Products are purchased from a wholesaler and then resold at a profit using the dropshipping business model. Simply said, it fills a need in the market by providing consumers with easier access to a wider range of products, much like any other retail establishment.

However, if your consumers began receiving orders that included information about your suppliers, they might decide to bypass you and make purchases directly from them. When it comes to your company, how do you guard your niche? Simple. Using a method called “blind dropshipping.”

Have you seen a decline in business recently? Or maybe you just want to make sure your dropshipping company is safe. In this article, we’ll discuss what blind dropshipping is, how it operates, and the benefits and drawbacks of using this strategy.

Come on, we need to get started.

What is Blind Dropshipping and Why Does It Matter 3

What Is Blind Dropshipping?

With blind dropshipping, your dropshipping partner handles order fulfillment without including any of their own branding, promotional materials, or contact information. On the packing slip, they may instead write your shop’s information.

The point of dropshipping is to have as little interaction as possible between you and your consumers. For the reasons that:

If customers know they can get the same products cheaper by going straight to the source, they may feel cheated even though your firm helps keep products more available.
Although it is legal in many countries, some online consumers nevertheless view dropshipping with suspicion. As a result, even if they are willing to pay a premium to shop at your store, they may stop doing so if they discover that an unexpected shipment did not originate from your business.

How Does Blind Dropshipping Work? 

An agreement with your dropship supplier is the first step toward successful blind dropshipping. They must promise to fulfill your dropshipping orders in it, but they shouldn’t reveal their contact information.

Following this, the steps involved in blind dropshipping would be as follows:

Customer makes a purchase from your dropshipping website.
Upon receiving the order, you will forward the details to your dropshipping partner.
The supplier who is drop-shipping your product will package it and include a blank packing slip.
When an order is sent, it is delivered to the customer.
If you’re unfamiliar with blind drop shipping, how does it function?
Simply said, a blind packing slip is the same as a regular one. The only real distinction is that it does not feature the provider’s branding in any way. The following are some of the specifics included:

The location of the dropship storefront or the supplier’s warehouse (without mentioning the supplier)
Where the client lives
These are the items that will be sent in the package.
Your website’s listed prices for the items for sale.
It’s possible that your dropship supplier will let you use your own shipping labels. It’s possible they’ll ask you to produce and send them labels for your product line. When you place an order, they may also take digital versions of your templates to use as a guide.

How Do I Initiate a Blind Dropshipping Arrangement With Dropshipping Suppliers?

It’s advisable to let your supplier know up front if blind dropshipping is something you’d want. With complete transparency, your provider can do the following:

Find out whether it’s something they’re willing to do for you.
Walk you through the steps necessary to coordinate store orders with other locations to guarantee discrete shipment to suppliers.
Once you and your supplier have agreed to blind dropshipping, you should use the same order processing procedures they suggest. Keep in mind that various vendors may employ varying procedures. For an idea of the kinds of approaches taken by suppliers, consider the following instances.

For example, a supplier’s order sharing platform might provide a “comments” or “remarks” section. After that, as you share dropshipping orders from your store, they’ll ask you to specify your preference for blind dropshipping in these ps.
After you and your supplier have worked out the details of a blind dropshipping arrangement, you may be provided with a discount code to use in your online store. You can use this code to inform your suppliers that from now on, they should treat all orders from you as blind dropshipping orders.
When working with certain vendors, you may be able to call or email them to request blind dropshipping for specific orders.

Is Blind Drop Shipping Legal?

Yes, that is the case.

In most cases, when you buy something from a store, you won’t receive a packing slip or receipt that features the supplier’s name or brand. Most likely, they’ll use their own. Also, a dropshipper may legally conceal the identity of its supplier by leaving it off the packing slip or receipt you get.

It’s vital to note that dropshippers are, in fact, internet stores selling their products directly to customers. There is only one key difference: with dropshipping, you don’t have to worry about keeping any stock on hand, as your dropshipping suppliers will fulfill customer orders for you.

In addition, a dropshipper who uses blind dropshipping is not necessarily trying to pass off the goods as their own. As a result, it complies with copyright laws.

Why Would a Dropshipping Supplier Agree to Blind Dropshipping?

There are only so many places where a given product can be manufactured or distributed wholesale. Because of this, they might only be able to reach a fraction of their target audience.

Suppliers can reach more customers with their products through dropshippers and other retailers.

However, with blind dropshipping, businesses lose the opportunity to connect with their clients on a personal level. However, if consumers are pleased with their purchase, they are more likely to return for additional purchases and/or recommend the company to others.

How Do Dropshipping Returns and Refunds Work in Blind Dropshipping?

Dropshipping returns can be tricky in a blind dropshipping model because customers may send packages to your store instead of the supplier.

Don’t stress. This predicament has proven, workable answers. To deal with returns, you could:

A request for the returned goods to be sent to the store’s specified address. You would get the product, inspect it, and then communicate with your dropshipping vendor about the issue.
Offer your customers the dropshipper’s warehouse address as a return destination.

Does Blind Dropshipping Cost More?

There is, alas, no agreed-upon solution to this conundrum. When shopping around for a blind dropshipper, keep in mind that prices can range. There may be no dropshipping fees at all from some providers.

What is Blind Dropshipping and Why Does It Matter 2

However, due to the fact that blind dropshipping differs from their standard order processing procedures, some suppliers add a little surcharge. Additional costs, such as branded packaging in place of a generic shipping label, may be incurred by the customer with some vendors.

What Are the Advantages and Disadvantages of Blind Dropshipping?

It’s crucial to know the ups and downs of blind dropshipping before diving in. Here are some of the pros and cons of blind dropshipping to assist you make up your mind.

Advantages of Blind Dropshipping

For internet businesses, trust is crucial, therefore this is a good thing. Customers may get suspicious if their orders arrive with labels that are different from those at the store. Blind dropshipping, on the other hand, can help your business appear more legitimate.
Having customers get items in packaging or on shipping labels bearing your store’s logo helps spread the word about your business and boosts brand recognition. Instead, if you use labels provided by your suppliers, your brand may become generic in the eyes of your clients.
It encourages new business owners to enter the retail sector, as all dropshipping methods facilitate success through collaboration with established manufacturers.

Disadvantages of Blind Dropshipping

Blind dropshipping may incur additional fees, which could cut into your profits or even require you to pass the costs on to your clients. For many consumers, the increased shipping and handling charges could be a deal breaker.
As an example, if you’re dropshipping and a customer decides to send the item back, you’ll need to make sure everything goes well so that the ‘blind’ part of the shipping procedure isn’t compromised.
You may not be able to micromanage every aspect of the dropshipping fulfillment process because you ultimately have to rely on your suppliers. It is still possible for an error to occur, resulting in a client acquiring information about your vendor.

Summing Up

Dropshipping without the consumer knowing isn’t required, however it is strongly suggested if you want to keep your current clientele. Do not forget:

You should check with your dropshipping vendors to see if they offer blind dropshipping fulfillment.
Determine if there will be any hidden fees.
Create and supply your dropshipper with store-branded shipping labels if you want to raise awareness of your brand.
Knowing firsthand how difficult it can be to arrange blind dropshipping with suppliers due to extensive experience in the dropshipping industry.