When you offer an omnichannel shopping experience, it's easy for your fulfillment operations to get overwhelmed. For some retail and eCommerce businesses, this occurs annually as online orders flood in and foot traffic increases during the holidays. But other businesses experience this more gradually as popularity for their products steadily grow over the years.
No matter when (and how often) the increased demand impacts your business, you need to have an effective strategy in place to scale your operations successfully. In this post, we’ll discuss the value of dropshipping as a fulfillment strategy and share a few instances when you should consider using it to enhance your omnichannel fulfillment.
What is Dropshipping?
First things first: dropshipping is a form of fulfillment that places the responsibility for order packing and shipping on suppliers. Generally, this is how it works:
- Retail and eCommerce businesses accept customer orders via their various online platforms like their website, landing pages, and social channels
- The orders are passed to their suppliers
- And the suppliers pack and ship orders directly to the customers, using their own fulfillment carriers and systems