Make Money Online via Dropshipping in eCommerce
It is a golden age of eCommerce where people are lucky to live in a time where we can connect and sell with anyone in the world. So, in recent times there has been an exponential growth in Dropshipping.
What is Dropshipping?
Dropshipping is a special selling technique in which the seller does not keep goods in stock, but instead transfers their customers order and details to the drop-shipper, who then ships the goods directly to the buyer. Dropshipping is a retail fulfillment method where a store doesn’t keep the products it sells in stock. Instead, when a store sells a product, it purchases the item from a third party and has it shipped directly to the customer. As a result, the merchant never sees or handles the product.
What Makes It a Good Option For Entrepreneurs?
Using dropshipping means that when customer order products through your online store, these products are then delivered to your customers directly from your suppliers which no storage headache.
Why Pick Dropshipping?
- Lower starting capital – anyone can start their own ecommerce business using dropshipping without having to break the bank or get an expensive loan. It’s a case of supply and demand – you only purchase the products you will definitely sell. As you manage your own profit margins you can play the market and use branding and persuasive copy to drive up the retail value of your products. The average profit of a manufacturer who drop-ships is 33% higher than a manufacturer who uses traditional channels. (The Journal of the Operational Research Society)
- It’s a low risk – Every new business venture comes with its own risks, but dropshipping is less risky because you’re not locked into expensive stock or retail premises. If things don’t work out the way you thought they would, you are not stuck with loads of products you have to offload.
- Wide selection of products – you can sell so much more through the drop shipping model because you don’t have to stock anything and you can change tact fast.
- You can do it from your own home – you don’t have to worry about running a warehouse or stocking your products so you can manage your business from your bedroom. You have more independence and flexibility.
Things to Look Before Choosing Dropshipping Suppliers
- Research dropshipping suppliers you are planning to use. Find out their past work and credentials
- Buy from suppliers that have positive feedback and a score of around 95%.
- Consider individual product feedback.
- Carry out random checks and test orders to assess the company’s timing, communication, and overall customer experience for yourself.