Over the past ten years, the dropshipping industry has exploded in size and sophistication. This has resulted in dramatically increased profitability and opportunities for both new and existing sellers alike. This was, and still is, a massive opportunity that ANYONE can take advantage of to start earning money online with very little risk and investment.

Read More: Is Dropshipping Still Profitable?

BUT, if you want to truly maximize your ability to profit, you need to consider Print-on-demand (POD), and here’s why. Just a few years ago, the POD industry was worth $3.9 billion. But by 2026, the market is expected to grow to $16 billion! That’s not even the best part. Print-on-demand stores have an average success rate of 24%! Combined with the dropshipping model, the chances of you achieving meaningful success is much higher with POD. 

In this article, we’ll go over what exactly Print-on-demand is and how you can take advantage of it using Zendrop.

Understanding Print-On-Demand

First things first, what is print on demand? Fortunately, it’s quite simple:

A print-on-demand business is where a customized product is created and shipped out only AFTER the customer has already paid. In this regard, it’s pretty similar to dropshipping. You don’t have to pay upfront for inventory and it’s generally a very low-risk model.

POD continues to grow in popularity, largely in part due to the rise of e-commerce and the demand for personalized items. It allows sellers to offer a broad range of products without the complexities of managing inventory. It also lets you take advantage of current events and trends immediately, which makes it much easier to ride bandwagons and make money that way.

How It Works

The way it works is very simple. 

1. Pick a Print-On-Demand Partner: Your POD partner (like Zendrop) will take care of the entire printing and fulfillment process.
2. Design Creation: You create a design to put on a product called a ‘blank’. Blanks are product bases (like shirts, hoodies, mugs, posters, etc) with nothing on them. Your design will go on the blank.
3. Order Placement: When a customer orders your product, the POD partner will make the design and take care of the delivery process.

Main Benefits For You

Since the POD market is currently undergoing rapid growth, there’s a lot of room for you to come in and take up market share, even as a new seller. According to Dropshipping.com and Yaguara, almost 13% of all Shopify stores are dropshippers vs less than 5% for POD stores. 

What does all this information tell us? That this is a great opportunity! On top of that, you also get the following benefits:

• Low Risk: No need to buy or store inventory upfront.
• Variety: Zendrop provides the largest product catalog of blanks for you to pick from.
• Scalability: Can handle tons of orders without slowing down your business.

Common Products People Sell

• Apparel (t-shirts, hoodies)
• Home decor (posters, cushions)
• Accessories (phone cases, mugs)

Read More: Custom Merchandising With Print-On-Demand

Why Choose Zendrop's Print On Demand Integration?

When it comes to choosing a partner for print on demand, Zendrop offers unmatched advantages that can elevate your eCommerce business. Also Zendrop’s POD service is entirely US-based. That means all the blanks are sourced from high quality companies. In fact, some of the blanks come from larger name brands!

Try Zendrop’s POD For Free With a Trial to Zendrop Plus

Here are three critical reasons why Zendrop should be your go-to partner for POD:

Unique Hybrid Model

Zendrop’s approach allows you to seamlessly integrate POD products with your regular dropshipping items. If you’re an existing seller, POD won’t disrupt your current business and will seamlessly work together with your existing catalog. For new sellers, this gives you tons of options and flexibility to sell the exact products you want.

Versatile Product Offering: Expand your product catalog to include both high-demand regular items and unique, customizable products. Zendrop’s POD gives you access to name brand blanks like Columbia, Under Armour, Gildan, and more. This versatility can attract a broader customer base and cater to diverse market needs.

Efficient Management: Manage all your products, whether dropshipping or POD, from a single, cohesive platform. This integration simplifies operations, reduces logistical complexities, and enhances overall efficiency.

Revenue Growth: The ability to upsell and cross-sell POD items alongside regular products can significantly boost your revenue. Customers appreciate the option to personalize their purchases, leading to increased sales and higher profit margins.

Read More: Introduction to Zendrop

In-App Design Tool

Zendrop’s in-app design tool sets it apart by offering a streamlined process for creating and visualizing your custom products. This means you’ll have more control over the final product so that it lives up to your expectations.

Direct Creation: Create and mockup your designs directly within the app, saving you time and ensuring consistency.

Real-Time Visualization: See exactly what your product will look like before it goes into production. This real-time visualization helps in making precise adjustments, ensuring the final product meets your expectations and satisfies your customers.

Reduced Learning Curve

Zendrop’s platform is designed with ease of use in mind, allowing you to get started quickly and efficiently.

User-Friendly Interface: The interface is straightforward and easy to navigate, ensuring a smooth user experience from the start. This simplicity reduces the time spent on learning the system and allows you to focus on growing your business.

Guided Experience: Zendrop provides a guided experience to help you through each step of the process. Zendrop provides coaching and courses to help you succeed. Whether it’s setting up your store, creating designs, managing orders, or getting sales– you’ll have the support you need to succeed.

Increased Profitability: By eliminating the complexities typically associated with print on demand, Zendrop enables you to increase profitability without increasing operational difficulty. The platform’s efficiency and ease of use translate to more time for marketing and sales activities, driving higher revenue.

Accessible Pricing

One of the best parts about Zendrop’s POD service is that it’s part of the Zendrop Plus plan instead of being spun off into a completely new pricing tier!

As a reminder, Zendrop Plus also gives you access to Zendrop Academy. Here you can get live weekly coaching, live weekly office hours, comprehensive dropshipping courses, and POD courses. If you want to check it out for free, click the link below to claim your free trial.

Start a Free Trial to Zendrop Plus

How to Get Started With Zendrop’s Print-On-Demand

Getting started with Zendrop’s POD service couldn’t be easier. In just 5 simple steps, you could be ready to launch your store and start working on getting sales!

1. Sign up for a Zendrop Plus account (get a free trial here)
2. Head to the Print-On-Demand Section from your dashboard
3. Browse through the products to figure out what you want to sell
4. Upload your design, make edits, and import the products to your Shopify account
5. Start making sales!

