dropshipping and courier

Dropshipping and courier services

The role of a good courier service in dropshipping

Introduction

Becoming a Drop shipping retailer means owning a virtual store rather than a real one. Instead of coming to your brick-and-mortar store to take a look of the products you offer, potential buyers will check them out on your website. And if they decide to buy an item you sell, you won’t be the one who sends it to them. That role is taken care of by the wholesaler/manufacturer, who will ship the item straight to the buyer without using you as the ‘middleman’.

The Importance of Courier Service in Drop shipping

In this day and age, you can buy almost anything on the internet. There are literally thousands of online stores out there, meaning that the competition is fierce. In order to succeed in this type of business, you need to do all in your power to keep the customers satisfied. And you can bet they’re not going to be satisfied if their package gets lost, damaged, or takes much longer to arrive than expected.

Drop shipping is the process by which an entrepreneur (wholesaler or retailer dispatches goods or items purchased by the customer via a third party delivery services whether he has the goods in stock or not. The logistics is really simplified and allows the seller, in a few minutes, to order from his supplier and at the same time send to his customer, without the need to prepare the shipment materially. Really good, isn’t it?

In Drop shipping, in fact, shipping can be handled by both the seller and the supplier. In the first case, the seller will have direct contact with the courier for the management of the triangulation, or will instruct his courier to collect third parties (at the supplier) and deliver to the final user.

In the second case, on the other hand, the supplier (manufacturer) will manage the whole, that is, he will instruct his courier to pick up at his warehouses and deliver to the final user.

Reliability

If an item is going to be shipped from another part of the world, the manufacturer or retailer wholesaler probably won’t be willing to risk anything. Instead, they’ll insist on getting paid in advance. That means that either you or the customer is going to have to pay for it before the item gets on its way. And because of that, not receiving the package (or getting a damaged item) is going to mean loss of money.

To reduce the risk of such a scenario, the best thing you can do is find a reliable courier company, even if that meant paying more for the service or waiting a little bit longer for the delivery.

Delivery time

When you buy something online, you want it to get to you or your preferred address as soon as possible. You need to be sure your courier option of choice is efficient not to delay the delivery as this could be a turn off for customers especially when the items are important and urgent. If you feel the delivery time is not believable as a result of past experiences you should have a discussion or better still sign an agreement with your delivery company regarding items that are related to time sensitive deliveries.

Price

In the process of drop shipping, the cost of delivery is usually included in the cost of the item being purchased by the customer. This is because the courier is a third party arrangement either from the seller or from the manufacturer.

Coverage

A big factor in deciding which courier company to use. You need to pick it according to the location of the wholesaler, as well as the location of most of your customers. You can also have a discussion with your courier company if they are willing to take your request based on the locations of your customer and manufacturer respectively as they would be responsible for getting the items form the manufacture to the customer

Distribution

With information systems guiding batching and distribution, riders’ activities are not left to discretion as this could affect major deadline and important deliveries. For efficiency in distributions delivery officers are assigned to areas and zones allocated by analysis of the terrain knowledge and capacity of the delivery officer.

For example the hub and spoke distribution paradigm is designed to keep cost down by receiving goods from many different origins, consolidate them and then send to their respective destinations. Here each zone is assigned a delivery officer responsible for any order originating from or terminating at that zone. He then returns to the hub every turn around time (e.g. 90min) for package exchanges and then repeats the procedure till days end.

Parcel tracking

For low-value shipping, some shipping companies don’t offer parcel tracing. And this increases the risk of the package getting lost. With no parcel tracking option, neither you, nor the buyer, nor even the wholesaler will know where the item is.

Returned items

If the buyer isn’t pleased with the product for whatever reason and wishes to return it, who pays the shipping fees? You, the buyer, or the shipping company? Problems do happen in the drop shipping business and you need to have a solution ready.

FInding the perfect courier service

These are the things you need to take into account, as they can affect your drop shipping business significantly. A poor courier company can tear your customers away from you. A good one, will keep them by your side.

Finding the perfect balance between user satisfaction and your profits is of utmost importance here. At Tepco courier we ensure your customers utmost satisfaction throughout the whole process.