When we talk of order fulfillment strategies, drop shipping is one of the most effective ones and one that is growing so much in popularity. In this style of order fulfillment, what happens is that the retailer will not necessarily have to stock the wares in their stores but will depend on their manufacturers and wholesalers to ship the products directly to their customers. By and large there are quite a number of perks that this kind of arrangement in trade comes with and as such has been seen to be such a love for many traders especially for the online merchants. The critical question as such happens to be on how it is that drop shipping actually work and does it really work? Read here for more on automated drop shipping.
Basically, this all starts at the point where a customer places an order for a drop shipped product online to a retailer. After the retailer has so received the order and the payment for the order so from the customer, they will then be tasked with the need to contact the wholesaler or the manufacturer issuing them with the purchase order for the required item and they will as well issue them with directions to have the item shipped directly to the consumer. The wholesaler or manufacturer will fulfill this and the retailer remains having earned their profit share. There are quite a number of benefits that come with drop shipping and these have served to make it such a popular alternative with many of the online merchants as have been mentioned here under.
Top of the benefits of drop shipping is in the fact that this allows merchants to have on offer for their customers such a wide product offering which is quite a contrast to what they would otherwise achieve when going for stocking of products in-store.
Added to this is the fact that drop shipping as well allows a merchant to come to market quite faster. This is looking at the fact that with drop shipping, wait times are entirely eliminated in the order fulfillment process. In fact, with drop shipping, a merchant can actually begin marketing products as soon as they get to be posted on the particular ecommerce site.
The other sure benefit that must be mentioned here on the benefits of drop shipping is in the sense that it really allows merchants to take a check on the investments that they make on their inventories. From this it is as such quite apparent that this is one strategy that allows ecommerce venture startups to be rolled out with the least of capital outlay and not as much as some have been led to believe.