direct store delivery (DSD)

(logistics) A logistics strategy where products sold in large volume on a regular basis are shipped directly from the producer or manufacturer to a store, eliminating the store’s need to warehouse and handle the product in its own facilities. When store stocks fall below a prescribed level, orders are placed electronically either through an automated inventory system or manually and then are delivered directly to the store location. In DSD the producer or manufacturer handles both warehousing and delivery on a just-in-time delivery basis. Large volume products like beer or bread that are bulky and/or heavy are best candidates for DSD.

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