4 Reasons to Automate Your Drop Ship Process with a Cloud-based EDI Solution

Third-party drop shipping is increasingly popular in supply-chain management because it offers merchants an “endless aisle” without adding the extra costs associated with holding inventory. However, for many businesses, drop shipping is still a very manual process, which leads to inefficiencies, errors and less-optimal sales. Automating the drop ship process with a cloud-based electronic data interchange (EDI) provider solves all of these issues and more.

1. Offer an endless aisle of virtual inventory
Expand your product offering without the headaches of owning your own inventory. Instantly connect your Magento store to hundreds of suppliers who will ship directly to your customer with your branding.

2. Manual data entry is eliminated

Since you are integrated with your trading partners, all EDI documents that are received are translated and deposited directly into your internal systems (QuickBooks, Dynamics GP, M.O.M., etc.).

3. Inventory updates faster

With an EDI solution, you can send a digital 846 document which replaces the paper inventory update. Because digital EDI documents send quickly, you have the ability to work in real-time, ensuring that inventory is always up-to-date and reducing backordering.

4. The order-to-cash cycle is shortened
Automation with an EDI provider consolidates much of the remaining data entry to one point, shortening the order-to-cash cycle.

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