This practice involves sourcing products from a marketplace like Amazon and directly shipping them to customers who purchase them through a separate e-commerce platform, such as Shopify. The seller acts as an intermediary, listing products for sale without holding any inventory. When a customer places an order, the seller forwards the order details to the original supplier, who then ships the product directly to the customer.
Employing this approach can potentially lower upfront investment and reduce inventory management responsibilities for online retailers. Historically, this model has allowed individuals and smaller businesses to enter the e-commerce market without significant capital outlay. However, it requires careful consideration of supplier reliability, pricing strategies, and potential challenges related to shipping and customer service.
