The term drop shipping gets confused with traditional eCommerce fulfillment. However, these two models of getting products to your customers are very different. The terms eCommerce fulfillment, and order fulfillment refer to traditional fulfillment.
Here’s how eCommerce fulfillment works:
You purchase or manufacture products to sell online. Before you start selling your products online, you pay up front for the merchandise. You ship your stock to a third-party fulfillment service. When a customer places an order, your fulfillment center ships it to the customer. The fulfillment center pulls the order from your pre-purchased inventory. All the money from your order flows into your business. Your profit is the difference between the sale price and your wholesale costs plus overhead.
While Drop shipping allows you to sell products with less investment at the beginning. The trade-off for this reduced risk is less control over the fulfillment process. In addition, your profits on each sale will be lower.
Here’s how drop shipping works:
You place items from a manufacturer in your online store. You don’t buy inventory. When you receive an order, you relay it to the manufacturer. The manufacturer ships orders directly to your customers. You never own the merchandise you sell. This is the essence of drop shipping. You split the profits with the manufacturer. Your cut is less when you drop ship than when you maintain your own inventory.
Whatever your business needs are we are here to help! Under the several vertical at Fair Trade L.L.C we provide:
Fulfillment services through our Division Fulfilled-BYFT
Ecommerce Services and listing services through our E-commerce division
A marketplace www.byft.store to sell your products
Go To market Consultancy through our Business Consultancy Division
To know more please visit https://ftrade.ae/
