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Why You Should Prestock for Dropshipping in 2022? Latest Solution to Lower Inventory Cost

Instead of fulfilling orders one by one, prestock inventory can save dropshippers a lot of cost and time on first-mile shipping – you only need to pay for the first-mile at once, the rest cost like last-mile delivery to a different address will be much lower than dispatch from China whenever you receive orders.

Supply chain disruptions in 2021 have caused countless online sellers to lose their revenue with endless order delay and increasing shipping cost that almost goes out of control.

Take Amazon as an example, according to a new survey by Jungle Scout, 93% of Amazon sellers complained about their loss.

Over 45% of small businesses predicted their total lost sales due to supply chain issues to be less than $5,000, but 30% lost between $5,001 and $25,000 in total.

What’s going on right now?

· Suppliers: production low-ebb 

Now we are in Q1 of 2022, the CNY holiday has just finished. For the dropshipping supply chain, maybe not everything has started to go back on track so far. 

Still, many sellers are getting busy communicating with their Chinese suppliers about order processing that is still pending – never think about the CNY only taking 7 days, especially under pandemic.

Many local factories haven’t resumed production completely yet owing to a labor shortage caused by extended holidays for the return of migrant workers, job change peak season, and the latest quarantine policy.

With that said, sellers have to go on slowing down their new marketing plan and deal with the customer dispute.

· Logistics: hard to recover from disruptions in the short term

In terms of logistics forecasting, even though the global fleet will jump about 1.5% with more new players in the sea freight market as well as a 2-3% increase of export by containers, the shipping fee still has little hope to drop back to the level it was two year ago due to staff shortage and transportation delay.

A similar situation is what air cargo is facing, or even worse. With growing volumes of shipping demand, but tighter capacity, the rate might even go up a little bit more in the short term.

The growing delivery demand also is challenging last-mile carriers. Even though carriers are reaching their limits, for big shippers, there may still be not so many options, which allows carriers to control the prices.

Source: Reuters

The most effective solution to supply chain management in 2022

The answer is to PRESTOCK.

It is believed that all the sellers are taking measures to lower the risk of disruptions. The core strategy logic always comes at a cost of paying more for the supply chain. 

To find a balance between shorter reaction time and higher reliability, keeping higher levels of inventory in advance tends to be more and more merchants’ choice to lower their cost and risk undoubtedly.

Why do dropshippers prestock in advance?

·The most effective way to lower shipping costs.

Prestock to local warehouses beforehand can help to greatly lower the shipping cost as well as shipping time. 

Instead of fulfilling orders one by one, prestock inventory can save dropshippers a lot of cost and time on first-mile shipping – you only need to pay for the first-mile at once, the rest cost like last-mile delivery to a different address will be much lower than dispatch from China whenever you receive orders.

With such unstable freight pricing, the earlier to take action means less risk of additional loss on shipping.

· One of the best methods to shorten processing time greatly.

In terms of an internal investigation on the dropshipping pain point, about 94% of dropshippers are paying more attention to how to shorten processing time nowadays.

Usually, the processing time is easy to be affected by suppliers’ production plan and their level of storage with too many unstable elements to make sure product supply e.g. holidays, labor, raw materials, and so on.

Once the product is running out of stock, the processing time will have no other way but extend.

· Lower the risk of a rise in the product price

Except shipping, the other cost that sellers care about the most is the product price. Like a knock-on effect, the supply chain crisis also impacts the raw materials.

With the increase of raw materials price, it is not hard to find product cost tend to go up more easily. To avoid driving up costs and losing sales, prestock in one time can help to control the cost in a relatively short time.

· One of the strongest support to improve sales and customer service

All of the efforts that dropshippers are taking for their supply chain management is to make their business run better and better, to improve sales, and to develop loyal customers.

A reliable supply chain can be one of the strongest support to your business. Even though dropshippers are used to being well-armed to face unpredictable challenges every day, you still have so many controllable things to leverage, like preparing the product inventory earlier for your sales.

