Total Economic Impact™ Study Calculates ROI based on Significant Time Savings, Accelerated Expansion of Product Assortment and a Decrease in Unfulfilled Orders  Orders

ALBANY, NY—A commissioned Total Economic Impact™ study conducted by Forrester Consulting on behalf of Rithum used their independent research methodology to determine that implementing the Rithum drop-ship platform resulted in a 461% return on investment and a payback period of less than 3 months. Forrester interviewed four Rithum customers that had fully operational in-house drop-ship programs or had initiated such programs, to determine their findings.

Forrester based their Total Economic Impact (TEI) framework on a composite business in North America, a multi-category, large format store with annual sales totaling $20 billion, of which $4 billion comes from ecommerce. Forrester found that an organization based on the interviews with Rithum’s customers, experienced quantified benefits that include:

  • Product assortment expansion of hundreds of thousands of products per year  
  • 99% fulfillment of drop-ship orders  
  • A 66% reduction in time spent onboarding suppliers to their drop-ship network

The study’s participants realized additional performance results, including millions of dollars in savings from not having to build their own drop-ship network, opportunities to bolster their networks with vetted suppliers from Rithum’s network of 12,000+ suppliers and the ability to quickly scale and meet heightened demand for ecommerce as well as address shifting consumer demands in times of uncertainty. These benefits are expected to have a further impact on ROI results.

“As the retail industry continues to embrace the ‘new normal’ to meet consumer demands, it is imperative that retailers make strategic investments into digital solutions that will mitigate uncontrollable market risks and enable revenue growth,” said Frank Poore, Founder and CEO, Rithum. “Forrester’s analysis supports the case for embracing drop ship as part of an overall enterprise digital and supply chain strategy as more sales shift online.”

Those interested in learning more about the cost savings and business benefits enabled by Rithum can download The Total Economic Impact™ of Rithum study and/or register for one of the two webinars, Drive Profitable Online Growth Through Drop Ship, happening later this month:

About Rithum 

Rithum™ is the industry’s most influential and trusted commerce network, helping brands, suppliers, and retailers work together to deliver connected e-commerce experiences. The Rithum platform helps brands and retailers accelerate growth, optimize operations across channels, scale product offerings and enhance margins.

Using our commerce, marketing, and delivery solutions, our customers create optimized consumer shopping journeys from beginning to end. More than 40,000 companies trust Rithum to grow their business across hundreds of channels, representing over $50 billion in annual GMV. Rithum is the heartbeat of commerce.