One of the most common questions e-commerce business owners ask when considering outsourced logistics is deceptively simple: how much does fulfillment actually cost? The answer, as with most things in business, is that it depends. But unlike many service providers who hide behind vague pricing pages and "contact us for a quote" buttons, we believe in transparency. This guide breaks down every component of fulfillment pricing, shows you the real numbers at MTP Group, and gives you the tools to calculate whether outsourcing makes financial sense for your specific situation.
The Core Components of Fulfillment Pricing
Fulfillment costs are not a single number. They are a combination of several service fees, each tied to a specific part of the order lifecycle. Understanding these components is essential before you can compare providers or calculate your total cost per order.
Shipping and handling (pick, pack, ship): This is the per-order fee charged every time a customer places an order. It covers the labor and materials involved in locating the item in the warehouse, packing it securely, printing the shipping label, and handing it off to the carrier. At MTP Group, this fee ranges from 18 to 26 UAH per shipment, depending on your monthly order volume. Higher volumes unlock lower per-order rates.
Storage: Fulfillment operators charge for the space your inventory occupies in the warehouse. This is typically measured by cubic meter per month. MTP Group charges 650 UAH per cubic meter per month. For context, one cubic meter can hold approximately 40-60 standard shoeboxes or 80-120 small product boxes, depending on dimensions. Most e-commerce businesses with 100-500 SKUs use between 2 and 10 cubic meters.
Minimum monthly fee: To maintain operational readiness, warehouse allocation, and system access for your account, most fulfillment operators set a minimum monthly charge. At MTP Group, the minimum is 5,000 UAH per month. If your actual usage fees (shipping + storage) exceed 5,000 UAH, you simply pay the actual amount. The minimum only applies when your activity falls below that threshold.
MTP Group Dynamic Tariff Table
The following table shows MTP Group's current fulfillment rates based on monthly order volume. These rates apply to standard e-commerce orders with 1-3 items per shipment and standard packaging.
| Monthly Orders | Shipping Fee (per order) | Storage (per m³/month) | Monthly Minimum |
|---|---|---|---|
| Up to 300 | 26 UAH | 650 UAH | 5,000 UAH |
| 301 - 700 | 23 UAH | 650 UAH | 5,000 UAH |
| 701 - 1,500 | 20 UAH | 650 UAH | 5,000 UAH |
| 1,501 - 3,000 | 18 UAH | 650 UAH | 5,000 UAH |
| 3,000+ | Custom | Custom | Custom |
For businesses processing more than 3,000 orders per month, MTP Group offers individually negotiated rates that reflect the scale and specific requirements of the operation. These custom agreements often include dedicated warehouse zones, priority processing, and enhanced SLA commitments.
What Is Included in the Base Rate
Understanding what is included in the shipping fee is just as important as knowing the number itself. At MTP Group, the per-order fee covers the following services at no additional charge:
- Order receiving and quality check when goods arrive at the warehouse
- SKU registration and barcode labeling in the warehouse management system
- Picking from shelved inventory based on the incoming order
- Packing using standard materials (box, bubble wrap, filler, tape)
- Shipping label generation via integrated carrier APIs
- Carrier handoff to Nova Poshta, Ukrposhta, or Meest
- Basic returns processing (receiving returned items back into inventory)
- Dedicated account manager for the first month of onboarding
- Real-time dashboard access for order tracking and inventory levels
This all-inclusive approach is not universal in the industry. Many fulfillment providers quote a low per-order rate but then add separate fees for receiving, labeling, packaging materials, returns, and system access. Always compare total cost, not headline rates.
Hidden Costs to Watch For
The fulfillment industry has its share of pricing tricks. If you are evaluating providers, here are the most common hidden costs that can inflate your actual spend by 30-50% above the quoted rate:
Receiving fees: Some operators charge per pallet, per box, or per unit when your inventory arrives at the warehouse. If you restock frequently with small shipments, these fees add up fast. A typical receiving charge ranges from 3 to 8 UAH per unit. On a 500-unit restock, that is an extra 1,500-4,000 UAH that was not in the original quote.
Special packaging surcharges: Need fragile items wrapped in extra bubble wrap? Custom inserts? Branded tissue paper? Many providers charge 5-15 UAH per order for anything beyond a plain brown box. At MTP Group, standard protective packaging is included. Only truly custom branded packaging (printed boxes, branded tape, insert cards) carries a small additional fee, agreed in advance.
