Amazon Just Changed Dropshipping Forever

Did Amazon just change dropshipping forever? Did Amazon just revolutionize Dropshipping for everyone?

Amazon opens up Prime delivery service to other retailers (Breaking eCommerce News)

Today is a BIG day for amazon.

They just opened up their prime delivery service to other retailers, which means….hypothetically, if you order a product from kholes for example….or bestbuy, it could arrive in an amazon package.

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The only major companies that I know that have their own top of the line logistics set up are Amazon and Walmart.

This is how they’re able to get millions of products to customers in just a day or two.

So if you’re a big retailer…. or you sell products online…and you’re looking for the most cost effective way to get your products delivered to customers the FASTEST…..Amazon probably makes the most sense.

It’s super advantageous for a company to use them because….

In theory, it’ll most likely be cheaper than usually UPS, fedex, or the post office

Delivery to the customer will happen a lot quicker (just a few days on average now – compared to a week roughly in most cases previously)…..which means much happier customers, better trust, and brand loyalty for these companies.

And on top of that, they won’t need to store as much inventory (or potentially any at all)….because they can have amazon store their inventory, and then ship it directly to their customers super quickly.

The sale and the customer still stay with original company….but all the logistics of shipping and delivery for the product are taken care of by amazon.

So, why is that important and how does it apply to you….?

Well, first of all, if you sell products on your own website, if you dropship using your own site, shopify, or whatever…..you can now send your products to amazon warehouses and have them fulfill products A LOT quicker to customers.

There will be much better quality control, much better storage conditions, inventory tracking, shipping times to customers….and amazon will handle all the returns and customer service (for the most part).

Since this is kind of breaking news all the kinks haven’t been ironed out yet…..and we’ll see this play out in real time coming soon.

But theoretically, you’ll no longer have the massive headache of finding a good warehouse, logistics partner, or 3PL to store and ship products for you. Because you now have access to the best one in the world.

On top of that, if you retail dropship on sites like Facebook (like I do)….this single handedly tackles issue most beginners have with starting.

I get asked on a daily basis “what if the customer realizes you’re dropshipping products from amazon and gets mad?….or realizes they could’ve bought the products cheaper elsewhere?”

This has always been a non-issue because most people
1) don’t care
2) or purchase online so much they don’t keep track of all their specific products and where they should be coming from
3) or don’t think anything of it because they’re so used to receiving amazon packages.

This could mean a million things besides the fact that this product was dropshipped to them.

It could mean you used an amazon box to ship it to them (I mean who doesn’t have extra amazon boxes laying around these days?)

And now it obviously also means you might just have a logistics deal setup with amazon. Now, even more than ever, if a customer receives an amazon box….it could’ve been ordered and came from a number other places outside of amazon.

This was already partially true with sellers on ebay and sellers on Walmart (multi-channel fulfillment has been a thing for a while)….where amazon will store your inventory you sell on other websites and ship it to your customers for you.

It’s just becoming more mainstream now. And more and more customers will be used to it.

So, big news out of amazon today. Huge things to come. This is super exciting for the future of retail dropshipping…..but also if you dropship on shopify or your own website, there are some exciting things that could come from this.

Article Referenced: https://www.cnbc.com/2022/04/21/amazon-ramps-up-fedex-ups-rivalry-by-expanding-prime-to-third-parties.html

Amazon Is Quietly Shipping Non-Amazon Orders To Compete With FedEx, UPS (YouTube Video Referenced): https://www.youtube.com/watch?v=yaSrubpNTCY