What is Dropshipping?
Dropshipping is a way of selling products to your customers without holding any inventory yourself.
You just let the supplier know when an order has been placed and they will ship directly to the customer.
It’s easy to do and can be very profitable.
This process is how most Shopify Power Sellers work.
Finding good suppliers can be tricky though, which is why most people use a wholesale Dropshipping directory to help them find quality and reliable suppliers.
Many people use Dropshipping to create significant income streams on the internet.
You’ve probably heard about people who make their full-time living from Shopify.
Sure, some people check out local garage sales, pick up a few things and sell them online.
However, most people who are making big money do not even see the products they sell.
They don’t even pay for them ahead of time.
Shopify Dropshipping Infographic
How does Dropshipping work?
Dropshipping is a new system: a seller chooses a product to sell to their customers.
These products are often sourced from Dropship suppliers registered on a Dropshipping directory site.
The seller can add the product to sell on their website or other sites like Shopify, without buying it in advance.
This method is useful because the seller can copy the images from the Dropshipping directory site.
They can add them directly on to other sites and social networks as well as the e-commerce sites to have more visibility.
When the product is sold, the seller will directly notify the supplier.
As for the last step, the supplier will directly send the product to your customer.
Your earning is decided upon the percentage on each product, previously agreed with the supplier.
The rate is different and varies from one to another merchandise category.
Want to get started? What should you do?
- Choose a reputable drop shipping company. Make sure you know what products you want to sell. Moreover, find the right company.
- We wouldn’t recommend purchasing a Dropshipping directory list, most reputable Dropshipping directories are publicly available and few are kept secret.
- When choosing the Dropshipping company, know their policies on shipping, back orders, returns, and exchange.
- Choose the company that can give you higher markup but is of good quality products.
- Be careful with joining fees. Many require fees for you to participate. So be sensible. Is it going to be worth the investment?
Whom is Dropshipping aimed at?
Suppliers makers, manufacturers and traders
Suppliers, makers, manufacturers, traders who want to extend their selling online, widening their business horizon in an effortless and quick way, contacting thousands of traders directly on the web.
Managers of e-commerce
Managers of e-commerce, sellers on Shopify and online sellers who want to expand their online list without any investment or to advance money which is often needed for buying the products to cut entirely all the start-up costs and warehouse one.
You will have the chance to choose any product to sell on the behalf of Dropship suppliers.
You will be finally able to focus exclusively on the selling and the sponsoring of the product, cutting time and costs.
That’s Dropshipping in a nutshell
Now that you have enough knowledge about Dropshipping.
If you are planning to have your own home based retailing business be sure to establish a legitimate and legal business by paying your taxes as one of those retailers.
Protect yourself by running your business as a real retail business.
Make sure to establish and maintain a good reputation, mutual business interest with Dropshipping Companies as well as the wholesale company.