How to Evaluate and Score 3PL RFP Responses

Choosing a fulfillment provider is not about picking the lowest bid.

It is about choosing the best fit for your business.

Most brands get into trouble because they evaluate proposals before defining what success looks like. By the time the bids are in, price starts driving the conversation.

The right process reverses that.

Direct Answer: How Should You Evaluate 3PL RFP Responses?

To properly evaluate 3PL proposals:

Define your success criteria before reviewing bids.

Normalize all cost structures into a comparable baseline.

Separate binary capability requirements from scored categories.

Force-rank providers across service, flexibility, and cost.

Choose the best fit, not automatically the lowest price.

Cost should inform the decision. It should not control it.

Step 1: Define What You Are Solving For

Before reviewing a single proposal, clarify your primary objective.

Most RFPs are driven by one of three factors:

Capability

Performance

Cost

Be explicit.

If cost is your primary driver, say so internally.

If service reliability is the goal, acknowledge that.

If you are outgrowing current capabilities, define the specific gaps.

Without pre-defined success criteria, price will bias the evaluation.

Step 2: Normalize Cost Before Scoring

You cannot score providers fairly until you understand the real cost baseline.

Normalization should:

Apply provider pricing to your demand model

Account for shipping distribution

Account for storage methodology

Account for minimums and fixed fees

Distinguish modeled vs non-modeled costs

Once normalized, you should have:

Total annual cost

Cost per order

Sensitivity to volume changes

Only then should cost enter the scoring discussion.

Step 3: Separate Binary Gates From Scored Criteria

Some requirements are not negotiable.

Examples:

Must support frozen storage

Must integrate with Shopify and NetSuite

Must support B2B EDI

Must operate in a specific geography

If a provider cannot meet a required capability, they should not be scored further.

Binary gates should be resolved before or during shortlisting.

Step 4: Score Across Core Evaluation Categories

For $5M–$50M brands, the most practical evaluation buckets are:

Cost

Capabilities

Performance Track Record

Team & Communication

Flexibility & Scalability

Technology & Integration

Strategic Fit

You may weight these differently depending on your objectives.

But you should score them explicitly.

Cost

Evaluate:

Normalized total cost

Cost per order

Minimums and fee structures

Cost stability over time

If Provider A is $1,000,000 per year and Provider B is $1,050,000, ask:

Is better service and team worth $50,000 annually?

Often the answer is yes.

Very rarely does the lowest-cost provider win unless cost was the explicit objective.

Capabilities

Confirm:

SKU complexity handling

Temperature requirements

Channel mix support

Returns processes

Value-added services

Capability misalignment creates friction later.

Performance Track Record

Review:

SLA metrics

Reference checks

Client mix

Volume profile

You want to understand not just how they perform, but for whom.

If you would represent 70% of their volume, that is risky.

If you represent 2% of their volume, that may also be risky.

Team & Communication

Meet the actual operating team.

Assess:

Responsiveness

Clarity

Accountability

Cultural alignment

Fulfillment is operationally intimate. You will work closely with this team.

Flexibility & Scalability

Evaluate:

Growth capacity

Peak season management

Ability to adapt to business model shifts

Willingness to invest alongside you

You are choosing a partner, not just a warehouse.

Technology & Integration

Consider:

WMS capabilities

Reporting tools

Integration ease

Data visibility

But be honest about priorities.

A polished dashboard may matter less than cost structure and service reliability.

Step 5: Conduct Site Visits

Site visits are critical.

If possible, visit in person.

Morning visits are best.

During the visit, observe:

Cleanliness and organization

On-floor tempo

Safety and quality processes

SKU diversity

Employee engagement

Everyone presents their best version during an RFP.

Your job is to understand what their “best” looks like and what tradeoffs come with it.

How to Use Cost as a Separator

After scoring non-cost factors, use cost to break ties.

Example:

Provider A: Slightly lower cost, average team fit

Provider B: Slightly higher cost, strong team alignment

Ask:

Can we justify the delta internally?

If you choose the more expensive provider, the supply chain team should be able to explain why the incremental cost delivers measurable value.

Sometimes it does.

Sometimes it does not.

The key is intentional tradeoff, not default cheapest selection.

The Fit Principle

The objective is not to find the cheapest provider.

The objective is to find the best fit.

Fit considers:

Cost alignment

Capability alignment

Team compatibility

Strategic trajectory

Sometimes the best fit is the lowest cost.

Often it is not.

Common Evaluation Mistakes

Overweighting price

Not defining success criteria beforehand

Ignoring team chemistry

Skipping reference calls

Treating site visits as a formality

Underestimating scalability risk

Failing to explain cost deltas internally

Where Slotted Fits

Slotted supports structured evaluation by:

Normalizing provider cost structures

Enforcing capability filters before scoring

Enabling side-by-side comparisons

Encouraging fit-based decision criteria

Providing structured communication channels

The goal is not to help brands pick the lowest bid.

The goal is to help brands choose a provider they will not need to replace in two years.

Practical Guidance

If you are evaluating 3PL RFP responses:

Define your objective first.

Normalize cost second.

Score beyond price.

Visit the facility.

Force yourself to articulate why one provider is the right long-term fit.

The best decision is rarely the cheapest one.

It is the one you can defend strategically.