As the retail industry continues to shift to meet consumer demands, it’s clear that retailers making strategic investments in digital solutions are making smart moves. Forrester’s analysis proves that a drop-ship model is a clear competitive advantage for enterprise retailers as they shift more of their focus to online sales.
Forrester based their Total Economic Impact™ (TEI) framework on a composite business in North America, a multi-category, large format store with annual sales totaling $20 billion, of which $4 billion comes from ecommerce. They interviewed four Rithum customers that had fully operational in-house drop-ship programs or newly implemented these programs to determine their findings.
Based on interviews, Forrester found that Rithum customers experienced quantified benefits that include:
- Product assortment expansion of hundreds of thousands of products per year
- 99% fulfillment of drop-ship orders
- A 66% reduction in time spent onboarding suppliers to their drop-ship network
The study’s participants realized additional performance results, including millions of dollars in savings from not having to build their own drop-ship network, opportunities to grow their networks with qualified suppliers from Rithum’s network of 12,000+ suppliers along with the ability to quickly meet heightened demand for ecommerce to address shifting consumer demands in times of uncertainty. These benefits are expected to have a further impact on ROI results.
Download the Total Economic Impact™ of Rithum study here.
And register for one of two joint webinars—Drive Profitable Online Growth Through Drop Ship—hosted by Rithum and Forrester’s Corey McNair to learn more about the study’s key findings.