Return processing fees: Returns are a reality of e-commerce, especially in fashion and electronics. Some fulfillment centers charge 15-30 UAH per returned item to receive, inspect, and re-shelve it. Over a year, with a 5-10% return rate, this can cost tens of thousands of UAH. MTP Group includes basic return processing in the standard rate.
Integration and setup fees: Connecting your online store (Shopify, Prom, Rozetka, WooCommerce) to the fulfillment provider's WMS sometimes comes with a one-time setup fee of 3,000-10,000 UAH. MTP Group handles standard integrations at no additional cost.
Account management fees: Some providers charge a monthly "account management" or "platform access" fee of 1,000-3,000 UAH on top of operational costs. This is essentially a subscription for using their dashboard and having a contact person. MTP Group does not charge this separately.
Minimum volume penalties: Watch for contracts that penalize you if your order volume drops below a certain threshold. This is different from a minimum monthly fee. A penalty means you pay extra on top of your actual usage if you do not hit the target. MTP Group's 5,000 UAH minimum is a floor, not a penalty. You never pay more than your actual usage if it exceeds the minimum.
ROI Calculation: Is Fulfillment Worth It?
Let us run through a concrete example. Consider an online store selling accessories with the following profile:
- 500 orders per month
- Average order value: 800 UAH
- 150 SKUs occupying 4 cubic meters of storage
- Current self-fulfillment cost: approximately 45,000 UAH per month (rent, one employee, packing materials, software, utilities)
With MTP Group at the 301-700 order tier:
| Cost Component | Calculation | Monthly Cost |
|---|---|---|
| Shipping (500 orders x 23 UAH) | 500 x 23 | 11,500 UAH |
| Storage (4 m³ x 650 UAH) | 4 x 650 | 2,600 UAH |
| Total MTP Group cost | 14,100 UAH |
Monthly savings: 45,000 - 14,100 = 30,900 UAH. Annual savings: 370,800 UAH. That is money freed up for marketing, product sourcing, or simply improving your margin. And this calculation does not even account for the time you reclaim by not managing warehouse operations yourself, time that has its own significant economic value.
When the Math Does Not Work
Fulfillment is not cheaper for everyone. There are specific situations where in-house logistics may be more cost-effective:
- Very low order volume: If you ship fewer than 100 orders per month and already have free or very cheap space (a spare room, a family garage), the minimum monthly fee of 5,000 UAH may exceed what you currently spend. However, factor in your time: if you spend 20 hours per month on packing and shipping, at a value of 300 UAH per hour, that is 6,000 UAH of hidden cost.
- Extremely heavy or oversized goods: Standard fulfillment pricing is optimized for items that fit in standard boxes. If you sell furniture, large equipment, or extremely heavy items, per-order costs will be higher. MTP Group's heavy goods division handles these cases with custom pricing.
- Hyper-customized orders: If every single order requires unique assembly, hand-written notes, or complex multi-component kitting that cannot be standardized, fulfillment operators may charge premium rates that erode the cost advantage.
How to Compare Fulfillment Providers Fairly
When evaluating fulfillment options, use this checklist to ensure you are comparing apples to apples:
- Calculate total cost per order, not just the per-shipment fee. Include storage divided by order count, any receiving fees, packaging surcharges, and return handling costs.
- Ask about what is included. Get a written list of all services covered by the base rate. If a provider cannot give you a clear, itemized answer, that is a red flag.
- Model seasonal fluctuations. Your costs will vary month to month as order volume changes. Make sure you understand how pricing tiers work and whether you can move between them freely.
- Factor in error costs. A cheaper fulfillment provider with a 3% error rate will cost you more than a slightly more expensive provider with a 0.5% error rate. Each shipping error costs 200-500 UAH in reverse logistics, replacement shipments, and lost customer lifetime value.
- Check contract terms. Watch for long lock-in periods, early termination fees, and volume commitments. MTP Group operates on flexible monthly terms with no long-term contract requirement.
Getting Your Personalized Quote
Every e-commerce business is different. Product dimensions, order frequency, seasonal patterns, packaging requirements, and carrier preferences all affect the final cost. The numbers in this guide give you a solid framework for understanding fulfillment economics, but the most accurate way to know your exact cost is to request a personalized calculation.
MTP Group provides free, no-obligation cost estimates within 24 hours. You provide your average monthly order volume, product dimensions, and current logistics spend, and the team returns a detailed cost comparison showing your projected savings. No contracts, no commitments, just numbers you can use to make an informed decision.
The cheapest fulfillment provider is rarely the best one. The best provider is the one whose total cost, including errors, delays, and hidden fees, is lowest. Transparency in pricing is the first test of a trustworthy partner.