In a press release, website builder Wix reported that it has acquired dropshipping and marketplace platform Modalyst, in order to “provide its own ecommerce supplier marketplace and native dropshipping solution”. The acquisition, Wix added, would provide its ecommerce merchants and customers with a “native” supplier marketplace for sourcing quality products.
Additionally, the integration of Modalyst would allow it to provide said customers with a dropshipping platform for end to end white-label product fulfillment. The company noted that the deal would also see it continue “extending” its ecommerce platform, and assist in contributing to “the success of businesses on Wix, connecting Wix merchants to a vast supplier marketplace”.
This would, it added, allow merchants to also “create lasting, scalable relationships and source millions of high-quality product synced directly to their store to sell and fulfill online”.
Wix also noted that as online shopping continues to grow worldwide, “the importance for merchants to expand their inventory” and to “efficiently fufill” orders has become “crucial to managing and growing” eommerce businesses. It called dropshipping of marketplaces a “game-changer” for both suppliers and retailers, with this “evident in the success” of the two companies’ pre-existing partnership.
Through its Wix App Market, the website builder stated that on average, stores that added dropshipping products had increased average order values by 40%, and sales revenues by 79%, within the first four months. Via the Modalyst acquisition, Wix users and business owners will be able to ‘”seamlessly connect” online stores to the former’s “established marketplace”.
This consists of thousands of suppliers, manufacturers, and wholesalers, with access to products “spanning name brands, trending items and independent labels”, while white-labelling of products with their own branding also possible. Merchants can then import products directly to their own online stores, including details and image options from suppliers that “continually update” pricing and inventories.
Once a purchase is made, orders are packaged and fulfilled by the supplier, or fully branded with a white-label solution, before the merchant receives tracking numbers, allowing for updates on fulfillment status of orders via their own Wix dashboard.
Modalyst was founded in 2012 by Jill Sherman and Alain Miguel, both of whom will join Wix.
Arik Perez, Head of Wix Ecommerce, commented: “We’re proud to welcome Modalyst to expand the infrastructure of Wix Ecommerce. Connecting merchants directly to a full supplier hub allows them to expand their own product offering and helps new businesses establish themselves by connecting with vetted suppliers with access to private labels and dropshipping.
“This offers merchants a convenient way to sell a large variety of products, test new and trending markets and ultimately expand their reach. Merchants can significantly scale their businesses and in providing them with a native solution, we can help them continue to maximize their store footprint, all in one place from the Wix platform.”
Modalyst was founded in 2012 by CEO Jill Sherman and Alain Miguel, both of whom will join Wix, and Sherman stated: “As a dedicated partner of Wix, we’re thrilled to officially join the team and continue our vision to help merchants grow their stores. Our solution reduces the hassle for merchants to manage inventory, fulfill and ship on their own, while ensuring they are connected with reliable, vetted suppliers who will provide high quality products.
“This empowers businesses to truly invest in their brand, community and broader strategic goals. We look forward to helping take Wix Ecommerce to new heights.”