Latest Solution to Lower Inventory Cost – 30% Inventory Deposit 

However, for dropshippers, purchasing inventory seems to go against their business model and brings them more pressure on the cost.

To reduce stress on the inventory cost and shorten the processing time, CJ has lately launched a new deposit service to private inventory – dropshippers can choose to pay a 30% deposit to stock their inventory and sell beforehand. 

Once receiving the deposit, CJ will pre-stock and dispatch the products whenever you place orders first. The deposit will also be returned to sellers when all the inventory has been run out and all fulfillment orders have been closed.

With prestock deposit service, dropshippers can save more up-front investment and put them into other aspects of running their online store.


Under such supply chain conditions, prestock is the easiest but more effective way to improve processing time and lower costs in 2022.

With the global eCommerce business growing rapidly, how sellers can adjust sell and supply chain management strategies smoothly are significant to online business. 

Despite unpredictable risks could not be eliminated no matter what, we can always choose to take actions to manage controllable factors. Along with dropshippers, CJ will go on updating more backup supply chain solutions to provide better support.

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18 hours ago

Dropshipping Business Earthquake, after one of the dropshipping tools Shopmaster shut down. Oberlo is shutting down too. Dropshippers have to find alternatives.

Oberlo Is Shutting Down – What Are the Best Alternatives to Oberlo?
CJ Dropshipping
May 17, 2022
Oberlo Is Shutting Down – What Are the Best Alternatives to Oberlo?
What should dropshippers do?
What are the best Oberlo alternatives?
1. DSers
2. CJ Dropshipping
3. NicheDropshipping
4. Spocket
5. Printify
Today we got breaking news for dropshippers. Oberlo, one of the most well-known apps on Shopify will officially close its entry on June 15th, 2022.

Oberlo has been a successful dropshipping app. It provides a convenient method for store owners to fulfill orders with AliExpress.

Among all the various dropshipping apps on the market, Orberlo has got a great reputation in the community. It has helped countless people become successful entrepreneurs.

However, the sites will officially shut down on June 15th. For the people who are currently on a paid Oberlo subscription plan, they can cancel it now and get a refund.

What should dropshippers do?
There are many possibilities for Oberlo to make such a decision. And shutting down the Oberlo app doesn’t mean the Oberlo company is going to shut down.

We will talk about this topic in our latest articles and share some insights about the dropshipping industry in the short future.

For now, Oberlo will shut down soon. If you are one of the entrepreneurs who have been using Oberlo, you need to think about what to do next and find a solution for the incoming event as soon as possible.

In this article, we will present some best dropshipping sites as alternatives for Oberlo. If you wish to take this challenge as an opportunity with a new service provider, this is the chance.

If you are not using Oberlo, the event may also lead you to some deep thoughts about the industry. In case your current supplier or service provider got the same situation in the future, preparing in advance is always a good choice.

What are the best Oberlo alternatives?
1. DSers
On the official Oberlo FAQ page, Oberlo has suggested the users migrate to a trusted Shopify partner, DSers.

DSers is a dropshipping app that provides multistore management. You can use it to manage most dropshipping platforms such as Shopify, Wix, and Woocommerce.

Just like Oberlo, DSers allows you to sync orders from your store to AliExpress and then fulfill the orders in a more convenient way.

Also, you can use DSers to source the products on AliExpress. Instead of sourcing products on your own, using DSers will save you a lot of time to locate the specific product you want among the massive category.

In addition, DSers is also available for data transferring from Oberlo. If you wish to migrate your Oberlo account data to DSers, you can do it directly on the Oberlo admin home page.

What makes DSers unique?
Good Chrome extension
Multiple store order manage
Optimizing sourcing time
Allow data migration from Oberlo
Good chrome extension
Still, DSers is not the best choice if you wish to save your budget and justify the cost. This is because if you want to fully use the functions of DSers to manage more than 3 stores, you will need to subscribe to the paid plan first.

