11 Mar Concept of dropshipping
I know many of you are hearing this word for the first time. In the past, you people must have heard in some other sense. What is dropshipping? It is a fulfillment ta method of a retailer. In this process, a store purchases a product from a third party and directly sends to its customers. So, a third party is basically involved in the drop shipping which is the actual owner of the product. The merchandise just acts as a means of transportation for the customer and the company. Mostly these kinds of orders are taken in stock from the customers. It doesn’t work on simple one or two orders. So, the merchandise never sees the production handles it. Selling merchandise is not creating or developing its own product. It is not a retailer of the product. This is the main difference between dropshipping and retail market.
How to start a dropshipping store?
This is very simple and easy. You can start it online and just have to register yourself. Many different companies and websites have designed this feature. Some of them take a fee while others are totally free.
Following are some of the benefits of dropshipping:
- Less money
This is the biggest advantage of the dropshipping. If you have a low budget then this is a perfect solution for starting your business. You don’t have to invest hundred million dollars for giving a proper front to the dropshipping. Otherwise, the retailers have to spend a lot of money before their business or store start giving them money. You cannot be in any loss as you will only purchase when you have the money in your hands from the customer. It can be started with a very little amount of money.
- Easy startup
This is a type of e-commerce business and in this, you don’t have to worry about many physical factors:
- Buying a warehouse
- Packing a product
- Management of stock levels and its continuity
- Shipping and returns issue
- Overhead money
This is very less for the e-commerce business as you don’t need a proper place for starting a business. $100 and a laptop is needed for starting the dropshipping business. Most people do this by sitting in their homes.
You can start this business from anywhere where the internet is good and you can contact with the suppliers. This can be done from the home.