Posted by on Jun 19, 2020 in General | Comments Off on What Is Dropshipping? Is it Right for You?

What Is Dropshipping? Is it Right for You?

What Is Dropshipping? Is it Right for You?

Dropshipping is one of the hottest type of retailing business tools. Selling web based or owning an online internet store could be more cost-effective, simple and easier by using the dropshipping service.

What is dropshipping? Just by its term, “drop” and “ship”, the retailer order placed directly items from the what’s dropshipping and wholesale company just by “dropping” the order to them and they will ship the items locally to the (your) buyer.

The advantage is that, as a retailer, you may not keep inventories of products, you do not need any storage to fill up goods you sell. You keep the mark-up price within the wholesale price by selling their products at a retail expense.

Now, let’s take a look at the disadvantages, you will not be in-control when using the packaging, packing, shipping time, back orders, returns together with exchanges and the quality of the products. If your customer gripes, you have to take care of the issues and not the dropshipping company.

List of positive actions?

  • Choose a reputable dropshipping company. Make sure you know what products you prefer to sell. And find the right company.
  • Be careful in buying dropshipping list.
  • In choosing the dropshipping company, know their dental policies on shipping, back orders, returns and exchange.
  • Decide the company that can give you higher mark-up but are of good superior products.
  • Be careful with joining fees. Many requires extra fees for you to join. I just don’t understand why do you have to pay some “joining-fee” if you are to sell their products? So be sensible. Is it worth it?
  • If you are thinking of doing this as a homebased retail industry, make it a legal business by paying taxes as a retail outlet. Get a TAX ID number. Treat this as a truly serious and real business. Protect yourself by truly functioning it as a real retail business. Establish and maintain a good, common business interest with the dropshipping and wholesale company.