Green sale / Dropshipping in e-commerce
What is green sales in stores?
After making a purchase through the Internet, customers generally do not know the operation and logistics that occur in the company. I will try to reveal some methods that occur today in the electronic market.
What is dropshipping?
In the world of virtual stores, it is known as dropshipping or selling in green for the sale of products that do not have physical existence , that is, where the seller does not actually own the product physically at the time of purchase. purchase. It is worth asking then, who has the product.
At the same time that the customer makes the purchase, if the website has an adequate operation and handling of APIs , the data should be stored and sent to the supplier of the brand so that it can send the product to the store and they to the end customer. This treatment of stocks and inventories has a series of very interesting implications from the point of view of digital marketing because the website only works as a pivot of the final seller.
Features of dropshipping
Selling green is having a huge impact on the e-market due to the proliferation of new stores. Regarding the relationship between online store and supplier, it is win - win. Because the vendor manages to sell its products and the store manages to sell its products, it becomes a modern division of electronic work.
The online store is dedicated to doing important marketing work in the development of its infrastructure and web design, incorporating new concepts such as user experience (ux) as well as applied neuromarketing trends in favor of its conversion rate (sale with respect to visitors). Regarding investments, empowerment is generally raised by understanding user behavior, SEO improvement and direct investment in Google Ads or Facebook Ads advertising (without going into obscure topics such as remarketing).
For its part, the supplier is dedicated to developing a B2B system (business to business) that allows the purchase and display of products to the store in question. Today there are still providers who work sending Excel templates to their distributors by email mainly due to ignorance about automated methods. Another supplier profile is the one that does not indicate the amount of actual stocks, but only their availability, losing all the benefits that automation implies.
These are generally companies that create products based on imported prototypes, or small franchises that serve the electronic marketplace.
The most frequent difficulties are in delivery times, because dropshipping between Santiago and Puerto Montt is technically possible, but logistically it does not make any sense, especially if the buyer lives in the north. Without the intention of going deeper, this reveals that capitalization models occur less in the periphery.
Another problem that developers are faced with is about the management of availabilities: How does the store update the supplier's stocks in the store? For high-demand products or suppliers that handle many products but in low quantities it can be tortuous to achieve efficient timing. However, the solutions today are at work through APIs, even if you use an ERP.
Putting aside the adversities that this method offers, the pros it offers can be very beneficial for a fledgling project. On the one hand, the store can offer more products and the investment in stock purchases can be even zero, avoiding the typical problems of product stagnation and lack of liquidity.
In this sense, it is the retail companies and large dinosaurs such as Falabella and Ripley that, for years, have been proposing alternatives such as bankarization to have lifeguards. Today the task is for small shops to develop systems that measure up and not die of success , as a friend says.