Conclusion

Dropshipping is still an incredibly lucrative opportunity that can be made even stronger with the added bonus of POD. If you’re looking to increase the profitability of your existing store or launch your first store, POD is the way to go.

Zendrop’s Print-On-Demand integration offers a unique combination of a hybrid product model, an in-app design tool, and an easy-to-use interface, making it an ideal choice for eCommerce entrepreneurs looking to expand their product offerings and increase profitability with minimal hassle. 

If you’re looking to try Zendrop Plus, risk-free, click the link below to start your trial.

Start a Free Trial to Zendrop Plus

Managing inventory is a major part of keeping a business running smoothly. When a product runs out unexpectedly and customers can't buy what they came for, it's called a stockout. This isn't just about losing a few sales, a stockout can make customers lose trust in a business and lead to reduced revenue, less profitability, and other issues down the road.

So, why is it so important to keep an eye on stockouts? Well, it helps businesses stay competitive and keeps customers coming back happy. In this article, we'll dive into what causes stockouts and share some practical tips on how businesses can avoid them.

By using smart strategies and the right tools, businesses can keep their shelves stocked and their customers satisfied.

Read More: What Is 3PL Warehousing?

Understanding Stockout Risks

Stockouts can happen for various reasons, but they often boil down to one common issue: not having the right amount of product when and where it's needed. 

In fact, many companies will use some sort of "safety stock formula" to determine how much extra product to keep on hand. This way, you can predict how much you'll need to cover unexpected spikes in demand or delays from suppliers.

Let's break down this concept a bit. Safety stock is like a buffer—it's extra inventory beyond what you expect to sell. This helps you manage sudden increases in sales that weren’t forecasted or when a supplier runs late. The trick is figuring out the right amount of safety stock. Too little, and you risk a stockout. Too much, and you're tying up money in inventory that just sits on the shelf.

This is where accurate demand forecasting comes into play. By predicting future sales based on past trends, seasonal factors, and other data, businesses can plan their inventory more effectively. This isn't just about avoiding empty shelves. It's about making sure you have just enough stock to meet your customers' needs without overinvesting in surplus goods. Using tools and techniques to sharpen these predictions can make a big difference in how well a business manages its inventory and avoids stockouts.

Key Strategies to Reduce Stockout Risks

So what are some ways we can prevent stockouts? Managing inventory effectively requires a blend of good planning, technology, and strong relationships with suppliers. Here are some key strategies that can help businesses minimize the risk of stockouts:

Safety Stock

Safety stock acts as a protective buffer between expected sales and unexpected demand or supply delays. Calculating the right amount of safety stock involves looking at your sales history, the variability in demand, and the reliability of your supply chain. A common formula for safety stock that can be found in many textbooks like Operations Management by William J. Stevenson is…

To break it down, the components of the formula can be described as follows:

Z-score (Service Level Factor): This is a number that tells you how confident you want to be that you won't run out of stock. A higher number means you want to be really sure you won’t run out, so you’ll keep more extra items just in case.

Standard Deviation of Lead Time Demand (σ): This sounds complex, but it's just a way to measure how much your demand (how much people want to buy) goes up and down during the time you’re waiting for new stock to arrive. If demand is very unpredictable, you might want to keep more extra items.

Square Root of Lead Time (L​): Lead time is the time it takes from ordering new stock to when it arrives. The square root part just helps adjust the formula so it works properly mathematically. It makes sure you’re not keeping way too much or too little extra stock based on how long you have to wait for new items.

But honestly, this is a rather complex formula that would really only have a big impact if your business is bigger. On top of that, if you have any warehousing partners, they can help calculate this for you.

Technology Integration

Using modern inventory management tools and software can significantly enhance your ability to track and manage stock levels. For example, platforms like Netsuite provide real-time insights into inventory trends, automate reordering processes, and help predict future inventory needs based on historical data. 

These tools can sometimes also take your historic data and help calculate your safety stock formula. This will not only save time but also reduce human error, allowing for a more precise approach to managing stock levels.

Supplier Relationship Management

The reliability of your suppliers is crucial in preventing stockouts. Building strong relationships with your suppliers means they are more likely to prioritize your needs and work with you during tight situations. It also opens up better communication channels, so you can be informed in advance about any potential delays or problems. 

This allows you to react swiftly, either by adjusting your inventory levels or coordinating with alternate suppliers. A supplier like Zendrop can be a reliable partner to ensure any hiccups in your business logistics are mitigated.

By implementing these strategies, businesses can create a more resilient inventory system that withstands various challenges and reduces the likelihood of stockouts.

Best Practices from Leading Companies

Learning from the leaders in your industry can provide valuable insights into effective inventory management strategies. Let's look at some of the approaches used by the competitors listed in your dataset to manage inventory and minimize stockout risks:

Automated Replenishment Systems

Many leading companies use sophisticated inventory management systems that automate the process of replenishing stock. These systems are designed to trigger orders automatically when stock levels drop to a predetermined point, ensuring that inventory is always maintained at optimal levels. 

For example, if a competitor uses a platform like NetSuite, they likely benefit from its integrated inventory management tools that can forecast demand and adjust stock levels automatically.

Advanced Forecasting Techniques

Top companies often deploy advanced forecasting models that use historical sales data, market trends, and even external factors like economic indicators to predict future demand accurately. This allows them to adjust their inventory proactively before major sales periods or potential disruptions. By analyzing the strategies and tools your competitors use, as noted in your dataset, you can identify which forecasting methods are most effective in your sector.

Supplier Diversification

To minimize the risk of stockouts due to supplier issues, many successful businesses maintain relationships with multiple suppliers for the same products. This diversification strategy ensures that if one supplier faces a delay or shortage, another can fill the gap, keeping the supply chain smooth and preventing stock shortages.

