today, we’re going to talk about Dropshipping, what it is? and how you can get started? with four actionable steps to start your own dropshipping business
Let’s say you’ve been thinking of opening up your own online business, but you don’t know where to start. You don’t know what you should sell, you don’t have the money to invest in products, and looking around, you don’t have any place to store inventory. That’s what dropshipping is all about. You see, with dropshipping, you can sell stuff online without the products ever being in your hands. All you need is a computer, an online store, and a basic understanding on how to market and sell online. Here’s how it works:
First, you find what you want to sell from a supplier then list that product on your own website at a price you set. Next, when someone places an order for that product, your customer pays you the retail price you’ve set, and you make a profit, then you’ll place the order with your supplier at their wholesale price and have it shipped directly to the customer. So, let’s say you’ve found a watch on a supplier’s website for $10, you would then list it on your own website for $30, when the order comes in through your website, you then place your order with your supplier using your customer’s shipping information, keep the $20 profit, and have the product shipped directly to your customer.
Now, I know what you’re thinking, why wouldn’t somebody just order the watch directly from the supplier’s website?
Well, a couple of reasons:
First: it’s a very big internet and customers may not know about the supplier to buy from them directly.
Second: when people buy things, they’re not just buying products, they’re buying into the marketing, positioning, trust, brand and lifestyle those products represent with dropshipping, you can focus on marketing your products and saying the right things, at the right time, and on providing real value to the right people because you’re not warehousing any inventory, or dealing with most of the other challenges that come with running an e-commerce business.
Problems of Dropshipping
Now, a couple of big challenges that need to be considered with dropshipping is finding credible suppliers with good quality products and making sure you have visibility into your customer’s fulfillment process. Honestly, you can find suppliers in your own way, however, when you’re dropshipping completely, you can end up spending a lot of time researching and negotiating with suppliers to guarantee your customers’ satisfaction. Another option is a tool like Oberlo, which with a few clicks gives you access to millions of products to sell, and has dozens of other features to make your life easier… like monitoring inventory levels, automatically calculating profit margins, fulfilling and tracking orders, monitoring shipping status, measuring delivery performance and more. Oberlo Supply is also a part of the product, which helps you partner with vetted, trustworthy suppliers of great quality products, faster shipping times, and awesome customer service with thousands of different products available for you to choose from.
Want to get started?
All you have to do is start a Shopify store, install the Oberlo app, find products and start selling online.