What is Drop Shipping?

Drop shipping

Drop shipping is a supply chain management method in which the retailer or merchant does not actually keep products in stock but instead organise for ship the products from the manufacturer or wholesaler directly to the customer. In this method, the merchant doesn’t see or handle the product and is only charged a price per shipped item.

 

Actually, Drop shipping involves following process:

  • Customer places order on retail website or store front.
  • Order is forwarded to wholesaler along with payment information
  • Wholesaler make the ordered product packed and ships it to the customer, with the retailer's contact details and branding on the delivery docket
  • Customer receives the product ordered
  • the retailer handles further enquiries or returns, if required

 

Benefits of Drop shipping

  • Saves time and money
  • Easy to get started
  • Wide Selection of Products
  • Flexible Location
  • Easy to scale


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