Real-Time Inventory Tracking

Using real-time inventory tracking technologies enables companies to know exactly what is in stock at any given moment across all locations. This level of visibility helps in making informed decisions quickly, reducing the chances of both overstocking and stockouts. It also enhances customer satisfaction, as sales personnel can provide accurate information to customers regarding product availability.

Collaborative Planning with Suppliers

Top-performing companies often work closely with their suppliers to ensure there is a mutual understanding of needs and capabilities. This collaboration might include sharing sales forecasts and stock levels with suppliers to help them better prepare for upcoming demands. Such practices ensure that both parties are aligned, which can significantly reduce lead times and improve inventory accuracy.

By observing and integrating these best practices into your own inventory management processes, you can enhance your ability to manage stock efficiently and maintain a competitive edge in the marketplace.

Zendrop As Your Partner

Zendrop provides large sellers with a comprehensive suite of white-glove services to help minimize logistics burden and maximize profitability. Of their services, Zendrop provides 3PL warehousing and logistics from both China and the US. Services include, but are not limited to:

• Safety Stock
• Inventory Management
• Quality Control
• White Labeling
• And more

Read More: The Advantages of Partnering with Zendrop's China-based 3PL Services

Conclusion

Effective inventory management is not just about reacting to changes as they occur. One must anticipate those changes and prepare in advance. A proactive approach to managing stock levels ensures that your business can meet customer demands without interruption, which is crucial for maintaining customer satisfaction and loyalty. Moreover, it helps in optimizing operational costs by preventing both overstocking and understocking.

The strategies discussed—from employing safety stock formulas and leveraging trend data to adopting advanced forecasting techniques and real-time inventory tracking—represent best practices drawn from leading companies. These methods have been proven to enhance the efficiency of inventory management systems, ensuring businesses can handle fluctuations in demand and supply effectively.

By integrating these strategies into your operations, you are not just improving your inventory management; you are also setting up your business for long-term success. The ability to adapt to market conditions and predict future trends will distinguish your business from competitors and align it closer to the needs of your customers.

Interested in Zendrop’s 3PL Services? Click here.

By the end of 2024, the ecommerce industry is expected to grow to a whopping $6.3 trillion globally. With so many people and businesses buying and selling online, it comes without surprise that the market has exploded so much in size. The undeniable truth is that the ecommerce industry has evolved at a rapid pace and will not stop for the foreseeable future.

 

Read More: What is Zendrop?

 

However, as more competitors flood the market given the increased accessibility of products and services, it’ll become exponentially harder for businesses to differentiate themselves from the masses. Naturally, this will lead to a decrease in revenue and growth.

For that reason, it’s becoming more and more critical for growing business and existing sellers to build a reputable brand in today’s market. Doing so will result in increased customer retention, more repeat sales, and better word-of-mouth organic growth.

In this article, we’ll cover how sellers can leverage the power of US 3PL services to establish globally distinguishable brands.

Brand Reputation and US Third Party Logistics (3PL)

Let’s first start by explaining what US 3PL is. Third-party logistics (3PL) refers to outsourcing logistics and supply chain management. Basically, hiring someone else to take care of the logistics that come with buying inventory, storing it, processing it, managing it, and delivering it.

Read More: Comprehensive Introduction to 3PL

Generally speaking, most sellers who have contracted a 3PL service will have done so with either a China or US based company. The location determines what sort of services you’ll have access to, but generally speaking, you’ll want a service provider located in the country you get the most business from.

In this case, US 3PL. So how exactly can that help with building your brand? Well, assuming you’re doing most of your business in the US, a 3PL service provider here can confer upon you the following benefits:

• Fast, domestic shipping. Think Amazon-like delivery speeds.
• Custom packaging to establish a known brand and logo.
• Automated fulfillment so that the 3PL provider can do all the deliveries.
• High standard quality control checks with on-site employees

These are just some of the benefits, and they all help build your brand. Being reliable, fast, and trustworthy will generate more customer loyalty.

Why Exactly is Brand Recognition Important?

It all comes down to a simple concept in Economics: pricing war.

A pricing war is when competing businesses continuously lower their prices to undercut each other in an attempt to attract more customers. It goes without saying, this ends up reducing everyone’s profits and is unsustainable in the long run. Pricing wars usually happen under several conditions, the main ones being:

• When products in a market become too similar
• When anyone can enter the market

One way to avoid a pricing war is via creative pricing strategies.

Read More: Pricing Strategies For Your Ecommerce Store

In this case, one of the best ways to avoid a pricing war is through brand recognition. Humans are pack animals and highly social. They want to be understood and to understand other humans. There are a million other psychological and social reasons why brand recognition is important, but all you really need to know is the end result.

The proof is in the pudding. Look at brands like Nike, Apple, and Samsung for proof of what brand recognition can get you. And it’s not like it only works on giant brands either, there are plenty of smaller brands that customers develop a fierce loyalty for. Just think about the next time you go to a grocery store or buy something online. Are there specific brands you default to for certain products? Boom, brand recognition.

Anker: A Brief Case Study

Back in 2011, Steven Yang founded the electronic goods company, Anker. And honestly, there wasn’t really anything special about them. They sold chargers, power banks, and various electronic doodads for phones, tablets, and other mobile devices.

But today, in 2024? Anker is worth $4.54 billion. So how did this no-name company beat the odds and scale to such a massive time? I mean let’s be honest, back then (and still today), Chinese electronics held a fairly significant stigma for poor build quality and ‘chinesium’ materials.

The answer? Brand recognition.

At the time, Amazon as an online marketplace was still a wild west. Steven Yang knew that he could beat the flood of Chinese electronics brands with one simple strategy: gain a reputation for being the only Chinese electronics brand that actually cared about quality.

Boom. Just like that, Anker quickly soared to new heights. When everyone was selling USB 2.0 charger bricks for $5, Anker was selling top of the line USB 3.1 charger bricks for $9.99.

When everyone was selling cheap, flimsy portable chargers for $10, Anker was selling robust, tanky portable charging bricks for $24.99. Just like that, Anker quickly grew a loyal customer base of repeat buyers.