2. CJ Dropshipping
CJ Dropshipping is a one-stop dropshipping platform that provides a complete Dropshipping service.

The service of CJ dropshipping covers sourcing, shipping, order management and even filming ad videos.

CJ Dropshipping has both features of Oberlo and AliExpress, you can find products that come from various international suppliers at cheap prices on the site. By using this sourcing feature, you can easily find better suppliers different from AliExpress.

If you need some information about the recent trendy products or best-selling products, you can also explore the trendy products recommendation columns on the CJ Dropshipping site. Every season there will be brand new innovative products for you to choose from.

Besides, the overall shipping time of CJ Dropshipping is faster than AliExpress suppliers. This is because many suppliers on CJ Dropshipping got their own international warehouses.

Also, if your business volume is big, you can actually have your own private inventory in CJ warehouses. Then your orders can be shipped out within 1 to 2 days.

If you are not only looking for a store integration service provider but also suppliers with better prices, CJ Dropshipping will be a good choice for you. Unlike other paid-to-use platforms, most functions on CJ Dropshipping are completely free to use.

What makes CJ Dropshipping unique?
Free sourcing for better suppliers
Trendy products recommendation
Faster shipping time than AliExpress
International warehouses
Bulk order management
Various extended services (POD, Photography)
3. NicheDropshipping
Niche dropshipping is a site that combines sourcing agents and dropshipping suppliers. You can find various product collections on their site just like searching for products on AliExpress.

When you want to search for any products with better quality or price, you can directly consult the agents of NicheDropshipping to find the product you want.

If some products got higher prices than you expected, you can also negotiate with the agents. Agents of Niche dropship are also professional in getting the best quotation from the suppliers.

Besides, Niche Dropshipping got international warehouses in both China and the USA. So if your market is in the US and you wish to optimize the processing time of the products, you can also choose to bulk purchase the products to stock in their USA warehouse. Once products are stocked in the USA, shipping and processing time can be amazingly fast.

In addition, the photography service is available if you wish to see the actual quality of the products. You can also request photos or videos for advertisement usage. But keep in mind this service is paid, the cost will depend on your request content.

What makes NicheDropshipping unique?
Free product sourcing quote
China & USA warehouses
Automated dropshipping service
Photography service
4. Spocket
Spocket is a high-rated dropshipping platform that allows you to connect with suppliers all over the world.

Most of the suppliers on Spocket are from the USA & the EU. This special feature makes it an excellent tool to search for products within the US and the EU.

The best thing about domestic suppliers is the shipping time. If you buy products from domestic suppliers, shipping will only need takes 2-5 days to deliver. This is why international warehouses are also recommended by other dropshipping platforms

Still, the limitation of domestic suppliers is the product variety. If your wish to expand your business, you will need to explore more international supplier platforms.

If your target market is in the US or in the EU, Spocket is a great choice for you to find the supplier you prefer to work with.

What makes Spocket unique?
Available US & EU suppliers
High-quality products with samples
Winning products recommendation
Support multiple platforms (Shopify, Woocommerce, Wix)
5. Printify
POD (Print on demand) is a special major category among all different kinds of products. When we talk about POD products, Printify must be the top to mention. It is also a dropshipping site that specialized in integrating POD suppliers.

On Printify, you can source a wide range of customizable products including hoodies, accessories, T-shirts, and so on.

Wish to see the effect picture? You can simply upload the picture to the platform then the editor will automatically generate an example picture.

Still, not all the products are customizable and some products are only customizable if you have a large order quantity. Many suppliers require MOQ (minimum order quantity) to provide customization services. And of course, it’s not free.

So if you are running a general store with various product categories, Printify may not be the best option.

If you are looking for customizable products or wish to brand your products with store logos, you check out Printify to make your own products.

What makes Printify unique?
Specialized in POD products
Wide range of customizable products collection
No extra charges except product and POD fee
Simple editor for designers
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