In a typical direct sales model, customer orders are shipped directly from the manufacturer to the customer. And since the package of goods usually comes with an invoice on it, the customer may skip you and order directly from the manufacturer. This can create a dilemma for you. That’s why many businesses rely on keeping the identity of their suppliers confidential to ensure that neither customers nor competitors cross over to you and contact the manufacturer directly. That’s why the blind shipping model was born.
1. What is Blind Shipping?
Blind shipping is a delivery method in which the shipper delivers the product directly from the supplier to the customer, while hiding the identity of the supplier from the customer. Blind shipping prevents buyers from tracking down the supplier and then making their own contact to purchase the goods, bypassing the seller. It can also give your store an advantage over your competitors.
2. How Does It Work in eCommerce
In e-commerce, if a company uses blind shipping, the customer will only receive an order printed with information about the e-commerce store, not with any information about the supplier. So blind shipping is more suitable for e-commerce stores that act as intermediaries, because they definitely want to be able to hide supplier information to protect their business advantage.
Of course, e-commerce merchants may also choose blind shipping for various other reasons. Here is an example to help you understand blind shipping better.
Say you are an e-commerce company operating in the United States. You’ve searched long and expensive hours around the world to find a material supplier. Would you use any means to secure your results? It is to keep the supplier hidden from competitors and customers. If you do not take any measures, your own competitiveness will be greatly reduced. Because your competitors will also contact your supplier and customers will bypass your company and order directly from the supplier.
Of course, not all companies need to worry about this problem, some have another advantage. But if you are a company that offers some goods that your customers cannot find elsewhere, it is in your best interest to protect that advantage.
3. Benefits of Blind Shipping
For some companies, blind shipping is very necessary. Blind shipping is generally performed at the request of intermediaries, and the following are the advantages that blind shipping brings to e-commerce stores.
- Protect competitive advantage
Each company studies its competitors, including trying to determine what other businesses are doing and what information they have.
If you are a company that knows where the best products for your needs are available, then all competing companies will strive to find that supplier, and it is essential that you take steps to protect that advantage if you want to maintain your company’s competitive advantage. And blind shipping is a very suitable option.
- Protect your supplier
In some cases, suppliers will also want to be able to hide their information. There can be many reasons for this. For example, if the supplier’s identity is revealed, the transaction between the company and the supplier may be compromised, and blind shipping removes this aspect of concern.
- Brand consistency
The role of blind shipping in supply chain management is twofold, one is that many companies do not have warehouses for storing goods, they act as an intermediary between customers and suppliers. Second, if the supply chain is strictly controlled, companies can ensure the safety of their futures. No need to take risks.
- Client retention
Blind Shipping offers an anonymous service that prevents your online customers from ordering directly from the manufacturer, guaranteeing customer traffic.