Ecommerce Fulfillment Pricing Explained: ShipBob Costs, and fees

TL;DR

ShipBob pricing combines per-order fulfillment fees, storage charges, shipping rates, and monthly minimums. This structure can work well for growing ecommerce brands at moderate volume, but costs often increase as order numbers rise, inventory sits longer, or international fulfillment is added. For brands moving beyond basic fulfillment, clearer pricing models and smarter cost forecasting tools become important for maintaining healthy margins.

Key takeaways

• ShipBob charges per order rather than offering a flat monthly fee
• Fulfillment costs change based on order size, weight, and warehouse location
• Storage, pick and pack, and shipping are all billed as separate line items
• Pricing transparency often depends on order volume and individual contract terms
• AI-powered fulfillment cost modelling helps brands forecast spend before scaling

Trying to understand your true fulfillment cost per order before you scale? Bezos.ai helps ecommerce brands model fulfillment costs, compare 3PL pricing, and optimize shipping decisions using real operational data.

How does ShipBob pricing work?

ShipBob uses a usage-based pricing model. This means you pay for what you use, and costs scale as your business grows. 

Order volume, inventory levels, and delivery complexity all directly affect what you are billed each month. For brands in an early growth phase, this can feel flexible. As operations become more complex, forecasting becomes harder.

Pick and pack fees per order

Every order processed through ShipBob is charged a fulfillment fee. This typically includes the first item picked, packing materials, and basic handling. 

Additional items in the same order are billed separately. As average order size increases, pick and pack costs rise with it. Promotions, bundles, and multi-SKU orders can all push per-order fulfillment costs higher than expected.

Storage fees per pallet or bin

Inventory storage is billed independently from fulfillment. ShipBob charges based on how much space your products occupy in its warehouses, usually calculated per pallet or per bin. 

Slow-moving stock, seasonal inventory, or over-ordering can quickly increase monthly storage fees. For brands with large or irregular inventory volumes, storage costs often become one of the least predictable parts of the bill.

Shipping costs based on zones and carrier rates

Shipping is not included in fulfillment fees. Costs depend on package weight, dimensions, delivery zone, and the carrier used. 

While ShipBob leverages distributed warehouses to reduce shipping distances, brands still face variable rates driven by fuel surcharges, carrier pricing changes, and delivery speed requirements. Two identical orders can cost very different amounts to ship depending on destination.

Account minimums and volume commitments

Many ShipBob contracts include monthly minimums or order volume commitments. If your order count falls below the agreed threshold, you may still be billed the minimum fee. 

This structure can create pressure during slow sales periods or off-season months, when fulfillment activity drops but fixed costs remain.

Why forecasting ShipBob costs can be challenging

Because pick and pack, storage, and shipping are all billed separately, there is no single flat price to anchor your forecasts. As your catalog expands, order profiles change, or international shipping is added, costs can rise in ways that are difficult to predict. 

This is often the point where fast-growing brands begin looking for more transparent pricing models and data-driven cost forecasting to maintain margin control as they scale.

How much does ShipBob cost per order?

ShipBob does not publish a single per-order price. Instead, most ecommerce brands pay a base fulfillment fee for each order, plus separate charges for additional items, storage, and shipping. The final cost per order depends heavily on what you ship, where it ships from, and where it is going.

For small, lightweight orders with one item, costs are usually at the lower end of the range. As orders become heavier, include multiple SKUs, or ship to farther zones, the total per-order cost can rise quickly.

Typical ShipBob cost components per order

Why order profile matters so much

Order composition plays a major role in pricing. A single T-shirt shipped locally costs far less to fulfill than a bundled order with multiple products going across the country. Each extra item adds handling time, and higher package weights push shipping rates into more expensive brackets.

The impact of growth on per-order costs

As brands scale, average order value often increases through bundles, upsells, or subscriptions. While this can improve revenue, it also increases fulfillment costs per order. Without clear cost modelling, brands may see margins shrink even as sales grow.

