A well-executed drop ship solution can convey significant benefits to both retailers and suppliers:
- Chance to compete on a more level plane with e-tailers
- Ability to extend product offerings without incurring additional costs and risks
- Higher volume direct-to-consumer capabilities
- Overall enhanced supply chain and higher profits
By demonstrating advanced drop ship capabilities, a supplier can become even more attractive to retailers, giving the company a competitive edge. Plus, drop ship can dramatically increase product distribution and even segue into a stronger presence in retailers’ brick-and-mortar locations.
Although drop ship offers suppliers extraordinary opportunities for growth, this fulfillment method also entails its own unique challenges and compliance guidelines for suppliers. The good news is, with the right tools and partnerships, suppliers can overcome these challenges and realize the immense possibilities.