If you are running a dropshipping business, chances are that you are already aware of how things work in that. However, if you are just starting out, you might want to explore a bit more about how dropshipping works as well as the various advantages of it. In this post, I will teach you the basics of dropshipping followed by 5 reasons you must give it a try.
What is Dropshipping?
Dropshipping, in simple language, is a method of fulfilling orders directly from a wholesaler or manufacturer without having to be worried about the inventory management or shipping. That said, your dropshipping partner will be responsible for handling all the inventory and logistics related work.
Let’s discover the top 5 reasons you should consider dropshipping as your E-commerce model.
#1. Less Capital Required
The biggest benefit of dropshipping is that it’s easy to launch an e-commerce store without having to put in a lot of capital upfront. Previously, sellers had to gather a large amount of capital to buy the inventory and own a store for storage. With dropshipping, you will be responsible for marketing and selling the products. While a third party (your dropshipping partner) in the supply chain management will be responsible for packaging, inventory, and shipping. Thus it’s possible to start a business even with a small amount of capital.
#2. Low Overhead Expenses
A dropshipping business can be run from your home with a laptop and an Internet connection for not more than $100 or so. Although the expenses are likely to expand as your business grows but they will still be low compared to an ordinary brick-and-mortar store.
#3. Easy To Start
Running an ecommerce business is relatively easy as you don’t have to deal with the hassle of managing the physical products. You don’t have to mess with managing and paying for a warehouse, packaging, and shipping, tracking inventory, handling returns, inbound shipments, and incessant ordering products.
#4. Run It From Anywhere
A dropshipping business is easy to operate from anywhere with a laptop and an internet. As long as you are able to talk with your customers, you can easily manage your business even from your home courtyard.
#5. Sell a Wide Range of Products
As you don’t have to deal with the management of the items, you can list an array of products to sell to your customers. There is plenty of help you can find to look for high-profit items that you would like to sell to your customers. You may also ask an online arbitrage software provider to manage the product listings for you.
All these reasons make dropshipping a great business for both beginners as well as established merchandisers. From the above discussion, it seems that drop shipping is about to change the face of ecommerce forever – you just need to take a step forward to it.