Read More: Brands That Started as Dropshipping Stores

Tying it All Together: Enhancing Brand Reputation with US 3PL

So how exactly does US 3PL enhance your brand reputation?

Consider the following state of the ecommerce industry:

• There are more people than ever before trying to break into the industry
• Dropshipping has made product accessibility easier than ever before
• Dropshipping has made entry into the market easier than ever before
• There are low quality stores EVERYWHERE
• Customers, in general, are now able to spot low quality stores consistently
• Customers are more skeptical of online stores than ever before

If only there was a silver bullet you could use to tackle all of these objections at once. You guessed it, US 3PL (or really any 3PL service you can trust in the country where you do your business).

3PL provides fast domestic shipping, custom packaging, customized products, unique offerings, high quality goods, and an overall sleek, modern, and reliable shopping experience.

This will immediately associate your brand with reliability and trustworthiness, naturally leading to an increase in customer loyalty. 

In fact, being able to provide rapid shipping similar to Amazon is already a MASSIVE game changer that gives you an edge over your competitors. Some competitors will try to circumvent the aforementioned objections by trying to do Fulfillment by Amazon (FBA). This CAN be a good move, but carries with it many risks.

1. FBA means you compete with all the other copycats on Amazon
2. Amazon’s review system can completely tank your store before you even get a chance
3. You have very limited control over marketing and traffic, meaning your business is at their mercy
4. Retargeting and remarketing is pretty much nonexistent

Read More: What is FBA?

GymShark: A Brief Case Study

One of the biggest brand building examples is of course GymShark. GymShark was founded in 2012 as a dropshipping business for activewear. They quickly distinguished themselves from their competitors by bringing their product line in house.

They may have started as a dropshipping brand, but by leveraging domestic warehousing, they successfully transitioned into a fashion giant.

How Do You Pick the Right US 3PL Provider?

Now, there are a million different 3PL providers out there, and choosing the right one can be daunting. At the end of the day, you want to pick the one that best fits your business needs. Here are some criteria you can check off to make the best choice for your business.

Criteria for Selecting a Reliable US 3PL Partner

• Experience and Expertise:
  • Look for a 3PL provider with a proven track record in your industry. Their experience can be invaluable in navigating logistics challenges and ensuring efficient operations.
  • Assess their expertise in handling products similar to yours. Specialized knowledge can make a significant difference in the quality of service.
• Technology and Integration:
  • Evaluate the technology they use. A good 3PL provider should offer advanced inventory management systems, real-time tracking, and seamless integration with your e-commerce platform.
  • Check if their systems can integrate with your existing software, ensuring smooth data flow and minimal disruptions.
• Scalability:
  • Consider whether the 3PL provider can scale their services as your business grows. You need a partner who can handle increased order volumes during peak seasons without compromising on service quality.
  • Assess their ability to offer flexible solutions, such as additional storage space or expedited shipping options when needed.
• Location and Network:
  • The geographic location of the 3PL's warehouses can impact shipping times and costs. Choose a provider with strategically located warehouses that align with your target market.
  • A broad network of warehouses can also provide backup options in case of regional disruptions.
• Reputation and Reviews:
  • Research the provider’s reputation through customer reviews, testimonials, and case studies. Positive feedback from similar businesses can indicate reliability and good service.
  • Check for any recurring issues mentioned in reviews, such as delays or poor customer service, to avoid potential pitfalls.

Questions to Ask Potential 3PL Providers

1. What industries do you specialize in?
   • Understanding their expertise can help you determine if they are the right fit for your business needs.
2. Can you provide references from similar businesses?
   • Speaking with current clients can give you insights into their reliability and quality of service.
3. What technology do you use for inventory and order management?
   • Ensure their technology is up-to-date and compatible with your systems.
4. How do you handle peak season volumes?
   • Assess their scalability and flexibility in managing increased order volumes during busy periods.
5. What is your process for handling returns and exchanges?
   • Efficient return management is crucial for maintaining customer satisfaction.
6. How do you ensure the security and accuracy of inventory?
   • Inquire about their inventory management practices and security measures to protect your products.

Importance of Alignment Between Your Values and the 3PL's Capabilities

• Brand Consistency:
  • Your 3PL provider should understand and reflect your brand’s values in their operations. This includes packaging, handling, and customer service practices that align with your brand image.
  • Ensure that the 3PL can maintain the quality and consistency your customers expect, reinforcing your brand’s reputation.
• Customer Experience:
  • A 3PL provider that prioritizes customer satisfaction will enhance your brand’s reputation. Their efficiency in order fulfillment, timely deliveries, and effective communication directly impact your customers’ experience.
  • Collaborate with a provider who shares your commitment to exceptional customer service and can act as an extension of your brand.

Benefits of Zendrop’s US 3PL Warehousing

Zendrop provides US 3PL services to its Select members. The Select Program is completely free to join. Users can apply if they have a consistent sales volume of ten sales over a three day period.

Unlike other US 3PL partners, Zendrop emphasizes affordability, convenience, and reliability. Here are some comparisons.

Faster Shipping Times

One of the most significant advantages of using Zendrop’s US-based 3PL provider is faster shipping times. By storing inventory closer to your customers, you can significantly reduce transit times, leading to quicker deliveries. Fast shipping not only enhances customer satisfaction but also gives your business a competitive edge.

Consumers today expect quick and reliable shipping. By partnering with a US 3PL provider, you can meet these expectations by reducing the distance products need to travel. This not only improves delivery speed but also reduces the risk of delays, thus enhancing the overall customer experience. Fast shipping is particularly important for perishable goods, seasonal items, and trending products that customers want immediately.

Zendrop offers Amazon-like fulfillment speeds, with delivery being between 1-3 days on average. Users may also request even faster fulfillment times.

