Wix acquires dropshipping platform Modalyst

Website builder Wix has acquired dropshipping platform Modalyst. With this acquisition, Wix wants to offer its own ecommerce supplier marketplace as well as an integrated dropshipping platform for white-label product fulfillment.

Wix: ‘Dropshipping marketplaces have been a game-changer’

In the press release, Wix says the boom in ecommerce shows the importance for online merchants to expand their inventory and efficiently fulfill orders. “Dropshipping marketplaces have been a game-changer for both suppliers and retailers and is evident in the success of the existing partnership between Wix and Modalyst through the Wix App Market.”

According to its data, Wix merchants that add dropshipping products saw their average order value increase by 40 percent and sales revenue by 79 percent within the first four months.

Wix customers can connect their online store to the Modalyst marketplace which features thousands of suppliers, manufacturers and wholesalers. Here, they get access to products spanning name brands, trending items and independent labels with the option to white-label products with their own branding.

How the Wix-Modalyst integration works

When connected, merchants can import the desired products directly to their online store. These products include details and image options from the supplier, which continually update with the suppliers’ pricing and inventory. When a private customer completes a purchase, the order will be packaged and fulfilled by the supplier and can be branded for a white-label solutions. The merchants can see the fulfillment status of each order through the Wix dashboard.

Modalyst, founded in 2012, is no stranger to Wix. The solution is one of the most successful ecommerce apps in the Wix App Market and since last year, Modalyst is a portfolio company of Wix Capital.