnover and keep your packaging compliant.

How much does order fulfilment cost by channel?

Depending on the retailer you sell through, there are also platform-specific costs to factor in.

Platform	Fulfilment Model	Main Costs	Advantages	Considerations
Amazon FBA	Amazon handles fulfilment	Fulfilment & storage fees, return fees	Prime eligibility, fast delivery, and simplified customer service	Fees can be layered, and there are specific rules to follow for compliance
Amazon FBM	Self-managed or via 3PL	Storage, labour, courier, referral fees	Full control over branding and logistics	Requires more hands-on management and can be more resource-intensive
eBay Global Shipping	The seller ships to the UK hub, and eBay handles international delivery	Domestic postage, international fee	Simplifies cross-border sales and buyer protection	Rigid shipping timelines and packaging requirements
Etsy	Mostly self-managed or 3PL	Courier, packaging, and admin time	Personalised experience, flexibility	High time cost per order
TikTok Shop	Self-managed or Fulfilled by TikTok (FBT)	Courier, commission, rapid fulfilment setup	Can scale quickly, with access to viral sales volume	Fulfilment must react fast to spikes and have tight timelines
WooCommerce	Fully self-managed or 3PL-integrated	Carrier setup, integrations, and return handling	Full control, flexible setup	Requires more setup, tech costs, and manual management
Magento (Adobe Commerce)	Fully self-managed or 3PL-integrated	Warehouse, labour, courier, integrations	Highly customisable, great for complex or high-volume setups	Higher setup costs, requires technical knowledge or developer support
Shopify	Self-managed, 3PL-integrated, or Shopify Fulfilment	Courier, packaging, fulfilment app fees, plugin subscriptions	Easy to use, app integrations, access to courier discounts	Monthly platform fees, app costs, and limited in-platform fulfilment options globally

Amazon FBA & FBM Fees in 2025

Amazon FBA

Amazon’s own fulfilment service is speedy and gives you visibility via Prime. However, Amazon FBA fees can add up quickly, especially for slow-moving or oversized stock.

Fulfilment Fees: Based on product size and weight. A standard parcel of 11.9kg or less might cost £2.94-£5.77 per unit.
Storage Fees: Charged monthly per cubic foot, with higher rates during Q4 (e.g. £0.76 to £1.37/ft³ for standard items).
Packaging Costs: Handled by Amazon, though prep and labelling fees may apply if items don’t meet FBA standards.
Platform / Commission Fees: Referral fees typically range from 8-15%, depending on the product category.
Returns Handling: Some categories (e.g. clothing) charge high return processing fees, which can be up to 50% of the fulfilment fee.
Admin Time: Minimal costs, as Amazon handles most things after you have sent your products to them.

Amazon FBM

Fulfilment by Merchant (FBM) puts you in charge of the logistics, giving you more control over how items are packed and shipped. There’s no one-size-fits-all approach, but getting to grips with the best practices for selling with Amazon FBM can make a real difference, especially when you’re juggling logistics and customer experience.

Typical costs come from:

Fulfilment Fees: You’ll need to cover labour for picking and packing, either in-house or via a 3PL.
Storage Fees: The exact price depends on whether you’re storing products yourself or using a warehouse.
Courier & Shipping Fees: You’ll be covering the delivery costs, so prices will vary depending on which courier and the level of service you use.
Packaging Costs: You’re responsible for packaging materials, including any branded or custom packaging you want to include.
Platform / Commission Fees: Just like FBA, Amazon takes a referral fee, typically between 8-15%, depending on the product category.
Returns Handling: You’ll need a clear plan for managing returns. Without one, you could end up losing time and money on wasted stock, extra admin, and missed resale opportunities.
Admin Time: There’s a bigger time investment with FBM, as you’re handling everything from customer service to shipping and tracking.
Plugin & Integration Costs: If you’re using third-party software to manage orders or connect with couriers, you’ll need to budget for setup or subscription fees.

eBay’s Global Shipping Programme Costs

eBay’s Global Shipping Programme (GSP) makes it easy to sell your products to over 100 international markets, as you don’t have to deal with customs or work out any of the overseas delivery headaches. You handle everything up to eBay’s UK fulfilment centre (storage, picking, packing, and domestic shipping), and they take care of the rest. It’s a straightforward way to sell globally, but there are still a few costs to factor in.

Fulfilment Fees: You’ll cover the usual costs for picking and packing orders before sending them to eBay’s fulfilment centre.
Storage Fees: If you’re holding stock in-house or with a 3PL before dispatch, standard storage fees will apply.
Courier & Shipping Fees: You pay to get the parcel to eBay’s UK hub. The international leg is covered by the buyer, but eBay does take an international fee from your sale.
Packaging Costs: Items need to meet eBay’s packing and labelling requirements, including a unique reference code they provide for each order.
Platform & Commission Fees: Standard eBay selling fees still apply, plus an additional charge for using the GSP.
Admin Time: This is a low overhead, but you’ll still need to manage the initial dispatch and any prep for compliance with eBay’s packaging rules.