Understanding your typical order size, weight, and shipping destinations is essential for estimating ShipBob costs accurately. For many growing ecommerce businesses, this is where transparent pricing structures and better forecasting tools become critical to sustainable scaling.

Are you tired of hidden costs depending on the size of the package or the time your merch spends in storehouses? Get yourself a provider that is transparent and honest and provides pick and pack services. 

What fees are included in ShipBob pricing?

ShipBob pricing covers several core fulfillment services, but not everything involved in running an ecommerce operation. Understanding what is included by default and what is billed separately helps avoid surprises as order volume grows.

Fees usually included

Most ShipBob pricing plans include the fundamentals needed to ship orders on a daily basis. These typically cover order processing once an order is received, along with basic pick and pack for standard items. 

Brands also get access to ShipBob’s fulfillment network, allowing inventory to be distributed across multiple warehouses to support faster delivery. Standard dashboards and reporting tools are included as well, giving visibility into orders, inventory levels, and shipping performance.

Fees often billed separately

Several common fulfillment needs fall outside the base pricing. Custom or branded packaging is usually an add-on, particularly if it requires special materials or handling steps. Returns processing is charged as a separate fee, and costs can add up quickly for categories with higher return rates. 

International duties and taxes are not included and must be paid by the brand or the end customer, depending on setup. During peak periods, such as holiday seasons, temporary surcharges may also apply to cover increased operational demand.

Why this matters for cost planning

At a glance, ShipBob’s pricing can look straightforward, but optional and seasonal fees can significantly change the total monthly spend. Brands that rely on custom unboxing, sell internationally, or experience seasonal spikes often need a more detailed cost breakdown to accurately forecast fulfillment expenses and protect margins as they scale.

VISUAL ShipBob pricing

Are there hidden costs with ShipBob?

ShipBob does not position its pricing as having hidden fees. Most charges are outlined in contracts and onboarding documents. 

That said, many brands still experience cost surprises over time. These usually come from growth in usage rather than a lack of transparency.

Storage fees during slow sales periods

When sales slow down, inventory stays in the warehouse longer. Because storage is billed separately, monthly fees can increase even when order volume drops. Seasonal brands are often hit hardest, paying higher storage costs during off-peak months while fulfillment activity is lower.

Higher shipping rates for distant zones

Shipping costs depend on distance, weight, and carrier pricing. Orders sent to far delivery zones cost more to ship, even if the product and order value stay the same. As customer reach expands nationally or internationally, average shipping costs per order can rise without any change to fulfillment fees.

Additional handling for oversized items

Large, heavy, or irregularly shaped products often require extra handling. These items may fall outside standard pick and pack rules, leading to higher fulfillment and shipping charges. Brands selling bulky products can see per-order costs climb faster than expected as volume increases.

Account minimums during low-volume months

Many ShipBob agreements include monthly minimums. If order volume drops below the agreed level, brands may still be charged the minimum fee. This can impact cash flow during quiet periods, even though fewer orders are being processed.

Why these costs catch brands off guard

These expenses are not hidden, but they are easy to underestimate during early growth stages. As order profiles change and operations scale, small per-unit increases add up quickly. This is why many growing ecommerce brands look for more predictable pricing structures and better cost forecasting tools before expanding further.

You don’t want to face any hidden costs? Come and get your price estimate today. 

Is ShipBob pricing competitive for small businesses?

ShipBob can work for early-stage or low-volume sellers, but it is not automatically the cheapest or simplest option.

When ShipBob might feel expensive

For brands just starting out or processing a small number of orders each month, ShipBob can feel more expensive than fulfilling orders in-house. There is no flat monthly rate, so low order counts still trigger pick and pack, storage, and minimum fees. That makes month-to-month costs less predictable than handling fulfillment yourself, especially if sales fluctuate.

When ShipBob pricing works well

ShipBob pricing tends to make more sense for businesses with:

• Consistent order volume
  Predictable sales help smooth out fulfillment costs and reduce surprises.
  
