May, 2015 | Modalyst

Retailer’s Guide to Preparing for Dropshipping

Posted on May 20, 2015 by Lillian Anselmi

The Dropshipping fulfillment model allows entrepreneurs to run an online store with ease and grace.

To reap the benefits right now of the dropshipping business model, you should prepare now and get a head start!

Below are tips for drop shipping retailers on how to set up your ecommerce business.

Prepare your legal documents

Your business is awesome, and you can’t wait to introduce yourself to potential suppliers and brands. We get it!

Make sure your introduction is thorough and complete with documents like an EIN Number, your tax ID, and a former purchase order.

These are documents many brands ask to see before establishing a new relationship.

Find Suppliers that are a good fit for your store

Next comes the fun part: finding and choosing dropship suppliers you want to work with. It is not just about finding the right brands for your store, but making sure that they offer dropshipping as well!

Modalyst is a curated platform featuring hundreds of brands. For retailers who are drop shipping, we have a marketplace that will direct you to find brands that are pre-approved for dropshipping. This will help you save time and energy on finding qualified brands!

Present Your Dropshipping Contract

A dropshipping contract is necessary with all brands you would like to work with.

The contract should outline commission split, lead times, shipping, etc, Luckily, Modalyst has a standardized contract for all retailers to use. Retailers no longer have to go through the headache of creating their own contracts!

One-click Sourcing

Collect product information from the brands you are dropshipping with, and start listing them on your ecommerce platform!

If you are a Shopify or Wix store using Modalyst, enjoy the convenience of one-click sourcing through our API Integration.

Market your brands and collect orders

What’s awesome about dropshipping is that you no longer have to worry about fulfilling orders. Once your customer submits an order, send it your brand to fulfill. Spend the time that was previously used for running to post offices for marketing your brands! Invest in digital marketing on sites that interest your customers. This can be Facebook, Instagram, Reddit pages, and etc.

So what are you waiting for? Source, list, market brands, repeat!

Dropshipping is the Retail Solution

Posted on May 19, 2015 by Lillian Anselmi

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The nature of retail is changing from holding inventory to dropshipping. Retailers have realized how much inventory distortion costs them, so they try to minimize distortion and risk as much as possible. Inventory distortion is out-of-stock and overstock inventory that causes revenue loss. It’s an $800 billion issue for retailers worldwide. Dropshipping is an attractive strategy for retailers because they pay for an item after collecting payment for it.

Financially, it can be challenging for brands to support this fulfillment model, but it is a profitable way to create relationships and to widen distribution!

Dropshipping is the Solution!

Seize the opportunity with dropshipping. In today’s world of e-commerce and retail, more and more brands are supporting the demand of dropshipping by holding their own inventory. Dropshipping is the perfect opportunity to expand your product into new channels and access consumers that were previously out of reach. Since retailers carry less risk by not paying for inventory in advance, they may be willing to accept smaller margins on drop ship fulfilled products. Our dropshipping program automatically enables brands to keep 60% of the MSRP, leaving more money in brands’ pockets.

More Brands, Less Risk

Posted on May 13, 2015 by Lillian Anselmi

Do you find yourself committing your buying budget season after season to brands you already carry? Buying from brands you are already familiar with is a smart choice for inventory efficiencies but do you ever have the urge to differentiate your product selection and try out some new brands.

You could really “wow” your customers by introducing them to unique, one-of-a-kind products they can’t find elsewhere! The financial commitment of holding inventory from a new brand may seem daunting but we have a fool-proof solution that will allow you to expand and diversify your inventory with confidence! Modalyst’s Dropshipping Program eliminates financial risk and inventory risk.

With *dropshipping, this nightmare is lifted and you are able to list as many brands and products as you like without risks! Dropshipping enables virtual inventory and eliminates the constraint of physical inventory. Simply buy the item when you receive an order, and let the brand ship the order directly to your customer!

E-commerce retail is a $220 billion dollar market in the U.S. and is growing year-by-year at close to 17%. According to a 2009 report by the American Society of Business and Behavioral Sciences, 22-33% of these E-commerce retailers use dropshipping as their primary method of order fulfillment!

Dropshipping has opened up the ability for retailers to exponentially increase product selection while reducing inventory risk. Jump on to this growing trend and join Modalyst as we launch our Dropshipping Program this June!

What is Dropshipping?

With dropshipping, retailers host product images in their online store without holding any inventory. When an order is received on the e-commerce platform, the retailer will pass the order to the brand,who then ships the order directly to consumer.

Want a FREE month of dropshipping with Modalyst? Comment below or email team@modalyst.co now and we’ll give you a free month’s trial!

Want to learn more stats on dropshipping? Check out this page!

Learn how to start a successful dropshipping business with Modalyst. Overnight.

Month: May 2015