Improved Inventory Management

Zendrop’s US 3PL service provides advanced inventory management systems that allow you to track inventory in real-time, making it easier to manage stock levels and avoid common pitfalls like stock outs or overstocking. 

These systems can also forecast demand based on historical data, helping you plan for peak times and seasonal fluctuations. 

By optimizing inventory levels, you can reduce storage costs and ensure that products are always available for customers.

Cost Savings

Running an in-house warehouse requires substantial investment in infrastructure, staff, and technology. By outsourcing to Zendrop, you can convert these fixed costs into variable costs that scale with your business. 

And unlike other partners, Zendrop does not charge any fees for storage.

Scalability

Scalability is a critical advantage for e-commerce businesses, especially those experiencing rapid growth or seasonal peaks. 

Zendrop can quickly add warehouse space, increase labor, and enhance shipping capabilities to meet your growing needs. This flexibility allows you to focus on marketing and sales without worrying about logistical bottlenecks.

Focus on Core Business Activities

Managing logistics can be time-consuming and distract from core business activities. By outsourcing these functions to Zendrop, you can free up valuable time and resources to focus on activities that directly impact your bottom line. 

This includes developing new products, enhancing marketing efforts, and improving customer relationships. Zendrop can handle the complexities of logistics, allowing you to innovate and grow your business.

Read More: Zendrop’s US 3PL

Conclusion

Building a reputable brand in today’s competitive ecommerce landscape is crucial. Leveraging US 3PL services like those provided by Zendrop can significantly enhance your brand’s reputation by ensuring fast shipping, high-quality products, and exceptional customer service. By partnering with a reliable 3PL provider, you can focus on growing your business and achieving long-term success.

Of course, the biggest benefit is that you’d immediately set yourself apart from your competitors and the masses. It’s not easy to build a successful brand, and this should make that journey easier.

Interested in 3PL? Apply for Zendrop Select to Access Zendrop’s 3PL Services

If you’ve been in the ecommerce space, you might have heard the terms 3PL and Warehousing thrown around. If you’re a new or smaller seller, 3PL might not be as relevant to you– yet. If you want to grow your business and become a distinguished brand, you’re going to want to keep reading.

In this article, we’ll do a comprehensive walkthrough of 3PL warehousing. The article will cover what it is, if you need it, and how you can find a partner that works for you.

Defining What 3PL Logistics Is

Third-party logistics (3PL) refers to outsourcing logistics and supply chain management functions to a specialized service provider. Basically, hiring someone else to take care of the logistics that come with buying inventory, storing it, processing it, managing it, and delivering it.

Dropshipping fulfillment platforms like Zendrop kind of already take care of that for you. However, there’s one key difference between that  and true 3PL: ownership.

Which is why as your business grows, it’s vital that you partner with a 3PL provider you can trust. 3PL companies manage a variety of tasks including warehousing, transportation, inventory management, order fulfillment, and shipping. This allows your business to focus on their core operations while benefiting from the expertise, technology, and scalability offered by 3PL providers. 

By moving from basic fulfillment to advanced logistics by leveraging 3PL services, companies can improve efficiency, reduce costs, and enhance customer satisfaction through more reliable and faster delivery of products. This is why Zendrop naturally offers 3PL services in both China and the United States for users whose stores grow into bigger brands.

Read More: Benefits of US 3PL Logistics

Understanding 3PL Logistics

So, how exactly do 3PL companies work? Here’s a deeper look into how 3PL companies operate and the comprehensive services they offer:

Warehousing

Warehousing is one of the main features a 3PL company provides. It’s a bit of an umbrella term, but generally covers all the tasks needed to operate a warehouse. 

• Storage Solutions: 3PL companies will assign your store a physical space in their warehouse for the storage of physical goods. As far as pricing goes, they’ll typically charge for storage fees, handling fees, shipping fees, value-add fees, and admin fees. The obvious benefit is that you won’t have to buy or rent your own warehouse, hire staff to run, and spend months setting up systems and training to make everything operational.
• Inventory Management: You can also benefit from advanced inventory tracking systems that monitor stock levels, manage reordering, and provide real-time data analytics. This means you won’t have to worry about stockouts and minimize losses on bad products.
• Cross-Docking: Warehousing also lets you massively accelerate processing times via cross-docking. This is a method where products are directly transferred from inbound to outbound transportation with minimal storage time, reducing storage costs and speeding up delivery times.

Transportation

Transportation and fulfillment are not the same thing. Transportation covers the supply-side of your business, dealing with things like pricing negotiation, getting products from your supplier, and more.

• Freight Management: Because we rarely see how goods get transferred from one country to another, we often take it for granted. The truth is, moving freight around is highly complex. 3PL companies will often take care of this themselves, coordinating the movement of goods via various transportation modes, including trucking, air freight, and ocean freight, to ensure timely and cost-effective delivery.
• Carrier Negotiation: 3PL companies will also leverage the size of their business to enter highly cost-effective contracts with various carriers to make sure your goods are delivered as fast as possible.
• Route Optimization: Lastly, being the 3PL space means these companies often have access to traffic, road, and route information you won’t. By utilizing advanced software to plan the most efficient routes, they can save you money and optimize delivery speed by reducing transit times and fuel costs.

Read More: Advantages of Zendrop's China Based 3PL

Order Fulfillment

So, not only do 3PL services get your products from the manufacturer to their warehouse and give you a space to store it all in, they’ll even take care of the order fulfillment.

• Pick and Pack: 3PL companies will usually have highly efficient systems in their warehouse to grab the right items as fast as possible. They’ll even provide packing services, giving you the option to repack your products in your own custom packaging. And since this all takes place in one spot, processing times are greatly reduced.
• Shipping: Shipping may seem simple, but there are loads of different regulations and policies regarding weight, size, irregular shapes, materials, and half a dozen other factors that determine the price and deliverability of a product. 3PL companies arrange and manage the shipment of orders to customers, including handling shipping documentation and ensuring compliance with regulations.
• Returns Management: Now this one can be a massive headache if you try to handle it on your own. Not only can improper returns management waste time and money, but it can even lead to your store and ads being delisted or blacklisted. Thankfully, 3PL companies will often handle processing returned goods, including restocking, refurbishing, and managing reverse logistics to handle returns efficiently and reduce waste.