  
• Lightweight, standardized products
  Simple orders with fewer SKUs and light weights keep pick, pack, and shipping fees lower.
  
  
• Domestic shipping focus
  Because international shipping adds complexity and extra costs, brands shipping mainly within one country usually find pricing easier to manage.

The trade-off for growth

ShipBob brings a fulfillment network and infrastructure that can save time and improve delivery speeds. For small businesses prioritizing convenience and customer experience, that can be valuable. 

Still, for brands watching every dollar early on, the lack of fixed pricing and potential cost volatility means comparing ShipBob to self-fulfillment or other transparent 3PL pricing models is an important step before committing.

Can ShipBob pricing scale with your business?

ShipBob pricing is designed to scale alongside your operation, but it does so in a largely linear way. As activity increases, so do costs, often at the same pace.

How ShipBob scales in practice

When order volume goes up, total fulfillment spend rises because each order is billed individually. Adding more SKUs usually means holding more inventory, which increases storage fees over time. Expanding into new regions or countries adds another layer of complexity, with higher shipping rates, more zones, and additional handling requirements.

Where scaling becomes difficult

Linear pricing works when growth is steady and predictable. It becomes harder to manage when growth is fast, seasonal, or uneven. A spike in orders can boost revenue, but it can also push fulfillment costs up immediately. At the same time, expanding product ranges or entering new markets increases fixed costs like storage, even before sales catch up.

Why forecasting matters at scale

Without clear forecasting tools or fulfillment analytics, it is difficult to understand how today’s decisions will affect future costs. Small changes in order mix, inventory levels, or shipping destinations can have an outsized impact on margins. This is why growing brands often pair fulfillment providers with cost modelling and analytics, so scaling feels controlled rather than reactive.

How does ShipBob compare to other fulfillment providers?

When evaluating ShipBob against other fulfillment solutions, pricing transparency and cost forecasting often become deciding factors. The table below highlights key differences between ShipBob, traditional 3PLs, and AI-powered fulfillment platforms.

ShipBob vs typical 3PL pricing models

What this means for ecommerce brands

ShipBob sits between basic 3PLs and more advanced fulfillment platforms. It offers more clarity than many traditional providers, but still lacks the automated cost forecasting and transparency that newer, AI-powered options provide.

Traditional 3PLs often work on bespoke contracts with minimal published pricing. This can make it hard for brands to compare costs or predict monthly spend without deep negotiation and analysis.

AI-driven fulfillment solutions emphasize transparent pricing, predictive cost tools, and automated insights. These help brands forecast expenses before scaling, manage spend more proactively, and understand how changes in order volume or product mix will affect margins.

For brands focused on long-term growth and tight cost control, the ability to simulate future spend and compare pricing scenarios can be more valuable than basic fulfillment infrastructure alone. ShipBob can be a fit for many brands, but it may require supplementary cost modelling tools to match the visibility offered by newer, transparency-first providers.

What is a good fulfillment cost per order for DTC brands?

There is no single “good” fulfillment cost that applies to every direct-to-consumer brand. The right benchmark depends on product type, order value, and where customers are located. What matters most is whether fulfillment costs stay proportional as the business grows.

Typical fulfillment cost benchmarks

For small, lightweight DTC items, fulfillment cost per order is usually at the lower end of the range. These products are easier to store, quicker to pick and pack, and cheaper to ship. As soon as orders include multiple items or heavier products, costs increase due to added handling and higher shipping rates.

International fulfillment sits in a different category altogether. Cross-border shipping, customs processes, and longer delivery routes can push per-order costs significantly higher, even when products themselves are simple.

Why percentage of order value matters more

Rather than focusing only on a fixed cost per order, many profitable DTC brands track fulfillment spend as a percentage of order value. This approach makes it easier to see whether margins are improving or eroding as average order value changes.

A higher fulfillment cost may be acceptable if order value and customer lifetime value are rising at the same time. Problems usually appear when fulfillment costs grow faster than revenue. Tracking costs this way helps brands adjust pricing, bundling, and shipping strategies before scaling further.

