What is Drop Shipping?

Drop Shipping

Drop shipment or drop shipping is a type of retailing where you (the retailer) does not keep a stock inventory of the products they sell. Instead, when your customer orders an item, you pass the order along to a distributor who actually stocks the item in their warehouse. The distributor then packs and ships one unit of each item and sends it directly to your customer on your behalf.

What are the benefits of Drop Shipping?

Shipping direct from a drop shipper to a customer is a money and time-saving alternative to storing product in a warehouse (or garage) in hopes that your customers will order all items in your inventory. If a product is not sold this can be costly, cutting into profits. With drop shipping there is very little investment required, no inventory to manage, and since you sell the item to your customer before you order it from us, you always have positive cash flow. Sell first, buy later! Some of the advantages of drop shipping are:

• Eliminates product inventory costs and headaches

• Products are sold first, then purchased: dramatically improves cash flow and reduces risk

• Reduces labor time and cost by outsourcing the picking, packing and shipping of items

• Eliminates unnecessary freight charges by shipping direct to the end consumer

• Scalable model allows you to offer larger product selection without additional costs or labor

• Increases flexibility and improves your time-to-market: you can start selling today!