Fulfillment Cost measures a company’s expenses related to the physical delivery of products and services to the customer. Example costs include: Transportation costs, warehousing costs, handling costs, import/export duties, labor costs, depreciation/amortization and other costs. The Fulfillment Cost Ratio compares fulfillment costs to total sales revenue.
Unit of measure: %
A lower percentage indicates better cost performance. For benchmarking purposes this metric is measured annually. For scorecards, dashboards and cockpits these a typically a rolling number of months.
Compare to: Logistics CostCommunity Importance Rating: