Drop-ship from Stanley Black & Decker (DeWalt/Craftsman), TTI (Milwaukee/Ryobi), Snap-on, how do you wire it?
Each vendor uses a slightly different integration pattern. The wins: ~70% less working-capital tie-up vs holding stock, no warehouse footprint for slow-moving SKUs. The trade-off: per-vendor SLA management + chargeback risk if you ship the customer the wrong ETA.
- Stanley Black & Decker (DeWalt, Craftsman, Stanley, Lenox, Irwin, Black & Decker): EDI 850 / 856 / 810 over AS2 or sFTP. Larger dealers get a REST API. Daily inventory feed (CSV or EDI 846) at 6am ET. SLA: order placed by 2pm ET ships same day from regional DC. Chargeback for late shipments runs $25 per occurrence.
- TTI (Milwaukee, Ryobi, Ridgid, AEG, Hoover, Hart): similar EDI flow, plus a vendor portal for non-EDI dealers. Milwaukee Tool dealer authorization required (MAP enforcement is strict). Daily inventory feed, 4pm ET cutoff for next-day ship.
- Snap-on: direct dealer relationship only, you must be a Snap-on authorised reseller (limited list). API + dealer portal. MAP enforcement is brutal; sell below MAP, lose the dealer agreement. Lower volume than DeWalt / Milwaukee but high margin (~35-45% gross).
Magento integration: custom EDI/API module per vendor, order routing by SKU prefix (or vendor attribute on the product), automated PO send on order placement, ASN ingest to update tracking, nightly inventory reconciliation. Plus a dashboard for chargeback disputes + late-ship alerts.
Build cost: ~$8k, $15k per vendor wired (40-80 hours at $25/hr each). Worth it above $500k GMV in that brand’s revenue. Below that, hold inventory and skip the EDI complexity.