How to do ecommerce drop shipping—the beginner’s guide

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How to do ecommerce drop shippingthe beginners
guide
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INTRODUCTION

• Drop shipping is a common retail fulfilment
  method where the manufacturer or distributor
  directly ship products to customers when an order
  is placed via an ecommerce website. In this case,
  retailers dont stock products or handle
  logistics.
• It can be beneficial to e-commerce retailers
  because it eliminates both investments and risks
  in inventory. On the other side, it also causes
  extra complexity in terms of delivery speed and
  coordination among the three-partiesretailers,
  customers and manufactures. In this post, we
  included some basic elements of drop shipping for
  you to consider.

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Why drop shipping

• Drop shipping reduces risks that online
  retailers, especially the new ones normally face.
  Less upfront investment requires less capital
  needed. Because retailers dont need to stock
  products, they dont have to pay for warehouse
  and related operation costs. In this way, online
  retailers can respond even faster to the
  ever-changing consumer needs. Its easier to
  offer a wider product selections without paying
  for inventory changes.  

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The disadvantages of drop shipping

• The challenges are usually paired with the
  convenience. Firstly, products are shipped from
  the third party, e-commerce businesses often have
  very limited control of the stock level of a
  certain product, delivery timeframes and shipment
  tracking.
• This happens in online marketing, especially when
  retailers deal with multiple manufactures who
  dont have real-time inventory management system.

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How to take advantage of drop shipping?

• To overcome the down side of the complexities
  mentioned above, e-commerce businesses should
  embrace technologies in place.
• A must-have is an API that facilitates real-time
  data transmission in a transparent manner between
  e-commerce retailers and manufactures.

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Conclusion

• As e-commerce continuously grows and the need to
  reduce supply chain complexity increases, drop
  shipping will be seen as a way to speed the
  delivery process and cut out middlemen cost. With
  the right technology systems, such APIs that
  allows immediate data transmission and real-time
  updates, drop shipping will be a winning method
  for e-commerce businesses and distributors/
  manufacturers.

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• 1-647-799-0657