How to Compare 3PL Wholesale Case-Pick and Each-Pick Fees
A practical method for comparing wholesale case-pick, each-pick, pallet and order-administration fees using one representative purchase order.
Direct answer: compare wholesale fulfillment quotes by separating case picks, inner-pack picks, each picks, pallet picks and order-level administration. A single “wholesale handling” rate is not comparable until every provider prices the same purchase order, units of measure and retailer requirements.
The key question is not whether case picking is cheaper than each picking. It usually requires fewer touches, but the real cost depends on carton integrity, case-pack data, mixed-SKU requirements, labels, pallets and the evidence required by the customer. A strong proposal shows which unit triggers each fee and how the warehouse prevents the wrong unit from being picked.
Define the unit of measure before the rate
One SKU can exist as an each, an inner pack, a master case and a pallet. If the warehouse system does not preserve those relationships, a purchase order for 24 cases can be interpreted as 24 units. Before comparing pricing, give each finalist the same item master with:
- units per inner pack and inner packs per master case;
- master cases per pallet and permitted pallet pattern;
- barcode for each valid unit of measure;
- dimensions and gross weight at each level;
- whether a case may be opened to satisfy an order;
- lot, expiry, serial or retailer-allocation requirements.
247 Fulfillment’s retail and B2B fulfillment page describes case, pallet, routing-guide, EDI and appointment workflows. Those capabilities are useful only when the quote connects them to explicit billing units and controls.
Separate five charge families
| Charge family | Possible billing unit | Question to resolve |
|---|---|---|
| Order administration | PO, shipment or project | Does this include order entry, release review and documents? |
| Picking | Each, inner pack, case or pallet | Is the rate based on the ordered unit or physical touches? |
| Retail preparation | Carton, label, unit or hour | Which labels, ticketing and routing-guide steps are included? |
| Pallet build | Pallet or hour | Are pallet, wrap, corner boards and staging included? |
| Data and documents | ASN, BOL, EDI transaction or order | Are transmission failures and corrections billed separately? |
This structure also prevents double billing. If a case-pick rate includes removing a sealed case and placing it on a pallet, the proposal should not quietly add an each-pick charge for every unit inside that unopened case.
Run one representative purchase order
Use an order that reflects the real operation, not an idealized full-pallet replenishment. Include a full-case line, a broken-case line and any retailer-specific preparation.
Hypothetical example in CAD; not a 247 Fulfillment rate card or another provider’s offer. A purchase order contains 40 sealed master cases of SKU A, plus 180 individual units of SKU B. SKU B has 12 units per case, so the warehouse opens 15 cases. The order ships on two pallets and requires 42 carton labels.
| Activity | Calculation | Cost |
|---|---|---|
| PO administration | 1 × $28.00 | $28.00 |
| Case picks | 40 × $1.60 | $64.00 |
| Each picks | 180 × $0.32 | $57.60 |
| Pallet builds | 2 × $31.00 | $62.00 |
| Carton labels | 42 × $0.55 | $23.10 |
| Expected warehouse total | $234.70 |
Now ask each provider to calculate the same order. One may charge SKU B as 15 broken-case picks plus 180 each picks; another may include the case opening in the each rate. Neither method is automatically wrong, but the cost and scope must be visible. Freight, fuel and destination accessorials should remain separate; the related pallet and LTL charge guide covers that layer.
Test the control, not just the price
Ask for a demonstration using a sample SKU with valid each and case barcodes. The operator should scan the ordered unit, receive a warning when the wrong level is presented, and leave an audit trail. Then test a broken-case order, a full-case order and a mixed purchase order.
Evidence should include the original PO quantity and unit, the released warehouse task, scans or confirmations, carton-level contents when required, final shipped quantities and any override. The same record should support billing. If the invoice says 220 each picks, the provider should be able to show why the 40 sealed cases were treated that way.
Know when the recommendation changes
A case-pick-heavy provider can be attractive when wholesale demand is predictable, master cases remain sealed and customers accept standard configurations. A more flexible each-pick model can be better when buyers order assorted quantities, store allocations vary or cases are frequently opened. The lowest unit rate is less important than the rate structure that matches your actual order mix.
Price at least three scenarios: normal replenishment, a mixed-SKU retail launch and a small exception order. Include seasonality and minimum labour or project charges. Then compare the expected monthly total, not a single headline rate. 247’s pricing page explains why product profile, channel and operational requirements shape a custom quote.
Buyer checklist
- Are each, inner-pack, case and pallet quantities defined in the item master?
- Does the quote state which physical event triggers each fee?
- Are full cases protected from accidental each-pick billing?
- Are labels, pallet materials, documents, EDI and appointments included or itemized?
- Can the provider show scan evidence and invoice support for a sample order?
- How are broken cases, short cases, mixed lots and substitutions handled?
- Who approves overtime, rush work or retailer-specific exceptions?
If wholesale is part of your channel mix, send a representative PO, item-master hierarchy and routing-guide requirements with your quote request. Ask 247 Fulfillment to price the same scenario so the comparison reflects the work your operation will actually require.
