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Dropship Fulfillment – How Legitimate is Drop-ship Fulfillment

Dropship fulfillment, is a system that facilitates easy startup of an e-commerce or e-retail business online. It facilitates the sale and delivery of goods to a customer, be it directly from a supplier or through a fulfilment service. It takes little to startup and get going, which poses less risk to the dropshipper. Once you have the right product and the right marketing strategies, you easily use dropship fulfillment to easily scale higher and create more revenue.

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It is an order fulfillment method, that does not need the dropshipper to keep the product in stock, but rather take order for the product, and pass same to a third-party supplier, who then have the order shipped to the customer.

What is Dropship Fulfillment?

It is when a vendor fulfils orders from a third-party, and has them ship straight to the customer. It can be seen as an e-retail term where someone facilitates the selling and delivery of an online product without handling the goods physically.

How Drop-ship Fulfillment Work?

A dropshipper, communicates with a third-party supplier, and makes orders on behalf of a customer who has ordered through them. A dropshipper, will charge a price higher than that which the supplier offers, and takes the difference as revenue. Depending on the dropshipper, and the size of their business, the process may vary. But basically this is what happens:

  • A customer makes an order for a product from someone who is dropshipping.
  • Next, the dropshipper places an order with their supplier, and gets the item delivered directly to their customer who made the order.
  • The supplier in turn, ships the order to the customer but does not deal directly with them.

Is Dropship Fulfillment Right For You?

If you are considering ecommerce, dropshipping and fulfilment might just be what you need. This is because:

  • You are relieved of the management and mailing of deliveries. You can use that time, to focus more on your business.
  • With dropship fulfillment, you can start with a small amount of stock and level of fulfillment service before you expand.
  • It saves you the cost of renting a physical store, to store products.
  • It is a low-cost option, for starting your ecommerce business.
  • Some fulfillment services offer you access to SKU software, which helps you improve the efficiency of your business.

How Legitimate is Drop-ship Fulfillment?

Dropship fulfilment on its own, is a perfectly legal method of order fulfillment. Be it as it may, you may encounter legal issues depending on who your supplier is. Be sure to protect yourself with a Dropshipping Agreement Contract.

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How to Incorporate Dropshipping into your Business

If you already have an online presence in one or more stores, or know how to set one up, incorporating dropshipping is just like launching any other new product.

Here’s how to do it:

  • Find out what products would be the best fit for your strategy, market, and customer base.
  • Find out the price for which your competitors are selling the product.
  • Look for the best supplier.
  • Start, and conclude on a fulfillment process that’s ok for both of you, and incorporate the same into your system. Based on your sales management software, this could be easy or need sorting out some issues.
  • Finally, list and promote your new product. Ensure you specify any special conditions, like changes in shipping times or locations.

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