If you want your fulfillment costs to stay proportional, team up with Bezos.ai and see how they can help you expand. Bezos.ai helps DTC brands protect margins as order volume, product mix, and shipping regions grow.

How to estimate your monthly fulfillment costs accurately

Accurate fulfillment forecasting starts with understanding how your business actually operates, not with a single per-order price. Because ShipBob and most 3PLs use usage-based pricing, small changes in volume or order mix can have a large impact on monthly spend.

Key inputs to model fulfillment costs

To build a realistic forecast, brands should model several core variables together. 

• Monthly order volume is the primary driver of pick and pack fees. 
• Average order weight and size influence both handling and shipping costs. 
• Storage duration matters because inventory that sits longer increases monthly fees, even if sales slow down. 
• Shipping zones affect carrier rates, and a higher returns rate adds extra processing costs that are often overlooked in early projections.

Cost inputs to model monthly fulfillment spend

Why static calculators fall short

Many pricing calculators rely on fixed assumptions or averages. In reality, order profiles shift, sales fluctuate, and inventory levels change throughout the year. 

This is where AI-driven logistics platforms stand out. By using real order data and predictive models, they help brands estimate future spend more accurately and understand how scaling decisions will affect margins before costs show up on the invoice.

Are there fulfillment providers with more transparent pricing?

Yes. In recent years, a growing number of fulfillment providers have moved toward pricing models designed to be easier to understand and easier to forecast. These approaches are built to reduce uncertainty as brands scale.

How transparent pricing models differ

Some providers offer all-in per-order pricing, where pick, pack, and basic packaging are bundled into a single fee. This makes it easier to understand true fulfillment costs without calculating multiple line items. Others go a step further by using predictive cost modelling, allowing brands to see how changes in order volume, product mix, or geography will affect spend before those changes happen.

Automated rate optimization is another key feature. Instead of relying on static carrier rates, these systems adjust shipping choices dynamically to balance cost and delivery speed. Data-driven warehouse placement also plays a role, helping brands position inventory closer to customers to reduce shipping distances and costs.

Why this matters for growing brands

These models reduce billing surprises and improve margin visibility. When costs are easier to predict, brands can price products more confidently, plan promotions without guesswork, and scale into new markets with clearer expectations. For businesses moving beyond basic fulfillment, pricing transparency is often just as important as warehouse coverage or delivery speed.

Conclusion

ShipBob pricing can be a good fit for certain ecommerce brands, particularly those with stable order volumes and simple fulfillment needs. As operations scale, however, the reliance on usage-based fees and multiple cost components makes spending harder to control. Without a flat pricing structure, forecasting becomes more complex as product ranges expand, shipping regions increase, and inventory levels fluctuate.

Brands focused on long-term, profitable growth are increasingly turning to AI-powered fulfillment platforms to gain clearer visibility into future costs. Once businesses understand how fulfillment expenses will scale before growth happens, not after, they can protect margins and make smarter decisions as they expand.

Want to know your true fulfillment cost before committing to a 3PL? Contact Bezos.ai experts today!

FAQ

How much does ShipBob cost per order?

Costs vary based on order size, number of items, product weight, and shipping distance. There is no single fixed per-order rate.

Does ShipBob have a monthly minimum?

Yes. Many ShipBob accounts include volume or spend minimums, meaning you may be charged a baseline amount even during lower-volume months.

Is ShipBob cheaper than Amazon FBA?

It depends on factors like product dimensions, order volume, and where orders are fulfilled and delivered. Some brands find ShipBob more flexible, while others find FBA more cost-effective at scale.

Are ShipBob fees transparent?

Pricing is disclosed, but total monthly costs can fluctuate because fees are usage-based and spread across fulfillment, storage, and shipping.

Can fulfillment costs be predicted accurately?

Yes. With proper data modelling and AI-based forecasting tools, brands can estimate future fulfillment spend and plan growth with greater confidence.