OzLighting operated as a drop-ship business for years, before being purchased by my employer, 4Cabling. We outlined ambitious plans to revamp the site's UI, UX, and the backend supply chain, and went to work! It's been a massive transformation, and starting to pay off.
The original site had a massive range of products and was nearly unmanageable from a merchandising standpoint. More worriesome, it was confusing for customers, who had to navigate through dozens of pages of nearly identical products, often dropping off before finding what they were after. We stopped drop-shipping, cut the range back to a level that was easier to shop, and started holding stock and implementing next-day shipping.
We also re-vamped the look of the site, cleaned-up the site navigation, and redesigned the home page, category page, and product page. Upgraded to the newest version of Magento Enterprise, and work at improving the page speed times by 40%. The overall response has been great and the benefits have been multiplying daily.