Drop Shipment
Drop shipping is a logistics approach in which the vendor does not store or handle the goods being shipped. Instead, when a customer places a purchase, the supplier distributes the goods straight to the buyer. This avoids the need for warehousing, allowing vendors to offer a greater choice of products without the hassle of inventory management. It’s especially advantageous for organizations that want to reduce capital expenditure and streamline fulfillment.
Drop shipment procedures can be completely automated using logistics solutions such as CargoWise. The system integrates sales orders, purchase orders, and shipment details, allowing all parties to communicate seamlessly. It enables logistics workers to track shipments, manage billing, and retain visibility without physically handling the cargo. It increases operational efficiency, cuts delivery time, and boosts customer happiness, particularly in international trade settings where speed and flexibility are critical.
