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Running A Successful Dropshipping Business

Apr 25, 2008
The uniqueness of drop shipping business is that you run a business where you do not see or touch the products you are selling. It is where you get customer orders and addresses online and then you forward these details to the drop shippers who supply the products ordered. Your profit is the difference between the whole sale price and what you offer to the customers.

Drop shipping business is a business like any other. You enter it with a sole purpose of making profit. To make it profitable, you will need to be well versed with the area you are trading in. You should conduct a good market research to know which products will sell, where to get them, who are the reliable drop shippers and so on and so forth.

Selling over the internet is risky in many ways. But every business involves some amount of risk. For you to be successful here, the product should reach your customers.

You should therefore have a proper strategy to have the products delivered to the customers in good condition and on time.

Drop shipping is advantageous since as a seller you do not have to pay for the products until they have been sold. You also will not have to incur warehousing costs or losses incase the products are not sold.

Choice of products is vital here. You will need to identify products which will sell fast and which will give you good returns. Some product prices are fixed and so you may end up making a very small profit if not actually running into a loss. Try and get products which are unique and whose prices are flexible.

And since you will not be handling the products, you will have to get a good and reliable drop shipper. If you want to be in this business for long and make profits, the only way to do so is by having your customers satisfied with your service.

So, your drop shipper should not only deliver on time but also pack the products well to have them delivered safely. With a good drop shipper, you can be sure of maintaining your customers since they will not steal them away from you.

You can send your labels to them and they will stick them on the products so that the customer thinks that you are the one who actually took care of the delivery.

You need to be well informed about the business. You may enter it without knowing about all costs like listing charges if you are going through action sites like eBay, commission rates and so on.

But, inspite of all pro and cons, this business thrives because it is real. It is booming, but you can be successful only if you play your cards well. Test the waters before you plunge. Research well, the right information will be your guiding light.
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