The COVID-19 pandemic has changed the way supplement brands and businesses approach direct-to-consumer selling. According to market research, the global eCommerce market is expected to grow at a CAGR of 14.7% through 2027 as the preference for online shopping continues to rise. Currently, about 36% of all consumers shop online, which is a 12% increase from the pre-pandemic era. As a result of the boom of eCommerce, many supplement brands and businesses are leaning on dropship fulfillment partners now more than ever to get their supplements to their consumers quickly and cost-effectively.
What Is Dropship Fulfillment?
Dropshipping is a method of fulfilling product demands that allow brands and businesses to sell their supplements without having to physically own inventory. Instead, their supplement inventory resides at the dropshipper’s warehouse. The supplements are purchased based on customer demand, and consumers only transact with the brands when they place an order. Through dropshipping, your products are delivered straight to the doorstep of your customer. With this type of fulfillment model, there is no longer a need for a middleman, and the brand does not have to handle the items directly.
To put it simply, when a supplement is sold through your brand’s eCommerce website, your brand purchases the items from your dropshipping partner. The dropship warehouse receives the order, looks for the supplements ordered, packs them into a box, handles the paperwork, and directly ships them to the customer. This allows for an easy way for supplement brands and businesses to get their product to the consumer without ever having to deal with the actual product itself. A seller may simply check for the necessary details in the order, such as the address and contact information. Once these are verified, the product can begin transit from the dropshipping warehouse to the buyer’s doorstep.
Benefits of Supplement Dropship Fulfillment
Dropship fulfillment provides a lot of advantages for your supplement brand. Dropship fulfillment allows you to easily ship your supplements directly to consumers without the extra hassle of handling the product. The biggest advantage in this is that, by partnering with a dropshipping company, you will be able to reallocate your resources and efforts into other important facets of your business. Additionally, partnering with a dropshipping company allows you to expand your geographic reach and target consumers that you may not have been able to before. Dropshipping operations can also be carried out from anywhere globally, as long as there is stable internet access.
Another crucial benefit to acquiring a dropship fulfillment partner is that your company can cut costs associated with hiring more personnel and managing warehouse space. Inventory counting, pick and packing, receiving, shipping, returns are almost all handled by the fulfillment center. Thus, there is a higher opportunity for profit and revenue. The risks are almost nonexistent since there is no commitment to sell items directly. Not only is a dropshipping model more profitable, but it is also more convenient. A dropshipping model enables brands to worry less about logistics and focus on order fulfillment. They no longer need to worry about warehouse costs, packaging orders, and checking inventory.
Finding Your Supplement Dropship Partner
Finding the right dropship partner is critical to the success of your supplement brand. Your dropship fulfillment partner should be able to align their services to your business goals and visions. They will provide:
With eCommerce fulfillment, your dropship partner fulfills each order through an eCommerce platform. This type of dropshipping enables you to ship your supplements from the dropshipping warehouses straight to your customer’s doorstep with just one click of a button.
Ship faster and smarter with scalable dropship fulfillment services. In this type of dropshipping model, your dropship fulfillment partner works with you to fulfill orders no matter what stage of your company’s growth. This allows for a dropship fulfillment system that will scale with you as your business expands.
Fulfillment by Amazon
Amazon-friendly dropshipping allows you to prepare your inventory as per Amazon requirements. To accomplish this, information such as quantity and weight will be collected and logged in a database. From then on, Amazon takes care of all the logistical concerns, such as shipping, delivery, and handling.
How To Choose the Right Dropship Partner
It can be hard navigating how to find the perfect dropshipping partner for you. To help you kickstart your search, we’ve put together 4 simple steps on choosing the right supplement dropship fulfillment partner.
- Begin your search: Start simple – talk with any industry contacts you have via social and professional networks. Getting recommendations from your network ensures more trust and certainty with each endorsement. Reach out to your contract manufacturing partner, as Paragon Labs has a list of third-party fulfillment partners that they would be able to share with you. Additionally, by insourcing within your network, you will be able to learn about their experiences with their dropship partner. After insourcing, it is a good idea to outsource your search as well. Use search engines such as Google or LinkedIn to see the dropshippers available in your area.
- Research each potential partner: Once you’ve got a list of potential dropship partners, make sure to do extensive research on each. Delve deep into each company’s background, service potential, and delivery rates and times. This is a crucial step since your dropshipper will be in charge of all your logistical concerns. Remember to check reviews and customer testimonials to see how they work with other companies and brands. This will provide you with valuable insights regarding their business manner and practices.
- Start a conversation: After you’ve narrowed down your list to two to three potentials, start a conversation with them. Introduce yourself and your business. Let them know what you need and what you expect from their services. This is also a great time to ask them questions to see if they are the right fit for your business. Check if they are FDA cGMP compliant if they can seamlessly integrate with your systems, and provide you with a variety of shipping options.
- Test out their services: Check if your potential dropship fulfillment partner offers trial periods. These trial periods will allow you to test out the delivery times, packaging, and overall quality of the products they offer. By participating in a trial period, you will be able to see first-hand how consumers will experience your product. This will help you decide if it is worth the effort to establish a working relationship with them.
Times are changing and supplement brands and businesses who want to stay relevant and ahead of the fray must consider their dropship fulfillment options. Finding the right dropship fulfillment company can not only help your supplement brand meet customer expectations, but also establish and capture more market share in an ever growing industry.
Paragon Laboratories is optimized to help you find the best 3PL fulfillment channels to get your product directly from our facilities to your customer’s doorstep. We provide you with introductions and advice when it comes to picking the best dropship fulfillment partner for your business. Interested in learning more? Contact us today.