One of the most significant trends in distribution over the last decade has been shipment of orders
to the customer directly from the manufacturer or master wholesaler as opposed to distributor stock. This extends a distributor’s product reach and reduces the need to invest in “just in case” or transactional inventory. Today virtually all distributors “drop ship” and many do this for the majority of their customer transactions.
Drop ship fulfillment is the key element in a successful supplier-direct sales model. When setting up a drop ship program, it is often unclear where and how to begin. How the program is implemented and managed will directly impact your customers and your bottom line. Download the CommerceHub® white paper that details decision points for getting started, and provides drop ship best practices to consider.
With the economy slowing and the cost of capital to hold inventory rising, multi-channel retailers are looking to supplier-direct fulfillment to reduce inventory carrying costs and operational expenses.