How To Start Your Drop Shipping Buisness

Drop shipping is a technique of selling items whereby a retailer/seller does not keep actual stock at hand but instead takes orders from customers and transfers them to a supplier who in turn ships the ordered items directly to the customer.

How Are You Paid?

A seller makes money by getting paid the difference between the price you charged the customer and the price the supplier charged you. Some suppliers offer a fixed percentage on items you sell for them. Costly items are bound to bring in more money for the seller.

How To Start A Drop Shipping Business

  • Firstly you need to select a product to sell. Many factors come into play such as availability of the items, cost, etc.
  • Then you need to find a supplier who’s willing to drop ship items on your behalf and setup an account with them so that the arrangement becomes official.
  • Advertise the items you want to sell online. Make sure that you include the shipping cost when setting a price so that you do not lose any money.
  • Once a customer makes a purchase you, you order the item from your supplier and send them the customer details for shipping.
  • Follow up with the customer and supplier to ensure the item is received.

Pros Of Drop Shipping

  • Drop Shipping is advantageous to sellers because they don’t have to keep stock upfront, thereby eliminating the cost of purchasing upfront inventory. The seller also doesn’t have to worry about managing inventory, storage, etc.
  • Another benefit is that you don’t need a lot of money to get started since you don’t have to buy stock upfront, so it’s easy to get started.
  • Drop shipping also gives you the flexibility to work from anywhere since you don’t have to man a physical store.

Where Can You Get Items To Sell?

The biggest challenge in Drop Shipping is finding where to get items. Where you get them depends mainly on the type of items you want to sell, location, the cost of the items, and various other factors. Following are some sites which can get you started on your search to find a supplier:

  1. http://www.dropshipsites.com/dropship_suppliers/
  2. http://www.gogodropship.com/
  3. http://www.wholesalecentral.com/Dropshippers.html
  4. http://www.freedropshipperslist.com/
  5. http://www.worldwidebrands.com/
  6. http://www.freedropshippinglist.com/

Where can you sell items?

You can sell items using the following channels:

  • eBay
  • Craigslist
  • Social media such as Facebook
  • A dedicated business website

Drop Shipping can be a tough thing to do. You have to be an excellent marketer to sell items you don’t see, and you have to have great communication skills so that ensure a smooth relationship between you, your customers, and your supplier. But despite the hard work it can be financially fulfilling if done right.

Photo credit: Ray_LAC via Foter.com / CC BY

Related Posts

Best Businesses To Start When The Economy Is Down

Best Businesses To Start When The Economy Is Down A down economy could be a terrible time for some companies, but other businesses thrive in this kind of situation. These companies are called counter-cyclical businesses. It is not easy to start a business at a time when the economy is down, but if you can […]

Learn How You Can Earn Easy Money Online Through Article Writing

Learn How You Can Earn Easy Money Online Through Article Writing A person with a good understanding of  English can easily write a couple paragraphs of original content. It is sometimes even easier to merely read a provided article and rewrite it. Freelance writing is one of the more lucrative online jobs on today. With […]

How To Get Started Investing In The Stock Market

How To Get Started Investing In The Stock Market The stock market is a risky place to invest your money. However, the potential rewards are enormous since you can multiply your initial investment many times over. Investing in the stock market can be quite confusing, though. The good thing is that there are several ways […]

3 Incredible Survey Sites That You May Not Have Heard About

Three Incredible Survey Sites  That You May Not Have Heard About Taking online surveys is one of the easiest ways to make extra cash. The great thing about taking surveys is that you don’t need to have any special skills; you just need to give your opinion on a particular subject or product. You may […]

The Beginner’s Guide to Publishing Online

 The Beginner’s Guide to Publishing Online Publishing online can be an amazing way to make money as long as you have the right guide and exposure. Making money from publishing is dependent upon the content, how you publish and how big the audience is that you have. There are some things that you should know […]

How To Avoid Impulse Spending

How To Avoid Impulse Spending If you are worried that you indulge in impulse spending a bit too much you should ask yourself the following questions: 1.)   Does your partner or spouse gripe that you spend a lot of money? 2.)   Do you find yourself shocked every month whenever your credit card statement totals up […]

%d bloggers like this: