Drop shipping refers to a special type of trade in logistics. The retailer purchases goods from a supplier and sells them on to his customers without ever having physical contact with the goods. The goods are therefore delivered directly from the supplier to the customer; the retailer saves storage and transport costs.
The problem with this is that the customer is receiving goods from someone they don’t know at all. It is said that the customer has returned the delivery of goods because he did not know the sender. As a result, the retailer loses all advantages from the third-party business.
The solution to this dilemma would be if the supplier could create shipping documents with the design and content that the retailer would like. That would result in a very beneficial win-win situation for both dealers and suppliers:
- The retailer still saves on storage and transport costs
- The supplier establishes a more stable connection with the retailer, which can no longer be broken so easily just because another supplier offers the same goods at a slightly lower price.
ME, the costs for the provision of retailer-specific shipping documents can be charged to the retailer.
- Higher sustainability, since the goods only have to be shipped once.
A prerequisite for the close cooperation between dealer and supplier is that the delivery notes can be freely defined in your ERP system.
Delivery Note Features
Shipping papers can be complex documents. Depending on the industry, the following features should be considered:
- Customer and delivery address are different
- Delivery information according to time restrictions
- Delivery information according to traffic-related peculiarities
- Size/volume/dimensions of the shipping packages
- Weight of the shipment according to net, tare and total weight
- Serial and lot numbers
- Additional documents such as invoice or order. These are usually required for international deliveries.
- QR or barcodes with the item numbers
- EAN (European Article Number) or GTIN (Global Trade Item Number)
First of all, all e-retailers should know that drop shipping is a very popular method to reduce both operation cost and inventory management risk. Basically, product inventory is kept by wholesaler instead of retailer. Upon receiving customer order and payment, retailer will forward the shipment details (and payment) to wholesaler. The products are shipped by wholesaler to customer and this saves cost and time. There are many drop ship list directories available online and Mydepot review is one of the most popular directories.
Instead of providing a list of wholesaler/manufacturer/distributor, the review acts as a direct supplier. The online portal offers more than 1 million unique products and all you need to do is search for and purchase merchandise through the portal. There are many interesting and informative articles on the site as well. Generally, the site is easy to use and user-friendly. Most of the product offerings are genuine brand names. You also don’t need a reseller’s license to buy from the site. The biggest plus point is that it offers a 7-day free trial for those who are interested in giving the site a try.
However, the site charges a slightly higher membership fee compared to other directories and some of the products may cost more than what you can get from direct supplier purchase. You got to be wary of some of the claims made on the website as not all the statistics are entirely true. As with all other wholesale directories, the site has a possibility of running out-of-stock for some products. It helps to have other supplier or wholesaler you can turn to in case this happens.
In conclusion, previous users often cite ease of use as the biggest plus point of this directory. To find out how suitable Mydepot review is for your business, give the 7-day trial a go. You can learn much more about drop shipping as well!
Drop shipping is a retail fulfillment method in which the retailer does not keep goods in stock. Instead, when a customer places an order, the retailer sources the item from one of its suppliers and has it shipped directly to the customer from the supplier.
When you drop ship, you are acting as a middleman between your customers and your suppliers. This means that you will have to find reliable suppliers who can provide quality products at competitive prices. You will also need to find a way of storing these items so that they do not take up too much space in your own warehouse or retail outlet.
Drop shipping is a fulfillment method where the retailer does not keep any inventory, but instead transfers customer orders and shipment details to the manufacturer, another retailer, or a wholesaler.
The most common example of drop shipping is when an online store sells items without having them in stock and will ship them from their warehouse as soon as they receive an order.
A drop shipper can be either a wholesaler who sells products to retailers on consignment, or a company that purchases goods from manufacturers and then resells those goods at retail prices.