Etsy

Most Etsy sellers handle their own fulfilment or partner with a 3PL. Because many items are handmade or personalised, the process can be more involved than with other platforms, but that’s also what makes it appealing to buyers.

Fulfilment Fees: If you’re using a 3PL, you’ll have costs for picking and packing. If you’re fulfilling orders yourself, it’s your time and materials.
Storage Fees: Storage might not be a major factor for handmade sellers, but 3PL users will see typical per-foot charges.
Courier & Shipping Fees: Most UK sellers go with Royal Mail Tracked 24 or 48. You’ll need to choose a service that balances speed and cost.
Packaging Costs: Etsy buyers often expect thoughtful, sustainable fulfilment, which can add to per-order costs.
Platform & Commission Fees: Etsy charges a 6.5% transaction fee, plus listing and payment processing fees.
Returns Handling: You set your own return policy, but managing them can be time-consuming and costly, especially with bespoke products.
Admin Time: With personalised orders and buyer messages to juggle, admin can easily take up more of your day than the actual making. It’s part of the Etsy experience, but it does add up, especially during busy periods.
Plugin & Integration Costs: Many sellers use shipping tools or stock syncers, especially if they’re running multiple shops or selling on other platforms too. Most of these tools come with monthly fees, but they save hours in admin.

TikTok Shop

If your products go viral, TikTok Shop can bring in a flood of orders fast, but only if your fulfilment setup can keep up. The cost of selling on TikTok Shop depends on whether you’re managing orders yourself or letting TikTok handle it through their own fulfilment network.

TikTok Shop – Self-Fulfilled

This option gives you full control over how your orders are picked, packed, and shipped, but it also means you’ll be doing all the heavy lifting.

Fulfilment Fees: You’ll need to cover the cost of picking and packing either in-house or via a 3PL. Expect higher workloads during busy campaigns.
Storage Fees: If you’re using a warehouse or fulfilment centre, standard storage charges will apply.
Courier & Shipping Fees: TikTok expects orders out the door within 1-2 days, so you’ll need a courier setup that can keep up. With TikTok Shop shipping, the goal isn’t to squeeze every penny but to make sure parcels arrive quickly and with tracking that actually works.
Packaging Costs: You’ll provide your own packaging. Many sellers choose to match TikTok’s visual-first vibe with branded or eye-catching materials.
Platform & Commission Fees: TikTok takes a commission, usually around 5-9% per sale.
Admin Time: Expect to spend time on order tracking, dispatch, and customer messages, especially if your product suddenly gets popular.
Plugin & Integration Costs: Optional tools will help automate order flow and courier connections, but will have their own fees.

TikTok Shop – Fulfilled by TikTok

TikTok’s fulfilment service (FBT) is a more hands-off approach. TikTok stores your stock and handles delivery and customer service, making it easier to scale, but it comes with added costs.

Fulfilment Fees: TikTok charges for picking, packing, and shipping based on item size and weight.
Storage Fees: Charged if your stock is stored in their warehouse, with potential extras for slow-moving inventory.
Platform & Commission Fees: The standard commission (around 5-9%) still applies.
Returns Handling: TikTok manages returns and customer support, though you will pay restocking or return-related fees.
Admin Time: Much lower as TikTok handles fulfilment and most of the post-sale updates with customers.

WooCommerce

WooCommerce gives you full control over your online store, including how you handle fulfilment. The trade-off for flexibility is that you’re responsible for everything, from storage and packing to customer communication and returns. Your order fulfilment costs on WooCommerce will depend entirely on how you choose to run things, whether it’s all in-house or through a 3PL.

Fulfilment Fees: If you’re handling fulfilment yourself, it’s your time and staff. If you’re using a 3PL, expect per-item or order-based fees.
Storage Fees: These are applicable if you’re using a warehouse or third-party storage facility.
Courier & Shipping Fees: You’ll choose and pay for your own couriers. Customers expect tracked delivery, which often means using premium services.
Packaging Costs: From plain polybags to premium unboxing experiences, packaging is up to you, but the fancier it is, the more it is likely to cost you.
Platform & Commission Fees: WooCommerce doesn’t charge commission, but payment processors like Stripe or PayPal take a small cut per transaction.
Admin Time: Can be a lot if you’re manually processing orders and customer comms. Automation tools can help reduce the load.
Plugin & Integration Costs: Third-party plugins for couriers, stock control and fulfilment integration are essential but often come with setup fees.

Magento (Adobe Commerce)

Magento (now part of Adobe Commerce) is a powerful, customisable platform aimed at larger or more complex eCommerce setups. It gives you full control over fulfilment, but with that comes added responsibility and cost. Like WooCommerce, the order fulfilment costs on Magento depend entirely on your setup and how much of the process you outsource or automate.

