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Diversify Your Fulfillment Strategy with Amazon Dropshipping

Use Amazon dropshipping alongside FBA to offer more of your catalog on Amazon, protect against market volatility, and mitigate risks from Amazon’s repeated FBA inventory restrictions.

The Dropship Model

Why Use Amazon Dropshipping Alongside FBA?

AMAZON FBA IS VOLATILE

Since early 2020 through today, Amazon FBA has repeatedly restricted inventory limits. If consumer demand exceeds your FBA quantity limit, you’re losing sales. Dropship is your safety net for FBA.

GATHER PURCHASING DATA

Dropship can serve as a testing ground for FBA, allowing us to learn how products perform in the Amazon marketplace. We apply those learnings to successfully transition products to FBA.

DROPSHIP IS BETTER FOR AMAZON B2B

Generating over $25 billion in annual sales, Amazon Business offers rich potential. However, large volume orders, combined with FBA quantity limits, often makes dropship a better match for B2B orders.

DROPSHIP IS SUPERIOR FOR SOME PRODUCTS

Not all products are suited for FBA. Plenty of types of products can be fulfilled more cost-effectively through dropship than FBA. This can include:

  • Oversized products, such as instruments, sports equipment, or furniture
  • Newer products that do not yet have the sales velocity to meet our PO thresholds
  • Clothing and other products subject to rapidly changing trends

Why Dropship With Kaspien?

DEDICATED ACCOUNT MANAGER

You’ll work with an experienced account manager specialized in your industry who will handle the day-to-day of growing a thriving online sales channel.

AUTOMATED REPRICING

We take MAP seriously. Our automatic repricer can be set to never go below your minimum price. We can also set a maximum price, so your price never inadvertently exceeds Amazon’s pricing policies.

DETAILED REPORTING

You deserve visibility into your dropship performance. Upon request, we offer sales reporting, net margin reporting, marketing performance, and more.

MARKETING SUPPORT

We’ll amplify visibility and grow sales in the highly competitive Amazon landscape using a combination of organic and paid efforts, including ads, SEO, review generation, and more.

AUTOMATED SKU CREATION

Our system automatically creates SKU-UPC-ASIN associations for your listings so you can start selling faster. Our team also manually reviews and creates any associations that couldn’t be automatically matched.

DYNAMIC SHIPPING COST ANALYSIS

Our system constantly re-evaluates shipping costs and profitability, ensuring we maintain optimal costs to foster a sustainable, lasting partnership.

How It Works

We can partner with distributors and brands to provide multi-marketplace dropshipping in addition to or instead of FBA.

Integrate with our Dropship Order Management System

We list your products on Amazon and pass orders back to your system

You fulfill the orders as they come in and update available units in your system

We pass updates from your system to the listing, maintaining accuracy and alignment

We provide marketplace data and analytics

Case Study

ABOUT THE BRAND

PlexiDor Performance Pet Doors has manufactured high-quality pet doors since 1985, providing customers years of safe, trouble-free service for their pets.

BACKGROUND

Prior to partnering with Kaspien, PlexiDor worked with a third-party seller that failed to uphold their commitments. After the poor experience, PlexiDor was hesitant to entrust inventory with another FBA seller, so they asked Kaspien to start by selling via Amazon dropshipping instead of FBA to prove we could drive sales and uphold their brand integrity.

OUR STRATEGY

As PlexiDor transitioned away from their previous partner, we integrated our proprietary dropship order management system with their warehouse network.

We used dropship as a testing ground, building our understanding of PlexiDor’s products within the context of the Amazon marketplace. As we drove sales and earned PlexiDor’s trust, we transitioned products from dropship to FBA. We retained dropship capabilities for all FBA listings, which allowed PlexiDor to capture additional sales when Amazon reduced FBA storage limits.

OUR RESULTS

  • 100% of product catalog represented on Amazon
  • 30 SKUs transitioned from dropship to FBA
  • 75% sales growth year-over-year
  • $185K Amazon ad sales at 6% ACOS

As Featured In:

Forbes
CNBC
WSJ
GeekWire
Business Insider
MSN Money

Grow Your Dropshipping Business with Kaspien

LEVERAGE OUR PROPRIETARY DROPSHIP ORDER MANAGEMENT SYSTEM

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Can offer entire product catalog on Amazon

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Sell on multiple marketplaces

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Enjoy custom transaction mapping

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Connects with your existing FTP, SFTP, API, EDI, or AS2

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Avoid fees for oversized or slow-moving products

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Do not have to meet increasingly high IPI requirements