Value-Added Services

Many 3PL providers offer additional services to enhance their core offerings. These depend on a case-by-case basis, since some companies might not have the facilities or resources to offer some of the more intensive services.

But generally speaking, many will offer:

• Kitting, Assembly, and Bundles: Combining individual items into ready-to-ship kits or assembling products as needed. They can even bundle some products together for you so it all arrives in one parcel.
• Customization: White label and even private label services such as personalized packaging, labeling, and product customization services to meet specific customer requirements.
• Quality Control: Implementing stringent quality checks at various stages of the logistics process to ensure products meet the required standards.

The main point is that 3PL services offer you a measure of control and customization that you can’t get from basic fulfillment services. 

Apply for Zendrop Select to Access Zendrop’s 3PL Services

Conclusion

Summary of Key Points

Though you may not need 3PL services right now, you definitely will once your business starts growing beyond a certain point. 3PL warehousing companies can offer a vital piece of supply-chain management that would remain largely hands-free.

As the ecommerce industry continues to grow in size, brand differentiation and market reach will become all the more important. With how easily accessible products have become, it’s only a matter of time before even the giants begin to struggle.

To that end, it’s vital that you seriously consider a reliable 3PL company to handle your logistics for you. That way, you can focus on launching your own products, marketing your brand, and growing your business.

Interested in 3PL? Apply for Zendrop Select to Access Zendrop’s 3PL Services

When it comes to dropshipping and e-commerce, your supplier plays a critical role in determining your profitability. With so many supplier options available to you, figuring out which one best suits your needs can prove to be a challenging ordeal. 

In this article, we’ll provide a detailed comparison between two popular dropshipping fulfillment platforms: Zendrop and CJdropshipping. Both platforms offer unique features and benefits, but which one is truly the best for your business? 

We'll explore their key differences, pricing, product sourcing, shipping capabilities, customer support, and more to help you make an informed decision. Whether you're a seasoned seller or just starting out, understanding these platforms will equip you with the knowledge needed to boost your e-commerce success.

Zendrop: An Overview

What is Zendrop?

Zendrop is an e-commerce sourcing and fulfillment platform. What does that mean? It means that Zendrop will help you find products to sell and take care of the entire delivery process for you.

Zendrop also provides a large range of tools and services designed to help beginners, existing sellers, and large brands make more money and grow their business.

One of Zendrop’s major differentiators is that they own their supply chain. They own their own private network of manufacturers and factories, own warehouses in China, and have hundreds of staff working in the warehouses.

Zendrop prides itself on being able to get its users the highest quality products for the best prices. And because they own the supply chain, they’re also able to source pretty much anything you can find on competitor platforms, but from vetted manufacturers so you don’t have to worry about scammers and middlemen.

Some key features and benefits include:

• Zendrop Academy - An all-in-one education platform that comes with live coaching, extensive dropshipping courses, and more.

• Zendrop Private Agent - Zendrop’s answer to your need for private agents. Zendrop provides dedicated account managers who can do everything a private agent can do and more.

• Massive Catalog - Get access to a massive catalog of 1 million+ products.

• Automated Fulfillment - Put your business on autopilot. Orders will go out automatically when customers make purchases at your store.

• White/Private Labeling - Zendrop provides large sellers with the services they need to start their own custom product lines with unique product packaging and more. Learn more about Zendrop’s advanced services for large sellers

• US 3PL Warehousing - Large sellers can forward their products to our US warehouses to get access to Amazon-like domestic shipping speeds. Read more about the benefits of US 3PL warehousing.

• Print-on-demand - Access the largest print-on-demand catalog to sell custom merchandise. Discover why print-on-demand is the future of custom dropshipping merchandise.

• TikTok Shop Affiliate - Learn how to earn income with just your phone and a TikTok account

• Pre-built Store - Users can get access to professionally designed pre-built stores preloaded with 20 winning products to accelerate their e-commerce progress.

How Zendrop Works

Anyone can use Zendrop in just a few simple steps. Beginners can use their pre-built stores as well as the courses in Zendrop Academy to fast-track toward their first sale.

Existing sellers can take advantage of Zendrop’s sourcing and fulfillment to improve their margins. They can also join the Private Agent program to get access to advanced services.

Zendrop’s Ecommerce Integrations

Zendrop currently supports two integrations:

• Shopify
• ClickFunnels 2.0

How to Start Zendrop

For Beginners:

1. Start a free trial to Zendrop Plus here to get access to coaching and courses. (You can also create a free account here, but a free account does not have coaching or education)
2. Connect your store by following the on-screen instructions.
3. Browse through our product catalog OR look through our Trending Products page for access to our exclusive list of in-demand products.
4. Access Zendrop Academy to get your first first sale ASAP.

For Existing Sellers:

1. Start a free trial to Zendrop Plus here to get access to education, product bundles, and other advanced features.
2. Connect your store by following the on-screen instructions.
3. Browse through our product catalog OR look through our Trending Products page for access to our exclusive list of in-demand products.
4. Access Zendrop Academy to access intermediate and advanced courses.
5. (Optional) If you are an existing seller consistently doing 10 sales over a 7-day period and would like to access the Private Agent program, please reach out to our support team to get in contact with a representative.

CJdropshipping: An Overview

What is CJdropshipping?

CJ Dropshipping is a comprehensive dropshipping platform that offers product sourcing, order fulfillment, and shipping services tailored for e-commerce businesses. Designed to simplify the dropshipping process, CJ Dropshipping provides a one-stop solution that helps businesses streamline their operations and focus on growth.

