Relatively new and really popular term in e-commerce is definitely dropshipping. People around the world are amazed with this concept and how easy they can earn from it.
What is dropshipping?
Dropshipping is a way of re-selling items online. It means that your job is to be a middleman between wholesalers and your customers. You don’t create products yourself, you’re just creating an online store where people can order products – and the goods are shipped from the wholesalers, so you don’t even need to storage the products.
Why is it great?
There’s a lot of advantages, but we’ll mention only a few of them:
- Because this isn’t affiliate marketing, you’re literally creating your own brand – It means that you need to make a plan and choose one niche. The rest is totally individual, because you choose the products and design the website;
- You don’t need to sell products from only one manufacturer – You can sell single products from 20 different companies and have 20 amazing products on your website. This is also individual, that’s why there’s no identical dropshipping stores online;
- You don’t need to invest a lot of money – You might need some money for the website design, but when it comes to dropshipping, you’ll purchase a product when you have an order, so you don’t need to invest your own money;
- It doesn’t matter where you live – You can do this from any country worldwide, as long as you have the Internet connection and, of course, a computer or a laptop.
How can I create a dropshipping website?
Usually, people are creating it through Shopify. You’ll have to pay around 30$ per month, but it’s really worth it – you’ll have everything you need in one place. Also, you’ll be able to choose among their themes for the website, different plugins and other things. Think about the title of your shop, because it needs to be interesting and related to what you’re selling.
Are there ANY disadvantages?
Not many, but naturally – yes. Maybe the biggest one is the fact that anybody can become a dropshipper, because it’s simple and inexpensive. It means that the competition is large – your competition might create lower prices in order to sell more, so you will potentially have to drop prices as well to stay in the business.Logistics could sometimes also be a problem. Coordinating the product’s journey from merchandisers to final customers can sometimes be a challenge, but if you have a good planning process, this is probably something you can easily overcome.
These obstacles are normal and something you can plan in advance. Be prepared for them, search the internet and read about the problems others in your niche have had.
Dropshipping is an amazing thing if you want to run an e-commerce business, but you don’t own or create products. Competition is large, that’s why planning is crucial. Research, predict potential problems and promote your store as much as possible. In this business, social activity is the key to success.
In the end, you can earn, but as in everything, you’ll have to work a lot to see the desired results.