Fulfilment Fees: Fulfilment charges will vary depending on whether you’re outsourcing or managing operations internally.
Storage Fees: Storage costs are often tied to warehouse setup and inventory levels, charged by volume, bin, or shelf.
Courier & Shipping Fees: You’ll need to connect with couriers directly or through a fulfilment partner.
Packaging Costs: Magento sellers often have larger product catalogues or higher-value orders, so custom packaging is more common, whether that’s branded boxes, eco options, or inserts. The cost depends on what you’re using and how many orders you’re sending out, but it can quickly become a noticeable line on the balance sheet.
Platform & Commission Fees: Adobe doesn’t charge commission, but payment gateway fees still apply. If you’re self-hosted, there may also be hosting and licensing costs.
Admin Time: Medium to high depending on how automated your systems are. If you’ve got a big setup, you may need to employ a dedicated fulfilment manager.
Plugin / Integration Costs: Magento’s ecosystem includes plenty of integration options for couriers, 3PLs, and inventory tools, most with subscription or setup fees.

Shopify

Shopify is known for its simplicity, but when it comes to fulfilment, there’s still a lot to think about. You can keep it in-house or work with a 3PL, or, in some regions, Shopify even has its own fulfilment network. Your order fulfilment costs will depend on which approach you choose, how much support you need and what tools you use.

Fulfilment Fees: If you’re using a 3PL or Shopify’s fulfilment service, you’ll see item-based fees for picking, packing and shipping costs.
Storage Fees: Charged separately by any warehouse or 3PL you work with on a monthly basis.
Packaging Costs: You’ll need to supply your own packaging. Branded and sustainable options are popular with Shopify audiences.
Platform & Commission Fees: Shopify charges a monthly subscription fee and a transaction fee unless you use Shopify Payments.
Returns Handling: Whether you’re handling returns in-house or via a 3PL, you’ll need to factor in the time and cost of reverse logistics to avoid lost sales.
Admin Time: If you’re using the right apps and automations, this doesn’t have to take up a huge chunk of time (and money) if you’ve got the right tools in place.
Plugin & Integration Costs: Shopify’s App Store has lots of paid-for tools to streamline fulfilment.

How to Control & Optimise Fulfilment Costs

Fulfilment can become one of your largest operating expenses, but with the right setup, there are many ways to reduce costs without cutting corners:

1. Manage Inventory More Tightly

Real-time inventory management software (or a good 3PL partner) can help reduce carrying costs by forecasting customer demand and aligning stock levels with actual sales.

Many businesses work to a target of 30-60 days of cover, adjusting for seasonality and promotions.

2. Reduce Parcel Size & Weight

Shipping costs often jump at specific weight or size thresholds. By redesigning packaging or offering product bundles, you can shift your products into a lower shipping bracket. Some couriers also do “letterbox-friendly” rates that can save on last-mile costs.

3. Use Fulfilment Tech to Automate Admin

Software that integrates your store with your courier or fulfilment partner cuts down the chances of human errors and manual work. Look for tools that automate eCommerce fulfilment tasks like order syncing, printing shipping labels, and sending tracking updates. This cuts time spent on repetitive admin and improves dispatch accuracy.

4. Choose the Right Couriers for Each Channel

Build a shipping strategy made up of several couriers to reduce costs. Some are better for lightweight parcels; others excel at international shipping or returns.

5. Review Return Processes

Returns quickly eat into margins. If you’re processing lots of returns, review your returns policies to make sure they are clear and fair, and consider how items are handled, restocked, or written off. You can discourage unnecessary returns through detailed product descriptions (including high-quality photos) and quality control checks.

6. Calculate Your Costs

Shipping fees can vary a lot depending on parcel size, destination, and which courier you use. Before locking in your fulfilment setup, take time to calculate shipping costs across different carriers and fulfilment models. Whether you’re managing everything in-house or working with a 3PL, you want a strategy that keeps your margins healthy and your delivery times on track.

7. Use a 3PL Service

Whether you’re scaling an Amazon store, launching a WooCommerce subscription, or expanding internationally, working with a 3PL provider will streamline your operations, improve customer satisfaction, and reduce many of the manual, time-consuming aspects of fulfilment. With Delta Fulfilment, you benefit from built-in integrations and automation tools that connect directly with platforms like Amazon, eBay, WooCommerce, and TikTok Shop.

Our infrastructure is designed to support growing eCommerce brands. With over 200,000 square feet of warehouse space, there’s room to scale without needing to change fulfilment setups as your business expands. We also operate with a 99.85% pick and pack accuracy rate, helping you avoid costly errors, chargebacks, and customer complaints.

For many businesses, switching to a 3PL doesn’t just reduce the total cost per order, it removes the complexity of running a fulfilment operation, so you can focus on marketing, product development, and growth.

Choosing the Right Fulfilment Route for Your Business

The right fulfilment setup depends on where your business is today and where you want it to be next year. If you’re starting out, managing orders yourself might be enough. But as volumes grow, so do the risks and costs of getting it wrong.

Ready to find out what you could save? Get a quote today and see how Delta Fulfilment could help you reduce spend, save time, and scale smarter.

All Amazon prices mentioned in this blog post are based on the 2025 Amazon FBA Rate Card, effective from 1st February 2025. Amazon may update its fees at any time, so please refer to the latest information on Amazon Seller Central to confirm current pricing before making any decisions about using FBA.

Fulfilment Costs Guide for 2025