How ERP integration with Dropshipping improves profitability

Dropshipping is a fulfillment model of the supply chain process to help you run your eCommerce business independently. By leveraging the drop shipping integration services, you can have a successful business, in which you don’t need a dedicated inventory to manage or keep stocks of goods. Instead, you can process customers’ orders to the manufacturers or suppliers, who then deliver the goods directly to the doors of the customers.

eCommerce drop shipping solutions free up resources and time you need to have to manage the entire warehouse operations, inventories, as well as timely transit of the goods. To be able to align well with the sales order fulfillment and track every order, you must take the help of an ERP.  No matter what particular business format you have, cloud-based drop shipping software can best control drop-ship orders. Let’s understand how it works.

Dropshipping – its processes

An ERP can better manage drop shipping nitty-gritty. When you integrate your dropship into an ERP, it operates all of its functions from a single dashboard. Similarly, the process helps you keep your customers satisfied by creating a dropship against the sales orders.

By all means, dropshipping can be used to avoid any type of backorders or delays as generally found with the delivery practices by retailers and manufacturers.

With drop shipping platform, there is a couple of process taking place in the whole system.

• Choose products
• Import product files to your online store
• Customer places an order and makes payment
• Dropshipping owner forwards customer orders to the supplier and makes payment
• Ship and product fulfillment through the supplier

It needs you to send a purchase order via mail to your supplier. Also, you can retain a copy of the purchase order. But, the drawback is your inventory does not update the quantities of orders passing through you. The supplier has all the details of the stock quantities as they process the order.

But, an ERP can eliminate this hurdle and improves view into every activity of inventory management.

An ERP and drop shipping management

eCommerce drop shipping solutions allow you to have an ERP and drop shipping management system merged for an extra length of visibility into the whole operations. Everything is visible through an integrated ERP dashboard.

An ERP dashboard performs many things to enable efficient drop shipping services.

• Prepayment of drop shipment is notified.
• Order received from customers is notified.
• Accounts payable interface delivers order receipts.
• Order history involving the payment deposit and receipt is reflected.
• Invoice produced instantly.

Dropshipping integration into your eCommerce can perform through cloud-based ERP too. Whatever goods you deal in can well align with the cloud-based drop shipping and also cloud ERP. You can calculate freight charges of orders too, which can later be added to the receipt.

eCommerce business needs to deal with millions of products, and also process bulk orders at one go. An ERP helps get out of the troubles of product management which further helps in generating a single purchase receipt for a whole set of orders.

The built-in order management module can adjust to standard product orders. More so, an integrated dashboard gives you an analysis and insight capability about your drop shipping performances.

Calculating sales tax is another tough job for us. But, sales tax automation is an add-on that calculates taxes of products from different states and locations, which can be later added to online orders and receipts.

To sum up

With cloud-based ERP into your dropshipping services, you can manage everything from anywhere and anytime. Gain more clarity on the functions that are taking place during drop shipping. Implement today with us.