The eCommerce industry is providing many opportunities to start their own business
& to grow. One
Here is the definitive guide
- What is Drop Shipping
- How it
- Advantages & Disadvantages of Drop Shipping
Let's take a deep dive into the world of Drop Shipping.
What is Dropshipping?
When the company runs an online business without maintaining any inventory & has no
warehouse to keep the products and not even ship the products on their own to
the customers, this is a
In this business, model retailer ties up with other companies that manufacture the products or has a warehouse to store the products and ship the products to the customers on behalf of retailers.
Shipping is a beautiful & money-minting business wherein the retailers
When the retailers receive the order, retailers forward the requirement to the drop shipper & the supplier send the product to the customer & charge the retailer for the process of the product.
- Customer place an order to the retailer
- The retailer forward the request and other details to the drop shipper
- Drop shipper pack the product & ship it to the customer on behalf of the retailer
How does Dropshipping Work
understand What is Drop Shipping, it needs to know how dropshipping works. Instead
Advantages of Dropshipping
someone wants to get into
Easy to Start
an eCommerce is convenient when you don't have to manage or store the products
by yourself. When in
- Controlling for warehouse
- Packing and shipping the product
- Handling inbound & returning products
In a nutshell drop shipping business is easy & convenient to start.
Less Overhead Expenses
company is not buying inventory & not storing the same, then there will be
less overhead expenses. Such business can be done from home & need a laptop
and the internet. If the company will scale than the overhead also gets
Run your business from anywhere
Shipping can run from anywhere as you don't need a physical store and
warehouse, just a laptop and internet connection. Be a beach or hill or any the place else you can run the
Easy to Grow
Low in Risk
If there is no sale of the product than you won't earn but at the same time you won't lose, that makes the drop shipping business less risky.
Variety of Products
Disadvantages of Dropshipping
we discussed the advantages of the
The sale you make maximum money goes to the supplier. It's true that there is less
Takes time to build Audience
If you are selling than also you have to make an audience to sell more so that you can get the float, and making an audience is a little tedious task & it takes time.
Complications while Shipping
If retailers are selling various products, they might get associated with multiple drop shippers & that may increase the difficulties while shipping of the product to the customers.
Inventory related Issues
Due to the popularity of the dropshipping business, there is high competition. High competition makes this little business tough to manage effectively.
Error from the Supplier
If the retailer gets the order & forward it to the supplier, however, while shipping the packing maybe not sufficient, there might be a damaged product, and there could be an issue for which retailer will blame.
How to be Successful with Dropshipping
In the above section, we discussed the advantages & disadvantages of drop shipping, in this section, we will discuss how to effectively manage the benefits & how to take care of problems of dropshipping means how to become successful in this attractive business
Choose the Best Supplier
Choosing the best supplier to get the best result is very important, however finding the best supplier needs the time. If you didn't get the best suppiler than you will lose the customers as customers expect the best.
Great Customer Service
When running the business both customers and business may face issue related to any things, when the problem comes, it needs to be addressed & has to be taken care off & make sure that customers meet the less problem. Excellent customer service will help you to make a good impression on the customers.
After All its a Business
Dropshipping business can run from home, garden & from anywhere but after all its an activity which requires time, effort & investment.
Is Dropshipping a Good Business Option
Ecommerce is a booming industry & many businesses & entrepreneurs are making an effort to make the mark in dropshipping business. Still drop shipping is an attractive business due to less investment.
Many retailers are making money by cutting down the shipping cost & choosing the quality supplier. Quality supplier & loss cost of shipping can make this business profitable.
Future of Dropshipping
Drop-Shipping has a very bright future, as many new entrepreneurs are selecting drop shipping as a business option due to its low initial investment to start. More and more people are moving towards online shopping; this movement makes the business opportunity for many others.
Not only customers are moving towards online shopping, but the manufacturer also looking for an opportunity in the online shopping era, they are going for good quality of products and effectively serve the customers. Ecommerce itself is a booming industry and other industries related to eCommerce also growing well.
Drop Shipping is a lucrative business, like many other businesses; it also has advantages and disadvantages. Still, many Entrepreneurs are choosing the drop shopping as the business opportunity, and the reason is booming eCommerce sector. Entrepreneurs are overlooking at the disadvantages and considering the advantages and trying to start the dropshipping business to scale more.
In a nutshell drop shipping is a great business opportunity.