How Dropship Companies Can Help Your Bottom Line
True dropship companies are wholesalers who will fill your customers’ orders for you. Shipments are made in your name or your company’s name, so the recipients are none the wiser. This eliminates the possibility that your hard-won customers might somehow manage to order directly from your supplier.
Having your products drop-shipped allows you to accept special orders from customers. Perhaps you are a retailer who stocks a limited inventory. Should a customer express interest in a product line you do not stock, you can offer to order the product for him.
You should have some type of catalog available that has pictures and specifications for the items. You may be able to obtain one from your wholesaler. You can also create your own catalog that combines items from all of your suppliers. Many customers are uncomfortable ordering an item sight unseen. A catalog lets them actually see what they are buying.
Drop shipping allows you to concentrate your investment in inventory on products that are most profitable or quick movers. For example, if you sell tabletop fountains, you might not want to tie up your money in a line of expensive garden fountains. However, there is a good chance that sooner or later a customer will visit who is seeking just such a fountain. By allowing him to order what he wants, you not only make a profit but secure a happy customer as well.
By allowing your supplier to drop-ship for you, delivery time to the customer is reduced. You do not need to wait for the product to arrive, re-pack it if necessary, and then ship it to the customer. Depending on the distances involved and shipping method selected, you can speed delivery by two to five days.
You will probably save on shipping costs when you choose to drop-ship. If you have an order sent to you, you will then have to pay to have it sent to its final destination. In addition, it is not uncommon for a large supplier to receive discounted rates due to volume.
Some dropship companies have no minimum requirements for shipments you want sent directly to your customers. Even some wholesalers who assess a minimum order size when you purchase product for stock will waive the minimum requirements for drop-shipped orders. Locating supplier with liberal order policies can help you convince customers to special order as well as increasing profits for you.
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