Key Features of CJ Dropshipping:

• Product Sourcing: Access an extensive product catalog and the ability to source specific items upon request. This ensures a wide range of products for your store, catering to diverse customer needs.
• Order Fulfillment: Benefit from efficient order processing and packaging services, ensuring that your customers receive their orders promptly and in excellent condition.
• Global Warehousing: With multiple warehouses located worldwide, CJ Dropshipping guarantees fast shipping times and reduced delivery costs, enhancing customer satisfaction.
• Automated Integration: Seamlessly integrate with major e-commerce platforms like Shopify, WooCommerce, eBay, and Amazon, enabling smooth operations and easy management of your store.
• Customization Services: Take advantage of private labeling and custom packaging options to enhance your brand’s identity and provide a unique unboxing experience for your customers.

CJ Dropshipping aims to simplify the dropshipping process by offering a one-stop solution for sourcing, fulfillment, and shipping, thereby helping businesses to streamline their operations and focus on growth.

How CJ Dropshipping Works

Step-by-Step Process of Using CJ Dropshipping

1. Sign Up: Create a free CJ Dropshipping account
2. Integrate Your Store: Follow the on-screen instructions to seamlessly connect your store with CJ Dropshipping
3. Browse Product Catalog: Explore CJ Dropshipping’s extensive product catalog or use their product sourcing service to find specific items.
4. Add Products to Your Store: Select the products you wish to sell and add them to your ecommerce store.
5. Manage Orders: Once a customer places an order on your store, it’s automatically synced with CJ Dropshipping.

Integration with Ecommerce Platforms

CJ Dropshipping offers seamless integration with several major e-commerce platforms, making it easy for you to connect your store and start selling:

• Shopify
• WooCommerce
• eBay
• Amazon

By integrating with these platforms, CJ Dropshipping provides a hassle-free experience, enabling you to focus on growing your business while they take care of the backend processes.

Key Differences Between Zendrop and CJdropshipping

Product Sourcing

Zendrop

Product Sourcing Capabilities: Zendrop sources products directly from manufacturers, ensuring high quality and competitive prices. They also offer a wide range of products and are flexible in sourcing specific items upon request. Thanks to their supply chain ownership, Zendrop ensures its users get the best prices for the highest quality goods.

Types of Products Available: Zendrop's catalog includes a variety of products across different categories, including electronics, fashion, home goods, and more. They also offer products from US-based suppliers as well as US-based print-on-demand products. Zendrop DOES NOT source adult products.

CJ Dropshipping

Product Sourcing Capabilities: CJ Dropshipping has extensive connections with suppliers and other middlemen in China, providing a large selection of products. They also offer custom sourcing services for specific items. However, their prices and product quality can vary immensely because they do not own 100% of their supply chain.

Types of Products Available: CJ Dropshipping provides a diverse product catalog, including electronics, fashion, beauty, home goods, and more. They also offer custom and private label products.

Pricing and Fees

Zendrop

Generally offers lower prices due to direct sourcing from manufacturers. Known for competitive pricing, especially beneficial for large sellers. Their high quality products, on-site quality control, and ability to negotiate prices with manufacturers results in great prices for all users.

Zendrop also prides itself on transparent pricing for all products and shipping.

Zendrop currently has three pricing plans: Free, Pro, and Plus with the Plus plan providing the most value and often going on sale.

CJdropshipping

While it offers competitive pricing on many products, the reliance on middlemen can sometimes result in above-market prices for certain items.

CJ Dropshipping has four plans: Free, Plus, Prime, and Advanced plan. It’s unclear what each plan provides.

Shipping and Fulfillment

Zendrop

Known for reliable and fast fulfillment. On-site inspections ensure products are of high quality. US-based products also enjoy Amazon-like shipping speeds. Zendrop also gives large sellers the option to forward products to their US warehouses for faster delivery.

CJdropshipping

Provides various shipping options, including direct shipping from China and local warehouses in other countries, but shipping times and reliability can vary significantly.

Customer Support

Zendrop

Provides world-class support with a focus on assisting both new and experienced sellers. Zendrop’s support agents are trained in-house, speak fluent English, are available 24/7, and respond in less than 30 seconds on average.

Plus, thanks to Zendrop’s ownership of the supply chain, support agents are afforded an extra measure of influence to directly resolve issues that may come up.

CJdropshipping

Offers support and a range of services, but the quality of support can vary. It provides tools like product sourcing, quality inspection, and inventory management, but some users report inconsistencies in service quality.

So, Why Zendrop?

Pros of Zendrop

High Trust and Credibility: Zendrop is highly trusted within the dropshipping community for its transparent and reliable services.

Direct Sourcing: Products are sourced directly from manufacturers, ensuring lower prices and better quality control.

Reliable Fulfillment: Known for reliable and fast fulfillment, particularly for US-based customers, with US warehousing and fulfillment options available.

Comprehensive Support: Provides world-class support, focusing on assisting both new and experienced sellers with comprehensive coaching and educational services.

Competitive Pricing: Offers lower prices due to direct sourcing, making it cost-effective, especially for large sellers.

Wide Product Range: Can source almost any product upon request, providing flexibility and a broad selection for sellers.

Print-on-Demand Services: US-based print-on-demand services offer quick and reliable printing and shipping solutions.

Great For Large Volume Sellers: Provides white glove services for large sellers like private agent services, custom branding, and more.

So, Why CJdropshipping?

Pros of CJdropshipping

Vast Product Catalog: Offers a wide range of products, including niche items, making it easy for sellers to find diverse inventory.

Custom Packaging and Branding: Allows sellers to customize packaging and branding, enhancing the unboxing experience and brand identity.

Automated Order Processing: Integrates with popular e-commerce platforms for seamless and automated order processing, saving time and reducing errors.

Affordable Pricing: Competitive pricing on many products, making it accessible for small to medium-sized businesses.

Global Shipping Options: Provides a variety of shipping methods, including faster shipping options, catering to international markets effectively.

Sourcing Services: Can source products upon request, expanding the range of available products beyond their existing catalog.

Which Platform is Best for You?

