Dropshipping is a retail fulfillment method in which a store doesn’t keep the products it sells in stock. Instead, when a store sells a product, it purchases the item from a third party and has it shipped directly to the customer.
As a result, the merchant never sees or handles the product.
Amazon is one of the many platforms that allows merchants to sell products using the dropshipping model.
In this case, merchants can list products for sale on Amazon and, when an order is placed, purchase the item from a third-party supplier and have it shipped directly to the customer.
Dropshipping has become a popular fulfillment method for merchants selling on Amazon and other platforms because it allows them to offer a wide range of products without the need to invest in inventory upfront.
It can also help reduce the risk of carrying unsold inventory, as the merchant only purchases products when there is a confirmed sale.
However, it’s important to note that dropshipping on Amazon also has some challenges and limitations.
For example, it can be difficult to maintain control over the quality of the products being shipped to customers, and there may be longer shipping times compared to fulfilling orders from a warehouse.
Additionally, some third-party suppliers may not always have the inventory in stock, which can lead to delays or cancellations of orders.