Lot of people is afraid of starting a new online business because it costs a lot of money and it means a long period of time waiting to be accepted. Nowadays everything is much simpler than that process. You would change your mind if you had the opportunity to be paid in advance your inventory of a large number of products. This way you will have time to manage your business. Is it too good to be real? Of course it is real, it is Drop Shipping.
The objective of this paper is to show you how Drop shipping works, we will provide you with a definition, its advantages and we will answer some of the most common questions.
What is Drop Shipping?
Generally speaking, Drop shipping is another retail method that allows you not to have all the products you sell in stock. You will have to find a shopify wholesale clothing distributors who keeps your entire stock inventory. Your unique task would be give customers’ orders to the suppliers. He or she will be in charge of sending the product directly to your customer. What is its best perk? You don’t have to keep all the products at home and you don’t have to be worried about having ready all the inventory items.
What are the most relevant advantages of Drop Shipping?
- Firstly, you don’t need to have a large budget what makes really easy to start a new online store. In other words, you don’t have to invest your money in stock.
- Secondly, it is fast and efficient. You have the opportunity to focus on other aspects of your new store such as marketing strategies, customer service or payment because you don’t to waste your time buying products.
- Thirdly, you can work all around the world. It means you don’t have a fixed place to word as you don’t have real stock.
How can you find Drop Shipping Wholesalers?
Shopify is one of the most common companies to start using Drop Shipping. They help you to find your best distributor and their staff is really helpful. This company will ask you for some information such as your EIN number, your state sales taxes or your resale certificate. Once they receive all these information you can start speaking with different drop shipping distributors. You will see that it is a really spread method because it is really simple.
What are your money benefits?
As you are just an intermediary, you are not doing going to have a huge amount of work. However, you will have really good benefits because you are the one that is exposing the product in your online store. People will see the prices and then you will contact with your distributors in order to let them know what they have to sell and where. You are who pay them but of course you control the percentage of benefits. You should be a good strategist because if your increase the prices people won’t buy your products. Therefore, try to implement well-balanced products (price and quality).