Zendrop provides a focused and structured experience so that sellers of all levels can find success. Plus, given its fast shipping, great pricing, and phenomenal customer support, you’ll also experience less roadblocks and enjoy greater profitability.

In fact, Zendrop Plus provides users with tools and services proven to increase your chances of making a sale by 4x.

CJ Dropshipping is a solid dropshipping sourcing and fulfillment platform. It offers a vast product catalog, multiple warehousing options, quality inspection services, and flexible shipping methods.

Conclusion

When deciding between Zendrop and CJdropshipping, consider your priorities in product sourcing, shipping, support, and pricing. Ultimately, evaluating these factors against your business goals will help you choose the platform that best aligns with your needs and enhances your dropshipping success.

Click here to try Zendrop Plus for free

We are thrilled to share a major announcement with our community: Zendrop and Staytuned are merging!

We're combining Zendrop's expertise in product sourcing and fulfillment with Staytuned's innovative e-commerce tools and apps to bring more tools that help you make sales.

Everything you know and love about Zendrop will stay the same. The team, app features, and brand will be exactly as you liked it. In the meantime, we'll be working harder and faster to bring you new features and products!

Benefits For Our Community Members:

• Boost Your Revenue: Staytuned's library of Shopify apps is designed to help you maximize your sales. With tools tailored for increasing conversions and enhancing customer experience, you’ll have everything you need to grow your revenue.
• Focused on Your Success: By combining our strengths, we can offer new and improved features that directly address your needs. Whether you're just starting out or looking to scale, this partnership is designed to support your journey every step of the way.

Stay tuned for more details on how this merger will bring you new opportunities and innovative features. We’re committed to helping you succeed and can’t wait to see what you’ll achieve with the enhanced Zendrop platform.

Click Here to Read the Full Announcement

Among the most significant innovations in the e-commerce space we’ve seen in recent years is Print-On-Demand (POD). This model allows businesses to create custom products on an as-needed basis, eliminating the need for large inventories. 

For dropshippers, POD presents an opportunity to capitalize on trends or build custom branded products at low cost.

In this article, we’ll go over some of the various benefits you can expect from POD.

Benefits of POD for E-commerce Entrepreneurs

Minimal Upfront Investment

One of the primary advantages of Print on Demand is the minimal upfront investment required. Traditional merchandising often involves bulk purchasing and maintaining large inventories, which ties up significant capital. 

In contrast, POD allows businesses to create and sell products without holding inventory. This not only reduces financial risk but also lowers the barrier to entry for entrepreneurs and small businesses.

Endless Customization and Personalization

Consumers today crave unique, personalized products. Print on Demand caters to this demand by enabling businesses to offer a wide range of customizable items. 

From apparel and accessories to home decor and stationery, POD platforms allow for extensive customization options. Customers can choose designs, colors, and even add personal touches, ensuring that each product is unique. This level of personalization enhances customer satisfaction and loyalty.

This also allows users to take advantage of trends to boost revenue.

Sustainability and Reduced Waste

Environmental sustainability is becoming increasingly important to consumers and businesses alike. Traditional manufacturing often results in overproduction and significant waste. 

Print on Demand, however, produces items only when an order is placed, virtually eliminating excess inventory and reducing waste. This model aligns with the growing consumer preference for eco-friendly and sustainable products.

Fast and Efficient Production

Advancements in printing technology have significantly improved the speed and efficiency of Print on Demand services. 

High-quality digital printing techniques enable rapid production without compromising on quality. This means businesses can quickly respond to market trends and customer demands, offering timely products that are always in style.

Scalability and Flexibility

Print on Demand offers unparalleled scalability and flexibility. Whether you’re a small business just starting out or an established brand looking to expand your product line, POD can adapt to your needs. 

You can easily test new designs and products without committing to large production runs. As your business grows, POD can scale with you, handling increased order volumes seamlessly.

Global Reach with Dropshipping

Many Print on Demand services integrate with dropshipping, allowing businesses to reach a global audience without worrying about logistics. 

When a customer places an order, the POD provider handles production, packaging, and shipping directly to the customer. 

This model simplifies the supply chain, reduces operational burdens, and enables businesses to focus on marketing and growth.

Lower Risk and Higher Profit Margins

By eliminating the need for large inventory investments, Print on Demand significantly lowers financial risk. Businesses only pay for products that are sold, ensuring that capital is not tied up in unsold inventory. 

This model also allows for higher profit margins, as products can be priced competitively without the added costs of storage and inventory management.

How Zendrop Simplifies the POD Process

Print-On-Demand with Zendrop is a very simple process. All you have to do is create a Zendrop Plus account, select Print-on-demand from your dashboard, customize your products, and start selling. 

Zendrop offers an intuitive platform that makes it easy to create and manage custom products. With a few clicks, you can design, list, and sell your unique items without needing technical expertise.

POD also integrates seamlessly with major e-commerce platforms like Shopify, making it easy to sync your products and manage orders. This integration ensures a smooth operational flow from product creation to customer delivery.

In addition, all products meet high-quality standards. Zendrop only works with reliable manufacturers and conducts rigorous quality checks to ensure that your customers receive the best products possible.

All you have to do is design your products and focus on getting sales. Zendrop handles all aspects of fulfillment, from printing and packaging to shipping. This allows you to focus on marketing and growing your business while Zendrop takes care of the logistics.

Conclusion

Print on Demand is revolutionizing the merchandising industry by offering a cost-effective, flexible, and sustainable solution for creating and selling products. 

As technology continues to advance and consumer preferences evolve, POD is set to become the dominant model for custom merchandising. Businesses that embrace this innovative approach can enjoy reduced risks, increased profitability, and the ability to offer unique, personalized products that resonate with today's discerning consumers.

By leveraging the advantages of Print on Demand and partnering with platforms like Zendrop, businesses can stay ahead of the curve and thrive in the competitive world of merchandising. The future of merchandising is here—and it’s printed on demand.