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Dropshipping in Odoo16

Dropshipping refers to the process of outsourcing of procuring, storing, and delivering products to customers through a third party, especially their suppliers. Odoo provides the feature of delivering products to customers directly from suppliers.

Advantages of Dropshipping

> Reduces the complexity of processes. There is no need for receiving and handling products from suppliers.

> Less inventory management.

> Reduced customer lead time.

> Can minimize the risk of damage to products due to fewer product movements.

Let’s see how we can dropship with the help of Odoo.

Firstly, we need to make some changes in the settings to activate the Dropshipping option.

Purchase module => Configuration => Settings => Dropshipping

  • Activate Dropshipping & Save.

Let’s dropship Cable Management Box to decrease the lead time. For that, specify it in the product and the product will be delivered to the customer by the supplier.

Purchase module => Products

Select the product we want to dropship (For Example: Cable Management Box)

Under the Inventory tab, select the Dropship option and save the change.

We should also specify the supplier responsible for delivering the product by going to the Purchase tab in the product form and adding the vendor.

If there are multiple suppliers for a product, we can add all suppliers in the product form. But the supplier first in the list will be the one who has to deliver the product to the customer by default. So, make sure that you have entered the most preferred supplier for dropshipping in the list of product forms. Here, the supplier Abigail Peterson will be responsible for delivering the Cable management box when a sales order is created.

Now, let’s create a quotation for selling the cable management box.

Go to the Sales module

Create a new quotation by adding the customer, product, and other required details and confirm the quotation.

We can see that instead of a Delivery order, a Request for Quotation is created.

Open the RFQ created and confirm the order. Now, a purchase order is created in which we can see the dropship order.

Open the Dropship order and validate the product.

You might have noticed that the product is received from Abigail Peterson. We haven’t entered the supplier for this order but the supplier is added to the order by default.

Go back to the quotation for the same to create an invoice and register the payment to complete the sales operation for the cable management box.

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